REPUBLIC OF SOUTH AFRICA DIVISION OF REVENUE BILL (As introduced in the National Assembly (proposed section 76); explanatory summary of Bill and prior notice of its introduction published in Government Gazette No. 54086 of 6 February 2026) (The English text is the offıcial text of the Bill) (MINISTER OFFINANCE) [B 5—2026]ISBN 978-1-4850-1069-9 BILL To provide for the equitable division of revenue raised nationally among the national, provincial and local spheres of government for the 2026/27 financial year; the determination of each province’s equitable share; allocations to provinces and municipalities from national government’s equitable share; the responsibilities of all three spheres of government pursuant to such division and allocations; and to provide for matters connected therewith. PREAMBLE WHEREASsection 214(1) of the Constitution requires an Act of Parliament to provide for— (a)the equitable division of revenue raised nationally among the national, provincial and local spheres of government; (b)the determination of each province’s equitable share of the provincial share of that revenue; and (c)any other allocations to provinces or municipalities from the national government’s share of that revenue, and any conditions on which those allocations may be made; and WHEREASsection 7(1) of the Money Bills and Related Matters Act, 2009 (Act No. 9 of 2009), requires the introduction of the Division of Revenue Bill at the same time as the Appropriation Bill is introduced, B E IT THEREFORE ENACTED by the Parliament of the Republic of South Africa, as follows:— ARRANGEMENT OF SECTIONS Sections CHAPTER 1 INTERPRETATION AND OBJECTS OF ACT 1.Interpretation 2.Objects of Act CHAPTER 2 EQUITABLE SHARE ALLOCATIONS 3.Equitable division of revenue raised nationally among spheres of government 4.Equitable division of provincial share among provinces 5.Equitable division of local government share among municipalities 6.Shortfalls, excess revenue and increasing equitable share 2 5 10 CHAPTER 3 CONDITIONAL ALLOCATIONS TO PROVINCES AND MUNICIPALITIES Part 1 Conditional allocations 7.Conditional allocations to provinces 8.Conditional allocations to municipalities Part 2 Duties of accounting officers in respect of Schedule 4 to 7 allocations 9.Duties of transferring officer in respect of Schedule 4 allocations 10. Duties of transferring officer in respect of Schedule 5 or 6 allocations 11. Duties of receiving officer in respect of Schedule 4 allocations 12. Duties of receiving officer in respect of Schedule 5 or 7 allocations 13. Duties of receiving officer in respect of infrastructure conditional allocations to provinces 14. Duties in respect of annual financial statements and annual reports for 2026/27 financial year Part 3 Matters relating to Schedule 4 to 7 allocations 15. Publication of allocations and frameworks 16. Expenditure in terms of purpose and subject to conditions 17. Withholding of allocations 18. Stopping of allocations 19. Reallocation of funds 20. Conversion of allocations 21. Unspent conditional allocations CHAPTER 4 MATTERS RELATING TO ALL ALLOCATIONS 22. Payment requirements 23. Amendment of payment schedule 24. Transfers made in error or fraudulently 25. New allocations during financial year and Schedule 7 allocations 26. Preparations for 2027/28 financial year and 2028/29 financial year 27. Transfers before commencement of Division of Revenue Act for 2027/28 financial year CHAPTER 5 DUTIES AND POWERS OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY 28. Duties of municipalities 29. Duties and powers of provincial treasuries 30. Duties and powers of National Treasury CHAPTER 6 GENERAL 31. Liability for costs incurred in violation of principles of cooperative governance and intergovernmental relations 32. Irregular expenditure 33. Financial misconduct 34. Delegations and assignments 35. Departures 36. Regulations 37. Transitional measures for municipal election in 2026 38. Repeal of laws and savings 39. Short title and commencement 3 5 10 15 20 25 30 35 40 45 50 SCHEDULE 1 Equitable division of revenue raised nationally among the three spheres of government SCHEDULE 2 Determination of each province’s equitable share of the provincial sphere’s share of revenue raised nationally (as a direct charge against the National Revenue Fund) SCHEDULE 3 Determination of each municipality’s equitable share of the local government sphere’s share of revenue raised nationally SCHEDULE 4 Part A Allocations to provinces to supplement the funding of programmes or functions funded from provincial budgets Part B Allocations to municipalities to supplement the funding of programmes or functions funded from municipal budgets SCHEDULE 5 Part A Specific purpose allocations to provinces Part B Specific purpose allocations to municipalities SCHEDULE 6 Part A Allocations-in-kind to provinces for designated special programmes Part B Allocations-in-kind to municipalities for designated special programmes SCHEDULE 7 Part A Allocations to provinces for immediate disaster response Part B Allocations to municipalities for immediate disaster response 4 5 10 15 20 25 30 CHAPTER 1 INTERPRETATION AND OBJECTS OF ACT Interpretation 1.(1) In this Act, unless the context indicates otherwise, any word or expression to which a meaning has been assigned in the Public Finance Management Act or the Municipal Finance Management Act has the meaning assigned to it in the Act in question, and— ‘‘accreditation’’ means accreditation of a municipality, in terms of section 10(2) of the Housing Act, 1997 (Act No. 107 of 1997), to administer national housing programmes, read with Part 3 of the National Housing Code, 2009 (Financial Interventions: Accreditation of Municipalities); ‘‘allocation’’ means the equitable share allocation to the national sphere of government in Schedule 1, a province in Schedule 2 or a municipality in Schedule 3, or a conditional allocation; ‘‘category A, B or C municipality’’ means a category A, B or C municipality as envisaged in section 155(1) of the Constitution; ‘‘classified disaster’’ means a disaster classified as a national, provincial or local state of disaster in terms of section 23 of the Disaster Management Act, 2002 (Act No. 57 of 2002); ‘‘Community Library Services Grant’’ means the Community Library Services Grant referred to in Part A Schedule 5; ‘‘conditional allocation’’ means an allocation to a province or municipality from the national government’s share of revenue raised nationally, as envisaged in section 214(1)(c) of the Constitution, as set out in Schedule 4, 5, 6 or 7; ‘‘Constitution’’ means the Constitution of the Republic of South Africa, 1996; ‘‘corporation for public deposits account’’ means a bank account of the Provincial Revenue Fund held with the Corporation for Public Deposits, established by section 2 of the Corporation for Public Deposits Act, 1984 (Act No. 46 of 1984); ‘‘Education Infrastructure Grant’’ means the Education Infrastructure Grant referred to in Part A of Schedule 4; ‘‘financial year’’ means, in relation to— (a)a national or provincial department, the year ending 31 March; or (b)a municipality, the year ending 30 June; ‘‘framework’’ means the conditions and other information in respect of a conditional allocation published in terms of section 15 or 25; ‘‘Health Facility Revitalisation Grant’’ means the Health Facility Revitalisation Grant referred to in Part A of Schedule 5; ‘‘Human Resources and Training Grant’’ means the Human Resources and Training Grant referred to in Part A of Schedule 5; ‘‘Human Settlements Development Grant’’ means the Human Settlements Develop- ment Grant referred to in Part A of Schedule 5; ‘‘Informal Settlements Upgrading Partnership Grant: Provinces’’ means the Informal Settlements Upgrading Partnership Grant: Provinces referred to in Part A of Schedule 5; ‘‘intermediate city municipality’’ means a category B1 municipality as envisaged in the Integrated Urban Development Framework, 2016; ‘‘legislation’’ means national legislation or provincial legislation as defined in section 239 of the Constitution; ‘‘level one accreditation’’ means accreditation to render beneficiary management, subsidy budget planning and allocation, and priority programme management and administration, of national housing programmes; ‘‘level two accreditation’’ means accreditation to render full programme manage- ment and administration of all housing instruments and national housing programmes in addition to the responsibilities under a level one accreditation; ‘‘Maths, Science and Technology Grant’’ means the Maths, Science and Technol- ogy Grant referred to in Part A of Schedule 5; ‘‘medium term expenditure framework’’ means a budgeting framework applied by the National Treasury which— (a)translates government policies and plans into a multi-year spending plan; and (b)promotes transparency, accountability and effective public financial manage- ment; 5 5 10 15 20 25 30 35 40 45 50 55 60 ‘‘Municipal Finance Management Act’’ means the Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003); ‘‘Municipal Structures Act’’ means the Local Government: Municipal Structures Act, 1998 (Act No. 117 of 1998); ‘‘Municipal Systems Act’’ means the Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000); ‘‘organ of state’’ means an organ of state as defined in section 239 of the Constitution; ‘‘overpayment’’ means the transfer of more than the allocated amount of an allocation or the transfer of an allocation in excess of the applicable amount in a payment schedule; ‘‘payment schedule’’ means a schedule which sets out— (a)the amount of each transfer of a provincial equitable share or a conditional allocation for a province or municipality to be transferred in terms of this Act; (b)the date on which each transfer must be paid; and (c)to whom, and to which bank account, each transfer must be paid; ‘‘prescribe’’ means prescribe by regulation in terms of section 36; ‘‘primary bank account’’, in relation to— (a)a province, means a bank account of the Provincial Revenue Fund as envisaged in section 21(2) of the Public Finance Management Act and which the accounting officer of the provincial treasury has certified to the National Treasury; or (b)a municipality, means the bank account of the municipality as determined in terms of section 8 of the Municipal Finance Management Act; ‘‘Provincial Roads Maintenance Grant’’ means the Provincial Roads Maintenance Grant referred to in Part A of Schedule 4; ‘‘Public Finance Management Act’’ means the Public Finance Management Act, 1999 (Act No. 1 of 1999); ‘‘Public Transport Network Grant’’ means the Public Transport Network Grant referred to in Part B of Schedule 5; ‘‘quarter’’ means, in relation to— (a)a national or provincial department, the period from— (i) 1 April to 30 June; (ii) 1 July to 30 September; (iii) 1 October to 31 December; or (iv) 1 January to 31 March; or (b)a municipality, the period from— (i) 1 July to 30 September; (ii) 1 October to 31 December; (iii) 1 January to 31 March; or (iv) 1 April to 30 June; ‘‘receiving officer’’ means, in relation to— (a)a Schedule 4, 5 or 7 allocation transferred to a province, the accounting officer of the provincial department which receives that allocation or a portion thereof for expenditure through an appropriation from its Provincial Revenue Fund; or (b)a Schedule 4, 5 or 7 allocation transferred to a municipality, the accounting officer of the municipality; ‘‘receiving provincial department’’, in relation to a Schedule 4, 5 or 7 allocation transferred to a province, means the provincial department which receives that allocation or a portion thereof for expenditure through an appropriation from its Provincial Revenue Fund; ‘‘School Infrastructure Backlogs Grant’’ means the School Infrastructure Backlogs Grant referred to in Part A of Schedule 6; ‘‘this Act’’ includes any framework or allocation published, or any regulation made, in terms of this Act; ‘‘transferring officer’’ means the accounting officer of a national department that transfers a Schedule 4, 5 or 7 allocation to a province or municipality or spends a Schedule 6 allocation on behalf of a province or municipality; ‘‘Urban Development Financing Grant’’ means the Urban Development Financing Grant referred to in Part B of Schedule 4; ‘‘Urban Settlements Development Grant’’ means the Urban Settlements Develop- ment Grant referred to in Part B of Schedule 4; and 6 5 10 15 20 25 30 35 40 45 50 55 60 ‘‘working day’’ means any day, except a Saturday, a Sunday or a public holiday as defined in the Public Holidays Act, 1994 (Act No. 36 of 1994). (2) Any agreement, approval, certification, decision, determination, instruction, notification, notice or request in terms of this Act must be in writing. Objects of Act 2.The objects of this Act are— (a)as required by section 214(1) of the Constitution, to provide for— (i) the equitable division of revenue raised nationally among the three spheres of government; (ii) the determination of each province’s equitable share of the provincial share of that revenue; and (iii) other allocations to provinces, local government or municipalities from the national government’s share of that revenue and conditions on which those allocations are made; (b)to promote predictability and certainty in respect of all allocations to provinces and municipalities, in order that provinces and municipalities may plan their budgets over a multi-year period and thereby promote better coordination between policy, planning and budgeting; and (c)to promote transparency and accountability in the resource allocation process, by ensuring that all allocations, except Schedule 6 allocations, are reflected on the budgets of provinces and municipalities and the expenditure of conditional allocations is reported on by the receiving provincial departments and municipalities. CHAPTER 2 EQUITABLE SHARE ALLOCATIONS Equitable division of revenue raised nationally among spheres of government 3.(1) Revenue raised nationally in respect of the 2026/27 financial year must be divided among the national, provincial and local spheres of government as set out in Column A of Schedule 1. (2) The envisaged division among the national, provincial and local spheres of government of revenue anticipated to be raised nationally in respect of the 2027/28 financial year and the 2028/29 financial year, and which is subject to the Division of Revenue Acts for those financial years, is set out in Column B of Schedule 1. Equitable division of provincial share among provinces 4.(1) Each province’s equitable share of the provincial share of revenue raised nationally in respect of the 2026/27 financial year is set out in Column A of Schedule 2. (2) The envisaged equitable share for each province from the provincial share of revenue anticipated to be raised nationally in respect of the 2027/28 financial year and the 2028/29 financial year, and which is subject to the Division of Revenue Acts for those financial years, is set out in Column B of Schedule 2. (3) The National Treasury must transfer each province’s equitable share referred to in subsection (1) to the corporation for public deposits account of the province in accordance with the payment schedule determined in terms of section 22. Equitable division of local government share among municipalities 5.(1) Each municipality’s equitable share of local government’s share of revenue raised nationally in respect of the 2026/27 financial year is set out in Column A of Schedule 3. (2) The envisaged equitable share for each municipality from local government’s share of revenue anticipated to be raised nationally in respect of the 2027/28 financial year and the 2028/29 financial year, and which is subject to the Division of Revenue Acts for those financial years, is set out in Column B of Schedule 3. (3) The national department responsible for local government must, unless otherwise determined by the National Treasury, transfer a municipality’s equitable share referred to in subsection (1) to the primary bank account of the municipality in three transfers on 7 5 10 15 20 25 30 35 40 45 50 8 July 2026, 9 December 2026 and 10 March 2027, in the amounts determined in terms of section 22(2). Shortfalls, excess revenue and increasing equitable share 6.(1) If the actual revenue raised nationally in respect of the 2026/27 financial year falls short of the anticipated revenue set out in Column A of Schedule 1, the national government bears the shortfall. (2) If the actual revenue raised nationally in respect of the 2026/27 financial year exceeds the anticipated revenue set out in Column A of Schedule 1, the excess accrues to the national government and may be used to reduce borrowing or pay debt as part of its share of revenue raised nationally. (3) Further allocations may be made from the excess revenue envisaged in subsection (2), in accordance with the applicable legislation envisaged in section 12 of the Money Bills and Related Matters Act, 2009 (Act No. 9 of 2009), to— (a)national departments; (b)provinces; or (c)municipalities. (4)(a)If any expenditure from contingencies is approved in terms of the Appropriation Act, 2026, to increase the equitable share of provinces or municipalities, the National Treasury must increase the equitable share per province or per municipality by notice in theGazette. (b)The increase referred to in paragraph(a)takes effect on the date of publication in theGazette. (c)Section 22 of this Act applies with the necessary changes in relation to the increase referred to in paragraph(a). CHAPTER 3 CONDITIONAL ALLOCATIONS TO PROVINCES AND MUNICIPALITIES Part 1 Conditional allocations Conditional allocations to provinces 7.(1) Conditional allocations to provinces for the 2026/27 financial year from the national government’s share of revenue raised nationally are set out in— (a)Part A of Schedule 4, specifying allocations to provinces to supplement the funding of programmes or functions funded from provincial budgets; (b)Part A of Schedule 5, specifying specific purpose allocations to provinces; (c)Part A of Schedule 6, specifying allocations-in-kind to provinces for designated special programmes; and (d)Part A of Schedule 7, specifying funds that are not allocated to specific provinces, which may be released to provinces to fund an immediate response to a classified disaster. (2) An envisaged division of conditional allocations to provinces from the national government’s share of revenue anticipated to be raised nationally for the 2027/28 financial year and the 2028/29 financial year, which is subject to the annual Division of Revenue Acts for those years, is set out in Column B of the Schedules referred to in subsection (1). (3)(a)A Member of the Executive Council responsible for finance in a province may pledge a conditional allocation or an envisaged conditional allocation, or a portion thereof, as security for any borrowing in terms of the Borrowing Powers of Provincial Governments Act, 1996 (Act No. 48 of 1996), in accordance with this subsection. (b)If a Member of the Executive Council responsible for finance in a province intends to pledge as envisaged in paragraph(a), he or she must— (i) consult the relevant transferring officer; and (ii) obtain the approval of the Loan Co-ordinating Committee, referred to in section 2 of the Borrowing Powers of Provincial Governments Act, 1996. (c) The pledging envisaged in paragraph(a)must comply with any conditions imposed by the Loan Co-ordinating Committee. 8 5 10 15 20 25 30 35 40 45 50 55 (d)The relevant receiving officer must submit financial and non-financial reports, in the format and on the dates determined by the National Treasury, for any project pledged to be partially or fully funded by using a conditional allocation or an envisaged conditional allocation, or a portion thereof, as security as envisaged in paragraph(a). (4)(a)If any expenditure from contingencies is approved in terms of the Appropria- tion Act, 2026, to increase any conditional allocation to provinces, the National Treasury must increase the allocation per province by notice in theGazette. (b)The increase referred to in paragraph(a)takes effect on the date of publication in theGazette. (c)If a conditional allocation in Part A of Schedule 5 or 6 is increased in terms of paragraph(a), the National Treasury must amend the notice published in terms of section 15 by notice in theGazette. (d)Section 23 of this Act applies with the necessary changes in relation to the increase referred to in paragraph(a). Conditional allocations to municipalities 8.(1) Conditional allocations to municipalities in respect of the 2026/27 financial year from the national government’s share of revenue raised nationally are set out in— (a)Part B of Schedule 4, specifying allocations to municipalities to supplement the funding of functions funded from municipal budgets; (b)Part B of Schedule 5, specifying specific purpose allocations to municipali- ties; (c)Part B of Schedule 6, specifying allocations-in-kind to municipalities for designated special programmes; and (d)Part B of Schedule 7, specifying funds that are not allocated to specific municipalities that may be released to municipalities to fund an immediate response to a classified disaster. (2) An envisaged division of conditional allocations to municipalities from the national government’s share of revenue anticipated to be raised nationally for the 2027/28 financial year and the 2028/29 financial year, which is subject to the annual Division of Revenue Acts for those years, is set out in Column B of the Schedules referred to in subsection (1). (3)(a)A municipality that intends to pledge a conditional allocation, or a portion thereof, as security for any obligations in terms of section 48 of the Municipal Finance Management Act, must, in addition to notifying the National Treasury in terms of section 46(3) of that Act, notify the transferring officer and the relevant provincial treasury of that intention and provide the transferring officer and National Treasury at least 21 days to comment before seeking the approval of the municipal council. (b)A municipality must submit financial and non-financial reports, in the format and on the dates determined by the National Treasury, for any project pledged to be partially or fully funded by using a conditional allocation, or a portion thereof, as security as envisaged in paragraph(a). (4)(a)If any expenditure from contingencies is approved in terms of the Appropria- tion Act, 2026, to increase any conditional allocation to municipalities, the National Treasury must increase the allocation per municipality by notice in theGazette. (b)The increase referred to in paragraph(a)takes effect on the date of publication in theGazette. (c)If a conditional allocation in Part B of Schedule 5 or 6 is increased in terms of paragraph(a), the National Treasury must amend the notice published in terms of section 15 by notice in theGazette. (d)Section 23 of this Act applies with the necessary changes in relation to the increase referred to in paragraph(a). Part 2 Duties of accounting officers in respect of Schedule 4 to 7 allocations Duties of transferring officer in respect of Schedule 4 allocations 9.(1) The transferring officer of a Schedule 4 allocation must— (a)ensure that transfers to all provinces and municipalities are— (i) deposited only into the primary bank account of the relevant province or municipality; and 9 5 10 15 20 25 30 35 40 45 50 55 (ii) made in accordance with the payment schedule determined in terms of section 22, unless allocations, or portions thereof, are withheld or stopped in terms of section 17 or 18; (b)monitor information on financial and non-financial performance of programmes partially or fully funded by an allocation in Part A of Schedule 4, in accordance with subsection (2) and the applicable framework; (c)monitor information on financial and non-financial performance of the Urban Development Financing Grant and Urban Settlements Development Grant against the capital budget and the service delivery and budget implementation plan; (d)comply with the applicable framework; (e)submit a quarterly financial and non-financial performance report within 45 days after the end of each quarter to the National Treasury in terms of the applicable framework; and (f)evaluate the performance of programmes funded or partially funded by the allocation and submit such evaluations to the National Treasury within four months after the end of the 2026/27 financial year applicable to a provincial department or a municipality, as the case may be. (2) Any monitoring programme or system that is used to monitor information on financial and non-financial performance of a programme partially or fully funded by a Schedule 4 allocation must— (a)be approved by the National Treasury; (b)not impose any excessive administrative responsibility on receiving officers beyond the provision of standard management and budget information; (c)be compatible and integrated with and not duplicate other relevant national, provincial and local systems; and (d)support compliance with section 11(2). (3) A framework may impose a duty on the accounting officer of a national or provincial department, other than the transferring officer or receiving officer, which contributes to achieving the purpose of the allocation, and the accounting officer must comply with the duty. Duties of transferring officer in respect of Schedule 5 or 6 allocations 10.