ACFI 2011/12.indd - Gauteng Provincial Treasury

Report of the Auditor - General : Public EntitiesGAUTENG PROVINCIAL PUBLIC ENTITIESfor the year ended 31 March 2012REPORTING OF THE AUDITOR-GENERAL TO THE GAUTENG PROVINCIAL LEGISLATURE ON COMBINED GAUTENG PROVINCEPUBLIC ENTITIESREPORT ON THE COMBINED FINANCIAL STATEMENTSIntroduction1.I have audited the combined fi nancial statements of the combined Gauteng Provincial Public Entities set out on pages 53 to 87, whichcomprise the combined statement of fi nancial position as at 31 March 2012, the combined statement of fi nancial performance, statement ofchanges in net assets and the cash fl ow statement for the year then ended, and the notes, comprising a summary of signifi cant accountingpolicies and other explanatory information.Accounting officer’s responsibility for the combined financial statements2.The accounting offi cer is responsible for the preparation of these combined fi nancial statements in accordance with the South AfricanStandards of Generally Recognised Accounting Practice (SA Standard of GRAP) and the requirements of the Public Finance ManagementAct, 1999 (Act No.1 of 1999) (PFMA) and for such internal control as the accounting offi cer determines is necessary to enable the preparationof combined fi nancial statements that are free from material misstatement, whether due to fraud or error.Auditor-General’s responsibility3.4.5.My responsibility is to express an opinion on these combined fi nancial statements based on my audit. I conducted my audit in accordance withthe Public Audit Act of South Africa, 2004 (Act No.25 of 2004) (PAA), the General Notice issued in terms thereof and International Standardson Auditing. Those standards require that I comply with ethical requirements and plan and perform the audit to obtain reasonable assuranceabout whether the combined fi nancial statements are free from material misstatement.An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the combined fi nancial statements.The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the combinedfi nancial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal controls relevant tothe entity’s preparation of the combined fi nancial statements in order to design audit procedures that are appropriate in the circumstances,but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluatingthe overall presentation of the combined fi nancial statements.I believe that the audit evidence I have is suffi cient and appropriate to provide a basis for my audit opinion.Opinion6.In my opinion, the combined fi nancial statements present fairly, in all material aspects, the fi nancial position of the combined GautengProvince Public Entities as at 31 March 2012 and its fi nancial performance and cash fl ows for the year then ended, in accordance with SAStandards of GRAP and the requirements of the PFMA.Additional matter7.I draw attention to the matter below. My opinion is not modifi ed in respect of this matter.Financial reporting framework8.The combined fi nancial statements for Gauteng Provincial Entities were prepared in accordance with SA GRAP 6: consolidation of fi nancialstatements. The combined fi nancial statements are not different to consolidated fi nancial statements. Therefore the wording of my opinionrefl ects that these fi nancial statements are fairly presented.REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS9. In accordance with the PAA and the General Notice issued in terms thereof, I report the following fi ndings relevant to compliance with lawsand regulations and internal control, but not for the purpose of expressing an opinion.52 Gauteng Provincial Government | Combined Financial Information Annual Report 2011/12