(1) The transferring officer of a Schedule 5 or 6 allocation must— (a)monitor financial and non-financial performance information on programmes funded by the allocation; (b)not later than 14 working days after this Act takes effect, certify to the National Treasury that— (i) any monitoring or system that is used, is compatible and integrated with and does not duplicate other relevant national, provincial and local systems; and (ii) any plans required in terms of the framework of a Schedule 5 allocation regarding the use of the allocation by— (aa)a province, have been approved before the start of the financial year; or (bb)a municipality, shall be approved before the start of the financial year; (c)in respect of Schedule 5 allocations— (i) transfer funds only after receipt of all information required to be submitted by the receiving officer in terms of this Act and after submission of all relevant information to the National Treasury; (ii) transfer funds in accordance with the payment schedule determined in terms of section 22, unless allocations, or a portion thereof, are withheld or stopped in terms of section 17 or 18; and (iii) deposit funds only into the primary bank account of the relevant province or municipality; and (d)comply with the applicable framework. (2) The transferring officer must submit all relevant information and documentation referred to in subsection (1)(b)to the National Treasury within 14 working days after this Act takes effect. 10 5 10 15 20 25 30 35 40 45 50 55 (3) A transferring officer, who has not complied with subsection (1), must transfer the allocation in the manner instructed by the National Treasury, which instruction may include transferring the allocation as an unconditional allocation. (4) Before making the first transfer of any allocation in terms of subsection (1)(c), the transferring officer must ensure that the banking details of the relevant province or municipality are as contained in the notice issued by the National Treasury in terms of section 30(1). (5)(a)The transferring officer of a Schedule 5 or 6 allocation must, as part of the reporting envisaged in section 40(4)(c)of the Public Finance Management Act, but subject to paragraph(b), submit information, in the format determined by the National Treasury, for the month in question, and for the 2026/27 financial year up to the end of that month, on— (i) the amount of funds transferred to a province or municipality; (ii) the amount of funds for any province or municipality withheld or stopped in terms of section 17 or 18, the reasons for the withholding or stopping and the steps taken by the transferring officer and the receiving officer to deal with the matters or causes that necessitated the withholding or stopping of the payment; (iii) the actual expenditure incurred by the province or municipality in respect of a Schedule 5 allocation; (iv) the actual expenditure incurred by the transferring officer in respect of a Schedule 6 allocation; (v) any matter or information that may be required by the applicable framework for the particular allocation; and (vi) such other matters as the National Treasury may determine. (b)For purposes of the application of paragraph(a)to Part B of Schedule 5, the period of 15 days envisaged in section 40(4)(c)of the Public Finance Management Act must be construed to mean a period of 20 days. (6) A transferring officer must submit to the National Treasury— (a)a monthly provincial report on infrastructure expenditure partially or fully funded by the Health Facility Revitalisation Grant, National Health Insurance Indirect Grant, School Infrastructure Backlogs Grant or Maths, Science and Technology Grant, referred to in Part A of Schedules 5 and 6, within 22 days after the end of each month, in the format determined by the National Treasury; and (b)a quarterly performance report on all programmes partially or fully funded by a Schedule 5 or 6 allocation within 45 days after the end of each quarter, in accordance with the applicable framework. (7) The transferring officer must evaluate the performance of all programmes partially or fully funded by a Schedule 5 or 6 allocation and submit such evaluations to the National Treasury within four months after the end of the 2026/27 financial year applicable to a provincial department or a municipality, as the case may be. (8) The transferring officer of the Human Settlements Development Grant may only transfer the Grant to a province after the relevant receiving officer has complied with section 12(6)(a)and(b). (9) A framework may impose a duty on the accounting officer of a national or provincial department, other than the transferring officer or receiving officer, which contributes to achieving the purpose of the allocation and the accounting officer must comply with the duty. Duties of receiving officer in respect of Schedule 4 allocations 11.(1) The receiving officer of a Schedule 4 allocation is responsible for— (a)complying with the applicable framework; and (b)the manner in which the allocation received from a transferring officer is allocated and spent. (2) The receiving officer of a municipality must— (a)ensure and certify to the National Treasury that the municipality— (i) indicates each programme partially or fully funded by a Schedule 4 allocation in its annual budget and that the allocation is specifically and exclusively appropriated in that budget for utilisation only according to the purpose of the allocation; and 11 5 10 15 20 25 30 35 40 45 50 55 (ii) makes public, in terms of section 21A of the Municipal Systems Act, the conditions and other information in respect of the allocation, to facilitate performance measurement and the use of required inputs and outputs; (b)when submitting the municipality’s statements in terms of section 71 of the Municipal Finance Management Act for September 2026, December 2026, March 2027 and June 2027, report to the transferring officer, the relevant provincial treasury and the National Treasury— (i) in respect of the Urban Development Financing Grant and Urban Settlements Development Grant, on financial performance against its capital budget and the measures defined in its service delivery and budget implementation plan; and (ii) in respect of any other Schedule 4 allocation, on financial performance of programmes partially or fully funded by the allocation; and (c)within 30 days after the end of each quarter, report to the transferring officer and the National Treasury— (i) in respect of the Urban Development Financing Grant and Urban Settlements Development Grant, on non-financial performance for that quarter against the measures defined in its service delivery and budget implementation plan; and (ii) in respect of any other Schedule 4 allocation, on non-financial performance of programmes partially or fully funded by the allocation. (3) The National Treasury must make the report submitted to it in terms of subsection (2)(b)or(c)available to the transferring officer of the Urban Development Financing Grant, Urban Settlements Development Grant, Public Transport Network Grant and Integrated National Electrification Programme Grant referred to in Part B of Schedules 5 and 6, and the accounting officer of any other national department having responsibilities relating to the applicable allocation. (4) The receiving officer of a provincial department must submit to the relevant provincial treasury and the transferring officer— (a)as part of the report required in section 40(4)(c)of the Public Finance Management Act, reports on financial and non-financial performance of programmes partially or fully funded by a Schedule 4 allocation; (b)a quarterly non-financial performance report of programmes partially or fully funded by a Schedule 4 allocation within 30 days after the end of each quarter; and (c)a monthly provincial report on infrastructure programmes partially or fully funded by a Schedule 4 allocation within 15 days after the end of each month, in the format determined by the National Treasury. (5) The receiving officer must report on programmes partially or fully funded by a Schedule 4 allocation against the applicable framework in its annual financial statements and annual report. (6) The receiving officer must evaluate the financial and non-financial performance of the provincial department or municipality, as the case may be, in respect of programmes partially or fully funded by a Schedule 4 allocation and submit such evaluation to the transferring officer and, where applicable, the relevant provincial treasury, within two months after the end of the 2026/27 financial year of the provincial department or a municipality, as the case may be. Duties of receiving officer in respect of Schedule 5 or 7 allocations 12.(1) The receiving officer of a Schedule 5 or 7 allocation must comply with the applicable framework. (2) The relevant receiving officer must, in respect of a Schedule 5 or 7 allocation transferred to— (a)a province, as part of the report required within 15 days of the end of each month in terms of section 40(4)(c)of the Public Finance Management Act, report on the matters referred to in subsection (3) and submit a copy of that report to the relevant provincial treasury and the transferring officer; (b)a municipality, as part of the report required no later than 10 working days after the end of each month in terms of section 71 of the Municipal Finance Management Act, report on the matters referred to in subsection (4) and submit a copy of that report to the relevant provincial treasury, the National Treasury and the relevant transferring officer; and 12 5 10 15 20 25 30 35 40 45 50 55 60 (c)a province or municipality, submit a quarterly non-financial performance report to the relevant provincial treasury, the National Treasury and the relevant transferring officer within 30 days after the end of each quarter. (3) A report for a province in terms of subsection (2)(a)must set out for the month in question and for the 2026/27 financial year up to the end of the month— (a)the amount received by the province; (b)the amount of funds withheld or stopped in terms of section 17 or 18, the reason for the stopping or withholding and any remedial action taken; (c)the actual expenditure by the province in respect of Schedules 5 and 7 allocations; (d)the amount transferred to any national or provincial public entity to implement a programme funded by a Schedule 5 allocation on behalf of a province or to assist the province in implementing the programme; (e)the available figures regarding the expenditure by a public entity referred to in paragraph(d); (f)the extent of compliance with this Act and with the conditions of the allocation provided for in its framework, based on the available information at the time of reporting; (g)an explanation of any material difficulties experienced by the province regarding an allocation which has been received and a summary of the steps taken to deal with such difficulties; (h)any matter or information that may be determined in the framework for the allocation; and (i)such other matters and information as the National Treasury may determine. (4) A report for a municipality in terms of subsection (2)(b)must set out for the month in question and for the 2026/27 financial year up to the end of the month— (a)the amount received by the municipality; (b)the amount of funds withheld or stopped in terms of section 17 or 18, the reason for the stopping or withholding and any remedial action taken; (c)the extent of compliance with this Act and with the conditions of the allocation or part of the allocation provided for in its framework; (d)an explanation of any material difficulties experienced by the municipality regarding an allocation which has been received and a summary of the steps taken to deal with such difficulties; (e)any matter or information that may be determined in the framework for the allocation; and (f)such other matters and information as the National Treasury may determine. (5) The receiving officer must evaluate the financial and non-financial performance of the provincial department or municipality, as the case may be, in respect of programmes partially or fully funded by a Schedule 5 allocation and submit such evaluation to the transferring officer and, where applicable, the relevant provincial treasury, within two months after the end of the 2026/27 financial year applicable to a provincial department or a municipality, as the case may be. (6)(a)The receiving officer of the Human Settlements Development Grant and the Informal Settlements Upgrading Partnership Grant: Provinces must, in consultation with the transferring officer and after consultation with each affected municipality, publish in theGazette, within 14 working days after this Act takes effect, the planned expenditure from the Human Settlements Development Grant and Informal Settlements Upgrading Partnership Grant: Provinces, for the 2026/27 financial year, the 2027/28 financial year and the 2028/29 financial year per municipality with level one or level two accreditation. (b)The planned expenditure must— (i) indicate the expenditure to be undertaken directly by the province and transfers to each municipality; and (ii) include a payment schedule for transfers to each municipality in the 2026/27 financial year. (c)The receiving officer of the Human Settlements Development Grant and the Informal Settlements Upgrading Partnership Grant: Provinces may, by notice in the Gazette, after taking into account the performance of the municipality and after consultation with the affected municipality and in consultation with the transferring officer, amend the planned expenditure for that municipality published in terms of paragraph(a). 13 5 10 15 20 25 30 35 40 45 50 55 60 Duties of receiving officer in respect of infrastructure conditional allocations to provinces 13.(1) The receiving officer of the Education Infrastructure Grant, Health Facility Revitalisation Grant, Human Settlements Development Grant, Provincial Roads Maintenance Grant and any other conditional allocation partially or fully funding infrastructure must— (a)submit to the relevant provincial treasury a list of all infrastructure projects partially or fully funded by the relevant Grant over the medium-term expenditure framework for tabling as part of the estimates of provincial expenditure in the provincial legislature in the format determined by the National Treasury; (b)within seven working days after the tabling in the legislature, submit the list to the transferring officer and the National Treasury; (c)after consultation with the relevant provincial treasury and the transferring officer, submit any amendments to the infrastructure project list, together with reasons for the amendments, to the provincial treasury for tabling with the adjusted estimates of provincial expenditure; (d)within seven working days after the tabling in the legislature, submit the amended list to the transferring officer and the National Treasury; (e)report, in the format and on the date determined by the National Treasury, to the transferring officer, the relevant provincial treasury and the National Treasury, on all infrastructure expenditure partially or fully funded by the relevant Grant; (f)within 15 days after the end of each month, in the format determined by the National Treasury, submit to the relevant provincial treasury and transferring officer, a draft report on infrastructure programmes partially or fully funded from those Grants; (g)within 22 days after the end of each month, submit to the transferring officer, the relevant provincial treasury and the National Treasury, a final report on infrastructure programmes partially or fully funded from those Grants; and (h)within two months after the end of the 2026/27 financial year— (i) based on the infrastructure budget of the province, evaluate the financial and non-financial performance of the province in respect of programmes partially or fully funded by the Grant; and (ii) submit the evaluation to the transferring officer, the relevant provincial treasury and the National Treasury. (2) The receiving officer of the Education Infrastructure Grant or Health Facility Revitalisation Grant must— (a)within 22 days after the end of each quarter, submit to the transferring officer, the relevant provincial treasury and the National Treasury, a report on the filling of posts on the approved establishment for the infrastructure unit of the affected provincial department; and (b)ensure that projects comply with infrastructure delivery management best practice standards and guidelines, as identified and approved by the National Treasury. Duties in respect of annual financial statements and annual reports for 2026/27 financial year 14.(1) The 2026/27 financial statements of a national department responsible for transferring an allocation in Schedule 4, 5 or 7 must, in addition to any requirement of any other legislation— (a)indicate the total amount of that allocation transferred to a province or municipality; (b)indicate any transfer withheld or stopped in terms of section 17 or 18 in respect of each province or municipality and the reason for the withholding or stopping; (c)indicate any transfer not made in accordance with the payment schedule or amended payment schedule, unless withheld or stopped in terms of section 17 or 18, and the reason for the non-compliance; (d)indicate any reallocations by the National Treasury in terms of section 19; 14 5 10 15 20 25 30 35 40 45 50 55 (e)certify that all transfers to a province or municipality were deposited into the primary bank account of a province or municipality; and (f)indicate the funds, if any, used for the administration of the allocation by the receiving officer. (2) The 2026/27 annual report of a national department responsible for transferring an allocation in Schedule 4, 5 or 7 must, in addition to any requirement of any other legislation, indicate— (a)the reasons for the withholding or stopping of all transfers to a province or municipality in terms of section 17 or 18; (b)the systems used to monitor compliance with this Act by provinces or municipalities; (c)the extent that the allocation achieved its objectives and outputs; and (d)any non-compliance with this Act and the steps taken to address the non- compliance. (3) The 2026/27 financial statements of a provincial department receiving an allocation in Schedule 4, 5 or 7 must, in addition to any requirement of any other legislation— (a)indicate the total amount of all allocations received; (b)indicate the total amount of allocations received that were budgeted to be transferred to municipalities and public entities, including— (i) the amounts transferred to municipalities and public entities, respec- tively; and (ii) the reasons for any discrepancies; (c)indicate the total amount of actual expenditure on each Schedule 5 or 7 allocation; and (d)certify that all transfers of allocations in Schedules 4, 5 and 7 to the province were deposited into the primary bank account of the province. (4) The 2026/27 annual report of a provincial department receiving an allocation in Schedule 4, 5 or 7 must, in addition to any requirement of any other legislation— (a)indicate the extent that the provincial department complied with this Act; (b)indicate the steps taken to address non-compliance with this Act; (c)indicate the extent that the allocation achieved its objectives and outputs; (d)contain any other information that may be specified in the framework for the allocation; and (e)contain such other information as the National Treasury may determine. (5) The 2026/27 financial statements and annual report of a municipality receiving an allocation in Schedule 4, 5 or 7 must be prepared in accordance with the Municipal Finance Management Act. (6) To facilitate the monitoring of performance and the audit of the allocations for the 2026/27 financial year, the National Treasury may determine the format in which receiving officers must report on conditional allocations to municipalities in terms of sections 11(2)(c)and 12(2)(c). Part 3 Matters relating to Schedule 4 to 7 allocations Publication of allocations and frameworks 15.(1) The National Treasury must, within 14 working days after this Act takes effect, publish by notice in theGazette— (a)the conditional allocations per municipality for Part B of Schedule 5 allocations; (b)the indicative conditional allocations per province for Part A of Schedule 6 allocations and per municipality for Part B of Schedule 6 allocations; and (c)the framework for each conditional allocation in Schedules 4 to 7. (2) For purposes of correcting an error or omission in an allocation or framework published in terms of subsection (1)(a)or(c), the National Treasury must— (a)on its initiative and after consultation with the relevant transferring officer; or (b)at the written request of the relevant transferring officer, by notice in theGazette, amend the affected allocation or framework. (3) The National Treasury may, after consultation with the relevant transferring officer and by notice in theGazette, amend an indicative conditional allocation in Schedule 6 published in terms of subsection (1)(b). 15 5 10 15 20 25 30 35 40 45 50 55 (4) Before amending a framework in terms of subsection (2), the National Treasury must submit the proposed amendment to Parliament for comment for a period of 14 days when Parliament is in session. (5) An amendment of an allocation or framework in terms of subsection (2) or (3) takes effect on the date of publication of the notice in theGazette. Expenditure in terms of purpose and subject to conditions 16.(1) Despite any other legislation to the contrary, an allocation referred to in Schedules 4 to 7 may only be used for the purpose stipulated in the Schedule concerned and in accordance with the applicable framework. (2)(a)A framework may provide for components within a conditional allocation that are subject to specific conditions. (b)A transferring officer may shift funds from one component to another— (i) after consulting the relevant receiving officer; (ii) with the approval of the National Treasury; and (iii) in accordance with the applicable appropriation legislation. (c)The National Treasury must publish a notice in theGazetteof a shift of funds in terms of paragraph(b)and include in the notice, the effective date of the shift. (3) A receiving officer may only transfer any portion of a Schedule 4 or 5 allocation to any other organ of state, other than the department of the relevant transferring officer, for the performance of a function, if the receiving officer and the organ of state have agreed on the obligations of both parties and a payment schedule, the receiving officer has notified the transferring officer, the relevant provincial treasury and the National Treasury of the agreed payment schedule and— (a)the funds— (i) are approved in the budget for the receiving provincial department or municipality; or (ii) if not already so approved— (aa)the receiving officer notifies the National Treasury that the purpose of the transfer is not to artificially inflate the expenditure estimates of the relevant provincial department or municipality and indicates the reasons for the transfer; and (bb)the National Treasury approves the transfer; or (b)the transfer is for the payment for goods or services procured in accordance with the procurement prescripts applicable to the relevant province or municipality and, if it is an advance payment, paragraph(a)(ii) applies with the necessary changes. (4) Section 21(1) and (2) applies to funds referred to in subsection (3). (5) The receiving officer must— (a)submit a copy of the agreement envisaged in subsection (3) to the transferring officer and the National Treasury; and (b)publish by notice in theGazette, the allocations envisaged in subsection (3) before payment is made. (6)(a)For purposes of the implementation of a Schedule 6 allocation to a munici- pality— (i) Eskom Holdings Limited may receive funds directly from the transferring officer of the Department of Electricity and Energy; (ii) a water board, as defined in section 1 of the Water Services Act, 1997 (Act No. 108 of 1997), may receive funds directly from the transferring officer of the Department of Water and Sanitation; or (iii) any organ of state may receive funds directly from the transferring officer of the Department of Cooperative Governance in consultation with the National Treasury. (b)A transferring officer may withhold the funds allocated in terms of paragraph(a), or any portion thereof, for a period not exceeding 30 days, if— (i) Eskom Holdings Limited, the relevant water board, or the relevant organ of state does not comply with this Act; (ii) roll-overs of conditional allocations approved by the National Treasury in terms of section 21 have not been spent; or (iii) there is significant under-expenditure on previous transfers during the 2026/27 financial year. (c)A transferring officer must, at least seven working days before withholding an allocation in terms of paragraph(b)— 16 5 10 15 20 25 30 35 40 45 50 55 60 (i) give Eskom Holdings Limited, the relevant water board or the relevant organ of state— (aa)notice of the intention to withhold the allocation; and (bb)an opportunity to submit written representations as to why the allocation should not be withheld; and (ii) inform the relevant municipality, the National Treasury, the relevant provincial treasury and the provincial department responsible for local government of the withholding. (d)A notice envisaged in paragraph(c)(i)(aa)must include the reasons for withholding the allocation and the intended duration of the withholding. (e)(i) The National Treasury may instruct, or approve a request from, the transferring officer to withhold an allocation in terms of paragraph(b)for a period of 30 to 120 days, if the withholding shall— (aa)facilitate compliance with this Act; or (bb)minimise the risk of under-spending by Eskom Holdings Limited, the relevant water board or the relevant organ of state. (ii) When requesting the withholding of an allocation in terms of this subsection, a transferring officer must submit to the National Treasury proof of compliance with paragraph(c)and any representations received from Eskom Holdings Limited, the relevant water board or the relevant organ of state. (iii) The transferring officer must comply with paragraph(c)when the National Treasury instructs or approves a request by the transferring officer in terms of paragraph (e)(i). (f)Despite paragraph(b), a transferring officer may reallocate funds in terms of section 19(3). (g)(i) Section 21(1) and (2) applies to funds referred to in paragraph(a). (ii) Eskom Holdings Limited, the relevant water board or the relevant organ of state must ensure that any funds that must revert to the National Revenue Fund in terms of section 21(1) are paid into that Fund by the date determined by the National Treasury. (iii) Eskom Holdings Limited, the relevant water board or the relevant organ of state must request the roll-over of unspent funds through the relevant transferring officer. (7)(a)For purposes of the Human Settlements Development Grant, the Informal Settlements Upgrading Partnership Grant: Provinces and the Community Library Services Grant, a receiving officer and a municipality with level one or two accreditation or functions assigned in terms of section 126 of the Constitution to administer any aspects, including financial administration of a national housing programme or library services (herein called ‘‘assigned functions’’) as at 1 April 2026, must, by the date determined by the National Treasury— (i) agree on a payment schedule; and (ii) submit, through the relevant provincial treasury, the payment schedule to the National Treasury. (b)If a municipality receives accreditation after 1 April 2026, the National Treasury may approve that paragraph(a)applies. (c)If the transfer of the Human Settlements Development Grant, the Informal Settlements Upgrading Partnership Grant: Provinces and the Community Library Services Grant to a municipality with assigned functions is withheld or stopped in terms of section 17 or 18, the receiving officer must request the National Treasury to amend the payment schedule in terms of section 23. (8) If a function, which is partially or fully funded by a conditional allocation to a province, is assigned to a municipality, as envisaged in section 10 of the Municipal Systems Act— (a)the funds from the conditional allocation for the province for the function must be stopped in terms of section 18 and reallocated in terms of section 19 to the municipality, which has been assigned the function; (b)if possible, the province must finalise any project or fulfil any contract regarding the function before the date the function is assigned and, if not finalised, the province must notify the relevant municipality and the National Treasury; (c)any project or contract regarding the function not finalised or fulfilled at the date at which the function is assigned, must be subjected to an external audit and the province and the municipality must enter into an agreement to complete the project or fulfil the contract through ceding it to the municipality; 17 5 10 15 20 25 30 35 40 45 50 55 60 (d)money that is retained by the province for any contract related to the function that is not ceded to the municipality must be spent by 31 March 2027 and shall not be available in terms of section 30 of the Public Finance Management Act or section 22(2) of this Act; (e)the receiving officer of the province must, within seven working days after the function is assigned, submit to the transferring officer and the National Treasury a list of liabilities that are attached to the function, but that were not transferred to the municipality, to provide for the adjustment of the applicable allocations; and (f)the receiving officer of the municipality must, within one month from the date of the stopping of funds in paragraph(a), submit to the transferring officer a revised plan for its planned expenditure. Withholding of allocations 17.(1) Subject to subsections (2) and (3), a transferring officer may withhold the transfer of a Schedule 4 or 5 allocation, or a portion thereof, for a period not exceeding 30 days, if— (a)the province or municipality does not comply with any provision of this Act; (b)roll-overs of conditional allocations approved by the National Treasury in terms of section 21 have not been spent; or (c)there is significant under-expenditure on previous transfers during the 2026/27 financial year. (2) If an allocation, or a portion thereof, is withheld in terms of subsection (1), it suspends the applicable payment schedule, approved in terms of section 22(3), until it is amended in terms of section 23. (3) The amount withheld in terms of this section in the case of the Human Resources and Training Grant or the National Tertiary Services Grant listed in Part A of Schedules 4 and 5 may not exceed five per cent of the next transfer as contained in the relevant payment schedule. (4) A transferring officer must, at least seven working days before withholding an allocation, or a portion thereof, in terms of subsection (1)— (a)give the relevant receiving officer— (i) notice of the intention to withhold the allocation; and (ii) an opportunity to submit written representations as to why the allocation should not be withheld; and (b)inform the relevant provincial treasury and the National Treasury, and in respect of any conditional allocation to a municipality, also the provincial department responsible for local government of the withholding. (5) A notice envisaged in subsection (4)(a)(i) must include the reasons for withholding the allocation, or a portion thereof, and the intended duration of the withholding to inform the amendment of the payment schedule in terms of section 23. (6)(a)The National Treasury may instruct, or approve a request from, the transferring officer to withhold an allocation, or a portion thereof, in terms of subsection (1) for a period of 30 to 120 days, if the withholding shall— (i) facilitate compliance with this Act; or (ii) minimise the risk of under-spending by the relevant provincial department or municipality. (b)When requesting the withholding of an allocation, or a portion thereof, in terms of this subsection, a transferring officer must submit to the National Treasury proof of compliance with subsection (4) and any representations received from the receiving officer. (c)The transferring officer must comply with subsection (4) when the National Treasury instructs or approves a request by the transferring officer in terms of paragraph (a). Stopping of allocations 18.(1) Despite section 17, the National Treasury may, in its discretion or on request of a transferring officer or a receiving officer, stop the transfer of a Schedule 4 or 5 allocation, or a portion thereof, to a province or municipality— 18 5 10 15 20 25 30 35 40 45 50 55 (a)in the case of— (i) a province, if a serious or persistent material breach of this Act, as envisaged in section 216(2) of the Constitution, occurs; or (ii) a municipality, if— (aa)a serious or persistent material breach of this Act, as envisaged in section 216(2) of the Constitution, read with section 38(1)(b)(i) of the Municipal Finance Management Act, occurs; or (bb)a breach or failure to comply, as envisaged in section 38(1)(b)(ii) of the Municipal Finance Management Act, occurs; (b)if the National Treasury anticipates that a province or municipality shall substantially underspend on the allocation, or any programme, partially or fully funded by the allocation, in the 2026/27 financial year; or (c)for purposes of the assignment of a function from a province to a municipality, as envisaged in section 10 of the Municipal Systems Act. (2) A request by a transferring officer or a receiving officer to stop the transfer of a Schedule 4 or 5 allocation, or a portion thereof, to a province or municipality in terms of section 18(1)(a)or(b)must, in the case of— (a)a province, be submitted to the National Treasury by 30 December 2026; and (b)a municipality, be submitted to the National Treasury by 29 January 2027. (3) The National Treasury must, before stopping an allocation, or a portion thereof, in terms of subsection (1)(a)(i) or(b)— (a)comply with the procedures in section 17(4)(a),with the necessary changes; and (b)inform the relevant transferring officer and provincial treasury of its intention to stop the allocation. (4) The National Treasury must, before stopping an allocation, or a portion thereof, in terms of subsection (1)(a)(ii), comply with the applicable provisions of section 38 of the Municipal Finance Management Act. (5) The National Treasury must give notice in theGazetteof the stopping of an allocation, or a portion thereof, in terms of this section, and include in the notice, the effective date of and reason for the stopping. (6)(a)If— (i) an allocation, or any portion thereof, is stopped in terms of subsection (1)(a)or (b); and (ii) the relevant transferring officer certifies, in writing, to the National Treasury that the payment of an amount in terms of a statutory or contractual obligation is overdue and the allocation, or a portion thereof, was intended for payment of the amount, the National Treasury may, by notice in theGazette, approve that the allocation, or any portion thereof, be used to pay that amount partially or fully. (b)The utilisation of funds envisaged in this subsection is a direct charge against the National Revenue Fund. Reallocation of funds 19.(1)(a)When a Schedule 4 or 5 allocation, or a portion thereof, is stopped in terms of section 18(1)(a)or(b), the National Treasury may, after consultation with the transferring officer and the relevant provincial treasury, determine the allocation, or a portion thereof, to be reallocated, as the same type of allocation as it was allocated originally, to one or more provinces or municipalities, on condition that the allocation must be spent by the end of the 2026/27 financial year. (b)When a Schedule 5 allocation, or a portion thereof, of a category B municipality is stopped in terms of section 18(1)(a)(ii), the National Treasury may, after consultation with the transferring officer, determine that the allocation, or a portion thereof, be reallocated to a category C municipality, as the same type of allocation as it was allocated originally, on condition that the allocation, or portion thereof, must be spent by the end of the 2026/27 financial year. (2)(a)When a Schedule 4 or 5 allocation, or a portion thereof, is stopped in terms of section 18(1)(c), the National Treasury must, after consultation with the transferring officer and the relevant provincial treasury, determine the portion of the allocation to be reallocated, as the same type of allocation as it was allocated originally, to the affected municipalities, on condition that the allocation must be spent by the end of the 2026/27 financial year. 19 5 10 15 20 25 30 35 40 45 50 55 60 (b)The portion of the allocation reallocated in terms of paragraph(a)is, with effect from the date of the notice in theGazettein terms of subsection (4)(a), regarded as having been converted to an allocation in Part B of the same Schedule it appears before the reallocation. (3)(a)If the transferring officer of a Schedule 6 allocation indicates, in writing, to the National Treasury that a portion of the allocation is likely to be underspent, or needs to be reprioritised to meet a priority, the National Treasury may, at the request of the transferring officer, determine that the portion be reallocated, as the same type of allocation as it was allocated originally, to a provincial department of another province or to another municipality. (b)Before requesting a reallocation, the transferring officer must notify the affected provincial department or municipality of the proposed reallocation and give the provincial department or municipality at least 14 working days to provide comments and propose changes. (c)When making a request in terms of paragraph(a), the transferring officer must submit to the National Treasury comments and proposed changes provided by the affected provincial department or municipality in terms of paragraph(b). (d)The reallocated portion must be spent by the end of the 2026/27 financial year. (e)The reallocated portion is regarded as having been converted to an allocation to the relevant provincial department or municipality with effect from the date of the notice in theGazettein terms of subsection (4)(a). (4)(a)The National Treasury must— (i) give notice in theGazetteof a reallocation in terms of subsection (1), (2) or (3); and (ii) provide a copy of the notice to the transferring officer and each affected receiving officer. (b)The reallocation of a portion of an allocation not spent by the end of the 2026/27 financial year is eligible for a roll-over in terms of section 21(2). (5)(a)When an intervention in terms of section 100 or 139 of the Constitution or section 137, 139 or 150 of the Municipal Finance Management Act takes place, the National Treasury may, despite subsection (1) and on such conditions as it may determine, authorise in relation to— (i) section 100 of the Constitution, the transferring officer to spend an allocation stopped in terms of section 18 of this Act on behalf of the relevant province; (ii) section 139 of the Constitution or section 137 or 139 of the Municipal Finance Management Act, the intervening province to spend an allocation stopped in terms of section 18 of this Act on behalf of the relevant municipality; or (iii) section 150 of the Municipal Finance Management Act, the relevant transferring officer to spend an allocation stopped in terms of section 18 of this Act on behalf of the relevant municipality. (b)An allocation that is spent by the transferring officer or intervening province referred to in paragraph(a)must, for the purposes of this Act, be regarded as a Schedule 6 allocation from the date on which the authorisation is given. (6)(a)On a joint request by the transferring officer and the National Disaster Management Centre, established by section 8 of the Disaster Management Act, 2002 (Act No. 57 of 2002), the National Treasury may approve that a conditional allocation in Schedule 4, 5 or 6, or a portion thereof, be reallocated to pay for the alleviation of the impact of a classified disaster or the reconstruction or rehabilitation of infrastructure damage caused by a classified disaster. (b)Before the National Treasury approves a reallocation, the receiving officer of the conditional allocation in Schedule 4 or 5 or the transferring officer of a Schedule 6 allocation must confirm that the affected funds are not committed in terms of any statutory or contractual obligation. (c)The reallocated funds must be used in the 2026/27 financial year in the same sphere that the allocation was originally made and for the same functional area that the original allocation relates to. (d)The transferring officer must, after consultation with the National Disaster Management Centre and with the approval of the National Treasury, determine the conditions for spending the reallocated funds. (e)Subsection (4) applies, with the necessary changes, to a reallocation in terms of this subsection to another province or municipality. 20 5 10 15 20 25 30 35 40 45 50 55 60 Conversion of allocations 20.(1) If satisfied that the relevant provincial department or municipality has demonstrated the capacity to implement projects, the National Treasury may, at the request of the transferring officer and after consultation with the receiving officer and provincial treasury, convert any portion of— (a)an allocation listed in Part B of Schedule 6 to one listed in Part B of Schedule 5; (b)the School Infrastructure Backlogs Grant to the Education Infrastructure Grant; or (c)the National Health Insurance Indirect Grant listed in Part A of Schedule 6 to the Health Facility Revitalisation Grant, District Health Programmes Grant, Human Resources and Training Grant or the National Health Insurance Grant listed in Part A of Schedule 5. (2) The National Treasury may, after consultation with the relevant transferring officer, receiving officer and provincial treasury, convert any portion of an allocation listed in Part B of Schedule 5 to one listed in Part B of Schedule 6, if it is satisfied that— (a)the conversion shall prevent under-expenditure or improve the level of service delivery in respect of the allocation in question; (b)a national, provincial department or an organ of state has demonstrated the capacity to implement projects; (c)the transferring officer has made a demonstrable effort to strengthen the capacity of the receiving officer to implement the allocation, but the receiving officer is still not capable of meeting all the requirements of the allocation; and (d)there is a history of poor performance in the previous two financial years for the relevant allocation to the receiving officer, including withholding and stopping of allocations. (3) If satisfied that a municipality has failed to follow the applicable procurement prescripts prescribed in terms of the Municipal Finance Management Act, the National Treasury may, at the request of the transferring officer or in its discretion, after consultation with the relevant transferring officer and receiving officer, convert any portion of an allocation listed in Part B of Schedule 5 to one listed in Part B of Schedule 6. (4)(a)Any portion of an allocation, except the School Infrastructure Backlogs Grant, converted in terms of subsection (1), (2) or (3) must— (i) be used for the same province or municipality to which the allocation was originally made; and (ii) if— (aa)possible, be used to implement the same project or projects that were planned if the allocation had not been converted; or (bb)not possible, the receiving officer must sign an agreement that defines any new project to be funded, before it is implemented. (b)The School Infrastructure Backlogs Grant must be used— (i) for the same province to which the allocation was originally made; and (ii) to implement the same project or projects that were planned if the allocation had not been converted. (5) The National Treasury must— (a)give notice in theGazetteof a conversion in terms of subsection (1), (2) or (3); and (b)provide a copy of the notice to the transferring officer and each affected receiving officer. (6) A conversion in terms of subsection (1), (2) or (3) takes effect on the date of publication of the notice in terms of subsection (5)(a). (7) If an allocation listed in Schedule 7 is insufficient for a classified disaster referred to in section 25(3)(a), the National Treasury may, after consultation with, or on the request of, the relevant transferring officer, convert any portion of— (a)the Provincial Disaster Response Grant listed in Part A of Schedule 7 to the Municipal Disaster Response Grant listed in Part B of Schedule 7; or (b)the Municipal Disaster Response Grant listed in Part B of Schedule 7 to the Provincial Disaster Response Grant listed in Part A of Schedule 7. 21 5 10 15 20 25 30 35 40 45 50 55 (8) The National Treasury must— (a)in the notice published in terms of section 25(3)(c), include notification of the conversion in terms of subsection (7) and the effective date referred to in subsection (9); and (b)provide a copy of the notice to the transferring officer. (9) A conversion in terms of subsection (7) takes effect on the date that the National Treasury approves it. Unspent conditional allocations 21.(1) Despite a provision to the contrary in the Public Finance Management Act or the Municipal Finance Management Act, any conditional allocation, or a portion thereof, that is not spent at the end of the 2026/27 financial year reverts to the National Revenue Fund, unless the roll-over of the allocation is approved in terms of sub- section (2). (2) The National Treasury may, at the request of a transferring officer, receiving officer or provincial treasury, approve a roll-over of a conditional allocation to the 2027/28 financial year if the unspent funds are committed to identifiable projects. (3)(a)The receiving officer must ensure that any funds that must revert to the National Revenue Fund in terms of subsection (1), are paid into that Fund by the date determined by the National Treasury. (b)The receiving officer must— (i) in the case of a provincial department, request the roll-over of unspent funds through its provincial treasury; and (ii) inform the transferring officer of all processes regarding the request. (4)(a)The National Treasury may, subject to paragraphs(b)and(c), offset any funds that must revert to the National Revenue Fund in terms of subsection (1), but not paid into that Fund by the date determined in terms of subsection (3)(a)— (i) in respect of a province, against future transfers of conditional allocations to that province; or (ii) in respect of a municipality, against future transfers of the equitable share or conditional allocations to that municipality. (b)Before any funds are offset in terms of paragraph(a), the National Treasury must give the relevant transferring officer, province or municipality— (i) notice of the intention to offset amounts against future allocations, the intended amount to be offset against allocations, the intended date for the offsetting and the reasons for the offsetting; and (ii) an opportunity, within 14 working days of receipt of the notice, to— (aa)propose an alternative date for offsetting; (bb)make written submissions why the full or a part of the amount should not be offset; or (cc)propose an alternative date or dates by which the amount, or portions thereof, must be paid into the National Revenue Fund. (c)The National Treasury must— (i) accept the date or dates proposed in terms of paragraph(b)(ii)(aa)or(cc)or determine a different date or dates; or (ii) accept or reject the submissions made in terms of paragraph(b)(ii)(bb). (5)(a)The National Treasury may amend the amount of the equitable share or a conditional allocation offset in terms of subsection (4). (b)If the amendment envisaged in paragraph(a)results in an underpayment to a municipality— (i) in respect of the equitable share of the municipality, the department responsible for local government must, despite section 5(3), transfer the difference to the municipality within 10 days; or (ii) in respect of a conditional allocation of the municipality, the transferring officer must, despite the payment schedule envisaged in section 22(3), transfer the difference to the municipality within 10 days. (c)If the amendment in terms of paragraph(a)results in an overpayment to a munici- pality, section 24 applies. 22 5 10 15 20 25 30 35 40 45 50 55 CHAPTER 4 MATTERS RELATING TO ALL ALLOCATIONS Payment requirements 22.(1)(a)The National Treasury must, after consultation with the provincial treasury, determine the payment schedule for the transfer of a province’s equitable share allocation. (b)In determining the payment schedule, the National Treasury must take into account the monthly expenditure commitments of provinces and seek to minimise risk and debt servicing costs for national and provincial government. (c)Despite paragraph(a), the National Treasury may advance funds to a province in respect of its equitable share, or a portion thereof, which has not yet fallen due for transfer in terms of the payment schedule— (i) for cash management purposes relating to the corporation for public deposits account or when an intervention in terms of section 100 of the Constitution takes place; and (ii) on such conditions as it may determine. (d)Any advance in terms of paragraph(c)must be offset against future transfers to the province, which would otherwise become due in terms of the payment schedule. (2)(a)The National Treasury must, after consultation with the national department responsible for local government, determine the amount of a municipality’s equitable share allocation to be transferred on each date referred to in section 5(3). (b)If an amount less than the amount approved in terms of paragraph(a)is paid to a municipality, the difference must, despite section 5(3), be paid within 10 days after it comes to the attention of the national department responsible for local government, unless it is amended in terms of paragraph(e). (c)Despite paragraph(a), the National Treasury may approve a request or direct that the equitable share, or a portion thereof, which has not yet fallen due for transfer in terms of section 5(3), be advanced to a municipality— (i) after consultation with the national department responsible for local govern- ment; (ii) for purposes of cash management in the municipality or an intervention in terms of section 139 of the Constitution or section 137, 139 or 150 of the Municipal Finance Management Act; and (iii) on such conditions as the National Treasury may determine. (d)Any advance in terms of paragraph(c)must be offset against future transfers to the municipality, which would otherwise become due in terms of section 5(3). (e)The equitable share amount envisaged in paragraph(a)may be amended if the transfer of funds is stopped in terms of section 216(2) of the Constitution, read with sections 38 and 39 of the Municipal Finance Management Act, or offset in terms of section 21(4)(a)(ii) of this Act. (3)(a)Subject to section 27(1), the National Treasury must, within 14 working days after this Act takes effect, approve the payment schedule for the transfer of an allocation listed in Schedule 4 or 5 to a province or municipality. (b)The transferring officer of a Schedule 4 or 5 allocation must submit a payment schedule to the National Treasury for approval before the first transfer is made. (c)Before the submission of a payment schedule in terms of paragraph(b), the transferring officer must, in relation to a Schedule 4 or 5 allocation, consult the relevant receiving officer. (4) The transferring officer of a Schedule 4 or 5 allocation must provide the receiving officer and the relevant provincial treasury with a copy of the approved payment schedule before making the first transfer in terms thereof. (5) The transfer of a Schedule 4 or 5 allocation to a municipality must accord with the financial year of the municipality. (6) Each transfer of an equitable share or a conditional allocation to a municipality in terms of this Act must be made through a payment system provided by the National Treasury. 23 5 10 15 20 25 30 35 40 45 50 55 Amendment of payment schedule 23.(1)(a)Subject to subsection (2), a transferring officer of a Schedule 4 or 5 allocation must, within seven working days of the withholding or stopping of an allocation, or a portion thereof, in terms of section 17 or 18, submit an amended payment schedule to the National Treasury for approval. (b)No transfers may be made until the National Treasury has approved the amended payment schedule. (2) For purposes of— (a)better management of debt and cash-flow; or (b)addressing financial mismanagement, financial misconduct or slow or accelerated expenditure, the National Treasury may amend any payment schedule for an allocation listed in Schedule 2, 4 or 5, after notifying, in the case of— (i) an allocation to a province, its provincial treasury; (ii) an allocation to a municipality, the national department responsible for local government; and (iii) a Schedule 4 or 5 allocation, the relevant transferring officer. (3) The amendment of a payment schedule in terms of subsection (1) or (2) must take into account— (a)the monthly expenditure commitments of provinces or municipalities; (b)the revenue at the disposal of provinces or municipalities; and (c)the minimisation of risk and debt servicing costs for all three spheres of government. (4) The transferring officer must immediately inform the receiving officer of any amendment to a payment schedule in terms of subsection (1) or (2). Transfers made in error or fraudulently 24.(1) Despite any other legislation to the contrary, the transfer of an allocation that is an overpayment to a province, municipality or public entity, made in error or fraudulently, is regarded as not legally due to that province, municipality or public entity, as the case may be. (2) The responsible transferring officer must, without delay, recover an overpayment referred to in subsection (1), unless an instruction has been issued in terms of subsection (3). (3) The National Treasury may instruct that the recovery referred to in subsection (2) be set off against future transfers to the affected province, municipality or public entity in terms of a payment schedule. New allocations during financial year and Schedule 7 allocations 25.(1) If further allocations are made to provinces or municipalities, as envisaged in section 6(3), the National Treasury must, before the transfer of any funds to a province or municipality, by notice in theGazetteand as applicable— (a)amend any allocation or framework published in terms of section 15; (b)publish the allocation per municipality for any new Part B of Schedule 5 allocation or the indicative allocation per municipality for any new Part B of Schedule 6 allocation; or (c)publish a framework for any new Schedule 4, 5, 6 or 7 allocation. (2) Section 15(2) to (5) applies, with the necessary changes, to allocations and frame- works published in terms of subsection (1). (3)(a)The transferring officer may, with the approval of the National Treasury, make one or more transfers of a Schedule 7 allocation to a province or municipality for a classified disaster, within 100 days after the date of the classification of the disaster. (b)The transferring officer must notify, in writing, the relevant provincial treasury and the National Treasury within five working days of a transfer of a Schedule 7 allocation to a province or municipality. (c)The National Treasury must, within 21 days after the end of the 100-day period envisaged in paragraph(a), by notice in theGazette, publish all transfers of a Schedule 7 allocation made for a classified disaster. 24 5 10 15 20 25 30 35 40 45 50 55 (d)The transferring officer, after consultation with the National Treasury, must determine the period in the financial year within which funds transferred in terms of paragraph(a)must be spent. (e)The transferring officer may, after consultation with the National Treasury, amend the period referred to in paragraph(d), provided that it ends in the financial year. (f)The funds approved in terms of paragraph(a)must be included either in the provincial adjustments appropriation legislation, municipal adjustments budgets or other appropriation legislation. Preparations for 2027/28 financial year and 2028/29 financial year 26.(1)(a)A category C municipality that receives a conditional allocation in terms of this Act must, using the indicative conditional allocations to that municipality for the 2027/28 financial year and the 2028/29 financial year as set out in Column B of the Schedules to this Act, by 15 September 2026— (i) agree with each category B municipality within the category C municipality’s area of jurisdiction on the provisional allocations and the projects to be funded from those allocations in the 2027/28 financial year and the 2028/29 financial year; and (ii) submit to the transferring officer— (aa)the provisional allocations referred to in subparagraph (i); and (bb)the projects referred to in subparagraph (i), listed per municipality. (b)If a category C municipality and a category B municipality cannot agree on the allocations and projects referred to in paragraph(a), the category C municipality must request the relevant transferring officer to facilitate agreement. (c)The transferring officer must take all necessary steps to facilitate agreement as soon as possible, but not later than 60 days after receiving a request referred to in paragraph(b). (d)Any proposed amendment or adjustment of the allocations that is intended to be published in terms of section 29(3)(b)must be agreed with the relevant category B municipality, the transferring officer and the National Treasury, before publication and the submission of the allocations referred to in paragraph(a)(ii). (e)If agreement is not reached between the category C municipality and the category B municipality on the provisional allocations and projects referred to in paragraph(a) before 2 October 2026, the National Treasury, after consultation with the relevant provincial treasury, must determine the provisional allocations and provide those provisional allocations to the affected municipalities and the transferring officer. (f)(i) The transferring officer must submit the final allocations, based on the provisional allocations referred to in paragraphs(a)(i) and (ii) and(e), to the National Treasury by 27 November 2026. (ii) If the transferring officer fails to submit the allocations referred to in subparagraph (i) by 27 November 2026, the National Treasury may determine the appropriate allocations, taking into consideration the indicative allocations for the 2027/28 financial year. (2)(a)The transferring officer of a conditional allocation, using the indicative conditional allocations for the 2027/28 financial year and the 2028/29 financial year, as set out in Column B of the affected Schedules to this Act, must, by 2 October 2026, submit to the National Treasury— (i) the provisional allocations to each province or municipality in respect of new conditional allocations to be made in the 2027/28 financial year; (ii) any amendments to the indicative allocations for each province or municipality set out in Column B of the affected Schedules in respect of existing conditional allocations; (iii) the draft frameworks for the allocations referred to in subparagraphs (i) and (ii); and (iv) electronic copies of any guidelines, business plan templates and other documents referred to in the draft frameworks referred to in subparagraph (iii). (b)A transferring officer must consult the accounting officer of a national or provincial department on a duty assigned to that accounting officer in the draft framework before submission to the National Treasury in terms of paragraph(a). (c)When a document referred to in a draft framework that is submitted in terms of paragraph(a)(iii) is amended, the transferring officer must immediately provide the 25 5 10 15 20 25 30 35 40 45 50 55 60 National Treasury and each receiving officer with electronic copies of the revised document. (d)The National Treasury must approve any proposed amendment or adjustment for the 2027/28 financial year of the allocation criteria of an existing conditional allocation before the submission of the provisional allocations and draft frameworks. (e)The transferring officer must, under his or her signature, submit to the National Treasury, by 27 November 2026, the final allocations and frameworks based on the provisional allocations and frameworks. (f)If the transferring officer fails to comply with paragraph(a)or(e), the National Treasury may determine the appropriate draft or final allocations and frameworks, taking into consideration the indicative allocations for the 2027/28 financial year. (g)(i) The National Treasury may amend final allocations and frameworks to ensure equitable and stable allocations and fair and consistent conditions. (ii) The National Treasury must give notice, in writing, to the transferring officer of the intention to amend allocations and frameworks and invite the transferring officer to submit written comments within seven working days after the date of the notification. (h)The draft and final allocations and frameworks must be submitted in the format determined by the National Treasury. (3) The National Treasury may instruct transferring officers, accounting officers of the provincial treasuries and receiving officers to submit to it such plans and information for any conditional allocation, as it may determine, at specified dates before the start of the 2027/28 financial year. (4)(a)For purposes of the Education Infrastructure Grant or the Health Facility Revitalisation Grant in the 2027/28 financial year, the receiving officer of the relevant provincial department must, in the format and on the date determined by the National Treasury, submit to the transferring officer, the relevant provincial treasury and the National Treasury— (i) an infrastructure asset management plan for all infrastructure programmes for a period of at least 10 years; (ii) an infrastructure programme management plan, including an infrastructure procurement strategy for infrastructure programmes and projects envisaged to commence within the period for the medium-term expenditure framework; and (iii) a document that outlines how the infrastructure delivery management system must be implemented in the province and is approved by the Executive Council of the province before or after the commencement of this Act. (b)The receiving officer of the relevant provincial department must review the document referred to in paragraph(a)(iii), and if any substantive change is made to the document during the 2026/27 financial year, the amended document must be approved by the Executive Council of the province before submission to the National Treasury within 14 working days after such approval. (5)(a)An intermediate city municipality may apply to qualify for the Integrated Urban Development Grant referred to in Part B of Schedule 5, by submitting an application to the Department of Cooperative Governance by 31 July 2026. (b)The Department of Cooperative Governance must determine the form of the application, including the minimum qualifying conditions. (c)The Department of Cooperative Governance must submit, by 2 October 2026, to the National Treasury for comment, a list of any proposed additional qualifying municipalities and any municipalities that have failed to meet the qualifying conditions to continue to qualify for approval. (d)A municipality that is informed by the Department of Cooperative Governance that it has qualified for the Integrated Urban Development Grant, must submit to the Department of Cooperative Governance— (i) by 30 March 2027, a first draft of its three-year capital programme and the 10-year Capital Expenditure Framework; and (ii) by 1 June 2027, the final versions of its three-year capital programme and the 10-year Capital Expenditure Framework, which must be evaluated by the Department of Cooperative Governance after consultation with relevant stakeholders. (6)(a)A provincial treasury must, in respect of the 2027/28 financial year— (i) on the same date that its budget for the 2027/28 financial year is tabled in the provincial legislature; or 26 5 10 15 20 25 30 35 40 45 50 55 60 (ii) on a date not later than 15 June 2027, approved by the National Treasury, publish a notice in theGazettecontaining the information set out in section 29(2)(a). (b)This subsection continues in force until 15 June 2027. Transfers before commencement of Division of Revenue Act for 2027/28 financial year 27.(1) Despite the Division of Revenue Act for the 2027/28 financial year not having commenced on 1 April 2027, the National Treasury, subject to subsection (2), may determine an amount of— (a)equitable share in terms of section 4(1), that may be transferred to the relevant province; (b)equitable share in terms of section 5(1), that may be transferred to the relevant municipality; or (c)allocation made in terms of section 7(1) or 8(1), as the case may be, that may be transferred to the relevant province or municipality. (2) An amount transferred in terms of subsection (1) may not— (a)during the first four months of that financial year, exceed 45 per cent of the total amount allocated in the 2026/27 financial year; (b)during each of the following months, exceed 10 per cent of the total amount appropriated in the 2026/27 financial year; and (c)in aggregate, exceed the total amount allocated in the 2026/27 financial year. (3) An amount transferred in terms of subsection (1)(c)is, with the necessary changes, subject to the applicable framework for the 2026/27 financial year and the other requirements of this Act, as if it is an amount of an allocation for the 2026/27 financial year. CHAPTER 5 DUTIES AND POWERS OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY Duties of municipalities 28.(1)(a)In addition to the requirements of the Municipal Finance Management Act, the accounting officer of a category C municipality must, within 14 working days after this Act takes effect, submit to the National Treasury, the relevant provincial treasury and all category B municipalities within that municipality’s area of jurisdiction, the budget, as tabled in accordance with section 16 of the Municipal Finance Management Act, for the 2026/27 financial year, the 2027/28 financial year and the 2028/29 financial year, except if submitted in terms of any other legislation before the end of the 14 working day period. (b)The budget must indicate all allocations from its equitable share and conditional allocations to be transferred to each category B municipality within the category C municipality’s area of jurisdiction and disclose the criteria for allocating funds between the category B municipalities. (2) A category C municipality that is providing a municipal service must, before implementing any capital project for water, electricity, roads or any other municipal service, consult the category B municipalities within whose area of jurisdiction the project must be implemented, and agree, in writing, which municipality is responsible for the operational and maintenance costs and the collection of user fees. (3) A category C municipality must ensure that it does not duplicate a function currently performed by a category B municipality and must transfer funds for the provision of services, including basic services, to the relevant category B municipality that is providing municipal services, despite— (a)the category C municipality retaining the function in terms of the Municipal Structures Act; and (b)a service delivery agreement for the provision of services by the category B municipality on behalf of the category C municipality not being concluded. (4) A category B municipality which is not authorised to perform a function in terms of the Municipal Structures Act may not extend the scope or type of services that it currently provides, without— 27 5 10 15 20 25 30 35 40 45 50 55 (a)entering into a service delivery agreement with the category C municipality which is authorised to perform the function in terms of the Municipal Structures Act; or (b)obtaining authorisation to perform the function in terms of the Municipal Structures Act. (5)(a)A category C municipality and a category B municipality must, before the commencement of a financial year, agree to a payment schedule in respect of the allocations referred to in subsection (1)(b), to be transferred to the category B municipality in that financial year, and the category C municipality must submit the payment schedule to the National Treasury before the commencement of the financial year. (b)A category C municipality must make transfers in accordance with the payment schedule submitted in terms of paragraph(a). (6)(a)The National Treasury may withhold or stop any allocation, or a portion thereof, to the category C municipality and reallocate the allocation or portion to the relevant category B municipalities if a category C municipality fails to— (i) make allocations referred to in subsection (1)(b); (ii) reach an agreement envisaged in subsection (2); or (iii) submit a payment schedule in accordance with subsection (5)(a). (b)The following provisions apply to the withholding or stopping of an allocation, or a portion thereof, in accordance with paragraph(a): (i) Section 216 of the Constitution; (ii) in the case of withholding an allocation, or a portion thereof, section 17(4)(a), with the necessary changes; and (iii) in the case of stopping an allocation, or a portion thereof, section 18(3)(a), (4), (5) and (6), with the necessary changes. (c)If an allocation is stopped in terms of this subsection, the National Treasury may, after consultation with the transferring officer, determine that a portion of the allocation that will not be spent, be reallocated to one or more municipalities, on condition that the allocation must be spent by the end of the 2026/27 financial year. (7) A municipality must ensure that any allocation made to it in terms of this Act, or by a province or another municipality, which is not reflected in its budget as tabled in accordance with section 16 of the Municipal Finance Management Act, is reflected in its budget to be considered for approval in accordance with section 24 of the Municipal Finance Management Act. Duties and powers of provincial treasuries 29.(1) A provincial treasury must reflect allocations listed in Part A of Schedule 5 to the province separately in the appropriation Bill of the province. (2)(a)A provincial treasury must, not later than seven working days after this Act takes effect, publish by notice in theGazette— (i) the indicative allocation per municipality for every allocation to be made by the province to municipalities from the province’s own funds and from conditional allocations to the province; (ii) the indicative allocation to be made per school and per hospital in the province in the format determined by the National Treasury; (iii) the indicative allocation to any national or provincial public entity for the implementation of a programme funded by an allocation in Part A of Schedule 5 on behalf of a province or for assistance provided to the province in implementing the programme; (iv) the envisaged division of the allocation envisaged in subparagraphs (i) and (ii), in respect of each municipality, school and hospital, for the 2027/28 financial year and the 2028/29 financial year; and (v) the conditions and other information in respect of the allocations referred to in subparagraphs (i), (ii) and (iii), to facilitate performance measurement and the use of required inputs and outputs. (b)The allocations referred to in paragraph(a)must be regarded as final when the provincial appropriation Act takes effect or, if published on a later date, on the date of publication of the notice. (c)If the provincial legislature amends its appropriation Bill, the provincial treasury must publish amended allocations and budgets, by notice in theGazette, within 14 28 5 10 15 20 25 30 35 40 45 50 55 60 working days after the appropriation Act takes effect, and those allocations and budget must be regarded as final. (d)Allocations to municipalities in terms of subsection (2)(a)must be consistent with the terms of any agreement concluded between the province and a municipality. (3)(a)Despite subsection (2) or any other legislation, a provincial treasury may, in accordance with a framework determined by the National Treasury, amend the allocations referred to in subsection (2). (b)Any amendments to the allocations published in terms of subsection (2)(a)or(c) must be published, by notice in theGazette, not later than 5 February 2027 or such later date as approved by the National Treasury and takes effect on the date of publication. (4) A provincial treasury must, as part of its report in terms of section 40(4)(b)and(c) of the Public Finance Management Act, in the format determined by the National Treasury, report on— (a)actual transfers received by the province from national departments and actual expenditure on such transfers, excluding Schedule 4 allocations, up to the end of that month; and (b)actual transfers made by the province to municipalities and public entities and actual expenditure by municipalities and public entities on such transfers, based on the latest information available from municipalities and public entities at the time of reporting. (5)(a)A provincial treasury must— (i) ensure that a payment schedule, or any amendment thereof, is agreed between each provincial department and receiving institution envisaged in subsection (2)(a); (ii) ensure that transfers are made promptly to the relevant receiving officer in terms of the agreed payment schedule; and (iii) submit the payment schedules to the National Treasury within 14 working days after this Act takes effect and any amended payment schedule, agreed to, within 14 working days of it being agreed to. (b)If a provincial department and receiving institution do not agree to a payment schedule in time for submission to the National Treasury, the provincial treasury must, after consultation with the transferring officer, determine the payment schedule. (6) If a provincial treasury fails to make a transfer in terms of subsection (5)(a), the relevant receiving officer may request the provincial treasury to immediately make the transfer or to provide written reasons, within three working days, as to why the transfer has not been made. (7) If a provincial treasury fails to make the transfer requested by the receiving officer or provide reasons in terms of subsection (6), or the receiving officer disputes the reasons provided by the provincial treasury as to why the transfer has not been made, the receiving officer may request the National Treasury to investigate the matter. (8) On receipt of a request in terms of subsection (7), the National Treasury must— (a)consult the transferring officer on the matter; (b)investigate the matter, assess any reasons given by the provincial treasury as to why the transfer was not made; (c)direct the provincial treasury to immediately effect the transfer or provide reasons to the receiving officer, confirming why the provincial treasury was correct in not making the transfer; and (d)advise the provincial treasury and the receiving officer as to what steps must be taken to ensure the transfer. Duties and powers of National Treasury 30.(1) The National Treasury must, within 14 working days after this Act takes effect, submit a notice to all transferring officers containing the details of the primary bank accounts of each province and municipality. (2) The National Treasury must, together with the statement envisaged in section 32(2) of the Public Finance Management Act, publish a report on actual transfers of all allocations listed in Schedules 4, 5, 6 and 7 or made in terms of section 25. (3) The National Treasury may include in a report on the equitable share and conditional allocations in terms of this Act, any report it publishes— (a)that aggregates statements published by provincial treasuries envisaged in section 71(7) of the Municipal Finance Management Act; and (b)in respect of municipal finances. 29 5 10 15 20 25 30 35 40 45 50 55 60 CHAPTER 6 GENERAL Liability for costs incurred in violation of principles of cooperative governance and intergovernmental relations 31.(1) An organ of state involved in an intergovernmental dispute regarding any provision of this Act or any division of revenue matter or allocation must— (a)comply with section 41 of the Constitution and Chapter 4 of the Intergovern- mental Relations Framework Act, 2005 (Act No. 13 of 2005); and (b)if it decides to institute judicial proceedings against another organ of state, within 10 working days of its decision, notify the National Treasury, the relevant provincial treasury, the Department of Cooperative Governance and the Auditor-General, of the details of compliance with Chapter 4 of the Intergovernmental Relations Framework Act, 2005, including an explanation of the failure to resolve the dispute. (2) If an organ of state does not comply with subsection (1), the expenditure incurred by that organ of state in approaching the court must be regarded as fruitless and wasteful. (3) The amount of any such fruitless and wasteful expenditure incurred in terms of subsection (2) must be recovered or written off in terms of the applicable procedures in the Public Finance Management Act or the Municipal Finance Management Act. Irregular expenditure 32.Expenditure of an allocation in Part B of Schedule 4 or Part B of Schedule 5 contrary to this Act is irregular expenditure and must be dealt with in terms of the Municipal Finance Management Act, except if it is unauthorised expenditure in terms of the Municipal Finance Management Act. Financial misconduct 33.(1) Despite any other legislation to the contrary, any wilful or negligent non-compliance with a provision of this Act constitutes financial misconduct. (2) Section 84 of the Public Finance Management Act or section 171 of the Municipal Finance Management Act, as the case may be, applies in respect of financial misconduct envisaged in subsection (1). Delegations and assignments 34.(1) The Minister may, in writing, delegate any of the powers entrusted to, and assign any of the duties imposed on, the National Treasury in terms of this Act, to an official of the National Treasury. (2) A delegation or assignment in terms of subsection (1) to an official of the National Treasury— (a)is subject to any limitations or conditions that the Minister may impose; (b)may authorise that official to sub-delegate, in writing, the delegated power or assigned duty, to any other official of the National Treasury; and (c)does not divest the National Treasury of the responsibility concerning the exercise of the delegated power or the performance of the assigned duty. (3) The Minister may vary or revoke any decision taken by an official as a result of a delegation or assignment, subject to any rights that may have vested as a consequence of the decision. (4) A Member of the Executive Council responsible for finance in a province may, in writing, delegate any power entrusted to, and assign any duty imposed on, the provincial treasury in terms of this Act, to an official of the provincial treasury. (5)(a)A transferring officer may, in writing, delegate any power entrusted to, and assign any duty imposed on, the transferring officer in terms of this Act, to an official in his or her department. (b)A copy of the written delegation must be submitted to the National Treasury. (6) Subsections (2) and (3) apply, with the necessary changes, to a delegation or assignment in terms of subsection (4) or (5). 30 5 10 15 20 25 30 35 40 45 50 Departures 35.(1) The Minister may, if good grounds exist, approve a departure from a provision of a framework, a regulation made under section 36 or a condition imposed in terms of this Act. (2) For purposes of subsection (1), good grounds include the fact that the provision of the framework, regulation or condition— (a)cannot be implemented in practice; (b)impedes the achievement of any object of this Act; (c)impedes an immediate response to a classified disaster; or (d)undermines the financial viability of the affected national department, provincial department or municipality. (3) Any departure approved in terms of subsection (1) must set out the period and conditions of the departure, if any, and must be published, by notice in theGazette. Regulations 36.The Minister may, by notice in theGazette, make regulations regarding— (a)any matter which must or may be prescribed in terms of this Act; or (b)any ancillary or incidental administrative or procedural matter that is necessary to prescribe for the proper implementation or administration of this Act. Transitional measures for municipal election in 2026 37.(1)(a)Despite section 5(1) and (2), if the date set for an election of all municipal councils in terms of section 24 of the Municipal Structures Act, is after 30 June 2026, the National Treasury must, within 14 working days after this Act takes effect, determine and publish by notice in theGazette— (i) each municipality’s equitable share of local government’s share of revenue raised nationally in respect of the 2026/27 financial year; and (ii) the envisaged division between municipalities of revenue anticipated to be raised nationally in respect of the 2027/28 financial year and the 2028/29 financial year, and which is subject to the annual Division of Revenue Acts for those financial years. (b)The notice takes effect on the date of its publication in theGazette. (c)The National Treasury must submit the notice to Parliament for its approval. (d)Parliament may, within 60 days after submission of the notice, approve amendments to the notice. (e)If Parliament amends the notice, the National Treasury must, within 14 working days, after the approval of Parliament, publish the amended notice in theGazette. (f)The amended notice takes effect from the date that the notice took effect as envisaged in paragraph(b). (g)Any increase in the equitable share of a municipality because of the amended notice must be effected through a fourth transfer provided for in subsection (2) and any decrease through a proportional reduction of the remaining transfers to the affected municipality. (h)If required, as a result of different municipalities in existence from the date of the election, the National Treasury may amend the notice published in terms of paragraph (a)or(e). (i)Paragraphs(b)to(g)apply with the necessary changes to an amendment in terms of paragraph(h). (2) If the date set for the election is after 30 June 2026 as envisaged in subsection (1), the National Treasury may, after consultation with the Department of Cooperative Governance and by notice in theGazette— (a)amend the date of 8 July 2026 referred to in section 5(3); and (b)in addition to the three transfers referred to in section 5(3), approve a fourth transfer on a date before 9 December 2026 for one or more municipalities and the date for that transfer. (3)(a)If the date set for an election is after 30 June 2026 as envisaged in subsection (1), the National Treasury must, for purposes of alignment of the allocation with municipalities as in existence from the date of election, amend, by notice in the Gazette— 31 5 10 15 20 25 30 35 40 45 50 55 (i) a conditional allocation for a municipality in Part B of Schedule 4; (ii) a conditional allocation for a municipality in Part B of Schedule 5 published in terms of section 16(1)(a); and (iii) an indicative conditional allocation for a municipality in Part B of Schedule 6, published in terms of section 16(1)(b); (b)Before making any amendments, the National Treasury must consult the relevant transferring officer. (c)An amendment in terms of paragraph(a)takes effect on the date of publication of the notice in theGazette. (4)(a)The transferring officer of a Schedule 4 or 5 allocation may, after consultation with the Department of Cooperative Governance, request a coordinating structure established by the provincial department responsible for local government for a re-demarcated municipality to prepare a draft business plan for the allocation, in accordance with the framework for that allocation. (b)All transfers for the 2026/27 financial year may be made based on the draft business plan. (c)The receiving officer must, within two months after the election of all municipal councils, submit the business plan to the transferring officer. (d)All subsequent transfers must be based on business plans approved by the relevant receiving officer. (5)(a)A category B municipality (herein called ‘‘the releasing municipality’’) from which a particular area is transferred with effect from the date of the municipal election, must continue to spend its allocations, in that particular area, as if that area was not transferred to another category B municipality (herein called ‘‘the receiving municipal- ity’’), unless the affected municipalities have entered into an agreement that ensures that the relocated area is not negatively affected. (b)The transferring officer of an allocation and the receiving municipality must monitor that the releasing municipality complies with paragraph(a). (c)The releasing municipality must, at the request of the transferring officer, the receiving municipality or the National Treasury, demonstrate compliance with paragraph(a). (6)(a)Sections 18 and 19 apply, with the necessary changes, if a releasing municipality fails to comply with subsection (5)(a)or(c)in respect of a conditional allocation. (b)If an allocation is stopped in terms of paragraph(a), the National Treasury may, after consultation with the transferring officer, determine that a portion of the allocation be reallocated to the receiving municipality. (7) If a releasing municipality fails to comply with subsection (5)(a)or(c), the National Treasury may reallocate a portion of the releasing municipality’s equitable share allocation referred to in section 5(1) or (3)(a)to the receiving municipality. (8)(a)The envisaged allocation contemplated in section 5(2) or subsection (1)(a)(ii), as the case may be, and section 8(2) are subject to adjustments necessitated by the re-demarcation of any municipal boundaries. (b)The transferring officer of a conditional allocation must, by the date determined by the National Treasury, inform the National Treasury of any adjustments to the envisaged allocations contemplated in section 8(2) that must be reflected in the Division of Revenue Act for the next financial year. Repeal of laws and savings 38.(1) Subject to subsection (2)— (a)the Division of Revenue Act, 2025 (Act No. 2 of 2025), except sections 15 and 25, is hereby repealed; (b)sections 15 and 25 of the Division of Revenue Act, 2025, are hereby repealed with effect from 1 July 2026 or the date that this Act takes effect, whichever is the later date; and (c)the Division of Revenue Amendment Act, 2025 (Act No. 12 of 2025), is hereby repealed. (2) Any repeal referred to in subsection (1) does not affect— (a)any duty to be performed in terms of any provision of an Act, referred to in subsection (1), after the end of the 2026/27 financial year; and (b)any obligation in terms of any provision of an Act, referred to in subsection (1), the execution of which is outstanding. 32 5 10 15 20 25 30 35 40 45 50 55 60 (3) Any framework published in terms of section 15 of the Division of Revenue Act, 2025, as amended in terms of section 15 or 25 of that Act, applies to funds of a conditional allocation approved for roll-over in terms of section 21(2) of that Act if that conditional allocation does not continue to exist in terms of this Act. Short title and commencement 39.This Act is called the Division of Revenue Act, 2026, and takes effect on 1 April 2026 or the date of publication in theGazette, whichever is the later date. 33 5 SCHEDULE 1 Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 National 1,2 1 602 840 029 1 662 255 195 1 742 618 772 Provincial 670 322 736 698 625 733 720 409 289 Local 110 090 001 114 483 348 118 041 399 TOTAL 2 383 252 766 2 475 364 276 2 581 069 460 1. National share includes conditional allocations to provincial and local spheres, general fuel 1. levy sharing with metropolitan municipalities, debt-service costs, the contingency reserve 1. and provisional allocations 2. The direct charges for the provincial equitable share are netted out SCHEDULE 2 Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 Eastern Cape 86 598 556 89 812 902 92 198 807 Free State 36 761 457 38 247 209 39 363 882 Gauteng 140 951 906 147 063 095 151 711 122 KwaZulu-Natal 136 378 118 142 177 502 146 678 660 Limpopo 78 951 229 82 363 593 84 978 627 Mpumalanga 56 019 282 58 585 273 60 580 447 Northern Cape 18 242 252 19 096 640 19 764 502 North West 46 867 158 48 522 477 49 860 269 Western Cape 69 552 778 72 757 042 75 272 973 TOTAL 670 322 736 698 625 733 720 409 289 EQUITABLE DIVISION OF REVENUE RAISED NATIONALLY AMONG THE THREE SPHERES OF GOVERNMENT DETERMINATION OF EACH PROVINCE'S EQUITABLE SHARE OF THE PROVINCIAL SPHERE'S SHARE OF REVENUE RAISED NATIONALLY (as a direct charge against the National Revenue Fund) Province Spheres of Government 2026/27 2026/27 34 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 EASTERN CAPE ABUF Buffalo City 1 363 341 1 432 070 1 462 480 ANMA Nelson Mandela Bay 1 740 504 1 841 721 1 867 588 B EC101 Dr Beyers Naude 130 306 134 705 139 662 B EC102 Blue Crane Route 74 969 76 953 80 313 B EC104 Makana 139 159 143 934 149 155 B EC105 Ndlambe 146 218 151 062 156 720 B EC106 Sundays River Valley 126 877 131 509 136 005 B EC108 Kouga 212 694 222 318 228 081 B EC109 Kou-Kamma 74 323 76 965 79 656 CDC10 Sarah Baartman District Municipality 114 938 117 389 123 067 Total: Sarah Baartman Municipalities 1 019 484 1 054 835 1 092 659 B EC121 Mbhashe 317 595 314 403 337 969 B EC122 Mnquma 330 798 327 421 352 019 B EC123 Great Kei 54 214 53 838 57 721 B EC124 Amahlathi 134 325 132 977 142 970 B EC126 Ngqushwa 104 969 103 962 111 735 B EC129 Raymond Mhlaba 219 561 217 164 233 674 CDC12 Amathole District Municipality 1 271 415 1 339 255 1 370 912 Total: Amathole Municipalities 2 432 877 2 489 020 2 607 000 B EC131 Inxuba Yethemba 59 478 60 395 63 217 B EC135 Intsika Yethu 202 328 200 328 215 325 B EC136 Emalahleni 157 016 155 384 167 119 B EC137 Dr. A.B. Xuma 188 551 186 714 200 667 B EC138 Sakhisizwe 86 575 85 827 92 156 B EC139 Enoch Mgijima 242 955 243 232 258 293 CDC13 Chris Hani District Municipality 822 193 866 120 888 028 Total: Chris Hani Municipalities 1 759 096 1 798 000 1 884 805 B EC141 Elundini 196 347 195 004 208 918 B EC142 Senqu 192 058 190 570 204 367 B EC145 Walter Sisulu 83 456 84 724 88 696 CDC14 Joe Gqabi District Municipality 419 740 441 606 453 308 Total: Joe Gqabi Municipalities 891 601 911 904 955 289 B EC153 Ngquza Hill 336 935 333 692 358 535 B EC154 Port St Johns 198 786 197 104 211 537 B EC155 Nyandeni 339 681 336 660 361 441 B EC156 Mhlontlo 233 431 230 814 248 440 B EC157 King Sabata Dalindyebo 461 270 462 420 490 350 CDC15 O.R. Tambo District Municipality 1 337 290 1 410 805 1 445 092 Total: O.R. Tambo Municipalities 2 907 393 2 971 495 3 115 395 B EC441 Matatiele 312 797 310 405 332 811 B EC442 Umzimvubu 281 659 278 914 299 728 B EC443 Winnie Madikizela-Mandela 350 052 346 992 372 471 B EC444 Ntabankulu 159 907 158 033 170 214 CDC44 Alfred Nzo District Municipality 872 031 919 468 942 293 Total: Alfred Nzo Municipalities 1 976 446 2 013 812 2 117 517 Total: Eastern Cape Municipalities 14 090 742 14 512 857 15 102 733 NumberMunicipality2026/27 35 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 FREE STATE AMAN Mangaung 1 272 720 1 346 734 1 365 649 B FS161 Letsemeng 96 491 99 682 103 411 B FS162 Kopanong 125 588 129 705 134 600 B FS163 Mohokare 104 848 107 724 112 342 B FS164 New Municipality - - - CDC16 Xhariep District Municipality 53 059 53 658 56 754 Total: Xhariep Municipalities 379 986 390 769 407 107 B FS181 Masilonyana 176 843 181 475 189 501 B FS182 Tokologo 83 224 85 249 89 152 B FS183 Tswelopele 107 845 110 487 115 539 B FS184 Matjhabeng 813 898 852 537 873 022 B FS185 Nala 172 716 177 632 185 092 CDC18 Lejweleputswa District Municipality 158 406 161 807 169 600 Total: Lejweleputswa Municipalities 1 512 932 1 569 187 1 621 906 B FS191 Setsoto 284 175 292 909 304 590 B FS192 Dihlabeng 269 775 281 275 289 320 B FS193 Nketoana 147 809 152 428 158 415 B FS194 Maluti-a-Phofung 895 917 919 678 960 344 B FS195 Phumelela 111 975 115 146 119 986 B FS196 Mantsopa 124 190 127 927 133 089 CDC19 Thabo Mofutsanyana District Municipality 141 686 143 366 151 571 Total: Thabo Mofutsanyana Municipalities 1 975 527 2 032 729 2 117 315 B FS201 Moqhaka 323 918 336 430 347 341 B FS203 Ngwathe 296 619 306 101 317 991 B FS204 Metsimaholo 329 025 345 005 352 936 B FS205 Mafube 144 344 148 587 154 688 CDC20 Fezile Dabi District Municipality 189 592 196 383 203 217 Total: Fezile Dabi Municipalities 1 283 498 1 332 506 1 376 173 Total: Free State Municipalities 6 424 663 6 671 925 6 888 150 36 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 GAUTENG AEKU City of Ekurhuleni 6 323 571 6 691 310 6 785 292 AJHB City of Johannesburg 8 650 870 9 153 951 9 282 521 ATSH City of Tshwane 4 898 214 5 183 063 5 255 861 B GT421 Emfuleni 1 292 642 1 362 989 1 386 858 B GT422 Midvaal 196 126 207 358 210 400 B GT423 Lesedi 240 707 251 978 258 146 CDC42 Sedibeng District Municipality 330 371 341 897 354 076 Total: Sedibeng Municipalities 2 059 846 2 164 222 2 209 480 B GT481 Mogale City 740 129 783 170 794 170 B GT484 Merafong City 344 823 363 318 369 945 B GT485 Rand West City 525 600 553 468 563 883 CDC48 West Rand District Municipality 257 403 265 005 275 720 Total: West Rand Municipalities 1 867 955 1 964 961 2 003 718 Total: Gauteng Municipalities 23 800 456 25 157 507 25 536 872 37 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 KWAZULU-NATAL AETH eThekwini 5 516 093 5 836 875 5 918 856 B KZN212 uMdoni 179 468 178 434 190 950 B KZN213 uMzumbe 165 070 162 991 175 717 B KZN214 uMuziwabantu 120 515 119 626 128 253 B KZN216 Ray Nkonyeni 308 900 311 912 328 230 CDC21 Ugu District Municipality 744 602 784 454 804 162 Total: Ugu Municipalities 1 518 555 1 557 417 1 627 312 B KZN221 uMshwathi 139 335 139 384 148 199 B KZN222 uMngeni 113 175 116 505 120 157 B KZN223 Mpofana 49 481 49 786 52 630 B KZN224 iMpendle 49 492 49 226 52 695 B KZN225 Msunduzi 925 767 974 653 993 191 B KZN226 Mkhambathini 86 737 86 515 92 288 B KZN227 Richmond 97 091 96 915 103 294 CDC22 uMgungundlovu District Municipality 826 344 866 473 890 035 Total: uMgungundlovu Municipalities 2 287 422 2 379 457 2 452 489 B KZN235 Okhahlamba 162 727 161 337 173 172 B KZN237 iNkosi Langalibalele 240 742 239 184 256 140 B KZN238 Alfred Duma 326 208 327 123 346 766 CDC23 uThukela District Municipality 686 038 723 013 741 003 Total: uThukela Municipalities 1 415 715 1 450 657 1 517 081 B KZN241 eNdumeni 73 722 75 094 78 326 B KZN242 Nquthu 182 897 180 872 194 663 B KZN244 uMsinga 226 596 224 818 241 114 B KZN245 uMvoti 185 191 185 178 196 960 CDC24 uMzinyathi District Municipality 580 091 611 258 626 652 Total: uMzinyathi Municipalities 1 248 497 1 277 220 1 337 715 B KZN252 Newcastle 582 810 604 108 624 924 B KZN253 eMadlangeni 39 220 39 014 41 759 B KZN254 Dannhauser 116 776 115 446 124 309 CDC25 Amajuba District Municipality 240 133 249 768 258 234 Total: Amajuba Municipalities 978 939 1 008 336 1 049 226 38 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 B KZN261 eDumbe 101 507 100 634 108 041 B KZN262 uPhongolo 188 714 187 697 200 777 B KZN263 AbaQulusi 215 845 216 311 229 468 B KZN265 Nongoma 203 083 200 226 216 185 B KZN266 Ulundi 208 936 205 725 222 431 CDC26 Zululand District Municipality 749 176 789 763 809 375 Total: Zululand Municipalities 1 667 261 1 700 356 1 786 277 B KZN271 uMhlabuyalingana 236 972 235 258 252 138 B KZN272 Jozini 252 286 249 894 268 468 B KZN275 Inkosi uMtubatuba 238 060 235 702 253 339 B KZN276 Big Five Hlabisa 150 676 149 219 160 364 CDC27 uMkhanyakude District Municipality 692 822 730 222 748 558 Total: uMkhanyakude Municipalities 1 570 816 1 600 295 1 682 867 B KZN281 uMfolozi 180 242 178 189 191 843 B KZN282 uMhlathuze 610 321 636 553 654 560 B KZN284 uMlalazi 246 839 244 484 262 681 B KZN285 Mthonjaneni 99 291 97 921 105 723 B KZN286 Nkandla 121 850 120 305 129 719 CDC28 King Cetshwayo District Municipality 797 598 837 764 859 228 Total: King Cetshwayo Municipalities 2 056 141 2 115 216 2 203 754 B KZN291 Mandeni 240 637 239 920 255 964 B KZN292 KwaDukuza 297 020 305 644 315 241 B KZN293 Ndwedwe 198 488 196 613 211 234 B KZN294 Maphumulo 116 782 115 735 124 297 CDC29 iLembe District Municipality 883 493 932 330 954 417 Total: iLembe Municipalities 1 736 420 1 790 242 1 861 153 B KZN433 Greater Kokstad 88 189 89 301 93 735 B KZN434 Johannes Phumani Phungula 142 800 141 544 151 974 B KZN435 uMzimkhulu 253 469 251 633 269 690 B KZN436 Dr Nkosazana Dlamini Zuma 166 587 165 256 177 275 CDC43 Harry Gwala District Municipality 548 684 577 955 592 713 Total: Harry Gwala Municipalities 1 199 729 1 225 689 1 285 387 Total: KwaZulu-Natal Municipalities 21 195 588 21 941 760 22 722 117 39 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 LIMPOPO B LIM331 Greater Giyani 387 823 384 972 412 613 B LIM332 Greater Letaba 377 862 375 393 401 997 B LIM333 Greater Tzaneen 549 512 549 696 584 233 B LIM334 Ba-Phalaborwa 214 272 213 767 227 918 B LIM335 Maruleng 170 372 169 306 181 277 CDC33 Mopani District Municipality 1 508 655 1 593 121 1 630 297 Total: Mopani Municipalities 3 208 496 3 286 255 3 438 335 B LIM341 Musina 232 308 234 015 246 938 B LIM343 Thulamela 616 264 614 891 655 415 B LIM344 Makhado 507 068 506 862 539 128 B LIM345 Collins Chabane 504 619 502 148 536 776 CDC34 Vhembe District Municipality 1 657 833 1 751 354 1 792 116 Total: Vhembe Municipalities 3 518 092 3 609 270 3 770 373 B LIM351 Blouberg 240 123 238 140 255 508 B LIM353 Molemole 183 043 181 583 194 779 B LIM354 Polokwane 1 541 239 1 606 170 1 652 917 B LIM355 Lepele-Nkumpi 326 389 322 989 347 330 CDC35 Capricorn District Municipality 896 736 939 981 966 276 Total: Capricorn Municipalities 3 187 530 3 288 863 3 416 810 B LIM361 Thabazimbi 164 793 173 888 176 778 B LIM362 Lephalale 264 473 275 574 283 624 B LIM366 Bela-Bela 149 236 154 800 159 983 B LIM367 Mogalakwena 637 638 653 125 683 438 B LIM368 Modimolle-Mookgophong 167 982 174 579 180 126 CDC36 Waterberg District Municipality 160 896 164 591 172 228 Total: Waterberg Municipalities 1 545 018 1 596 557 1 656 177 B LIM471 Ephraim Mogale 197 603 196 293 210 249 B LIM472 Elias Motsoaledi 367 541 364 204 391 081 B LIM473 Makhuduthamaga 353 718 350 643 376 368 B LIM476 Fetakgomo Tubatse 602 957 598 348 641 359 CDC47 Sekhukhune District Municipality 1 277 711 1 348 559 1 380 713 Total: Sekhukhune Municipalities 2 799 530 2 858 047 2 999 770 Total: Limpopo Municipalities 14 258 666 14 638 992 15 281 465 40 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 MPUMALANGA B MP301 Chief Albert Luthuli 462 146 472 704 495 241 B MP302 Msukaligwa 299 205 313 048 320 922 B MP303 Mkhondo 375 180 386 528 402 141 B MP304 Dr Pixley ka Isaka Seme 176 260 180 997 188 881 B MP305 Lekwa 198 477 207 650 212 880 B MP306 Dipaleseng 112 377 115 624 120 421 B MP307 Govan Mbeki 523 359 553 795 561 573 CDC30 Gert Sibande District Municipality 358 221 371 605 384 005 Total: Gert Sibande Municipalities 2 505 225 2 601 951 2 686 064 B MP311 Victor Khanye 163 014 169 477 174 773 B MP312 Emalahleni 685 541 725 408 735 597 B MP313 Steve Tshwete 400 090 423 356 429 303 B MP314 Emakhazeni 99 877 103 369 107 050 B MP315 Thembisile Hani 621 226 637 043 665 873 B MP316 Dr JS Moroka 535 672 545 103 573 940 CDC31 Nkangala District Municipality 438 130 453 990 469 607 Total: Nkangala Municipalities 2 943 550 3 057 746 3 156 143 B MP321 Thaba Chweu 243 768 254 346 261 396 B MP324 Nkomazi 882 182 905 900 945 629 B MP325 Bushbuckridge 1 171 265 1 199 901 1 255 413 B MP326 City of Mbombela 1 233 444 1 287 910 1 322 907 CDC32 Ehlanzeni District Municipality 314 251 321 018 336 387 Total: Ehlanzeni Municipalities 3 844 910 3 969 075 4 121 732 Total: Mpumalanga Municipalities 9 293 685 9 628 772 9 963 939 41 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 NORTHERN CAPE B NC061 Richtersveld 28 090 28 849 30 079 B NC062 Nama Khoi 73 887 77 000 79 208 B NC064 Kamiesberg 34 537 34 944 36 955 B NC065 Hantam 39 121 40 665 41 925 B NC066 Karoo Hoogland 36 713 37 754 39 321 B NC067 Khâi-Ma 30 380 31 111 32 528 CDC6 Namakwa District Municipality 61 911 63 678 66 315 Total: Namakwa Municipalities 304 639 314 001 326 331 B NC071 Ubuntu 54 469 55 624 58 328 B NC072 Umsobomvu 77 410 79 406 82 929 B NC073 Emthanjeni 68 137 70 555 73 024 B NC074 Kareeberg 38 491 39 051 41 195 B NC075 Renosterberg 36 985 37 595 39 583 B NC076 Thembelihle 39 399 40 145 42 179 B NC077 Siyathemba 50 738 52 079 54 346 B NC078 Siyancuma 69 816 71 751 74 798 CDC7 Pixley Ka Seme District Municipality 64 541 65 355 69 055 Total: Pixley Ka Seme Municipalities 499 986 511 561 535 437 B NC082 !Kai !Garib 140 648 147 105 150 821 B NC084 !Kheis 37 953 38 598 40 624 B NC085 Tsantsabane 64 383 67 069 69 020 B NC086 Kgatelopele 37 938 39 277 40 650 B NC087 Dawid Kruiper 139 269 146 243 149 352 CDC8 Z.F. Mgcawu District Municipality 86 610 88 654 92 734 Total: Z.F. Mgcawu Municipalities 506 801 526 946 543 201 B NC091 Sol Plaatjie 319 064 336 425 342 319 B NC092 Dikgatlong 128 662 131 651 137 842 B NC093 Magareng 66 815 67 920 71 538 B NC094 Phokwane 148 756 152 298 159 383 CDC9 Frances Baard District Municipality 148 071 153 119 158 701 Total: Frances Baard Municipalities 811 368 841 413 869 783 B NC451 Joe Morolong 195 164 198 250 210 571 B NC452 Ga-Segonyana 255 910 262 007 274 227 B NC453 Gamagara 75 260 79 550 80 733 CDC45 John Taolo Gaetsewe District Municipality 114 817 117 631 121 444 Total: John Taolo Gaetsewe Municipalities 641 151 657 438 686 975 Total: Northern Cape Municipalities 2 763 945 2 851 359 2 961 727 42 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 NORTH WEST B NW371 Moretele 484 660 493 863 519 302 B NW372 Madibeng 1 232 260 1 284 945 1 321 575 B NW373 Rustenburg 1 314 907 1 391 373 1 410 916 B NW374 Kgetlengrivier 149 305 154 840 160 056 B NW375 Moses Kotane 623 943 637 567 668 618 CDC37 Bojanala Platinum District Municipality 427 573 439 208 457 772 Total: Bojanala Platinum Municipalities 4 232 648 4 401 796 4 538 239 B NW381 Ratlou 165 544 164 558 176 141 B NW382 Tswaing 160 230 160 640 170 393 B NW383 Mafikeng 382 777 384 865 406 836 B NW384 Ditsobotla 189 842 192 153 201 702 B NW385 Ramotshere Moiloa 240 282 239 224 255 611 CDC38 Ngaka Modiri Molema District Municipality 1 244 145 1 312 621 1 343 353 Total: Ngaka Modiri Molema Municipalities 2 382 820 2 454 061 2 554 036 B NW392 Naledi 74 733 75 763 79 431 B NW393 Mamusa 75 713 75 842 80 538 B NW394 Greater Taung 249 987 247 600 266 026 B NW396 Lekwa-Teemane 69 755 70 271 74 173 B NW397 Kagisano-Molopo 157 076 155 762 167 159 CDC39 Dr Ruth Segomotsi Mompati District Municipality 564 612 594 195 609 651 Total: Dr Ruth Segomotsi Mompati Municipalities 1 191 876 1 219 433 1 276 978 B NW403 City of Matlosana 717 830 754 060 770 051 B NW404 Maquassi Hills 193 688 199 422 207 583 B NW405 JB Marks 462 582 486 787 496 264 CDC40 Dr Kenneth Kaunda District Municipality 231 333 238 735 247 876 Total: Dr Kenneth Kaunda Municipalities 1 605 433 1 679 004 1 721 774 Total: North West Municipalities 9 412 777 9 754 294 10 091 027 43 SCHEDULE 3 DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY National Financial Year Column AColumn B Forward Estimates 2027/282028/29 R'000R'000R'000 NumberMunicipality2026/27 WESTERN CAPE ACPT City of Cape Town 4 987 995 5 278 065 5 352 197 B WC011 Matzikama 92 383 97 422 99 096 B WC012 Cederberg 79 368 83 100 85 108 B WC013 Bergrivier 77 595 82 032 83 241 B WC014 Saldanha Bay 157 439 166 306 168 888 B WC015 Swartland 175 682 185 898 188 509 CDC1 West Coast District Municipality 115 135 118 362 123 325 Total: West Coast Municipalities 697 602 733 120 748 167 B WC022 Witzenberg 166 475 176 156 178 631 B WC023 Drakenstein 264 583 279 970 283 902 B WC024 Stellenbosch 246 336 260 662 264 323 B WC025 Breede Valley 199 253 210 840 213 801 B WC026 Langeberg 128 629 135 617 137 972 CDC2 Cape Winelands District Municipality 283 998 295 155 304 495 Total: Cape Winelands Municipalities 1 289 274 1 358 400 1 383 124 B WC031 Theewaterskloof 157 971 166 048 169 463 B WC032 Overstrand 188 321 197 595 201 973 B WC033 Cape Agulhas 48 191 50 611 51 676 B WC034 Swellendam 52 038 54 694 55 805 CDC3 Overberg District Municipality 89 652 91 575 95 991 Total: Overberg Municipalities 536 173 560 523 574 908 B WC041 Kannaland 40 072 41 370 42 931 B WC042 Hessequa 71 102 74 840 76 253 B WC043 Mossel Bay 156 156 163 995 167 474 B WC044 George 263 324 278 637 282 551 B WC045 Oudtshoorn 112 882 117 763 121 026 B WC047 Bitou 166 927 173 234 178 958 B WC048 Knysna 144 083 150 573 154 502 CDC4 Garden Route District Municipality 193 449 199 805 207 302 Total: Garden Route Municipalities 1 147 995 1 200 217 1 230 997 B WC051 Laingsburg 23 664 24 188 25 329 B WC052 Prince Albert 31 988 32 858 34 256 B WC053 Beaufort West 95 841 99 310 102 729 CDC5 Central Karoo District Municipality 38 947 39 201 41 662 Total: Central Karoo Municipalities 190 440 195 557 203 976 Total: Western Cape Municipalities 8 849 479 9 325 882 9 493 369 - - - National Total 110 090 001 114 483 348 118 041 399 Unallocated 44 SCHEDULE 4, PART A ALLOCATIONS TO PROVINCES TO SUPPLEMENT THE FUNDING OF PROGRAMME S OR FUNCTIONS FUNDED FROM PROVINCIAL BUDGETS Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Eastern Cape 2 319 271 2 009 997 2 100 246 Free State 1 045 574 1 048 684 1 095 770 Gauteng 1 905 012 1 946 885 2 034 300 KwaZulu-Natal 3 018 637 2 627 755 2 745 741 Limpopo 1 872 772 1 616 650 1 689 236 Mpumalanga 1 377 208 1 395 895 1 458 571 Northern Cape 727 268 716 137 748 292 North West 1 369 441 1 389 167 1 451 541 Western Cape 2 622 218 1 391 044 1 453 502 Unallocated - 2 448 250 2 328 884 TOTAL 16 257 401 16 590 464 17 106 083 Eastern Cape 1 402 989 1 362 148 1 406 695 Free State 1 406 465 1 466 305 1 514 258 Gauteng 5 811 930 6 032 579 6 229 867 KwaZulu-Natal 2 376 370 2 468 600 2 549 331 Limpopo 557 215 572 050 590 757 Mpumalanga 297 144 300 911 310 753 Northern Cape 508 918 521 697 538 757 North West 470 879 428 792 442 814 Western Cape 3 867 846 4 032 411 4 164 286 Unallocated - 224 767 232 117 TOTAL 16 699 756 17 410 260 17 979 635 Eastern Cape 2 590 158 1 623 839 1 674 307 Free State 1 817 921 1 519 331 1 566 551 Gauteng 1 453 582 772 429 796 435 KwaZulu-Natal 3 090 104 2 533 638 2 612 381 Limpopo 2 699 755 1 362 853 1 405 210 Mpumalanga 1 563 718 1 028 963 1 060 942 Northern Cape 1 501 440 1 209 625 1 247 219 North West 1 415 888 1 087 019 1 120 802 Western Cape 1 790 502 1 090 746 1 124 646 Unallocated - 5 615 998 5 790 538 TOTAL 17 923 068 17 844 441 18 399 031 Eastern Cape 363 682 378 195 389 949 Free State 369 201 383 934 395 867 Gauteng 3 226 718 3 355 487 3 459 771 KwaZulu-Natal 1 547 216 1 608 961 1 658 966 Limpopo 499 080 518 997 535 127 Mpumalanga 840 343 873 879 901 038 Northern Cape 75 136 78 133 80 562 North West 154 447 160 611 165 603 Western Cape 1 332 746 1 385 932 1 429 006 TOTAL 8 408 569 8 744 129 9 015 889 (b) Public Transport Operations Grant To provide supplementary funding towards public transport servi ces provided by provincial departments of transport. Nationally assigned function to provinces Province Vote Name of allocation Purpose Type of allocation To help accelerate construction, maintenance, upgrading and rehabilitation of new and existing infrastructure in education including district and circuit accommodation; to address achievement of t he targets set out in the minimum norms and standards for school infrastructure; to address damages to infrastructure; to enhanc e capacity to deliver infrastructure in education. General conditional allocation to provinces Education Infrastructure GrantNational Tertiary Services Grant Ensure the provision of tertiary health services in South Afric a; to compensate tertiary facilities for the additional costs associa ted with the provision of these services. General conditional allocation to provinces (a) Provincial Roads Maintenance Grant To supplement provincial investments for road infrastructure maintenance (routine, periodic a nd special maintenance); to ens ure that all roads are classified as per the Road Infrastructure Strateg ic Framework for South Africa and the technical recommendations fo r highways, and the Road Classification and Access Management guidelines; to implement and maintain road asset management sys tems; to supplement provincial projects for the repair of roads and b ridges damaged by unforeseen incidents including natural disasters; to improve road safety with a special focus on pedestrian safety i n rural areas. General conditional allocation to provinces 2026/27 Basic Education(Vote 16)Health(Vote 18)Transport(Vote 40)Transport(Vote 40) 45 SCHEDULE 4, PART B ALLOCATIONS TO MUNICIPALITIES TO SUPPLEMENT THE FUNDING OF FUNC TIONS FUNDED FROM MUNICIPAL BUDGETS Column A Column B Forward Estimates 2027/28 2028/29 1 R'000 R'000 R'000 Buffalo City 197 397 175 227 144 509 City of Cape Town 384 137 340 994 281 215 City of Ekurhuleni 510 118 452 824 373 442 City of Johannesburg 1 633 208 695 387 350 814 City of Tshwane 415 394 368 740 304 098 eThekwini 508 858 451 707 372 520 Mangaung 195 644 173 671 143 225 Nelson Mandela Bay 234 309 207 993 171 530 TOTAL 4 079 065 2 866 543 2 141 352 Buffalo City 588 569 664 883 862 541 City of Cape Town 1 362 645 1 483 164 1 919 109 City of Ekurhuleni 1 203 176 1 379 979 1 769 775 City of Johannesburg 2 179 535 2 315 078 2 829 491 City of Tshwane 1 131 812 1 247 519 1 575 491 eThekwini 1 367 522 1 518 954 1 920 555 Mangaung 540 352 610 047 797 588 Nelson Mandela Bay 650 747 758 123 971 149 TOTAL 9 024 358 9 977 747 12 645 699 Urban Development Financing Grant To promote spatially transformed cities with financially sustai nable trading services that are able to meet their service delivery manda tes; to support metropolitan m unicipalities with resilient infrastructure investment, including programme and project prep aration to enable them to leverage additional concessionary and co mmercial loan finance to enhance sustainable infrastructure investment. 2026/27 Human Settlements(Vote 33)National Treasury(Vote 8) Urban Settlements Development Grant Purpose To supplement the capital revenues of metropolitan municipaliti es in order to implement infrastructure projects that promote equitable, integrated, pro ductive, inclusive and sustainable urban development. Vote Name of allocation City 46 SCHEDULE 5, PART A SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Eastern Cape 315 233 353 178 364 985 Free State 271 171 296 785 306 302 Gauteng 167 209 178 206 183 905 KwaZulu-Natal 293 927 328 829 339 893 Limpopo 314 179 352 233 364 635 Mpumalanga 273 259 285 257 293 870 Northern Cape 226 850 240 446 247 580 North West 249 706 278 608 288 443 Western Cape 186 861 203 918 207 376 TOTAL 2 298 395 2 517 460 2 596 989 Eastern Cape 14 718 15 385 16 822 Free State 10 071 10 396 10 604 Gauteng 5 894 6 030 6 145 KwaZulu-Natal 15 436 16 134 16 457 Limpopo 14 942 15 617 15 929 Mpumalanga 10 688 11 041 11 262 Northern Cape 8 841 9 110 9 292 North West 10 324 10 791 11 007 Western Cape 7 152 7 475 7 630 TOTAL 98 066 101 979 105 148 (a) Comprehensive Agricultural Support Programme Grant To provide effective and coordinated agricultural support servi ces through collaborations with industry transformation initiatives where possible; to promote and facilitate agricultural development by targeting beneficiaries of land reform and other black produ cers who have acquired land through private means and are engaged in value-adding enterprises domes tically, or involved in export; to assist vulnerable South African farming communities to achieve an increase in agricultural production; to invest in infrastructure that unlocks agricultur al production within strategically identified production areas; to revitalise agricultural college s into centres of excellence. Conditional allocation (b) LandCare Programme Grant: Poverty Relief and Infrastructure Development To promote sustainable use and management of natural resources by engaging in community based initiatives that s upport the pillars of s ustainability (social, economic and environmental), leading to greater productivity, food security, job creation and better we ll-being for all. Conditional allocation Vote Name of allocation Purpose Type of allocation Province 2026/27 Agriculture(Vote 29)Agriculture(Vote 29) 47 SCHEDULE 5, PART A SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Vote Name of allocation Purpose Type of allocation Province 2026/27 Eastern Cape 684 319 1 006 676 1 015 881 Free State 333 792 522 150 561 822 Gauteng 855 420 1 263 485 1 282 262 KwaZulu-Natal 769 769 1 161 194 1 206 687 Limpopo 743 503 1 125 849 1 170 418 Mpumalanga 368 570 553 011 571 884 Northern Cape 106 411 159 911 169 789 North West 306 527 435 186 424 127 Western Cape 442 363 675 424 714 551 TOTAL 4 610 674 6 902 886 7 117 421 Eastern Cape 50 050 52 085 53 658 Free State 12 107 12 519 12 980 Gauteng 40 259 41 896 43 162 KwaZulu-Natal 72 042 74 977 77 236 Limpopo 30 688 31 938 32 902 Mpumalanga 20 648 21 389 22 137 Northern Cape 8 084 8 380 8 729 North West 17 660 18 379 18 906 Western Cape 20 681 21 522 22 173 TOTAL 272 219 283 085 291 883 Eastern Cape 34 100 35 649 37 389 Free State 35 662 36 874 38 607 Gauteng 41 562 43 461 45 497 KwaZulu-Natal 40 291 42 352 44 327 Limpopo 39 744 42 143 44 116 Mpumalanga 36 164 37 487 39 243 Northern Cape 18 497 19 683 20 607 North West 23 977 25 717 26 927 Western Cape 37 315 38 823 40 545 TOTAL 307 312 322 189 337 258 Eastern Cape 59 798 61 932 63 762 Free State 53 532 55 383 57 214 Gauteng 67 445 69 925 71 752 KwaZulu-Natal 77 854 80 803 82 471 Limpopo 53 753 56 910 58 538 Mpumalanga 48 512 50 136 51 762 Northern Cape 30 799 31 623 33 395 North West 44 833 47 585 49 213 Western Cape 41 146 42 438 44 066 TOTAL 477 672 496 735 512 173 Eastern Cape 1 932 303 1 980 957 2 068 356 Free State 615 292 631 598 659 862 Gauteng 1 254 139 1 289 445 1 352 058 KwaZulu-Natal 2 429 551 2 494 913 2 604 928 Limpopo 1 918 256 1 967 470 2 053 292 Mpumalanga 1 039 286 1 069 607 1 116 408 Northern Cape 287 067 295 548 310 216 North West 746 983 769 074 804 337 Western Cape 570 674 586 145 614 637 Unallocated - 199 399 208 173 TOTAL 10 793 551 11 284 156 11 792 267 (a) Early Childhood Development Grant To increase the number of poor children accessing subsidised ea rly childhood development programmes; to support early childhood development providers de livering an early childhood development programme to meet basic health and safety requireme nts for registration; to construct low-cost early childhood development centres. General conditional allocation to provinces (b) HIV and AIDS (Life Skills Education) Grant To support South Africa’s HIV prevention strategy by; providing comprehensive sexuality education and access to sexual and reproductive health services to learne rs; supporting the provision of employee health and wellness programmes for educators; to mitig ate the impact of HIV and TB by providing a caring, supportive and enabling environment for lea rners, educators and school support staff; to reduce the vulnerability of children to HIV, TB and s exually transmitted infections, with a particular focus on orphaned children and girls. Conditional allocation (c) Learners with Profound Intellectual Disabilities Grant To provide the necessary support, resources and equipment to id entified special care centres and schools for the provision of education to children with severe to profound intellectual disabilities. Conditional allocation (d) Maths, Science and Technology Grant To provide support and resources to schools, teachers and learn ers in line with the Curriculum Assessment Policy S tatements for the improvement of mathematics, science and techn ology teaching and learning at selected public schools. Conditional allocation (e) National School Nutrition Programme Grant To provide nutritious meals to targeted schools. Conditional allocation Basic Education(Vote 16)Basic Education(Vote 16)Basic Education(Vote 16)Basic Education(Vote 16) 48 SCHEDULE 5, PART A SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Vote Name of allocation Purpose Type of allocation Province 2026/27 Eastern Cape 3 243 220 3 379 704 3 489 272 Free State 1 771 382 1 845 856 1 905 648 Gauteng 6 358 455 6 625 748 6 840 368 KwaZulu-Natal 7 785 465 8 112 811 8 375 628 Limpopo 2 650 569 2 761 302 2 850 302 Mpumalanga 2 723 670 2 837 878 2 929 616 Northern Cape 792 268 825 468 852 137 North West 1 972 463 2 055 075 2 121 445 Western Cape 2 251 705 2 346 285 2 422 236 TOTAL 29 549 197 30 790 127 31 786 652 Eastern Cape 818 917 757 581 780 241 Free State 624 036 649 406 668 830 Gauteng 1 203 468 1 157 738 1 192 367 KwaZulu-Natal 1 590 814 1 560 836 1 607 517 Limpopo 659 102 591 269 608 954 Mpumalanga 504 907 430 805 454 407 Northern Cape 469 950 489 055 503 684 North West 727 001 661 927 681 727 Western Cape 1 118 925 1 219 452 1 213 224 Unallocated - 658 665 678 366 TOTAL 7 717 120 8 176 734 8 389 317 Eastern Cape 623 758 641 183 663 054 Free State 304 655 318 318 329 175 Gauteng 2 006 712 2 096 702 2 168 228 KwaZulu-Natal 824 774 861 763 891 158 Limpopo 395 971 407 835 421 745 Mpumalanga 299 521 307 989 318 494 Northern Cape 163 702 166 699 172 385 North West 294 646 302 274 312 584 Western Cape 995 246 1 039 877 1 075 352 Unallocated - 31 337 32 406 TOTAL 5 908 985 6 173 977 6 384 581 Eastern Cape 65 703 68 611 70 926 Free State 30 293 31 632 32 699 Gauteng 99 248 103 634 107 128 KwaZulu-Natal 91 739 95 793 99 024 Limpopo 54 785 57 210 59 139 Mpumalanga 35 918 37 505 38 770 Northern Cape 24 987 26 092 26 970 North West 34 086 35 592 36 793 Western Cape 38 724 40 435 41 799 TOTAL 475 483 496 504 513 248 (a) District Health Programmes Grant To enable the health sector to develop and implement an effecti ve response to HIV/AIDS; to enable the health sector to develop and implement an effective respons e to tuberculosis; to ensure provision of quality community outreach services through Ward Based Prima ry Health Care Outreach Teams; to improve efficiencies of the Ward Based Primary Health Care O utreach Teams programme by harmonising and standardising services and strengthening perfor mance monitoring; to enable the health sector to develop and implement an effective response to support the effective implementation of the National Strategic Plan on Malaria Elimination. Conditional allocation (b) Health Facility Revitalisation Grant To help to accelerate maintenance, renovations, upgrades, addit ions, and construction of infrastructure in health; to help on replacement and commission ing of health technology in existing and revitalised health facilities; to enhance capacity to deliv er health infrastructure; to accelerate the fulfilment of the requirements of occupational health and safet y. Conditional allocation (d) National Health Insurance Grant To expand the healthcare service benefits through the strategic purchasing of services from healthcare providers. Nationally assigned function to provinces Health(Vote 18)Health(Vote 18)Health(Vote 18) (c) Human Resources and Training Grant To appoint statutory positions in the health sector for systema tic realisation of the human resources for health strategy and the phase-in of National Health Insuran ce; support provinces to fund service costs associated with clinical training and supervision of heal th science trainees on the public service platform. Conditional allocation Health(Vote 18) 49 SCHEDULE 5, PART A SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Vote Name of allocation Purpose Type of allocation Province 2026/27 Eastern Cape 1 473 922 1 537 177 1 588 518 Free State 777 134 810 486 837 556 Gauteng 3 780 605 3 942 857 4 074 543 KwaZulu-Natal 2 434 929 2 539 428 2 624 243 Limpopo 866 898 904 102 934 299 Mpumalanga 883 591 921 511 952 289 Northern Cape 261 460 272 681 281 789 North West 1 220 328 1 272 700 1 315 207 Western Cape 1 559 136 1 626 048 1 680 357 TOTAL 13 258 003 13 826 990 14 288 801 Eastern Cape 214 012 218 116 221 465 Free State 112 839 115 003 116 769 Gauteng 548 942 559 467 568 058 KwaZulu-Natal 353 550 360 330 365 863 Limpopo 125 873 128 287 130 257 Mpumalanga 128 297 130 757 132 765 Northern Cape 37 964 38 692 39 286 North West 177 191 180 589 183 361 Western Cape 226 385 230 727 234 269 TOTAL 1 925 053 1 961 968 1 992 093 Eastern Cape 126 939 - - Free State 46 838 - - Gauteng 80 569 - - KwaZulu-Natal 150 354 - - Limpopo 68 991 - - Mpumalanga 41 548 - - Northern Cape 34 543 - - North West 55 446 - - Western Cape 43 488 - - Unallocated - 681 152 703 119 TOTAL 648 716 681 152 703 119 (a) Community Library Services Grant Conditional allocation Eastern Cape 196 125 203 274 211 885 Free State 195 296 204 274 212 887 Gauteng 193 370 200 388 208 996 KwaZulu-Natal 205 902 215 375 223 997 Limpopo 169 153 175 036 183 618 Mpumalanga 185 722 194 250 202 851 Northern Cape 194 936 203 897 202 465 North West 166 431 174 054 182 637 Western Cape 211 662 219 537 218 248 TOTAL 1 718 597 1 790 085 1 847 584 (b) Mass Participation and Sport Conditional allocation Eastern Cape 80 690 84 826 87 568 Free State 42 344 47 426 48 587 Gauteng 139 835 123 717 128 188 KwaZulu-Natal 104 409 117 730 121 990 Limpopo 74 936 78 344 80 811 Mpumalanga 54 737 61 389 63 140 Northern Cape 34 951 38 464 39 033 North West 54 626 55 405 56 903 Western Cape 66 090 71 362 73 535 TOTAL 652 618 678 663 699 755 To facilitate sport and active recreation participation and emp owerment in partnership with relevant stakeholders. Expanded Public Works Programme Integrated Grant for Provinces To incentivise provincial departments to expand work creation e fforts through the use of labour intensive delivery methods in the following identified focus ar eas, in compliance with the Expanded Public Works Programme guidelines; road maintenance including b ut not limited to block paving and pothole patching; maintenance of buildings; low traffic volume roads and rural roads; other economic and social infrastructure; tourism and cultural industries. Conditional allocation (a) Human Settlements Development Grant To provide funding for the progressive realisation of a ccess to adequate housing through the cre ation of sustainable and integrated human settlements. Conditional allocation To transform urban and rural community library infrastructure, facilities and services (primarily targeting previously disadvantaged communities) through a recap italised programme at provincial level in support of local gove rnment and national initiatives. (b) Informal Settlements Upgrading Partnership Grant: Provinces To provide funding to facilitate a programmatic and inclusive a pproach to upgrading informal settlements. Conditional allocation Human Settlements(Vote 33)Public Works and Infrastructure(Vote 13)Sport, Arts and Culture(Vote 37)Human Settlements(Vote 33)Sport, Arts and Culture(Vote 37) 50 SCHEDULE 5, PART B SPECIFIC-PURPOSE ALLOCATIONS TO MUNICIPALITIES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 RECURRENT GRANTSNational Treasury(Vote 8) (a) Infrastructure Skills Development Grant 179 755 186 929 192 738 National Treasury(Vote 8) (b) Local Government Financial Management Grant 613 517 638 001 657 829 Public Works and Infrastructure(Vote 13) Expanded Public Works Programme Integrated Grant for Municipalities 585 594 613 761 632 836 TOTAL 1 378 866 1 438 691 1 483 403 Vote Name of allocation To recruit unemployed graduates into municipalities to be train ed and professionally registered as per the requirements of the relevant statutory councils within the bu ilt environment. Purpose To promote and support reforms in financial management by build ing capacity in municipalities to implement the Municipal Finan ce Management Act.To incentivise municipalities to expand work creation efforts t hrough the use of labour-intensive delivery methods in the foll owing identified focus areas, in compliance with the Expanded Public Works Programme guidelines: road maintenance including but not limited to block paving and pothole patching; maintenance of bu ildings; low traffic volume roads and rural roads; basic servic es infrastructure, including water and sanitation reticulation (ex cluding bulk infrastructure); other economic and social infrast ructure; tourism and cultural industries. 2026/27 51 SCHEDULE 5, PART B SPECIFIC-PURPOSE ALLOCATIONS TO MUNICIPALITIES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Vote Name of allocation Purpose 2026/27 INFRASTRUCTURE GRANTSCooperative Governance(Vote 3) (a) Integrated Urban Development Grant 1 379 189 1 434 303 1 478 880 Cooperative Governance(Vote 3) (b) Municipal Infrastructure Grant 17 504 197 20 029 611 20 652 115 Electricity and Energy(Vote 10) Integrated National Electrification Programme (Municipal) Grant 1 902 274 1 978 188 2 039 668 Human Settlements(Vote 33) Informal Settlements Upgrading Partnership Grant: Municipalities 4 417 316 5 103 998 5 262 626 National Treasury(Vote 8) Neighbourhood Development Partnership Grant 427 956 262 666 66 398 Transport(Vote 40) (a) Public Transport Network Grant 5 711 440 4 509 802 3 746 801 Transport(Vote 40) (b) Rural Roads Asset Management Systems Grant 131 145 136 379 140 617 Water and Sanitation(Vote 41) (a) Regional Bulk Infrastructure Grant 3 901 746 3 864 717 3 649 002 Water and Sanitation(Vote 41) (b) Water Services Infrastructure Grant 4 389 052 4 564 206 4 706 058 TOTAL 39 764 315 41 883 870 41 742 165 To plan, catalyse, and invest in targeted locations to attract and sustain third party capital investments aimed at spatial tr ansformation, that will improve the quality of life, and access to opportun ities for residents in South Africa’s targeted locations, under -served neighbourhoods, townships and rural towns in metro and non-metr o municipalities; to su pport the targeted municipa lities to develop a pipeline of investment ready capital programmes and projects th rough establishing and institutionalising an effective and effi cient system of programme and project preparation as well as facilita te long term programmes/ projects that w ill attract private investment and assist non-metro municipa lities to enhance revenues. To provide funding for a ccelerated construction and improvement of public and non-motorised transport infrastructure that forms part of a municipal integrated public transport network; to support the planning, regulation, control, management and operations of fiscally and financially sustainable municipal public transport network services. To assist district municipalities to set up rural roads asset m anagement systems, and collect road, bridges and traffic data o n municipal road networks in line with the Road Infrastructure Strategic Fr amework for South Africa. To develop new, refurbish, upgrade and replace ageing bulk wate r and sanitation infrastructure of regional significance that c onnects water resources to infrastructure serving extensive areas acros s municipal boundaries or large regional bulk infrastructure se rving numerous communities over a large area within a municipality; t o implement bulk infrastructure with a potential of addressing water conservation and water demand management projects or facilitate and contribute to the implementation of local water conservati on and water demand management projects that will directly impact on b ulk infrastructure requirements. Facilitate the planning and implementation of various water and sanitation projects to accelerate backlog reduction and enhanc e the sustainability of services especially in rural municipalities; provide basic and intermittent water and sanitation supply that ensures provision of services to identified and prioritised communities , including spring protection and groundwater development; supp ort municipalities with refurbishment of water and sanitation infra structure, including upgrades; support municipa lities in implementing water conservation and water demand management projects; suppor t the close-out of the existing Bucket Eradication Programme intervention in formal residential areas; support drought relie f projects in affected municipalities. To provide funding for public investment in infrastructure for the poor and to promote increased access to municipal own sourc es of capital finance in order to increase funding for public investm ent in economic infrastructure; to ensure that public investmen ts are spatially aligned and to promote the sound management of the as sets delivered. To provide specific capital finance for eradicating basic munic ipal infrastructure backlogs through the construction of new infrastructure, and the renewal and refurbishment of existing i nfrastructure for poor households, microenterprises, and social institutions servicing poor commun ities; to provide specific f unding for the development of asset management plans for infras tructure servicing the poor. To implement the Integrated National Electrification Programme by providing capital subsidies to municipalities to increase ac cess to electricity, existing and planned residential dwellings (includ ing informal settlements, farm dwellers, new and existing dwell ings) and the installation of relevant bulk infrastructure; to provide su bsidies to municipalities to accelerate the implementation of e nergy efficiency and demand side management initiatives within munici pal infrastructure in order to reduce electricity consumption a nd improve energy efficiency. To provide funding to fac ilitate a programmatic, inclusive and municipality-wide approac h to upgrading informal se ttlements. 52 SCHEDULE 6, PART A ALLOCATIONS-IN-KIND TO PROVINCES FOR DESIGNATED SPECIAL PROGRAM MES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Basic Education(Vote 16) School Infrastructure Backlogs Grant 447 677 - - Health(Vote 18) National Health Insurance Indirect Grant 2 560 319 2 597 344 2 678 065 TOTAL 3 007 996 2 597 344 2 678 065 2026/27 Eradication and upgrading of inappropriate school buildings; pr ovision and upgrading of water and sanitation to schools; provision and upgrading of classrooms to address overcrowding. To create an alternative track to improve spending, performance as well as monitoring and evaluation on infrastructure in preparation for National Health Insurance; to enhance capacity and capability to deliver infrastructure for National Health Insurance; to accelerate the fulfilment of the requirements of occupational health and safety; to implement the centralised mo dels for the dispensing and distribution of chronic medication; deve lop and roll-out new health information systems in preparation for National Health Insurance. Vote Name of allocation Purpose 53 SCHEDULE 6, PART B ALLOCATIONS-IN-KIND TO MUNICIPAL ITIES FOR DESIGNATED SPECIAL PR OGRAMMES Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Cooperative Governance(Vote 3) Municipal Infrastructure Grant 535 566 - - Electricity and Energy(Vote 10) Integrated National Electrification Programme (Eskom) Grant 1 592 711 2 472 493 2 549 336 National Treasury(Vote 8) Smart Meters Grant 795 869 827 630 853 352 Water and Sanitation(Vote 41) (a) Regional Bulk Infrastructure Grant 3 214 822 3 343 116 3 447 017 Water and Sanitation(Vote 41) (b) Water Services Infrastructure Grant 1 334 331 1 387 579 1 430 704 TOTAL 7 473 299 8 030 818 8 280 409 2026/27 To enable municipalities to implement bi-directional smart mete ring systems and smart solutions. Facilitate the planning and implementation of various water and sanitation projects to accelerate backlog reduction and enhanc e the sustainability of services especially in rural municipaliti es; provide basic and intermittent water and sanitation supply that ensures provision of services to identified and prioritised com munities, including spring protection and groundwater development; support municipalities with refurbishment of water and sanitation infrastructure, including upgrades; support municipalities in implementing wa ter conservation and water dem and management projects ; support the close-out of the existing Bucket Eradication Programme intervention in formal residential areas, support drought relief projects in affected municipalit ies. To develop new, refurbish, upgrade and replace ageing bulk wate r and sanitation infrastructure of regional significance that connects water resources to infrastructure serving extensive ar eas across municipal boundaries or large regional bulk infrastructure serving numerous communities over a large area w ithin a municipality; to implement bulk infrastructure with a potential of addressing water conservation and water demand man agement projects or facilitate and contribute to the implementation of local water conservation and water demand man agement projects that will directly impact on bulk infrastructure requirements. Vote Name of allocation Purpose To provide specific capital finance for eradicating basic munic ipal infrastructure backlogs through the construction of new infrastructure, and the renewal and refurbishment of existing i nfrastructure for poor households, microenterprises, and social institutions servicing poor communities; to provide specific fu nding for the development of asset management plans for infrastructure servicing the poor. To implement the Integrated National Electrification Programme by providing capital subsidies to Eskom to increase access to electricity, existing and planned residential dwellings (includ ing informal settlements, farm dwellers, new and existing dwell ings) and the installation of relevant bulk infrastructure in Eskom l icenced areas. 54 SCHEDULE 7, PART A UNALLOCATED PROVISIONS FOR PRO VINCES FOR DISASTER RESPONSE Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Cooperative Governance(Vote 3) Provincial Disaster Response Grant 157 372 163 652 168 738 TOTAL 157 372 163 652 168 738 SCHEDULE 7, PART B UNALLOCATED PROVISIONS FOR MUNICI PALITIES FOR DISASTER RESPONSE Column A Column B Forward Estimates 2027/28 2028/29 R'000 R'000 R'000 Cooperative Governance(Vote 3) Municipal Disaster Response Grant 411 020 427 422 440 706 TOTAL 411 020 427 422 440 706 2026/272026/27 Vote Name of allocation Vote Name of allocation To provide for the immediate rel ease of funds for disaster resp onse if an occurrence cannot be adequately addressed in line wi th section 2(1)(b) of the Disaster Management Act. PurposePurpose To provide for the immediate rel ease of funds for disaster resp onse if an occurrence cannot be adequately addressed in line wi th section 2(1)(b) of the Disaster Management Act. 55 MEMORANDUM ON THE OBJECTS OF THE DIVISION OF REVENUE BILL, 2026 1.BACKGROUND 1.1. Section 214(1) of the Constitution of the Republic of South Africa, 1996, (‘‘the Constitution’’) requires that an Act of Parliament must provide for— (a) the equitable division of revenue raised nationally among the national, provincial and local spheres of government; (b) the determination of each province’s equitable share of the provincial share of that revenue; and (c) any other allocations to provinces, local government, or municipalities from the national government’s share of that revenue, and for any conditions on which those allocations may be made. 1.2. Section 10 of the Intergovernmental Fiscal Relations Act, 1997 (Act No. 97 of 1997), requires that, as part of the process of the enactment of the Act of Parliament referred to in paragraph 1.1, each year when the annual budget is introduced, the Minister of Finance must introduce in the National Assembly a Division of Revenue Bill (‘‘the Bill’’) for the financial year to which that budget relates. 1.3. The Intergovernmental Fiscal Relations Act, 1997, requires that the Bill be accompanied by a memorandum explaining— (a) how the Bill takes account of each of the matters listed in section 214(2)(a) to (j) of the Constitution; (b) the extent to which account was taken of any recommendations of the Financial and Fiscal Commission that were submitted to the Minister of Finance or were raised during consultations with the Financial and Fiscal Commission; and (c) any assumptions or formulae used in arriving at the respective shares of the three spheres of government and the division of the provincial share between the nine provinces. 1.4. In terms of section 7(4) of the Money Bills and Related Matters Act, 2009 (Act No. 9 of 2009), when tabling the budget, a report must also be tabled that responds to the recommendations made in the reports by the Parliamentary Committees on Finance on the proposed fiscal framework in the Medium Term Budget Policy Statement and the reports by the Committees on Appropriations regarding the proposed division of revenue and the condi- tional grant allocations to provinces and local government as contained in the Medium Term Budget Policy Statement. The report must explain how the Bill and the national budget give effect to, or the reasons for not considering, the recommendations contained in the Committee reports. 1.5. The memorandum referred to in paragraph 1.3 is attached to this Memoran- dum and will also be attached as ‘‘Annexure W1’’ to the Budget Review, and the report referred to in paragraph 1.4 will be tabled with the budget. 1.6. The Bill is introduced in compliance with the Constitution, the Intergovern- mental Fiscal Relations Act, 1997, and the Money Bills and Related Matters Act, 2009, as set out in paragraphs 1.1 to 1.4. 1.7. The allocations contemplated in section 214(1) of the Constitution are set out in the following Schedules to the Bill: •Schedule 1contains the equitable shares of the three spheres of government; •Schedule 2sets out provincial equitable share allocations; •Schedule 3sets out local government equitable share allocations per municipality; and •Schedules 4 to 7deal with grant allocations for provinces and municipali- ties, including allocations to supplement funding of functions funded from 56 provincial and municipal budgets, specific purpose allocations, allocations- in-kind (indirect transfers to provinces and local government) and the release of funds to provinces and municipalities for immediate response to a disaster. 2.SUMMARY OF BILL The following is a summary of the Bill: •Clause 1contains definitions; •Clause 2sets out the objects of the Bill, which are to provide for the equitable division of revenue raised nationally among the three spheres of government and to promote predictability and certainty in respect of allocations to provinces and municipalities as well as transparency and accountability in the resource allocation process; •Clause 3provides for the equitable division of anticipated revenue raised nationally among the national, provincial and local spheres of government, which is set out in Schedule 1; •Clause 4provides for each province’s equitable share, which is set out in Schedule 2, and must be transferred in terms of a payment schedule; •Clause 5provides for each municipality’s equitable share, which is set out in Schedule 3, and must be transferred on the dates specified in this clause, in amounts as determined in terms of clause 22(2); •Clause 6determines what must happen if actual revenue raised falls short or is in excess of anticipated revenue for the 2026/27 financial year, and allows for additional conditional and unconditional allocations to be made from the excess revenue as well as an increase of the equitable share of provinces or municipalities; •Clause 7provides for conditional allocations or an increase of conditional allocations to provinces in Part A of Schedules 4 to 7; •Clause 8provides for conditional allocations or an increase of conditional allocations to municipalities in Part B of Schedules 4 to 7; •Clauses 9 and 10set out the duties of a transferring national officer in respect of Schedules 4, 5 and 6 allocations; •Clauses 11 and 12set out the duties of a receiving officer in respect of Schedules 4, 5 and 7 allocations; •Clause 13sets out the additional duties of a receiving officer in respect of infrastructure conditional allocations to provinces; •Clause 14prescribes the duties in respect of annual financial statements and annual reports for the 2026/27 financial year; •Clause 15requires the publication of certain allocations and all conditional grant frameworks in theGazette; •Clause 16requires that spending must only be in accordance with the purpose and subject to the conditions set out in the grant frameworks for Schedules 4 to 7 allocations, and sets out funding related arrangements if a function partially or fully funded by a conditional grant is assigned by a province to a municipality; •Clauses 17 and 18provide for the withholding and stopping of allocations; •Clause 19provides for the reallocation of funds; •Clause 20provides for the conversion of certain allocations to prevent under-spending on the allocation or if the affected national or provincial department has demonstrated the capacity to implement projects; •Clause 21provides for the management of unspent conditional allocations; •Clauses 22 and 23provide for payment schedules and their amendment; 57 •Clause 24provides for the recovery of any allocation transferred in error or fraudulently; •Clause 25provides for new allocations during the 2026/27 financial year and the use of funds allocated in Schedule 7; •Clause 26provides for preparations for the 2027/28 and 2028/29 financial years; •Clause 27deals with transfers before the commencement of the Division of Revenue Act for the 2027/28 financial year and the conditions attached to such transfers; •Clause 28sets out the duties of municipalities; •Clause 29sets out the duties and powers of provincial treasuries; •Clause 30sets out the duties and powers of the National Treasury; •Clauses 31 to 36provide for general matters such as liability for costs incurred in violation of principles of cooperative governance and intergovernmental relations, irregular expenditure, financial misconduct, delegations and assign- ments, departures, and the power of the Minister of Finance to make regulations; •Clause 37provides transitional measures for the municipal election in 2026; •Clause 38provides for the repeal of laws and savings; and •Clause 39provides for the short title and commencement. 3.ORGANISATIONS AND INSTITUTIONS CONSULTED The following institutions were consulted on the Bill: (a)Financial and Fiscal Commission; (b)South African Local Government Association; and (c)National and provincial departments. 4.FINANCIAL IMPLICATIONS TO THE STATE The Bill outlines the division of revenue between the three spheres of government, and the financial implications to government are limited to the total transfers to provinces and local government as indicated in the Schedules to the Bill. 5.CONSTITUTIONAL IMPLICATIONS The Bill gives effect to section 214 of the Constitution. 6.PARLIAMENTARY PROCEDURE 6.1. The Constitution prescribes the classification of Bills and thus prescribes the different procedures to be followed for such enactment. The national legis- lative process is governed by sections 73 to 77 of the Constitution. 6.2. The State Law Advisers and the National Treasury have considered the Bill against the provisions of the Constitution relating to the tagging of Bills, and against the functional areas listed in Schedule 4 (functional areas of concurrent national and provincial legislative competence) and Schedule 5 (functional areas of exclusive provincial legislative competence) to the Constitution. 6.3. For the purposes of tagging, in the case ofTongoane and Others v Minister for Agriculture and Land Affairs and Others 2010 (6) SA 214 (CC), the Constitutional Court ruled on the test to be used when tagging a Bill. The Constitutional Court held, in paragraph 70, that the test for determining how a Bill is to be tagged must be broader than that for determining legislative competence. 6.4. In terms of section 76(3) of the Constitution, a Bill must be dealt with in accordance with the procedure established by either subsection (1) or 58 subsection (2) if it falls within a functional area listed in Schedule 4 to the Constitution. Furthermore, in terms of section 76(4)(b) of the Constitution, a Bill must be dealt with in accordance with the procedure established by section 76(1) of the Constitution, if it provides for legislation envisaged in Chapter 13 of the Constitution and includes provisions affecting the financial interests of the provincial sphere of government. 6.5. The issue that needs to be determined is whether the proposed amendments as contained in the Bill, in substantial measure, fall within a functional area listed in Schedule 4 to the Constitution, or whether the proposed amendments fall under section 76(4)(b) of the Constitution. 6.6. The provisions of the Bill have been carefully examined, and in our view, they amount to legislation envisaged in Chapter 13 of the Constitution. Further- more, the Bill includes provisions affecting the financial interests of the provincial sphere of government as contemplated in section 76(4)(b) of the Constitution. We are therefore of the opinion that the Bill must be dealt with in accordance with the procedure envisaged by section 76 of the Constitution. 6.7. The State Law Advisers and the National Treasury are of the opinion that it is not necessary to refer this Bill to the National House of Traditional and Khoi-San Leaders in terms of section 39(1)(a)of the Traditional and Khoi-San Leadership Act, 2019 (Act No. 3 of 2019), since it does not contain provisions that directly affect traditional or Khoi-San communities or pertain to custom- ary law or the customs of traditional or Khoi-San communities. 59 DIVISION OF REVENUE ATTACHMENTS Page 1.Website ‘‘Annexure W1’’ to the 2026 Budget Review: Explanatory Memorandum to the Division of Revenue .....................62 2.Annexure W2: Frameworks for Conditional Grants to Provinces ..... 133 3.Annexure W3: Frameworks for Conditional Grants to Municipalities ....................................................................................... 216 4.Annexure W4: Specific Purpose Allocations to Municipalities (Schedule 5, Part B and Schedule 7, Part B): Current Grants ........... 265 5.Annexure W5: Infrastructure Grant Allocations to Municipalities (Schedule 4, Part B and Schedule 5, Part B) ...................................... 272 6.Annexure W6: Allocations-In-Kind to Municipalities (Schedule 6, Part B) ............................................................................. 285 7.Annexure W7: Equitable Share and Total Allocations to Municipalities (Schedule 6, Part B) ..................................................... 292 8.Appendix W1 to Schedule 3: Equitable Share Allocations to Municipalities (Equitable Share Formula Allocations—RSC Levies Replacement + Special Support for Councillor Remuneration and Ward Committees + Breakdown of Equitable Share Allocations per Local Municipality per Service for District Municipalities Authorised for Services) ...................................................................... 299 9.Appendix W2 to Schedule 5, Part B and Schedule 6, Part B: Municipal Infrastructure Grant (MIG) and Water Services Infrastructure Grant (WSIG) (Breakdown of MIG And WSIG Allocations per Local Municipality for District Municipalities Authorised for Services) ...................................................................... 306 10. Appendix W3 to Schedule 5, Part B: Municipal Infrastructure Grant Ring-Fenced Funding for Sports Infrastructure, Breakdown per Municipality ................................................................................... 311 11. Appendix W4 to Schedule 5, Part B: Targets for Expanded Public Works Programme Integrated Grant for Municipalities ...................... 314 12. Appendix W5 to Schedule 5, Part B and Schedule 6, Part B: Breakdown of Regional Bulk Infrastructure Grant Allocations per Local Municipality per Project ............................................................ 321 13. Appendix W6 to Schedule 5, Part A: Breakdown of the Early Childhood Development Grant: Allocations per Grant Component per Province .......................................................................................... 326 14. Appendix W7 to Schedule 5, Part A: Breakdown of the District Health Programmes Grant: Allocations per Grant Component per .Province ............................................................................................... 328 60 15. Appendix W8 to Schedule 5, Part A: Breakdown of Human Resources and Training and Grant: Allocations per Grant Component per Province ...................................................................... 330 16. Appendix W9 to Schedule 5, Part A: Breakdown of EPWP Integrated Grant for Provinces: Targets and Allocations per Provincial Departments ........................................................................ 332 17. Appendix W10 to Schedule 6, Part A: Breakdown of the School Infrastructure Backlogs Grant: Allocations per Province ................... 335 18. Appendix W11 to Schedule 6, Part A: Breakdown of the National Health Insurance Indirect Grant: Allocations per Grant Component per Province .......................................................................................... 337 19. 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ŝŶĐůƵĚĞŚĞĂůƚŚ͕ĞĚƵĐĂƚŝŽŶĂŶĚŵƵŶŝĐŝƉĂůďĂƐŝĐƐĞƌǀŝĐĞƐ͕ƚŚĞĐŽƐƚƐŽĨǁŚŝĐŚĂƌĞƌŝƐŝŶŐĂƐĂƌĞƐƵůƚ ŽĨƉŽƉƵůĂƚŝŽŶŐƌŽǁƚŚĂŶĚŚŝŐŚĞƌďƵůŬĞůĞĐƚƌŝĐŝƚLJĂŶĚǁĂƚĞƌĐŽƐƚƐ͘ 64 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh &ŝƐĐĂůĐĂƉĂĐŝƚLJĂŶĚĞĨĨŝĐŝĞŶĐLJ &ŝƐĐĂůĐĂƉĂĐŝƚLJƌĞĨĞƌƐƚŽƚŚĞƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐƉŽǁĞƌŽĨĞĂĐŚƐƉŚĞƌĞŽĨŐŽǀĞƌŶŵĞŶƚ͘,ŝŐŚͲůĞǀĞů /ŶĐŽŵĞĂŶĚdžƉĞŶĚŝƚƵƌĞ^ƵƌǀĞLJĚĂƚĂǁĂƐƌĞůĞĂƐĞĚŽŶϮΘ:ĂŶƵĂƌLJϮϬϮρ͘dŚĞĚĞƚĂŝůĞĚĚĂƚĂʹ ƐƚŝůůŽƵƚƐƚĂŶĚŝŶŐʹĚŝĚŶŽƚŝŶĨŽƌŵƚŚĞϮϬϮςďƵĚŐĞƚĂůůŽĐĂƚŝŽŶƐĨŽƌůŽĐĂůŐŽǀĞƌŶŵĞŶƚ͘>ŽŽŬŝŶŐ ĂŚĞĂĚ͕ƚŚŝƐĚĂƚĂǁŝůůƉůĂLJĂĐƌƵĐŝĂůƌŽůĞŝŶƐŚĂƉŝŶŐƚŚĞϮϬϮϳďƵĚŐĞƚĂůůŽĐĂƚŝŽŶƐ͕ƉƌĞƐĞŶƚŝŶŐĂŶ ŽƉƉŽƌƚƵŶŝƚLJƚŽƌĞĨŝŶĞƚŚĞĨƵŶĚŝŶŐƐLJƐƚĞŵƚŽďĞƚƚĞƌƌĞĨůĞĐƚƚŚĞĨŝƐĐĂůĐĂƉĂĐŝƚLJŽĨĞĂĐŚƉƌŽǀŝŶĐĞ ĂŶĚŵƵŶŝĐŝƉĂůŝƚLJ͘dŚŝƐŝƐĞƐƉĞĐŝĂůůLJŝŵƉŽƌƚĂŶƚĂƐĨŝƐĐĂůĐĂƉĂĐŝƚLJŵĂLJŚĂǀĞƐŚŝĨƚĞĚƐŝŐŶŝĨŝĐĂŶƚůLJ ƐŝŶĐĞƚŚĞϮϬϭϭĞŶƐƵƐƵƉĚĂƚĞ͘ KĨĂůůƚŚƌĞĞƐƉŚĞƌĞƐŽĨŐŽǀĞƌŶŵĞŶƚ͕ŶĂƚŝŽŶĂůŐŽǀĞƌŶŵĞŶƚŚĂƐƚŚĞŚŝŐŚĞƐƚƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐ ĐĂƉĂĐŝƚLJ͘dŚĞƌĞǀĞŶƵĞŐĞŶĞƌĂƚĞĚŝƐƐŚĂƌĞĚǁŝƚŚŽƚŚĞƌƐƉŚĞƌĞƐƚŽƐƵƉƉŽƌƚǀĂƌŝŽƵƐƐĞƌǀŝĐĞƐĂŶĚ ŝŶŝƚŝĂƚŝǀĞƐ͘EĂƚŝŽŶĂůŐŽǀĞƌŶŵĞŶƚŚĂƐůĂƌŐĞƐƉĞŶĚŝŶŐƌĞƐƉŽŶƐŝďŝůŝƚŝĞƐĂŶĚƚŚĞƌĞĨŽƌĞƚLJƉŝĐĂůůLJ 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ε͘ςй ε͘ρй ϭ͘&ŽƌĞĂƌůLJƌĞƚŝƌĞŵĞŶƚĐŽƐƚƐŝŶϮϬϮςͬϮϳĂŶĚ^ZŝŶƚŚĞŽƵƚĞƌƚǁŽLJĞĂƌƐ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ KƵƚĐŽŵĞDĞĚŝƵŵͲƚĞƌŵĞƐƚŝŵĂƚĞƐ dĂďůĞtϭ͘ϯŚĂŶŐĞƐŽǀĞƌďĂƐĞůŝŶĞ ZŵŝůůŝŽŶϮϬϮςͬϮϳϮϬϮϳͬϮΘ EĂƚŝŽŶĂůĚĞƉĂƌƚŵĞŶƚƐκρκεεͲϭκκ WƌŽǀŝŶĐĞƐϭϮϬρκϭϮϬρε >ŽĐĂůŐŽǀĞƌŶŵĞŶƚͲϮΘϯρͲϭκες ůůŽĐĂƚĞĚĞdžƉĞŶĚŝƚƵƌĞρκϳϭΘϭϬκϭε ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 69 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh dŚĞ ϮϬϮς ƵĚŐĞƚ ZĞǀŝĞǁ ƐĞƚƐ ŽƵƚ ŝŶ ĚĞƚĂŝů ŚŽǁ ĐŽŶƐƚŝƚƵƚŝŽŶĂů ĐŽŶƐŝĚĞƌĂƚŝŽŶƐ ĂŶĚ ŐŽǀĞƌŶŵĞŶƚ͛ƐƉƌŝŽƌŝƚŝĞƐĂƌĞƚĂŬĞŶŝŶƚŽĂĐĐŽƵŶƚŝŶƚŚĞĚŝǀŝƐŝŽŶŽĨƌĞǀĞŶƵĞ͘/ƚĚĞƐĐƌŝďĞƐ ĞĐŽŶŽŵŝĐĂŶĚĨŝƐĐĂůƉŽůŝĐLJĐŽŶƐŝĚĞƌĂƚŝŽŶƐ͕ƌĞǀĞŶƵĞŝƐƐƵĞƐ͕ĚĞďƚĂŶĚĨŝŶĂŶĐŝŶŐĐŽŶƐŝĚĞƌĂƚŝŽŶƐ͕ ĂŶĚĞdžƉĞŶĚŝƚƵƌĞƉůĂŶƐ͘ŚĂƉƚĞƌςŽĨƚŚĞƵĚŐĞƚZĞǀŝĞǁĨŽĐƵƐĞƐŽŶƉƌŽǀŝŶĐŝĂůĂŶĚůŽĐĂů ŐŽǀĞƌŶŵĞŶƚĨŝŶĂŶĐŝŶŐ͘ WZdϯ͗Z^WKE^dKd,&&͛^ZKDDEd/KE^ ^ĞĐƚŝŽŶ ε ŽĨ ƚŚĞ /ŶƚĞƌŐŽǀĞƌŶŵĞŶƚĂů &ŝƐĐĂů ZĞůĂƚŝŽŶƐ Đƚ ƌĞƋƵŝƌĞƐ ƚŚĞ && ƚŽ ŵĂŬĞ ƌĞĐŽŵŵĞŶĚĂƚŝŽŶƐƌĞŐĂƌĚŝŶŐ͗ • ͞ŶĞƋƵŝƚĂďůĞĚŝǀŝƐŝŽŶŽĨƌĞǀĞŶƵĞƌĂŝƐĞĚŶĂƚŝŽŶĂůůLJ͕ĂŵŽŶŐƚŚĞŶĂƚŝŽŶĂů͕ƉƌŽǀŝŶĐŝĂůĂŶĚ ůŽĐĂůƐƉŚĞƌĞƐŽĨŐŽǀĞƌŶŵĞŶƚ͖ • ƚŚĞĚĞƚĞƌŵŝŶĂƚŝŽŶŽĨĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐĞƋƵŝƚĂďůĞƐŚĂƌĞŝŶƚŚĞƉƌŽǀŝŶĐŝĂůƐŚĂƌĞŽĨƚŚĂƚ 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ĚĞůŝǀĞƌŝƚƐĂĐƚŝǀŝƚŝĞƐ͘/ŶĂĚĚŝƚŝŽŶ͕ĨŽƌƚŚĞϮϬϮςDd&͕ĂƚŽƚĂůŽĨZϭŵŝůůŝŽŶŝŶϮϬϮςͬϮϳĂŶĚ ZϭŵŝůůŝŽŶŝŶϮϬϮϳͬϮΘŚĂƐďĞĞŶƌĞĚƵĐĞĚĨƌŽŵƚŚĞŚƵŵĂŶƐĞƚƚůĞŵĞŶƚƐĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚĂŶĚ ƚŚĞŝŶĨŽƌŵĂůƐĞƚƚůĞŵĞŶƚƐƉĂƌƚŶĞƌƐŚŝƉƵƉŐƌĂĚŝŶŐŐƌĂŶƚĂŶĚĂĚĚĞĚƚŽƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞ ƐŚĂƌĞ͘dŚŝƐŝƐƚŽ ĐŽƌƌĞĐƚĨŽƌĨƵŶĚŝŶŐƚŚĂƚǁĂƐĞƌƌŽŶĞŽƵƐůLJĂůůŽĐĂƚĞĚĂƐ ĂƚŽƉƵƉĨŽƌ 75 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ĐŽŵƉĞŶƐĂƚŝŽŶŽĨĞŵƉůŽLJĞĞƐŝŶƚŚĞŚƵŵĂŶƐĞƚƚůĞŵĞŶƚƐŐƌĂŶƚƐ͕ƐƉĞĐŝĨŝĐĂůůLJĨŽƌƚŚĞ<ǁĂƵůƵͲ EĂƚĂůƉƌŽǀŝŶĐĞ͘/ŶϮϬϮςͬϮϳ͕ZρŵŝůůŝŽŶǁŝůůďĞƌĞƉƌŝŽƌŝƚŝƐĞĚĨƌŽŵƚŚĞĞdžƉĂŶĚĞĚƉƵďůŝĐǁŽƌŬƐ ƉƌŽŐƌĂŵŵĞŝŶƚĞŐƌĂƚĞĚŐƌĂŶƚĨŽƌƉƌŽǀŝŶĐĞƐƚŽŵĂŬĞĨƵŶĚŝŶŐĂǀĂŝůĂďůĞĨŽƌĞdžŝƐƚŝŶŐƉƌĞƐƐƵƌĞƐŝŶ ƚŚĞŶĂƚŝŽŶĂůĞƉĂƌƚŵĞŶƚŽĨWƵďůŝĐtŽƌŬƐĂŶĚ/ŶĨƌĂƐƚƌƵĐƚƵƌĞ͘ ^ĞǀĞƌĂů ĐŚĂŶŐĞƐ ǁŝůů ĂůƐŽďĞ ŵĂĚĞ ƚŽ ƚŚĞ ƉƌŽǀŝŶĐŝĂů ĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚƐ ďĂƐĞĚŽŶ ƚŚĞ ƌĞĐŽŵŵĞŶĚĂƚŝŽŶƐŽĨƚŚĞƌĞǀŝĞǁŽĨƚŚĞĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚƐLJƐƚĞŵ͘dŚĞƐĞĐŽŶƚŝŶƵĞƚŽďĞ ŝŵƉůĞŵĞŶƚĞĚŝŶĂƉŚĂƐĞĚŵĂŶŶĞƌŽǀĞƌƚŚĞϮϬϮςDd&͘ 76 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh dĂďůĞtϭ͘ςZĞǀŝƐŝŽŶƐƚŽĚŝƌĞĐƚĂŶĚŝŶĚŝƌĞĐƚƚƌĂŶƐĨĞƌƐƚŽƉƌŽǀŝŶĐŝĂůŐŽǀĞƌŶŵĞŶƚ ZŵŝůůŝŽŶϮϬϮςͬϮϳ ϮϬϮϳͬϮΘ ϮϬϮΘͬϮε Dd&ƚŽƚĂů ƌĞǀŝƐŝŽŶ 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EĞƚĐŚĂŶŐĞƚŽƉƌŽǀŝŶĐŝĂůŐŽǀĞƌŶŵĞŶƚĂůůŽĐĂƚŝŽŶƐͲϯϭϯε Ͳϭϯϭϳρ Ͳρϭρϯε ͲςϳΘρϯ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 77 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ĨƚĞƌĂĐĐŽƵŶƚŝŶŐĨŽƌƚŚĞƐĞĐŚĂŶŐĞƐ͕ƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞŐƌŽǁƐĂƚĂŶĂǀĞƌĂŐĞĂŶŶƵĂů ƌĂƚĞŽĨϯ͘ρƉĞƌĐĞŶƚŽǀĞƌƚŚĞDd&ƉĞƌŝŽĚ͕ǁŚŝůĞĚŝƌĞĐƚĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚĂůůŽĐĂƚŝŽŶƐŐƌŽǁĂƚ ĂŶĂǀĞƌĂŐĞĂŶŶƵĂůƌĂƚĞŽĨϮ͘εƉĞƌĐĞŶƚ͘ dŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞ dŚĞĞƋƵŝƚĂďůĞƐŚĂƌĞŝƐƚŚĞŵĂŝŶƐŽƵƌĐĞŽĨƌĞǀĞŶƵĞƚŚƌŽƵŐŚǁŚŝĐŚƉƌŽǀŝŶĐĞƐĂƌĞĂďůĞƚŽŵĞĞƚ ƚŚĞŝƌĞdžƉĞŶĚŝƚƵƌĞƌĞƐƉŽŶƐŝďŝůŝƚŝĞƐ͘dŽĞŶƐƵƌĞƚŚĂƚĂůůŽĐĂƚŝŽŶƐĂƌĞĨĂŝƌ͕ƚŚĞĞƋƵŝƚĂďůĞƐŚĂƌĞŝƐ ĂůůŽĐĂƚĞĚƚŚƌŽƵŐŚĂĨŽƌŵƵůĂƵƐŝŶŐŽďũĞĐƚŝǀĞĚĂƚĂƚŽƌĞĨůĞĐƚƚŚĞĚĞŵĂŶĚĨŽƌƐĞƌǀŝĐĞƐĂĐƌŽƐƐĂůů ŶŝŶĞƉƌŽǀŝŶĐĞƐ͘&ŽƌĞĂĐŚLJĞĂƌŽĨƚŚĞϮϬϮςDd&ƉĞƌŝŽĚ͕ƚŚĞĨŽůůŽǁŝŶŐĂŵŽƵŶƚƐĂƌĞĂůůŽĐĂƚĞĚ ƚŽƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞ͗ZςϳϬ͘ϯďŝůůŝŽŶŝŶϮϬϮςͬϮϳ͕ZςεΘ͘ςďŝůůŝŽŶŝŶϮϬϮϳͬϮΘĂŶĚ ZϳϮϬ͘κďŝůůŝŽŶŝŶϮϬϮΘͬϮε͘ dŚĞĞƋƵŝƚĂďůĞƐŚĂƌĞĨŽƌŵƵůĂ dŚĞĞƋƵŝƚĂďůĞƐŚĂƌĞĨŽƌŵƵůĂĐŽŶƐŝƐƚƐŽĨƐŝdžĐŽŵƉŽŶĞŶƚƐƚŚĂƚĂĐĐŽƵŶƚĨŽƌƚŚĞƌĞůĂƚŝǀĞĚĞŵĂŶĚ ŽĨƐĞƌǀŝĐĞƐĂŶĚƚĂŬĞŝŶƚŽĐŽŶƐŝĚĞƌĂƚŝŽŶĐŚĂŶŐŝŶŐĚĞŵŽŐƌĂƉŚŝĐƐŝŶĞĂĐŚŽĨƚŚĞƉƌŽǀŝŶĐĞƐ͘dŚĞ 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ZĂƚŚĞƌ͕ƚŚĞĞĚƵĐĂƚŝŽŶĂŶĚŚĞĂůƚŚĐŽŵƉŽŶĞŶƚƐĂƌĞǁĞŝŐŚƚĞĚďƌŽĂĚůLJŝŶůŝŶĞǁŝƚŚŚŝƐƚŽƌŝĐĂů ĞdžƉĞŶĚŝƚƵƌĞƉĂƚƚĞƌŶƐƚŽŝŶĚŝĐĂƚĞƌĞůĂƚŝǀĞŶĞĞĚ͘WƌŽǀŝŶĐŝĂůĞdžĞĐƵƚŝǀĞĐŽƵŶĐŝůƐĚĞƚĞƌŵŝŶĞƚŚĞ ĚĞƉĂƌƚŵĞŶƚĂůĂůůŽĐĂƚŝŽŶƐĨŽƌĞĂĐŚĨƵŶĐƚŝŽŶ͕ƚĂŬŝŶŐŝŶƚŽĂĐĐŽƵŶƚƚŚĞƉƌŝŽƌŝƚŝĞƐƚŚĂƚƵŶĚĞƌƉŝŶ ƚŚĞĚŝǀŝƐŝŽŶŽĨƌĞǀĞŶƵĞ͘ &ŽƌƚŚĞϮϬϮςƵĚŐĞƚ͕ƚŚĞĨŽƌŵƵůĂĐŽŵƉŽŶĞŶƚƐĂƌĞƐĞƚŽƵƚĂƐĨŽůůŽǁƐ͗ • ŶĞĚƵĐĂƚŝŽŶĐŽŵƉŽŶĞŶƚ;κΘƉĞƌĐĞŶƚͿ͕ďĂƐĞĚŽŶƚŚĞƐŝnjĞŽĨƚŚĞƐĐŚŽŽůͲĂŐĞƉŽƉƵůĂƚŝŽŶ ;ĂŐĞƐĨŝǀĞƚŽϭϳͿĂŶĚƚŚĞŶƵŵďĞƌŽĨůĞĂƌŶĞƌƐ;'ƌĂĚĞƐZƚŽϭϮͿĞŶƌŽůůĞĚŝŶƉƵďůŝĐŽƌĚŝŶĂƌLJ ƐĐŚŽŽůƐ͘ • ŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ;ϮϳƉĞƌĐĞŶƚͿ͕ďĂƐĞĚŽŶĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƌŝƐŬƉƌŽĨŝůĞĂŶĚŚĞĂůƚŚƐLJƐƚĞŵ ĐĂƐĞůŽĂĚ͘ • ďĂƐŝĐĐŽŵƉŽŶĞŶƚ;ϭςƉĞƌĐĞŶƚͿ͕ĚĞƌŝǀĞĚĨƌŽŵĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚĞŶĂƚŝŽŶĂů ƉŽƉƵůĂƚŝŽŶ͘ • ŶŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚ;ρƉĞƌĐĞŶƚͿ͕ĚŝǀŝĚĞĚĞƋƵĂůůLJďĞƚǁĞĞŶƚŚĞƉƌŽǀŝŶĐĞƐ͘ • ƉŽǀĞƌƚLJĐŽŵƉŽŶĞŶƚ;ϯƉĞƌĐĞŶƚͿ͕ďĂƐĞĚŽŶŝŶĐŽŵĞĚĂƚĂ͘dŚŝƐĐŽŵƉŽŶĞŶƚƌĞŝŶĨŽƌĐĞƐƚŚĞ ƌĞĚŝƐƚƌŝďƵ tŝǀĞďŝĂƐŽĨƚŚĞĨŽƌŵƵůĂ͘ • ŶĞĐŽŶŽŵŝĐĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚ;ϭƉĞƌĐĞŶƚͿ͕ďĂƐĞĚŽŶƌĞŐŝŽŶĂůŐƌŽƐƐĚŽŵĞƐƚŝĐƉƌŽĚƵĐƚ ;'WͲZ͕ŵĞĂƐƵƌĞĚďLJ^ƚĂƚŝƐƚŝĐƐ^ŽƵƚŚĨƌŝĐĂͿ͘ ĚƵĐĂƚŝŽŶĐŽŵƉŽŶĞŶƚ;κΘƉĞƌĐĞŶƚͿ 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DƉƵŵĂůĂŶŐĂ Θ͘κй Θ͘Ϭй Θ͘Ϭйε͘ϳй ϳ͘ϳй ϭϭ͘ϭйΘ͘κй EŽƌƚŚĞƌŶĂƉĞ Ϯ͘ϯй Ϯ͘ϯй Ϯ͘ϮйϮ͘ςй Ϯ͘Ϯй ϭϭ͘ϭйϮ͘ϳй EŽƌƚŚtĞƐƚ ς͘ςй ς͘Θй ς͘ςйϳ͘Ϯй ς͘ϯй ϭϭ͘ϭйς͘εй tĞƐƚĞƌŶĂƉĞ ε͘εй ϭϬ͘κй ϭϮ͘ϭйΘ͘ςй ϭκ͘Ϯй ϭϭ͘ϭй ϭϬ͘ρй dŽƚĂůϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 79 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ,ĞĂůƚŚĐŽŵƉŽŶĞŶƚ;ϮϳƉĞƌĐĞŶƚͿ dŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚƵƐĞƐĂƌŝƐŬͲĂĚũƵƐƚĞĚĐĂƉŝƚĂƚŝŽŶŝŶĚĞdžĂŶĚŽƵƚƉƵƚĚĂƚĂĨƌŽŵƉƵďůŝĐ ŚŽƐƉŝƚĂůƐƚŽĞƐƚŝŵĂƚĞĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘dŚĞƐĞŵĞƚŚŽĚƐǁŽƌŬ ƚŽŐĞƚŚĞƌƚŽďĂůĂŶĐĞŶĞĞĚƐ;ƌŝƐŬͲĂĚũƵƐƚĞĚĐĂƉŝƚĂƚŝŽŶͿĂŶĚĚĞŵĂŶĚƐ;ŽƵƚƉƵƚĐŽŵƉŽŶĞŶƚͿ͘ dŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚŝƐƉƌĞƐĞŶƚĞĚŝŶƚŚƌĞĞƉĂƌƚƐďĞůŽǁ͘dĂďůĞtϭ͘εƐŚŽǁƐƚŚĞƐŚĂƌĞƐŽĨƚŚĞ ƌŝƐŬͲĂĚũƵƐƚĞĚĐŽŵƉŽŶĞŶƚ͕ǁŚŝĐŚĂĐĐŽƵŶƚƐĨŽƌϳρƉĞƌĐĞŶƚŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘ dŚĞƌŝƐŬͲĂĚũƵƐƚĞĚƐƵďĐŽŵƉŽŶĞŶƚĞƐƚŝŵĂƚĞƐĂǁĞŝŐŚƚĞĚƉŽƉƵůĂƚŝŽŶŝŶĞĂĐŚƉƌŽǀŝŶĐĞƵƐŝŶŐƚŚĞ ƌŝƐŬͲĂĚũƵƐƚĞĚŝŶĚĞdž͘dŚĞƉĞƌĐĞŶƚĂŐĞŽĨƚŚĞƉŽƉƵůĂƚŝŽŶǁŝƚŚŵĞĚŝĐĂůŝŶƐƵƌĂŶĐĞ͕ďĂƐĞĚŽŶƚŚĞ ϮϬϮκ'ĞŶĞƌĂů,ŽƵƐĞŚŽůĚ^ƵƌǀĞLJ͕ŝƐĚĞĚƵĐƚĞĚĨƌŽŵƚŚĞϮϬϮρŵŝĚͲLJĞĂƌƉŽƉƵůĂƚŝŽŶĞƐƚŝŵĂƚĞƐ ƚŽĞƐƚŝŵĂƚĞƚŚĞƵŶŝŶƐƵƌĞĚƉŽƉƵůĂƚŝŽŶƉĞƌƉƌŽǀŝŶĐĞ͘dŚĞƌŝƐŬͲĂĚũƵƐƚĞĚŝŶĚĞdž͕ǁŚŝĐŚŝƐĂŶŝŶĚĞdž ŽĨĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐŚĞĂůƚŚƌŝƐŬƉƌŽĨŝůĞ͕ŝƐĂƉƉůŝĞĚƚŽƚŚĞƵŶŝŶƐƵƌĞĚƉŽƉƵůĂƚŝŽŶƚŽĞƐƚŝŵĂƚĞƚŚĞ ǁĞŝŐŚƚĞĚƉŽƉƵůĂƚŝŽŶ͘ĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚŝƐǁĞŝŐŚƚĞĚƉŽƉƵůĂƚŝŽŶŝƐƵƐĞĚƚŽĞƐƚŝŵĂƚĞ ƚŚĞŝƌƐŚĂƌĞŽĨƚŚĞƌŝƐŬͲĂĚũƵƐƚĞĚƐƵďĐŽŵƉŽŶĞŶƚ͘dŚĞůĂƐƚĐŽůƵŵŶŝŶdĂďůĞtϭ͘εƐŚŽǁƐƚŚĞ ĐŚĂŶŐĞŝŶƚŚŝƐƐƵďĐŽŵƉŽŶĞŶƚďĞƚǁĞĞŶƚŚĞϮϬϮρĂŶĚϮϬϮςDd&͘ dĂďůĞtϭ͘Θ/ŵƉĂĐƚŽĨĐŚĂŶŐĞƐŝŶƐĐŚŽŽůĞŶƌŽůŵĞŶƚŽŶƚŚĞĞĚƵĐĂƚŝŽŶĐŽŵƉŽŶĞŶƚƐŚĂƌĞ dŚŽƵƐĂŶĚ ŐĞ ρͲϭϳ ϮϬϮκ ϮϬϮρϮϬϮρDd& ϮϬϮςDd& ĂƐƚĞƌŶĂƉĞ ϭΘϳϯϭϳεϬϭϳΘϮͲΘϭϯ͘ϭй ϭϯ͘ϭй ͲϬ͘Ϭρй &ƌĞĞ^ƚĂƚĞϳϬϳϳϭςϳϭϯͲϯρ͘ϭйρ͘ϭй ͲϬ͘Ϭκй 'ĂƵƚĞŶŐϯϬΘϳϮςςϬϮςϳρϭςϮϬ͘ρй ϮϬ͘ςй Ϭ͘ϬΘй <ǁĂƵůƵͲEĂƚĂů ϯϬϮςϮΘΘεϮεϬϭϭϭϮϭ͘κй Ϯϭ͘Ϯй ͲϬ͘ϭςй >ŝŵƉŽƉŽϭϳϮϯϭΘϭΘϭΘκϯϮςϭϮ͘ϳй ϭϮ͘Θй Ϭ͘Ϭκй DƉƵŵĂůĂŶŐĂ ϭϭςεϭϭςϬϭϭϳϯϭϯΘ͘κйΘ͘κй Ϭ͘Ϭϯй EŽƌƚŚĞƌŶĂƉĞ ϯϮΘϯϬεϯϭϭϯϮ͘ϯйϮ͘ϯй Ϭ͘ϬϮй EŽƌƚŚtĞƐƚεςρΘΘϮΘεϬΘς͘ςйς͘ςй Ϭ͘Ϭςй tĞƐƚĞƌŶĂƉĞ ϭκϳΘϭϮϳΘϭϮΘϯςε͘εйε͘εй Ϭ͘ϬϮй dŽƚĂůϭκϯρρϭϯρϬϭϭϯρϳϮϳϭϭϬϬ͘Ϭй ϭϬϬ͘Ϭйʹ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ ^ĐŚŽŽůĞŶƌŽůŵĞŶƚtĞŝŐŚƚĞĚĂǀĞƌĂŐĞ ŝĨĨĞƌĞŶĐĞ ŝŶ ǁĞŝŐŚƚĞĚ ĂǀĞƌĂŐĞ ŚĂŶŐĞƐŝŶ ĞŶƌŽůŵĞŶƚ ĚĂƚĂ dĂďůĞtϭ͘εZŝƐŬͲĂĚũƵƐƚĞĚƐƵďͲĐŽŵƉŽŶĞŶƚƐŚĂƌĞƐ DŝĚͲLJĞĂƌ ƉŽƉƵůĂƚŝŽŶ ĞƐƚŝŵĂƚĞƐ /ŶƐƵƌĞĚ ƉŽƉƵůĂƚŝŽŶZŝƐŬͲĂĚũƵƐƚĞĚƐŚĂƌĞƐ dŚŽƵƐĂŶĚϮϬϮρ ϮϬϮςϮϬϮρDd& ϮϬϮςDd& ĂƐƚĞƌŶĂƉĞ ϳϬεϭ ϭϬ͘κй ϭϮϬ͘ϯй ϳςκϬ ϭκ͘ϯй ϭκ͘ϭй ͲϬ͘Ϯй &ƌĞĞ^ƚĂƚĞϯϬκϬ ϭϮ͘κй ϭϭϬ͘ϯй Ϯεϯϳ ρ͘κйρ͘κй Ϭ͘Ϭй 'ĂƵƚĞŶŐϭςϭϬρ Ϯϭ͘ϯйΘϳ͘ςй ϭϭϬεΘ ϮϬ͘Ϭй ϮϬ͘κй Ϭ͘κй <ǁĂƵůƵͲEĂƚĂů ϭϮϮϯϮ ϭϬ͘Ϯй ϭϬϭ͘εй ϭϭϭες ϮϬ͘ϳй ϮϬ͘ςй ͲϬ͘ϭй >ŝŵƉŽƉŽςϯςς ϭϬ͘Ϭй ϭϭϬ͘Θй ςϯρϯ ϭϭ͘εй ϭϭ͘ϳй ͲϬ͘Ϯй DƉƵŵĂůĂŶŐĂ ρϬϳς ϭϬ͘κй ϭϬϯ͘ϯй κςες Θ͘ςйΘ͘ςй Ϭ͘Ϭй EŽƌƚŚĞƌŶĂƉĞ ϭϯϳε ϭρ͘εй ϭϭϯ͘ϭй ϭϯϭϮ Ϯ͘κйϮ͘κй ͲϬ͘Ϭй EŽƌƚŚtĞƐƚκϭΘκ ϭϯ͘ϳй ϭϬΘ͘ςй ϯεϮϬ ϳ͘Ϯйϳ͘Ϯй ͲϬ͘Ϭй tĞƐƚĞƌŶĂƉĞ ϳςϮΘ Ϯρ͘κйεϭ͘ςй ρϮϭρ ε͘ρйε͘ςй Ϭ͘ϭй dŽƚĂůςϯϭϬϭρκϯςςϭϬϬ͘Ϭй ϭϬϬ͘Ϭй Ϭ͘Ϭй ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ ZŝƐŬͲ ĂĚũƵƐƚĞĚ ŝŶĚĞdž tĞŝŐŚƚĞĚ ƉŽƉƵůĂƚŝŽŶŚĂŶŐĞ 80 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh dŚĞŽƵƚƉƵƚƐƵďĐŽŵƉŽŶĞŶƚ;ƐŚŽǁŶŝŶdĂďůĞtϭ͘ϭϬͿƵƐĞƐƉĂƚŝĞŶƚůŽĂĚĚĂƚĂĨƌŽŵƚŚĞŝƐƚƌŝĐƚ ,ĞĂůƚŚ/ŶĨŽƌŵĂƚŝŽŶ^ĞƌǀŝĐĞƐ͘dŚĞĂǀĞƌĂŐĞŶƵŵďĞƌŽĨǀŝƐŝƚƐƚŽƉƌŝŵĂƌLJŚĞĂůƚŚĐĂƌĞĐůŝŶŝĐƐŝŶ ϮϬϮϯͬϮκĂŶĚϮϬϮκͬϮρŝƐĐĂůĐƵůĂƚĞĚƚŽĞƐƚŝŵĂƚĞĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚŝƐƉĂƌƚŽĨƚŚĞŽƵƚƉƵƚ ĐŽŵƉŽŶĞŶƚ͕ǁŚŝĐŚŵĂŬĞƐƵƉρƉĞƌĐĞŶƚŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘&ŽƌŚŽƐƉŝƚĂůƐ͕ĞĂĐŚ ƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚĞƚŽƚĂůƉĂƚŝĞŶƚͲĚĂLJĞƋƵŝǀĂůĞŶƚƐĂƚƉƵďůŝĐŚŽƐƉŝƚĂůƐŝŶϮϬϮϯͬϮκĂŶĚ ϮϬϮκͬϮρŝƐƵƐĞĚƚŽĞƐƚŝŵĂƚĞƚŚĞŝƌƐŚĂƌĞŽĨƚŚŝƐƉĂƌƚŽĨƚŚĞŽƵƚƉƵƚƐƵďĐŽŵƉŽŶĞŶƚ͕ǁŚŝĐŚŵĂŬĞƐ ƵƉϮϬƉĞƌĐĞŶƚŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘/ŶƚŽƚĂů͕ƚŚĞŽƵƚƉƵƚƐƵďĐŽŵƉŽŶĞŶƚŝƐϮρƉĞƌĐĞŶƚŽĨ ƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘ dĂďůĞtϭ͘ϭϭƉƌĞƐĞŶƚƐƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚŝŶƚŚƌĞĞƉĂƌƚƐ͕ƚŚĞƌŝƐŬͲĂĚũƵƐƚĞĚĐŽŵƉŽŶĞŶƚ͕ ǁŚŝĐŚĂĐĐŽƵŶƚƐĨŽƌϳρƉĞƌĐĞŶƚŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͕ĂŶĚƚŚĞŽƵƚƉƵƚĐŽŵƉŽŶĞŶƚ͕ǁŚŝĐŚ ĂĐĐŽƵŶƚƐĨŽƌϮρƉĞƌĐĞŶƚŽĨƚŚĞŚĞĂůƚŚĐŽŵƉŽŶĞŶƚ͘ ĂƐŝĐĐŽŵƉŽŶĞŶƚ;ϭςƉĞƌĐĞŶƚͿ dŚĞďĂƐŝĐĐŽŵƉŽŶĞŶƚŝƐĚĞƌŝǀĞĚĨƌŽŵĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚĞŶĂƚŝŽŶĂůƉŽƉƵůĂƚŝŽŶ͘dŚŝƐ ĐŽŵƉŽŶĞŶƚ ĐŽŶƐƚŝƚƵƚĞƐ ϭςƉĞƌĐĞŶƚ ŽĨ ƚŚĞ ƚŽƚĂů ĞƋƵŝƚĂďůĞ ƐŚĂƌĞ͘ &Žƌ ƚŚĞ ϮϬϮς Dd&͕ ƉŽƉƵůĂƚŝŽŶĚĂƚĂŝƐĚƌĂǁŶĨƌŽŵƚŚĞϮϬϮρŵŝĚͲLJĞĂƌƉŽƉƵůĂƚŝŽŶĞƐƚŝŵĂƚĞƐƉƌŽĚƵĐĞĚďLJ^ƚĂƚŝƐƚŝĐƐ ^ŽƵƚŚ ĨƌŝĐĂ͘ dĂďůĞ tϭ͘ϭϮ ƐŚŽǁƐ ŚŽǁ ƉŽƉƵůĂƚŝŽŶ ĐŚĂŶŐĞƐ ŚĂǀĞ ĂĨĨĞĐƚĞĚ ƚŚĞ ďĂƐŝĐ ĐŽŵƉŽŶĞŶƚ͛ƐƌĞǀŝƐĞĚǁĞŝŐŚƚĞĚƐŚĂƌĞƐ͘ dĂďůĞtϭ͘ϭϬKƵƚƉƵƚƐƵďͲĐŽŵƉŽŶĞŶƚƐŚĂƌĞƐ dŚŽƵƐĂŶĚ ϮϬϮϯͬϮκ ϮϬϮκͬϮρ ǀĞƌĂŐĞ ^ŚĂƌĞ ϮϬϮϯͬϮκ ϮϬϮκͬϮρ ǀĞƌĂŐĞ ^ŚĂƌĞ ĂƐƚĞƌŶĂƉĞ ϭϯεκϯϭϯςϬΘϭϯϳϳρϭϯ͘ϭй ϯΘϳϮϯΘκϯϯΘρϳϭϮ͘ρй &ƌĞĞ^ƚĂƚĞρϮϬϳρϭϬϯρϭρρκ͘εй ϭΘΘϭϭΘϬϳϭΘκκς͘Ϭй 'ĂƵƚĞŶŐϭεϮεϯϭερΘϭϭεκϯϳϭΘ͘ρй ϳϮςρϳκϬρϳϯϯρϮϯ͘ϳй <ǁĂƵůƵͲEĂƚĂů ϮκϬκϭϮκϮςϳϮκϭρκϮϯ͘Ϭй ςςερϳϬϬκςΘρϬϮϮ͘Ϯй >ŝŵƉŽƉŽϭϮκςϯϭϮϯϮϳϭϮϯερϭϭ͘Θй ϮΘςκϮΘϭϯϮΘϯΘε͘Ϯй DƉƵŵĂůĂŶŐĂ ΘϭςϳΘϯϮϬΘϮκκϳ͘εй ϭΘϬκϭϳεεϭΘϬϮρ͘Θй EŽƌƚŚĞƌŶĂƉĞ ϮςΘϯϮϳϳϭϮϳϮϳϮ͘ςй ςϭκςϭϮςϭϯ Ϯ͘Ϭй EŽƌƚŚtĞƐƚϳϭϭΘϳϭΘςϳϭρϮς͘Θй ϭρεΘϭςκκϭςϮϭρ͘Ϯй tĞƐƚĞƌŶĂƉĞ ϭϭΘρεϭϭεκϭϭϭεϬϬϭϭ͘ϯй κϮϭςκϬεϭκϭρϯϭϯ͘κй dŽƚĂůϭϬκϳϳϯϭϬρϭϬρϭϬκεϯεϭϬϬ͘Ϭй ϯϬΘϬεϯϭϬϭϳϯϬεϭϯ ϭϬϬ͘Ϭй ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ WƌŝŵĂƌLJŚĞĂůƚŚĐĂƌĞ ǀŝƐŝƚƐ ,ŽƐƉŝƚĂůǁŽƌŬůŽĂĚ ƉĂƚŝĞŶƚͲĚĂLJĞƋƵŝǀĂůĞŶƚƐ dĂďůĞtϭ͘ϭϭ,ĞĂůƚŚĐŽŵƉŽŶĞŶƚǁĞŝŐŚƚĞĚƐŚĂƌĞƐ ZŝƐŬͲĂĚũƵƐƚĞĚ WƌŝŵĂƌLJ ŚĞĂůƚŚĐĂƌĞ ,ŽƐƉŝƚĂů ĐŽŵƉŽŶĞŶƚ tĞŝŐŚƚĞĚƐŚĂƌĞƐ tĞŝŐŚƚϳρ͘Ϭйρ͘Ϭй ϮϬ͘Ϭй ϮϬϮρDd& ϮϬϮρDd& ŚĂŶŐĞ ĂƐƚĞƌŶĂƉĞϭκ͘ϭйϭϯ͘ϭй ϭϮ͘ρйϭϯ͘εйϭϯ͘ϳй ͲϬ͘Ϯй &ƌĞĞ^ƚĂƚĞρ͘κйκ͘εйς͘Ϭйρ͘ρйρ͘ρй ͲϬ͘Ϭй 'ĂƵƚĞŶŐϮϬ͘κйϭΘ͘ρй Ϯϯ͘ϳйϮϬ͘ϳйϮϭ͘Ϭй Ϭ͘ϯй <ǁĂƵůƵͲEĂƚĂůϮϬ͘ςйϮϯ͘Ϭй ϮϮ͘ϮйϮϭ͘ϬйϮϭ͘Ϭй Ϭ͘ϭй >ŝŵƉŽƉŽϭϭ͘ϳйϭϭ͘Θйε͘Ϯйϭϭ͘κйϭϭ͘Ϯй ͲϬ͘Ϯй DƉƵŵĂůĂŶŐĂΘ͘ςйϳ͘εйρ͘ΘйΘ͘ϬйΘ͘Ϭй Ϭ͘Ϭй EŽƌƚŚĞƌŶĂƉĞϮ͘κйϮ͘ςйϮ͘ϬйϮ͘ϯйϮ͘ϯй Ϭ͘Ϭй EŽƌƚŚtĞƐƚϳ͘Ϯйς͘Θйρ͘Ϯйς͘Θйς͘Θй ͲϬ͘Ϭй tĞƐƚĞƌŶĂƉĞε͘ςйϭϭ͘ϯй ϭϯ͘κйϭϬ͘ρйϭϬ͘κй ͲϬ͘Ϭй dŽƚĂůϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭй Ϭ͘Ϭй ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 81 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh /ŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚ;ρƉĞƌĐĞŶƚͿ dŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚƌĞĐŽŐŶŝƐĞƐƚŚĂƚƐŽŵĞĐŽƐƚƐĂƐƐŽĐŝĂƚĞĚǁŝƚŚƌƵŶŶŝŶŐĂƉƌŽǀŝŶĐŝĂů ŐŽǀĞƌŶŵĞŶƚĂŶĚƉƌŽǀŝĚŝŶŐƐĞƌǀŝĐĞƐĂƌĞŶŽƚĚŝƌĞĐƚůLJƌĞůĂƚĞĚƚŽƚŚĞƐŝnjĞŽĨĂƉƌŽǀŝŶĐĞ͛Ɛ ƉŽƉƵůĂƚŝŽŶŽƌĨĂĐƚŽƌƐŝŶĐůƵĚĞĚŝŶŽƚŚĞƌĐŽŵƉŽŶĞŶƚƐ͘/ƚŝƐƚŚĞƌĞĨŽƌĞĚŝƐƚƌŝďƵƚĞĚĞƋƵĂůůLJ ďĞƚǁĞĞŶƉƌŽǀŝŶĐĞƐ͕ǁŝƚŚĞĂĐŚƉƌŽǀŝŶĐĞƌĞĐĞŝǀŝŶŐϭϭ͘ϭƉĞƌĐĞŶƚ͘dŚŝƐĐŽŵƉŽŶĞŶƚďĞŶĞĨŝƚƐ ƉƌŽǀŝŶĐĞƐǁŝƚŚƐŵĂůůĞƌƉŽƉƵůĂƚŝŽŶƐ͕ĞƐƉĞĐŝĂůůLJƚŚĞEŽƌƚŚĞƌŶĂƉĞ͕&ƌĞĞ^ƚĂƚĞĂŶĚEŽƌƚŚtĞƐƚ͕ ďĞĐĂƵƐĞƚŚĞĂůůŽĐĂƚŝŽŶƉĞƌƉĞƌƐŽŶĨŽƌƚŚĞƐĞƉƌŽǀŝŶĐĞƐŝƐŵƵĐŚŚŝŐŚĞƌŝŶƚŚŝƐĐŽŵƉŽŶĞŶƚ͘ WŽǀĞƌƚLJĐŽŵƉŽŶĞŶƚ;ϯƉĞƌĐĞŶƚͿ dŚĞƉŽǀĞƌƚLJĐŽŵƉŽŶĞŶƚŝŶƚƌŽĚƵĐĞƐĂƌĞĚŝƐƚƌŝďƵƚŝǀĞĞůĞŵĞŶƚƚŽƚŚĞĨŽƌŵƵůĂĂŶĚŝƐĂƐƐŝŐŶĞĚĂ ǁĞŝŐŚƚŽĨϯƉĞƌĐĞŶƚ͘&ŽƌƚŚŝƐĐŽŵƉŽŶĞŶƚ͕ƚŚĞƉŽŽƌƉŽƉƵůĂƚŝŽŶŝƐĚĞĨŝŶĞĚĂƐƉĞŽƉůĞǁŚŽĨĂůů ŝŶƚŽƚŚĞůŽǁĞƐƚκϬƉĞƌĐĞŶƚŽĨŚŽƵƐĞŚŽůĚŝŶĐŽŵĞƐ͘dŚĞĞƐƚŝŵĂƚĞĚƐŝnjĞŽĨƚŚĞƉŽŽƌƉŽƉƵůĂƚŝŽŶ ŝŶĞĂĐŚƉƌŽǀŝŶĐĞŝƐĐĂůĐƵůĂƚĞĚďLJŵƵůƚŝƉůLJŝŶŐƚŚĞƉƌŽƉŽƌƚŝŽŶŽĨƉĞŽƉůĞŝŶƚŚĂƚƉƌŽǀŝŶĐĞǁŚŽ ĨĂůůŝŶƚŽƚŚĞƉŽŽƌĞƐƚκϬƉĞƌĐĞŶƚŽĨ^ŽƵƚŚĨƌŝĐĂŶŚŽƵƐĞŚŽůĚƐďLJƚŚĞƉƌŽǀŝŶĐĞ͛ƐƉŽƉƵůĂƚŝŽŶ ĨŝŐƵƌĞĨƌŽŵƚŚĞϮϬϮρŵŝĚͲLJĞĂƌƉŽƉƵůĂƚŝŽŶĞƐƚŝŵĂƚĞƐ͘&ŽƌƚŚĞϮϬϮςDd&͕ƚŚĞƐĞƉƌŽǀŝŶĐŝĂů ƉƌŽƉŽƌƚŝŽŶƐĂƌĞƵƉĚĂƚĞĚƵƐŝŶŐĚĂƚĂĨƌŽŵƚŚĞϮϬϮϮͬϮϯ/ŶĐŽŵĞĂŶĚdžƉĞŶĚŝƚƵƌĞ^ƵƌǀĞLJ͘ dĂďůĞtϭ͘ϭϯƐŚŽǁƐƚŚĞĐŚĂŶŐĞŝŶƚŚĞƉƌŽƉŽƌƚŝŽŶŽĨƚŚĞƉŽŽƌŝŶĞĂĐŚƉƌŽǀŝŶĐĞďĞƚǁĞĞŶƚŚĞ ϮϬϭϬͬϭϭĂŶĚϮϬϮϮͬϮϯ/ŶĐŽŵĞĂŶĚdžƉĞŶĚŝƚƵƌĞ^ƵƌǀĞLJ͘dŚĞƚĂďůĞĂůƐŽƐŚŽǁƐƚŚĞĐŚĂŶŐĞŝŶƚŚĞ ǁĞŝŐŚƚĞĚƐŚĂƌĞŽĨƚŚĞƉŽǀĞƌƚLJĐŽŵƉŽŶĞŶƚƉĞƌƉƌŽǀŝŶĐĞĨƌŽŵƚŚĞϮϬϮρDd& ƚŽ ƚŚĞ ϮϬϮςDd&͘ dĂďůĞtϭ͘ϭϮ/ŵƉĂĐƚŽĨƚŚĞĐŚĂŶŐĞƐŝŶƉŽƉƵůĂƚŝŽŶŽŶƚŚĞďĂƐŝĐĐŽŵƉŽŶĞŶƚƐŚĂƌĞƐ WŽƉƵůĂƚŝŽŶ ĐŚĂŶŐĞ й ƉŽƉƵůĂƚŝŽŶ ĐŚĂŶŐĞ dŚŽƵƐĂŶĚϮϬϮκ ϮϬϮρϮϬϮρDd& ϮϬϮςDd& ŚĂŶŐĞ ĂƐƚĞƌŶĂƉĞϳϭϳςϳϬεϭ ͲΘρ Ͳϭй ϭϭ͘κй ϭϭ͘Ϯй ͲϬ͘Ϯй &ƌĞĞ^ƚĂƚĞϯϬκκϯϬκϬ Ͳκ ͲϬйκ͘Θй κ͘Θй ͲϬ͘Ϭй 'ĂƵƚĞŶŐϭρεϯϮϭςϭϬρ ϭϳϯ ϭй Ϯρ͘ϯй Ϯρ͘ρй Ϭ͘Ϯй <ǁĂƵůƵͲEĂƚĂů ϭϮϯϭϯϭϮϮϯϮ ͲΘϬ Ͳϭй ϭε͘ρй ϭε͘κй ͲϬ͘Ϯй >ŝŵƉŽƉŽςκϬϯςϯςς Ͳϯς Ͳϭй ϭϬ͘Ϯй ϭϬ͘ϭй ͲϬ͘ϭй DƉƵŵĂůĂŶŐĂ ρϬρΘρϬϳς ϭΘ ϬйΘ͘Ϭй Θ͘Ϭй Ϭ͘Ϭй EŽƌƚŚĞƌŶĂƉĞ ϭϯϳϯϭϯϳε ς ϬйϮ͘Ϯй Ϯ͘Ϯй Ϭ͘Ϭй EŽƌƚŚtĞƐƚκϭρρκϭΘκ Ϯε ϭйς͘ςй ς͘ςй Ϭ͘Ϭй tĞƐƚĞƌŶĂƉĞ ϳρςϯϳςϮΘ ςρ ϭй ϭϮ͘Ϭй ϭϮ͘ϭй Ϭ͘ϭй dŽƚĂůςϯϬϭςςϯϭϬϭΘρϬ͘Ϭй ϭϬϬ͘Ϭй ϭϬϬ͘Ϭйʹ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ DŝĚͲLJĞĂƌƉŽƉƵůĂƚŝŽŶ ĞƐƚŝŵĂƚĞƐ ĂƐŝĐĐŽŵƉŽŶĞŶƚ ƐŚĂƌĞƐ 82 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ĐŽŶŽŵŝĐĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚ;ϭƉĞƌĐĞŶƚͿ dŚĞĞĐŽŶŽŵŝĐĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚŝƐĂƉƌŽdžLJĨŽƌƉƌŽǀŝŶĐŝĂůƚĂdžĐĂƉĂĐŝƚLJĂŶĚĞdžƉĞŶĚŝƚƵƌĞ ĂƐƐŝŐŶŵĞŶƚƐ͘'ŝǀĞŶƚŚĂƚƚŚĞƐĞĂƐƐŝŐŶŵĞŶƚƐĂƌĞĂƌĞůĂƚŝǀĞůLJƐŵĂůůƉƌŽƉŽƌƚŝŽŶŽĨƉƌŽǀŝŶĐŝĂů ďƵĚŐĞƚƐ͕ƚŚĞĐŽŵƉŽŶĞŶƚŝƐĂƐƐŝŐŶĞĚĂǁĞŝŐŚƚŽĨϭƉĞƌĐĞŶƚ͘&ŽƌƚŚĞϮϬϮςDd&͕ƚŚĞĞĐŽŶŽŵŝĐ ĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚŚĂƐďĞĞŶƵƉĚĂƚĞĚǁŝƚŚƉƌŽǀŝŶĐŝĂů'WĚĂƚĂĨƌŽŵ^ƚĂƚŝƐƚŝĐƐ^ŽƵƚŚĨƌŝĐĂ͘ dĂďůĞtϭ͘ϭκƐŚŽǁƐƚŚĞǁĞŝŐŚƚĞĚƐŚĂƌĞƐŽĨƚŚĞĞĐŽŶŽŵŝĐĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚ͘ &ƵůůŝŵƉĂĐƚŽĨĚĂƚĂƵƉĚĂƚĞƐŽŶƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞ dĂďůĞtϭ͘ϭρƐŚŽǁƐƚŚĞĨƵůůŝŵƉĂĐƚŽĨƚŚĞĚĂƚĂƵƉĚĂƚĞƐŽŶƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞƉĞƌ ƉƌŽǀŝŶĐĞĂĨƚĞƌƚŚĞƐŝdžƵƉĚĂƚĞĚĐŽŵƉŽŶĞŶƚƐŚĂǀĞďĞĞŶĂĚĚĞĚƚŽŐĞƚŚĞƌ͘/ƚĐŽŵƉĂƌĞƐƚŚĞƚĂƌŐĞƚ ƐŚĂƌĞƐĨŽƌƚŚĞϮϬϮρĂŶĚϮϬϮςDd&ƉĞƌŝŽĚƐ͘dŚĞƐŝnjĞŽĨĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞƌĞĨůĞĐƚƐƚŚĞ ƌĞůĂƚŝǀĞĚĞŵĂŶĚĨŽƌƉƌŽǀŝŶĐŝĂůƉƵďůŝĐƐĞƌǀŝĐĞƐŝŶƚŚĂƚƉƌŽǀŝŶĐĞ͘dŚĞĐŚĂŶŐĞƐŝŶƐŚĂƌĞƐĨƌŽŵ ϮϬϮρƚŽϮϬϮςƌĞƐƉŽŶĚƚŽĐŚĂŶŐĞƐŝŶƚŚĂƚĚĞŵĂŶĚ͘dŚĞĚĞƚĂŝůƐŽĨŚŽǁƚŚĞĚĂƚĂƵƉĚĂƚĞƐĂĨĨĞĐƚ ĞĂĐŚĐŽŵƉŽŶĞŶƚŽĨƚŚĞĨŽƌŵƵůĂĂƌĞĚĞƐĐƌŝďĞĚŝŶĚĞƚĂŝůŝŶƚŚĞƐƵďƐĞĐƚŝŽŶƐĂďŽǀĞ͘ dĂďůĞtϭ͘ϭϯŽŵƉĂƌŝƐŽŶŽĨĐƵƌƌĞŶƚĂŶĚŶĞǁƉŽǀĞƌƚLJĐŽŵƉŽŶĞŶƚǁĞŝŐŚƚĞĚƐŚĂƌĞƐ dŚŽƵƐĂŶĚ DŝĚͲLJĞĂƌ ƉŽƉƵůĂƚŝŽŶ ĞƐƚŝŵĂƚĞƐ ϮϬϮκ WŽŽƌ ƉŽƉƵůĂͲ ƚŝŽŶ tĞŝŐŚƚĞĚ ƐŚĂƌĞƐ DŝĚͲLJĞĂƌ ƉŽƉƵůĂƚŝŽŶ ĞƐƚŝŵĂƚĞƐ ϮϬϮρ WŽŽƌ ƉŽƉƵůĂͲ ƚŝŽŶ tĞŝŐŚƚĞĚ ƐŚĂƌĞƐ ĂƐƚĞƌŶĂƉĞ ρϮ͘Ϭй ϳϭϳςϯϳϯκϭκ͘Θй 45.9% ϳϬεϭ ϯϮρρϭϮ͘ϳй ͲϮ͘ϭй &ƌĞĞ^ƚĂƚĞ κϭ͘κй ϯϬκκϭϮςϬρ͘Ϭй 44.3% ϯϬκϬ ϭϯκΘρ͘ϯй Ϭ͘ϯй 'ĂƵƚĞŶŐϮΘ͘εй ϭρεϯϮκρεεϭΘ͘ϯй 29.7% ϭςϭϬρ κϳϳρϭΘ͘ϳй Ϭ͘κй <ǁĂƵůƵͲEĂƚĂů κρ͘ϯй ϭϮϯϭϯρρϳεϮϮ͘Ϯй 46.9% ϭϮϮϯϮ ρϳϯϳϮϮ͘κй Ϭ͘Ϯй >ŝŵƉŽƉŽρϮ͘εй ςκϬϯϯϯΘκϭϯ͘ρй 51.4% ςϯςς ϯϮϳϯϭϮ͘Θй ͲϬ͘ϳй DƉƵŵĂůĂŶŐĂ κϳ͘ϯй ρϬρΘϮϯεϬε͘ρй 49.0% ρϬϳς ϮκΘεε͘ϳй Ϭ͘Ϯй EŽƌƚŚĞƌŶĂƉĞ κϬ͘Θй ϭϯϳϯρςϬϮ͘Ϯй 48.4% ϭϯϳε ςςϳϮ͘ςй Ϭ͘κй EŽƌƚŚtĞƐƚ κϳ͘εй κϭρρϭεεϬϳ͘εй 44.1% κϭΘκ ϭΘκκϳ͘Ϯй ͲϬ͘ϳй tĞƐƚĞƌŶĂƉĞ Ϯϭ͘εй ϳρςϯϭςρϯς͘ςй 29.0% ϳςϮΘ ϮϮϭϯΘ͘ςй Ϯ͘ϭй dŽƚĂůςϯϬϭςϮρϭρϬϭϬϬ͘ϬйςϯϭϬϭϮρςϬϭϭϬϬ͘Ϭй ʹ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ /ŶĐŽŵĞ ĂŶĚ džƉĞŶĚŝͲ ƚƵƌĞ ^ƵƌǀĞLJ ϮϬϭϬͬϭϭ ϮϬϮςDd& ŝĨĨĞƌĞŶĐĞ ŝŶ ǁĞŝŐŚƚĞĚ ƐŚĂƌĞƐ ϮϬϮρDd& /ŶĐŽŵĞ ĂŶĚ džƉĞŶĚŝͲ ƚƵƌĞ ^ƵƌǀĞLJ ϮϬϮϮͬϮϯ dĂďůĞtϭ͘ϭκƵƌƌĞŶƚĂŶĚŶĞǁĞĐŽŶŽŵŝĐĂĐƚŝǀŝƚLJĐŽŵƉŽŶĞŶƚǁĞŝŐŚƚĞĚƐŚĂƌĞƐ 'WͲZ͕ϮϬϭε ;ZŵŝůůŝŽŶͿ tĞŝŐŚƚĞĚƐŚĂƌĞƐ 'WͲZ͕ϮϬϮκ ;ZŵŝůůŝŽŶͿ tĞŝŐŚƚĞĚƐŚĂƌĞƐ ĂƐƚĞƌŶĂƉĞρϯϳϯρϮϳ͘ϳйρρϳϮκϳϳ͘ςй ͲϬ͘ϭй &ƌĞĞ^ƚĂƚĞϯκϮϬςκκ͘εйϯςκεϭερ͘Ϭй Ϭ͘ϭй 'ĂƵƚĞŶŐϮϯϮεΘϮϬϯϯ͘ϮйϮκκϮϬϮϬϯϯ͘Ϯй Ϭ͘Ϭй <ǁĂƵůƵͲEĂƚĂůϭϭϯϳςϳϭϭς͘ϮйϭϭΘκϭϬϮϭς͘ϭй ͲϬ͘ϭй >ŝŵƉŽƉŽρϯρρΘϮϳ͘ςйρϳϬςςςϳ͘Θй Ϭ͘ϭй DƉƵŵĂůĂŶŐĂρκεκςςϳ͘ΘйρςϳςκΘϳ͘ϳй ͲϬ͘ϭй EŽƌƚŚĞƌŶĂƉĞϭρΘϮϯςϮ͘ϯйϭςκςρϭϮ͘Ϯй ͲϬ͘Ϭй EŽƌƚŚtĞƐƚκκεϭκες͘κйκρεΘϬϮς͘ϯй ͲϬ͘ϭй tĞƐƚĞƌŶĂƉĞεΘκςρϯϭκ͘ϬйϭϬκϭϯεκϭκ͘Ϯй Ϭ͘ϭй dŽƚĂůϳϬϮϯεεκϭϬϬ͘ϬйϳϯρϮκκεϭϬϬ͘ϬйϬ͘Ϭй ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ ŝĨĨĞƌĞŶĐĞŝŶ ǁĞŝŐŚƚĞĚ ƐŚĂƌĞƐ ϮϬϮρDd&ϮϬϮςDd& 83 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh WŚĂƐŝŶŐŝŶƚŚĞĨŽƌŵƵůĂ dŚĞĂŶŶƵĂůƵƉĚĂƚĞƐƚŽƚŚĞŽĨĨŝĐŝĂůĚĂƚĂƵƐĞĚƚŽĐĂůĐƵůĂƚĞƚŚĞƉƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞ ĨŽƌŵƵůĂƌĞƐƵůƚŝŶĐŚĂŶŐĞƐƚŽĞĂĐŚƉƌŽǀŝŶĐĞ͛ƐƐŚĂƌĞŽĨƚŚĞĂǀĂŝůĂďůĞĨƵŶĚƐ͘dŚĞƐĞĐŚĂŶŐĞƐ ƌĞĨůĞĐƚƚŚĞĐŚĂŶŐŝŶŐďĂůĂŶĐĞŽĨƐĞƌǀŝĐĞĚĞůŝǀĞƌLJĚĞŵĂŶĚƐĂŵŽŶŐƚŚĞƉƌŽǀŝŶĐĞƐ͕ĂŶĚƚŚĞ ĂŶŶƵĂůĚĂƚĂƵƉĚĂƚĞƐĂƌĞǀŝƚĂůƚŽĞŶƐƵƌŝŶŐƚŚĂƚĂůůŽĐĂƚŝŽŶƐĐĂŶƌĞƐƉŽŶĚƚŽƚŚĞƐĞĐŚĂŶŐĞƐ͘ 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ĞdžƉĞĐƚĞĚ͕ƚŚĞĂůůŽĐĂƚŝŽŶĐƌŝƚĞƌŝĂƵƐĞĚĨŽƌĚŝǀŝĚŝŶŐĞĂĐŚŐƌĂŶƚďĞƚǁĞĞŶƉƌŽǀŝŶĐĞƐĂŶĚĂ ƐƵŵŵĂƌLJŽĨƚŚĞŐƌĂŶƚƐ͛ĂƵĚŝƚĞĚŽƵƚĐŽŵĞƐĨŽƌϮϬϮκͬϮρ͘ dĂďůĞtϭ͘ϭϳWƌŽǀŝŶĐŝĂůĞƋƵŝƚĂďůĞƐŚĂƌĞ ZŵŝůůŝŽŶϮϬϮςͬϮϳϮϬϮϳͬϮΘϮϬϮΘͬϮε ĂƐƚĞƌŶĂƉĞ ΘςρεεΘεΘϭϯεϮϭεε &ƌĞĞ^ƚĂƚĞ ϯςϳςϭϯΘϮκϳϯεϯςκ 'ĂƵƚĞŶŐ ϭκϬερϮϭκϳϬςϯϭρϭϳϭϭ <ǁĂƵůƵͲEĂƚĂů ϭϯςϯϳΘϭκϮϭϳΘϭκςςϳε >ŝŵƉŽƉŽ ϳΘερϭΘϮϯςκΘκεϳε DƉƵŵĂůĂŶŐĂ ρςϬϭερΘρΘρςϬρΘϬ EŽƌƚŚĞƌŶĂƉĞ ϭΘϮκϮϭεϬεϳϭεϳςρ EŽƌƚŚtĞƐƚ κςΘςϳκΘρϮϮκεΘςϬ tĞƐƚĞƌŶĂƉĞ ςερρϯϳϮϳρϳϳρϮϳϯ dŽƚĂůςϳϬϯϮϯςεΘςϮςϳϮϬκϬε ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌ LJ 87 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ŐƌŝĐƵůƚƵƌĞŐƌĂŶƚƐ dŚĞĐŽŵƉƌĞŚĞŶƐŝǀĞĂŐƌŝĐƵůƚƵƌĂůƐƵƉƉŽƌƚƉƌŽŐƌĂŵŵĞŐƌĂŶƚĂŝŵƐƚŽƐƵƉƉŽƌƚŶĞǁůLJĞƐƚĂďůŝƐŚĞĚ ĂŶĚĞŵĞƌŐŝŶŐĨĂƌŵĞƌƐ͕ƉĂƌƚŝĐƵůĂƌůLJƐƵďƐŝƐƚĞŶĐĞ͕ƐŵĂůůŚŽůĚĞƌĂŶĚƉƌĞǀŝŽƵƐůLJĚŝƐĂĚǀĂŶƚĂŐĞĚ ĨĂƌŵĞƌƐ͘dŚĞŐƌĂŶƚĨƵŶĚƐĂƌĂŶŐĞŽĨƉƌŽũĞĐƚƐ͕ŝŶĐůƵĚŝŶŐƉƌŽǀŝĚŝŶŐƚƌĂŝŶŝŶŐ͕ĚĞǀĞůŽƉŝŶŐĂŐƌŝͲ ƉƌŽĐĞƐƐŝŶŐŝŶĨƌĂƐƚƌƵĐƚƵƌĞĂŶĚĚŝƌĞĐƚůLJƐƵƉƉŽƌƚŝŶŐƚĂƌŐĞƚĞĚĨĂƌŵĞƌƐ͘dŚĞŐƌĂŶƚŚĂƐďĞĞŶ ĂůůŽĐĂƚĞĚZϳ͘κďŝůůŝŽŶŽǀĞƌƚŚĞŵĞĚŝƵŵƚĞƌŵ͘dŚŝƐĂůůŽĐĂƚŝŽŶŝŶĐůƵĚĞƐƚŚĞĨƵŶĚŝŶŐƚŚĂƚŚĂƐ ďĞĞŶƐŚŝĨƚĞĚĨƌŽŵƚŚĞ/ůŝŵĂͬ>ĞƚƐĞŵĂƉƌŽũĞĐƚƐŐƌĂŶƚ͘ 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ΘϭϳϳΘϯΘεϮκϮΘϯ ,ƵŵĂŶƌĞƐŽƵƌĐĞƐĂŶĚƚƌĂŝŶŝŶŐŐƌĂŶƚρςρϬρεϬεςϭϳκςϯΘρϭΘκςΘ EĂƚŝŽŶĂůŚĞĂůƚŚŝŶƐƵƌĂŶĐĞŐƌĂŶƚκςϳκϳρκεϳρϭϯϭκΘρ EĂƚŝŽŶĂůƚĞƌƚŝĂƌLJƐĞƌǀŝĐĞƐϭρεερϭςϳϬϬϭϳκϭϬϭϳεΘϬρϮϬεϬ ,ƵŵĂŶ^ĞƚƚůĞŵĞŶƚƐϭςεϭεϭρϭΘϯϭρϳΘεϭςϮΘϭκϳϮρϯ ,ƵŵĂŶƐĞƚƚůĞŵĞŶƚƐĚĞǀĞůŽƉŵĞŶƚϭκϭκεϭϯϮρΘϭϯΘϮϳϭκϮΘεκϭϯϳκ /ŶĨŽƌŵĂůƐĞƚƚůĞŵĞŶƚƐƵƉŐƌĂĚŝŶŐƉĂƌƚŶĞƌƐŚŝƉϮϳϳϬϭεϮρϭεςϮϭεεϮρΘϳε WƵďůŝĐtŽƌŬƐĂŶĚ/ŶĨƌĂƐƚƌƵĐƚƵƌĞςϮϳςκεςΘϭϳϬϯϮϬϯϯ džƉĂŶĚĞĚƉƵďůŝĐǁŽƌŬƐƉƌŽŐƌĂŵŵĞ ŝŶƚĞŐƌĂƚĞĚŐƌĂŶƚĨŽƌƉƌŽǀŝŶĐĞƐ ςϮϳςκεςΘϭϳϬϯϮϬϯϯ ^ƉŽƌƚ͕ƌƚƐĂŶĚƵůƚƵƌĞϮϮϳςϮϯϳϭϮκςεϮρκϳϳϯΘϳ ŽŵŵƵŶŝƚLJůŝďƌĂƌLJƐĞƌǀŝĐĞƐϭςκεϭϳϭεϭϳεϬϭΘκΘρϯρς DĂƐƐƉĂƌƚŝĐŝƉĂƚŝŽŶĂŶĚƐƉŽƌƚĚĞǀĞůŽƉŵĞŶƚςϮϳςρϯςϳεϳϬϬϮϬϯϭ dƌĂŶƐƉŽƌƚϮςϳκρϮςϯϯϮϮςρΘεϮϳκϭρΘϬϯϯρ WƌŽǀŝŶĐŝĂůƌŽĂĚƐŵĂŝŶƚĞŶĂŶĐĞϭΘςςϯϭϳεϮϯϭϳΘκκϭΘϯεερκϭςϳ WƵďůŝĐƚƌĂŶƐƉŽƌƚŽƉĞƌĂƚŝŽŶƐΘϬΘϮΘκϬεΘϳκκεϬϭςϮςϭςε dŽƚĂůĚŝƌĞĐƚĐŽŶĚŝƚŝŽŶĂůĂůůŽĐĂƚŝŽŶƐϭϯεκϯεϭκϬϭρΘϭκϳϮϯΘϭρϮϬϮΘκϯεκϮϯ /ŶĚŝƌĞĐƚƚƌĂŶƐĨĞƌƐκρεεϯϬϬΘϮρεϳ ϮςϳΘ ΘϮΘϯ ĂƐŝĐĚƵĐĂƚŝŽŶϭϮΘκκκΘʹʹκκΘ ^ĐŚŽŽůŝŶĨƌĂƐƚƌƵĐƚƵƌĞďĂĐŬůŽŐƐϭϮΘκκκΘʹʹκκΘ ,ĞĂůƚŚϯϯϭρϮρςϬϮρεϳϮςϳΘϳΘϯς EĂƚŝŽŶĂůŚĞĂůƚŚŝŶƐƵƌĂŶĐĞŝŶĚŝƌĞĐƚϯϯϭρϮρςϬϮρεϳϮςϳΘϳΘϯς ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 88 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ŐƌĂŶƚƐƌĞǀŝĞǁƉƌŽĐĞƐƐ͘dŚĞŵĞƌŐĞƌǁŝůůƐƚƌĞĂŵůŝŶĞĂĚŵŝŶŝƐƚƌĂƚŝǀĞƉƌŽĐĞƐƐĞƐ͕ƌĞĚƵĐĞƚŚĞ ǁŽƌŬůŽĂĚ ŽŶ ƉƌŽǀŝŶĐŝĂů ĚĞƉĂƌƚŵĞŶƚƐ͕ ĞůŝŵŝŶĂƚĞ ĚƵƉůŝĐĂƚŝŽŶ ŽĨ ĞĨĨŽƌƚƐ ŝŶ ƐƵƉƉŽƌƚŝŶŐ ƐŵĂůůŚŽůĚĞƌĂŶĚƐƵďƐŝƐƚĞŶĐĞĨĂƌŵĞƌƐ͕ĂŶĚƉƌŽǀŝĚĞĂŵŽƌĞĐŽŚĞƐŝǀĞĂŶĚĐŽŵƉƌĞŚĞŶƐŝǀĞ ƐƵƉƉŽƌƚƐLJƐƚĞŵĨŽƌďĞŶĞĨŝĐŝĂƌŝĞƐ͘dŚĞĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚĨƌĂŵĞǁŽƌŬŽĨƚŚĞĐŽŵƉƌĞŚĞŶƐŝǀĞ ĂŐƌŝĐƵůƚƵƌĂůƐƵƉƉŽƌƚƉƌŽŐƌĂŵŵĞŐƌĂŶƚŚĂƐďĞĞŶĂŵĞŶĚĞĚƚŽƌĞĨůĞĐƚƚŚĞŽƵƚƉƵƚƐŽĨƚŚĞ /ůŝŵĂͬ>ĞƚƐĞŵĂƉƌŽũĞĐƚƐŐƌĂŶƚ͘ dŚĞůĂŶĚĐĂƌĞƉƌŽŐƌĂŵŵĞŐƌĂŶƚ͗ƉŽǀĞƌƚLJƌĞůŝĞĨĂŶĚŝŶĨƌĂƐƚƌƵĐƚƵƌĞĚĞǀĞůŽƉŵĞŶƚĂŝŵƐƚŽ ŝŵƉƌŽǀĞƉƌŽĚƵĐƚŝǀŝƚLJĂŶĚƚŚĞƐƵƐƚĂŝŶĂďůĞƵƐĞŽĨŶĂƚƵƌĂůƌĞƐŽƵƌĐĞƐ͘WƌŽǀŝŶĐĞƐĂƌĞĂůƐŽ ĞŶĐŽƵƌĂŐĞĚƚŽƵƐĞƚŚŝƐŐƌĂŶƚƚŽĐƌĞĂƚĞũŽďƐƚŚƌŽƵŐŚƚŚĞdžƉĂŶĚĞĚWƵďůŝĐtŽƌŬƐWƌŽŐƌĂŵŵĞ͘ dŚĞŐƌĂŶƚŚĂƐďĞĞŶĂůůŽĐĂƚĞĚZϯϬρŵŝůůŝŽŶŽǀĞƌƚŚĞŵĞĚŝƵŵƚĞƌŵ͘ ĂƐŝĐĞĚƵĐĂƚŝŽŶŐƌĂŶƚƐ dŚĞĞĂƌůLJ ĐŚŝůĚŚŽŽĚ ĚĞǀĞůŽƉŵĞŶƚ ŐƌĂŶƚƐƵƉƉŽƌƚƐ ŐŽǀĞƌŶŵĞŶƚ͛Ɛ ƉƌŝŽƌŝƚŝƐĂƚŝŽŶ ŽĨ ĞĂƌůLJ ĐŚŝůĚŚŽŽĚĚĞǀĞůŽƉŵĞŶƚ͕ĂƐĞŶǀŝƐŝŽŶĞĚŝŶƚŚĞEĂƚŝŽŶĂůĞǀĞůŽƉŵĞŶƚWůĂŶ͘dŚĞŐƌĂŶƚĂŝŵƐƚŽ ŝŵƉƌŽǀĞƉŽŽƌĐŚŝůĚƌĞŶ͛ƐĂĐĐĞƐƐƚŽĞĂƌůLJĐŚŝůĚŚŽŽĚƉƌŽŐƌĂŵŵĞƐĂŶĚĞŶƐƵƌĞƚŚĂƚĞĂƌůLJ 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ƚŚĞĐŽƐƚŽĨĨƌĞĞďĂƐŝĐƐĞƌǀŝĐĞƐĨŽƌƉŽŽƌŚŽƵƐĞŚŽůĚƐ͘ • dŚĞ ƐĞĐŽŶĚ ƉĂƌƚ ĞŶĂďůĞƐ ŵƵŶŝĐŝƉĂůŝƚŝĞƐ ǁŝƚŚ ůŝŵŝƚĞĚ ƌĞƐŽƵƌĐĞƐ ƚŽ ĂĨĨŽƌĚ ďĂƐŝĐ ĂĚŵŝŶŝƐƚƌĂƚŝǀĞĂŶĚŐŽǀĞƌŶĂŶĐĞĐĂƉĂĐŝƚLJĂŶĚƉĞƌĨŽƌŵĐŽƌĞŵƵŶŝĐŝƉĂůĨƵŶĐƚŝŽŶƐ͘/ƚĚŽĞƐ ƚŚŝƐƚŚƌŽƵŐŚƚŚƌĞĞĐŽŵƉŽŶĞŶƚƐ͗ - dŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚƉƌŽǀŝĚĞƐĂƐƵďƐŝĚLJĨŽƌďĂƐŝĐŵƵŶŝĐŝƉĂůĂĚŵŝŶŝƐƚƌĂƚŝǀĞ ĐŽƐƚƐ͘ - dŚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚƉƌŽǀŝĚĞƐĨƵŶĚƐĨŽƌŽƚŚĞƌĐŽƌĞŵƵŶŝĐŝƉĂůƐĞƌǀŝĐĞƐ ŶŽƚŝŶĐůƵĚĞĚƵŶĚĞƌďĂƐŝĐƐĞƌǀŝĐĞƐ͘ - dŚĞƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌĞŶƐƵƌĞƐƚŚĂƚĨƵŶĚƐĨƌŽŵƚŚŝƐƉĂƌƚŽĨƚŚĞĨŽƌŵƵůĂĂƌĞ ŽŶůLJƉƌŽǀŝĚĞĚƚŽŵƵŶŝĐŝƉĂůŝƚŝĞƐǁŝƚŚůŝŵŝƚĞĚƉŽƚĞŶƚŝĂůƚŽƌĂŝƐĞƚŚĞŝƌŽǁŶƌĞǀĞŶƵĞ͘ DƵŶŝĐŝƉĂůŝƚŝĞƐƚŚĂƚĂƌĞůĞĂƐƚĂďůĞƚŽĨƵŶĚƚŚĞƐĞĐŽƐƚƐĨƌŽŵƚŚĞŝƌŽǁŶƌĞǀĞŶƵĞƐƐŚŽƵůĚ ƌĞĐĞŝǀĞƚŚĞŵŽƐƚĨƵŶĚŝŶŐ͘ • dŚĞƚŚŝƌĚƉĂƌƚŽĨƚŚĞĨŽƌŵƵůĂƉƌŽǀŝĚĞƐƉƌĞĚŝĐƚĂďŝůŝƚLJĂŶĚƐƚĂďŝůŝƚLJƚŚƌŽƵŐŚƚŚĞĐŽƌƌĞĐƚŝŽŶ ĂŶĚƐƚĂďŝůŝƐĂƚŝŽŶĨĂĐƚŽƌ͕ǁŚŝĐŚĞŶƐƵƌĞƐƚŚĂƚĂůůŽĨƚŚĞĨŽƌŵƵůĂ͛ƐŐƵĂƌĂŶƚĞĞƐĐĂŶďĞŵĞƚ͘ ĂĐŚŽĨƚŚĞƐĞĐŽŵƉŽŶĞŶƚƐŝƐĚĞƐĐƌŝďĞĚŝŶĚĞƚĂŝůŝŶƚŚĞƐƵďƐĞĐƚŝŽŶƐƚŚĂƚĨŽůůŽǁ͘ 102 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ^ƚƌƵĐƚƵƌĞŽĨƚŚĞůŽĐĂůŐŽǀĞƌŶŵĞŶƚĞƋƵŝƚĂďůĞƐŚĂƌĞĨŽƌŵƵůĂ >'^с^н;/н^ͿdžZц ǁŚĞƌĞ >'^ŝƐƚŚĞůŽĐĂůŐŽǀĞƌŶŵĞŶƚĞƋƵŝƚĂďůĞƐŚĂƌĞ ^ŝƐƚŚĞďĂƐŝĐƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ /ŝƐƚŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚ ^ŝƐƚŚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ ZŝƐƚŚĞƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌ ŝƐƚŚĞĐŽƌƌĞĐƚŝŽŶĂŶĚƐƚĂďŝůŝƐĂƚŝŽŶĨĂĐƚŽƌ dŚĞďĂƐŝĐƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ dŚŝƐĐŽŵƉŽŶĞŶƚŚĞůƉƐŵƵŶŝĐŝƉĂůŝƚŝĞƐƉƌŽǀŝĚĞĨƌĞĞďĂƐŝĐǁĂƚĞƌ͕ƐĂŶŝƚĂƚŝŽŶ͕ĞůĞĐƚƌŝĐŝƚLJĂŶĚ ƌĞĨƵƐĞƌĞŵŽǀĂůƐĞƌǀŝĐĞƐƚŽŚŽƵƐĞŚŽůĚƐƚŚĂƚĨĂůůďĞůŽǁĂŶĂĨĨŽƌĚĂďŝůŝƚLJƚŚƌĞƐŚŽůĚ͘&ŽůůŽǁŝŶŐ ŵƵŶŝĐŝƉĂůĐŽŶƐƵůƚĂƚŝŽŶ͕ƚŚĞĨŽƌŵƵůĂ͛ƐĂĨĨŽƌĚĂďŝůŝƚLJŵĞĂƐƵƌĞ;ƵƐĞĚƚŽĚĞƚĞƌŵŝŶĞŚŽǁŵĂŶLJ ŚŽƵƐĞŚŽůĚƐŶĞĞĚĨƌĞĞďĂƐŝĐƐĞƌǀŝĐĞƐͿŝƐďĂƐĞĚŽŶƚŚĞůĞǀĞůŽĨƚǁŽƐƚĂƚĞŽůĚĂŐĞƉĞŶƐŝŽŶƐ͘tŚĞŶ ƚŚĞϮϬϭϭĞŶƐƵƐǁĂƐĐŽŶĚƵĐƚĞĚ͕ƚŚĞƐƚĂƚĞŽůĚĂŐĞƉĞŶƐŝŽŶǁĂƐǁŽƌƚŚZϭϭκϬƉĞƌŵŽŶƚŚ͕ ǁŚŝĐŚŵĞĂŶƐƚŚĂƚƚǁŽƉĞŶƐŝŽŶƐǁĞƌĞǁŽƌƚŚZϮϮΘϬƉĞƌŵŽŶƚŚ͘ŵŽŶƚŚůLJŚŽƵƐĞŚŽůĚŝŶĐŽŵĞ ŽĨZϮϯϬϬƉĞƌŵŽŶƚŚŝŶϮϬϭϭŚĂƐƚŚĞƌĞĨŽƌĞďĞĞŶƵƐĞĚƚŽĚĞĨŝŶĞƚŚĞĨŽƌŵƵůĂ͛ƐĂĨĨŽƌĚĂďŝůŝƚLJ ƚŚƌĞƐŚŽůĚ͘^ƚĂƚŝƐƚŝĐƐ^ŽƵƚŚĨƌŝĐĂŚĂƐĐĂůĐƵůĂƚĞĚƚŚĂƚρεƉĞƌĐĞŶƚŽĨĂůůŚŽƵƐĞŚŽůĚƐŝŶ^ŽƵƚŚ ĨƌŝĐĂĨĂůůďĞůŽǁƚŚŝƐŝŶĐŽŵĞƚŚƌĞƐŚŽůĚ͘,ŽǁĞǀĞƌ͕ƚŚĞƉƌŽƉŽƌƚŝŽŶŝŶĞĂĐŚŵƵŶŝĐŝƉĂůŝƚLJǀĂƌŝĞƐ ǁŝĚĞůLJ͘/ŶϮϬϮςƚĞƌŵƐ͕ƚŚŝƐŵŽŶƚŚůLJŝŶĐŽŵĞŝƐĞƋƵŝǀĂůĞŶƚƚŽĂďŽƵƚZκϳεϬƉĞƌŵŽŶƚŚ͘ 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dĞĐŚŶŝĐĂůŽŵŵŝƚƚĞĞĨŽƌ&ŝŶĂŶĐĞĂŶĚƚŚĞƵĚŐĞƚ&ŽƌƵŵ͘dŚĞƉĂƵƐĞƚŽƚŚĞŐƌŽǁƚŚŽĨ ŚŽƵƐĞŚŽůĚŶƵŵďĞƌƐŽǀĞƌƚŚĞϮϬϮςDd&ƉĞƌŝŽĚĂůůŽǁƐ^ƚĂƚŝƐƚŝĐƐ^ŽƵƚŚĨƌŝĐĂƚŽĨŝŶĂůŝƐĞĂŶĞǁ ĚĂƚĂƐĞƌŝĞƐƌĞďĂƐĞĚŽŶƚŚĞϮϬϮϮĞŶƐƵƐ͘ƐĂƌĞƐƵůƚ͕ƚŚĞůŽĐĂůŐŽǀĞƌŶŵĞŶƚĞƋƵŝƚĂďůĞƐŚĂƌĞ ĨŽƌŵƵůĂĨŽƌƚŚĞϮϬϮςDd&ƉĞƌŝŽĚǁŝůůĐŽŶƚŝŶƵĞƚŽƵƐĞƚŚĞϮϬϮϯͬϮκŚŽƵƐĞŚŽůĚĞƐƚŝŵĂƚĞƐƵƐĞĚ ŝŶƚŚĞϮϬϮκDd&ĨŽƌŵƵůĂ͘dŚŝƐĂƉƉƌŽĂĐŚĞŶƐƵƌĞƐƐƚĂďŝůŝƚLJŝŶŵƵŶŝĐŝƉĂůĂůůŽĐĂƚŝŽŶƐƵŶƚŝůƚŚĞ ŶĞǁ͕ĞŶƐƵƐͲƌĞďĂƐĞĚĚĂƚĂƐĞƌŝĞƐďĞĐŽŵĞƐĂǀĂŝůĂďůĞ͘ 103 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ƵĞƚŽƚŚĞĚĂƚĂůŝŵŝƚĂƚŝŽŶƐ͕ƚŚĞƉƌŽƉŽƌƚŝŽŶŽĨŚŽƵƐĞŚŽůĚƐďĞůŽǁƚŚĞĂĨĨŽƌĚĂďŝůŝƚLJƚŚƌĞƐŚŽůĚŝŶ ĞĂĐŚŵƵŶŝĐŝƉĂůŝƚLJŝƐƐƚŝůůďĂƐĞĚŽŶϮϬϭϭĞŶƐƵƐĚĂƚĂ͘dŚĞƐƵďƐŝĚLJŝƐĂůůŽĐĂƚĞĚƚŽϭϬϬƉĞƌĐĞŶƚ ŽĨƚŚĞŚŽƵƐĞŚŽůĚƐďĞůŽǁƚŚĞƉŽǀĞƌƚLJƚŚƌĞƐŚŽůĚŝŶϮϬϮςͬϮϳĂŶĚϮϬϮϳͬϮΘ͕ĂŶĚερƉĞƌĐĞŶƚŝŶ ϮϬϮΘͬϮε͘/ŶϮϬϮςͬϮϳ͕ƚŚĞďĂƐŝĐƐĞƌǀŝĐĞƐƐƵďƐŝĚLJǁŝůůĨƵŶĚϭϭ͘ϮŵŝůůŝŽŶŚŽƵƐĞŚŽůĚƐ͘ dŚĞďĂƐŝĐƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚƉƌŽǀŝĚĞƐĂƐƵďƐŝĚLJŽĨZςκϳ͘εςƉĞƌŵŽŶƚŚŝŶϮϬϮςͬϮϳĨŽƌƚŚĞ ĐŽƐƚŽĨƉƌŽǀŝĚŝŶŐďĂƐŝĐƐĞƌǀŝĐĞƐƚŽĞĂĐŚŽĨƚŚĞƐĞŚŽƵƐĞŚŽůĚƐ͘dŚĞƐƵďƐŝĚLJŝŶĐůƵĚĞƐĨƵŶĚŝŶŐĨŽƌ ƚŚĞ ƉƌŽǀŝƐŝŽŶ ŽĨ ĨƌĞĞ ďĂƐŝĐ ǁĂƚĞƌ 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ĂĚŵŝŶŝƐƚƌĂƚŝŽŶĂŶĚŝƐŶŽƚŝŶƚĞŶĚĞĚƚŽĨƵŶĚƚŚĞĐŽƐƚƐŽĨĐŽƵŶĐŝůůŽƌƐŽŶůLJ;ƚŚĞDŝŶŝƐƚĞƌŽĨ ŽŽƉĞƌĂƚŝǀĞ'ŽǀĞƌŶĂŶĐĞĂŶĚdƌĂĚŝƚŝŽŶĂůĨĨĂŝƌƐĚĞƚĞƌŵŝŶĞƐƚŚĞŶƵŵďĞƌŽĨƐĞĂƚƐƌĞĐŽŐŶŝƐĞĚ ĨŽƌƚŚĞĨŽƌŵƵůĂͿ͘dŚĞďĂƐĞĂůůŽĐĂƚŝŽŶĂĐŬŶŽǁůĞĚŐĞƐƚŚĂƚĂůůŵƵŶŝĐŝƉĂůŝƚŝĞƐŚĂǀĞƐŽŵĞĨŝdžĞĚ ĐŽƐƚƐ͘ dŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚ /сďĂƐĞĂůůŽĐĂƚŝŽŶн΀ĂůůŽĐĂƚŝŽŶƉĞƌĐŽƵŶĐŝůůŽƌdžŶƵŵďĞƌŽĨĐŽƵŶĐŝůƐĞĂƚƐ΁ dŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĐŽŵƉŽŶĞŶƚĂĐĐŽƵŶƚƐĨŽƌρ͘ΘƉĞƌĐĞŶƚŽĨƚŚĞůŽĐĂůŐŽǀĞƌŶŵĞŶƚĞƋƵŝƚĂďůĞ ƐŚĂƌĞĨŽƌŵƵůĂĂŶĚŝƐǁŽƌƚŚZρ͘εďŝůůŝŽŶŝŶϮϬϮςͬϮϳ͘dŚŝƐĐŽŵƉŽŶĞŶƚŝƐĂůƐŽĐŽŵƉůĞŵĞŶƚĞĚďLJ ƐƉĞĐŝĂůƐƵƉƉŽƌƚĨŽƌĐŽƵŶĐŝůůŽƌƌĞŵƵŶĞƌĂƚŝŽŶŝŶƉŽŽƌŵƵŶŝĐŝƉĂůŝƚŝĞƐ͕ǁŚŝĐŚŝƐŶŽƚƉĂƌƚŽĨƚŚĞ ĞƋƵŝƚĂďůĞƐŚĂƌĞĨŽƌŵƵůĂ͘ dŚĞďĂƐŝĐƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ ^сďĂƐŝĐƐĞƌǀŝĐĞƐƐƵďƐŝĚLJdžŶƵŵďĞƌŽĨƉŽŽƌŚŽƵƐĞŚŽůĚƐ 105 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh dŚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ dŚŝƐĐŽŵƉŽŶĞŶƚĨƵŶĚƐƐĞƌǀŝĐĞƐƚŚĂƚďĞŶĞĨŝƚĐŽŵŵƵŶŝƚŝĞƐƌĂƚŚĞƌƚŚĂŶŝŶĚŝǀŝĚƵĂůŚŽƵƐĞŚŽůĚƐ ;ǁŚŝĐŚĂƌĞƉƌŽǀŝĚĞĚĨŽƌŝŶƚŚĞďĂƐŝĐƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚͿ͘/ƚŝŶĐůƵĚĞƐĨƵŶĚŝŶŐĨŽƌŵƵŶŝĐŝƉĂů ŚĞĂůƚŚ ƐĞƌǀŝĐĞƐ͕ ĨŝƌĞ ƐĞƌǀŝĐĞƐ͕ ŵƵŶŝĐŝƉĂů ƌŽĂĚƐ͕ ĐĞŵĞƚĞƌŝĞƐ͕ ƉůĂŶŶŝŶŐ͕ ƐƚŽƌŵǁĂƚĞƌ ŵĂŶĂŐĞŵĞŶƚ͕ƐƚƌĞĞƚůŝŐŚƚŝŶŐĂŶĚƉĂƌŬƐ͘dŽĞŶƐƵƌĞƚŚŝƐĐŽŵƉŽŶĞŶƚĂƐƐŝƐƚƐŵƵŶŝĐŝƉĂůŝƚŝĞƐǁŝƚŚ ůŝŵŝƚĞĚƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐĂďŝůŝƚŝĞƐ͕ĂƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌŝƐĂƉƉůŝĞĚƐŽƚŚĂƚƚŚĞƐĞ ŵƵŶŝĐŝƉĂůŝƚŝĞƐƌĞĐĞŝǀĞĂůĂƌŐĞƌƉƌŽƉŽƌƚŝŽŶŽĨƚŚĞĂůůŽĐĂƚŝŽŶ͘ dŚĞĂůůŽĐĂƚŝŽŶĨŽƌƚŚŝƐĐŽŵƉŽŶĞŶƚŝƐƐƉůŝƚďĞƚǁĞĞŶĚŝƐƚƌŝĐƚĂŶĚůŽĐĂůŵƵŶŝĐŝƉĂůŝƚŝĞƐ͕ǁŚŝĐŚďŽƚŚ ƉƌŽǀŝĚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐ͘/ŶϮϬϮςͬϮϳ͕ƚŚĞĂůůŽĐĂƚŝŽŶƚŽĚŝƐƚƌŝĐƚŵƵŶŝĐŝƉĂůŝƚŝĞƐĨŽƌŵƵŶŝĐŝƉĂů ŚĞĂůƚŚĂŶĚƌĞůĂƚĞĚƐĞƌǀŝĐĞƐŝƐZϭϯ͘κΘƉĞƌŚŽƵƐĞŚŽůĚƉĞƌŵŽŶƚŚ͘dŚĞĐŽŵƉŽŶĞŶƚ͛ƐƌĞŵĂŝŶŝŶŐ ĨƵŶĚƐĂƌĞĂůůŽĐĂƚĞĚƚŽůŽĐĂůĂŶĚŵĞƚƌŽƉŽůŝƚĂŶŵƵŶŝĐŝƉĂůŝƚŝĞƐĨŽƌŽƚŚĞƌƐĞƌǀŝĐĞƐ͕ďĂƐĞĚŽŶƚŚĞ ŶƵŵďĞƌŽĨŚŽƵƐĞŚŽůĚƐŝŶĞĂĐŚŵƵŶŝĐŝƉĂůŝƚLJ͘ dŚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚ ^с΀ŵƵŶŝĐŝƉĂůŚĞĂůƚŚĂŶĚƌĞůĂƚĞĚƐĞƌǀŝĐĞƐĂůůŽĐĂƚŝŽŶdžŶƵŵďĞƌŽĨŚŽƵƐĞŚŽůĚƐ΁н΀ŽƚŚĞƌƐĞƌǀŝĐĞƐĂůůŽĐĂƚŝŽŶdž ŶƵŵďĞƌŽĨŚŽƵƐĞŚŽůĚƐ΁ dŚĞĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚĂĐĐŽƵŶƚƐĨŽƌΘ͘ϳƉĞƌĐĞŶƚŽĨƚŚĞůŽĐĂůŐŽǀĞƌŶŵĞŶƚ ĞƋƵŝƚĂďůĞƐŚĂƌĞĨŽƌŵƵůĂĂŶĚŝƐǁŽƌƚŚZΘ͘εďŝůůŝŽŶŝŶϮϬϮςͬϮϳ͘ dŚĞƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌ dŚĞŽŶƐƚŝƚƵƚŝŽŶŐŝǀĞƐůŽĐĂůŐŽǀĞƌŶŵĞŶƚƐƵďƐƚĂŶƚŝĂůƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐƉŽǁĞƌƐ;ƉĂƌƚŝĐƵůĂƌůLJ ƚŚƌŽƵŐŚƉƌŽƉĞƌƚLJƌĂƚĞƐĂŶĚƐƵƌĐŚĂƌŐĞƐŽŶƐĞƌǀŝĐĞƐͿ͘DƵŶŝĐŝƉĂůŝƚŝĞƐĂƌĞĞdžƉĞĐƚĞĚƚŽĨƵŶĚŵŽƐƚ ŽĨƚŚĞŝƌŽǁŶĂĚŵŝŶŝƐƚƌĂƚŝǀĞĐŽƐƚƐĂŶĚĐƌŽƐƐͲƐƵďƐŝĚŝƐĞƐŽŵĞƐĞƌǀŝĐĞƐĨŽƌŝŶĚŝŐĞŶƚƌĞƐŝĚĞŶƚƐ͘ 'ŝǀĞŶƚŚĞǀĂƌŝĞĚůĞǀĞůƐŽĨƉŽǀĞƌƚLJĂĐƌŽƐƐ^ŽƵƚŚĨƌŝĐĂ͕ƚŚĞĨŽƌŵƵůĂĚŽĞƐŶŽƚĞdžƉĞĐƚĂůů ŵƵŶŝĐŝƉĂůŝƚŝĞƐƚŽďĞĂďůĞƚŽŐĞŶĞƌĂƚĞƐŝŵŝůĂƌĂŵŽƵŶƚƐŽĨŽǁŶƌĞǀĞŶƵĞ͘ƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚ ĨĂĐƚŽƌŝƐĂƉƉůŝĞĚƚŽƚŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĂŶĚĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚƐŽĨƚŚĞĨŽƌŵƵůĂƚŽ ĞŶƐƵƌĞƚŚĂƚƚŚĞĨƵŶĚƐĂƐƐŝƐƚŵƵŶŝĐŝƉĂůŝƚŝĞƐƚŚĂƚĂƌĞůĞĂƐƚůŝŬĞůLJƚŽďĞĂďůĞƚŽĨƵŶĚƚŚĞƐĞ ĨƵŶĐƚŝŽŶƐĨƌŽŵƚŚĞŝƌŽǁŶƌĞǀĞŶƵĞ͘ dŽĂĐĐŽƵŶƚĨŽƌƚŚĞǀĂƌLJŝŶŐĨŝƐĐĂůĐĂƉĂĐŝƚŝĞƐŽĨŵƵŶŝĐŝƉĂůŝƚŝĞƐ͕ƚŚŝƐĐŽŵƉŽŶĞŶƚŝƐďĂƐĞĚŽŶĂƉĞƌ ĐĂƉŝƚĂŝŶĚĞdžƵƐŝŶŐƚŚĞĨŽůůŽǁŝŶŐĨĂĐƚŽƌƐĨƌŽŵƚŚĞϮϬϭϭĞŶƐƵƐ͗ • dŽƚĂůŝŶĐŽŵĞŽĨĂůůŝŶĚŝǀŝĚƵĂůƐͬŚŽƵƐĞŚŽůĚƐŝŶĂŵƵŶŝĐŝƉĂůŝƚLJ;ĂƐĂŵĞĂƐƵƌĞŽĨĞĐŽŶŽŵŝĐ ĂĐƚŝǀŝƚLJĂŶĚĞĂƌŶŝŶŐͿ͘ • ZĞƉŽƌƚĞĚƉƌŽƉĞƌƚLJǀĂůƵĞƐ͘ • EƵŵďĞƌŽĨŚŽƵƐĞŚŽůĚƐŽŶƚƌĂĚŝƚŝŽŶĂůůĂŶĚ͘ • hŶĞŵƉůŽLJŵĞŶƚƌĂƚĞ͘ • WƌŽƉŽƌƚŝŽŶŽĨƉŽŽƌŚŽƵƐĞŚŽůĚƐĂƐĂƉĞƌĐĞŶƚĂŐĞŽĨƚŚĞƚŽƚĂůŶƵŵďĞƌŽĨŚŽƵƐĞŚŽůĚƐŝŶƚŚĞ ŵƵŶŝĐŝƉĂůŝƚLJ͘ 106 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ĂƐĞĚŽŶƚŚŝƐŝŶĚĞdž͕ŵƵŶŝĐŝƉĂůŝƚŝĞƐǁĞƌĞƌĂŶŬĞĚĂĐĐŽƌĚŝŶŐƚŽƚŚĞŝƌƉĞƌĐĂƉŝƚĂƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐ ƉŽƚĞŶƚŝĂů͘dŚĞƚŽƉϭϬƉĞƌĐĞŶƚŽĨŵƵŶŝĐŝƉĂůŝƚŝĞƐŚĂǀĞĂƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌŽĨnjĞƌŽ͕ ǁŚŝĐŚŵĞĂŶƐƚŚĂƚƚŚĞLJĚŽŶŽƚƌĞĐĞŝǀĞĂŶĂůůŽĐĂƚŝŽŶĨƌŽŵƚŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĂŶĚĐŽŵŵƵŶŝƚLJ ƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚƐ͘dŚĞϮρƉĞƌĐĞŶƚŽĨŵƵŶŝĐŝƉĂůŝƚŝĞƐǁŝƚŚƚŚĞůŽǁĞƐƚƐĐŽƌĞƐŚĂǀĞĂƌĞǀĞŶƵĞ ĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌŽĨϭϬϬƉĞƌĐĞŶƚ͕ǁŚŝĐŚŵĞĂŶƐƚŚĂƚƚŚĞLJƌĞĐĞŝǀĞƚŚĞŝƌĨƵůůĂůůŽĐĂƚŝŽŶĨƌŽŵ ƚŚĞŝŶƐƚŝƚƵƚŝŽŶĂůĂŶĚĐŽŵŵƵŶŝƚLJƐĞƌǀŝĐĞƐĐŽŵƉŽŶĞŶƚƐ͘DƵŶŝĐŝƉĂůŝƚŝĞƐďĞƚǁĞĞŶƚŚĞďŽƚƚŽŵ ϮρƉĞƌĐĞŶƚĂŶĚƚŽƉϭϬƉĞƌĐĞŶƚŚĂǀĞĂƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌĂƉƉůŝĞĚŽŶĂƐůŝĚŝŶŐƐĐĂůĞ͕ ƐŽƚŚĂƚƚŚŽƐĞǁŝƚŚŚŝŐŚĞƌƉĞƌĐĂƉŝƚĂƌĞǀĞŶƵĞͲƌĂŝƐŝŶŐƉŽƚĞŶƚŝĂůƌĞĐĞŝǀĞĂůŽǁĞƌƌĞǀĞŶƵĞ ĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌĂŶĚƚŚŽƐĞǁŝƚŚůĞƐƐƉŽƚĞŶƚŝĂůŚĂǀĞĂůĂƌŐĞƌƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌ͘ dŚĞƌĞǀĞŶƵĞĂĚũƵƐƚŵĞŶƚĨĂĐƚŽƌŝƐŶŽƚďĂƐĞĚŽŶƚŚĞĂĐƚƵĂůƌĞǀĞŶƵĞƐƚŚĂƚŵƵŶŝĐŝƉĂůŝƚŝĞƐĐŽůůĞĐƚ͘ dŚŝƐĞŶƐƵƌĞƐƚŚĂƚƚŚŝƐĐŽŵƉŽŶĞŶƚĚŽĞƐŶŽƚĐƌĞĂƚĞĂƉĞƌǀĞƌƐĞŝŶĐĞŶƚŝǀĞĨŽƌŵƵŶŝĐŝƉĂůŝƚŝĞƐƚŽ ƵŶĚĞƌͲĐŽůůĞĐƚƌĞǀĞŶƵĞƚŽƌĞĐĞŝǀĞĂŚŝŐŚĞƌĞƋƵŝƚĂďůĞƐŚĂƌĞ͘ ĞĐĂƵƐĞĚŝƐƚƌŝĐƚŵƵŶŝĐŝƉĂůŝƚŝĞƐĚŽŶŽƚĐŽůůĞĐƚƌĞǀĞŶƵĞĨƌŽŵƉƌŽƉĞƌƚLJƌĂƚĞƐ͕ƚŚĞƌĞǀĞŶƵĞ 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^ĐŚĞĚƵůĞς͕ƉĂƌƚŐƌĂŶƚƐƉƌŽǀŝĚĞŝŶͲŬŝŶĚĂůůŽĐĂƚŝŽŶƐƚŚƌŽƵŐŚǁŚŝĐŚĂŶĂƚŝŽŶĂůĚĞƉĂƌƚŵĞŶƚ ŝŵƉůĞŵĞŶƚƐƉƌŽũĞĐƚƐŝŶŵƵŶŝĐŝƉĂůŝƚŝĞƐ͘ • ^ĐŚĞĚƵůĞϳ͕ƉĂƌƚŐƌĂŶƚƐƉƌŽǀŝĚĞĨŽƌƚŚĞƐǁŝĨƚĂůůŽĐĂƚŝŽŶĂŶĚƚƌĂŶƐĨĞƌŽĨĨƵŶĚƐƚŽĂ ŵƵŶŝĐŝƉĂůŝƚLJƚŽŚĞůƉŝƚĚĞĂůǁŝƚŚĂĚŝƐĂƐƚĞƌ͘ /ŶĨƌĂƐƚƌƵĐƚƵƌĞĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚƐƚŽůŽĐĂůŐŽǀĞƌŶŵĞŶƚ EĂƚŝŽŶĂůƚƌĂŶƐĨĞƌƐĨŽƌŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͕ŝŶĐůƵĚŝŶŐŝŶĚŝƌĞĐƚŽƌŝŶͲŬŝŶĚĂůůŽĐĂƚŝŽŶƐƚŽĞŶƚŝƚŝĞƐ ĞdžĞĐƵƚŝŶŐƐƉĞĐŝĨŝĐƉƌŽũĞĐƚƐŝŶŵƵŶŝĐŝƉĂůŝƚŝĞƐ͕ĂŵŽƵŶƚƚŽZϭΘϳ͘εďŝůůŝŽŶŽǀĞƌƚŚĞϮϬϮςDd& ƉĞƌŝŽĚ͘ 109 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh DƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚ dŚĞ ůĂƌŐĞƐƚ ŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ƚƌĂŶƐĨĞƌ ƚŽ ŵƵŶŝĐŝƉĂůŝƚŝĞƐ ŝƐ ŵĂĚĞ ƚŚƌŽƵŐŚ ƚŚĞŵƵŶŝĐŝƉĂů ŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚ͕ǁŚŝĐŚƐƵƉƉŽƌƚƐŐŽǀĞƌŶŵĞŶƚ͛ƐĂŝŵƚŽĞdžƉĂŶĚƐĞƌǀŝĐĞĚĞůŝǀĞƌLJĂŶĚ ĂůůĞǀŝĂƚĞƉŽǀĞƌƚLJ͘dŚĞŐƌĂŶƚĨƵŶĚƐƚŚĞƉƌŽǀŝƐŝŽŶŽĨŝŶĨƌĂƐƚƌƵĐƚƵƌĞĨŽƌďĂƐŝĐƐĞƌǀŝĐĞƐ͕ƌŽĂĚƐĂŶĚ ƐŽĐŝĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞĨŽƌƉŽŽƌŚŽƵƐĞŚŽůĚƐŝŶĂůůŶŽŶͲŵĞƚƌŽƉŽůŝƚĂŶŵƵŶŝĐŝƉĂůŝƚŝĞƐ͘dŚĞƚŽƚĂů ĂůůŽĐĂƚŝŽŶƐĨŽƌƚŚŝƐŐƌĂŶƚĂŵŽƵŶƚƚŽZρΘ͘ϳďŝůůŝŽŶŽǀĞƌƚŚĞŵĞĚŝƵŵƚĞƌŵ͘dŚĞŐƌĂŶƚŝƐĂůůŽĐĂƚĞĚ 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ϯϬεϭεϬϮκεεϳΘ ϭϮςκς WƵďůŝĐƚƌĂŶƐƉŽƌƚŶĞƚǁŽƌŬςϬϭϯςϭεκςϬΘϬϳρκκρϳϭϭκρϭϬϯϳκϳ ZƵƌĂůƌŽĂĚƐĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚ ƐLJƐƚĞŵƐ ϭϭρϭϭρϭϮϭϭϮςϭϯϭϭϯςϭκϭ ZĞŐŝŽŶĂůďƵůŬŝŶĨƌĂƐƚƌƵĐƚƵƌĞϮςρςϯϮρεϯςϮϳϯϳρϳϯεϬϮϯΘςρϯςκε tĂƚĞƌƐĞƌǀŝĐĞƐŝŶĨƌĂƐƚƌƵĐƚƵƌĞϯϳϬϭϯςϮϬκϬϯΘκϮϭεκϯΘεκρςκκϳϬς /ŶĚŝƌĞĐƚƚƌĂŶƐĨĞƌƐϳϭϭΘΘϬςϮςερϯϳΘςϯϳκϳϯΘϬϯϭΘϮΘϬ DƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ʹʹ ρΘκεκρϯςʹʹ /ŶƚĞŐƌĂƚĞĚŶĂƚŝŽŶĂůĞůĞĐƚƌŝĨŝĐĂƚŝŽŶ ƉƌŽŐƌĂŵŵĞ ϯρΘΘϯρϭΘϮϭεςϮϮϳκϭρεϯϮκϳϮϮρκε EĞŝŐŚďŽƵƌŚŽŽĚĚĞǀĞůŽƉŵĞŶƚ ƉĂƌƚŶĞƌƐŚŝƉ ϭεϬϭΘεερεεʹʹʹ ^ŵĂƌƚŵĞƚĞƌƐʹʹ ρϬϬςρϬϳεςΘϮΘΘρϯ ZĞŐŝŽŶĂůďƵůŬŝŶĨƌĂƐƚƌƵĐƚƵƌĞϮϳϮρϯϮκϬϯϬρΘϯϮϮϳϯϮϭρϯϯκϯϯκκϳ tĂƚĞƌƐĞƌǀŝĐĞƐŝŶĨƌĂƐƚƌƵĐƚƵƌĞςϭρ ϭϭϭκϭϬκϳϭϭϭεϭϯϯκϭϯΘΘϭκϯϭ dŽƚĂůρςϭϭϬρρϯρςρςεϯϳςϯΘκεςϬϯκϭςϮϳρεςκΘϭϬ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ DĞĚŝƵŵͲƚĞƌŵĞƐƚŝŵĂƚĞƐ 110 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh DƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚсннWннE ŽŶƐƚĂŶƚƚŽĞŶƐƵƌĞĂŵŝŶŝŵƵŵĂůůŽĐĂƚŝŽŶĨŽƌƐŵĂůůŵƵŶŝĐŝƉĂůŝƚŝĞƐ;ƚŚŝƐĂůůŽĐĂƚŝŽŶŝƐŵĂĚĞƚŽĂůůŵƵŶŝĐŝƉĂůŝƚŝĞƐͿ ĂƐŝĐƌĞƐŝĚĞŶƚŝĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞ;ƉƌŽƉŽƌƚŝŽŶĂůĂůůŽĐĂƚŝŽŶƐĨŽƌǁĂƚĞƌƐƵƉƉůLJĂŶĚƐĂŶŝƚĂƚŝŽŶ͕ƌŽĂĚƐĂŶĚŽƚŚĞƌ ƐĞƌǀŝĐĞƐƐƵĐŚĂƐƐƚƌĞĞƚůŝŐŚƚŝŶŐĂŶĚƐŽůŝĚǁĂƐƚĞƌĞŵŽǀĂůͿ W 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dĂďůĞtϭ͘ϮϳDƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚĂůůŽĐĂƚŝŽŶƐƉĞƌƐĞĐƚŽƌ DƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ŐƌĂŶƚ;ĨŽƌŵƵůĂͿ ŽŵƉŽŶĞŶƚ ǁĞŝŐŚƚƐ sĂůƵĞŽĨ ĐŽŵƉŽŶĞŶƚ ϮϬϮςͬϮϳ ;ZŵŝůůŝŽŶͿ ϭ WƌŽƉŽƌƚŝŽŶŽĨ ŵƵŶŝĐŝƉĂů ŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ŐƌĂŶƚƉĞƌ ƐĞĐƚŽƌ ͲĐŽŵƉŽŶĞŶƚ ϳρ͘ϬйϭϮκϬκςΘ͘Θй tĂƚĞƌĂŶĚƐĂŶŝƚĂƚŝŽŶ ϳϮ͘ϬйΘεϯϭκε͘ρй ZŽĂĚƐ Ϯϯ͘ϬйϮΘρϯϭρ͘Θй KƚŚĞƌ ρ͘ϬйςϮϬϯ͘κй WͲĐŽŵƉŽŶĞŶƚϭρ͘ϬйϮκΘϭϭϯ͘Θй ^ƉŽƌƚƐ ϯϯ͘ϬйΘϭεκ͘ρй ͲĐŽŵƉŽŶĞŶƚρ͘ϬйΘϮϳκ͘ςй EͲĐŽŵƉŽŶĞŶƚρ͘ϬйΘϮϳκ͘ςй ŽŶƐƚĂŶƚϭϬΘϬς͘Ϭй κϮϭϮ͘ϯй dŽƚĂůϭΘϬκϬϭϬϬ͘Ϭй ϭ͘/ŶĐůƵƐŝǀĞŽĨƚŚĞŝŶĚŝƌĞĐƚĐŽŵƉŽŶĞŶƚŽĨƚŚĞŐƌĂŶƚ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ ZŝŶŐͲĨĞŶĐĞĚĨƵŶĚŝŶŐĨŽƌƐƉŽƌƚ ŝŶĨƌĂƐƚƌƵĐƚƵƌĞ 112 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh dŽƐƵƉƉŽƌƚŵƵŶŝĐŝƉĂůŝƚŝĞƐĨĂĐŝŶŐŝŵƉůĞŵĞŶƚĂƚŝŽŶĐŚĂůůĞŶŐĞƐ͕ƚŚĞĞƉĂƌƚŵĞŶƚŽĨŽŽƉĞƌĂƚŝǀĞ 'ŽǀĞƌŶĂŶĐĞǁŝůůĚĞƉůŽLJƚŚĞŝŶĚŝƌĞĐƚĐŽŵƉŽŶĞŶƚŽĨĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚƐƚŽĚĞůŝǀĞƌƉƌŽũĞĐƚƐŽŶ ƚŚĞŝƌďĞŚĂůĨ͘dŚĞƌĂŶŐĞŽĨŝŵƉůĞŵĞŶƚŝŶŐĂŐĞŶƚƐŚĂƐďĞĞŶĞdžƉĂŶĚĞĚďĞLJŽŶĚƚŚĞDƵŶŝĐŝƉĂů /ŶĨƌĂƐƚƌƵĐƚƵƌĞ^ƵƉƉŽƌƚŐĞŶĐLJƚŽŝŶĐůƵĚĞƚŚĞĞǀĞůŽƉŵĞŶƚĂŶŬŽĨ^ŽƵƚŚĞƌŶĨƌŝĐĂĂŶĚ ĐĂƉĂďůĞĚŝƐƚƌŝĐƚŵƵŶŝĐŝƉĂůŝƚŝĞƐ͕ĞŶĂďůŝŶŐƚŚĞĞƉĂƌƚŵĞŶƚŽĨŽŽƉĞƌĂƚŝǀĞ'ŽǀĞƌŶĂŶĐĞƚŽŵĂƚĐŚ 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ŶĂďůĞĂŶĚŝŶĐĞŶƚŝǀŝƐĞŵƵŶŝĐŝƉĂůŝƚŝĞƐƚŽŝŶǀĞƐƚŵŽƌĞŶŽŶͲŐƌĂŶƚĨƵŶĚŝŶŐŝŶŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ƉƌŽũĞĐƚƐŝŶŝŶƚĞƌŵĞĚŝĂƚĞĐŝƚŝĞƐ͘ dŚĞ ŐƌĂŶƚ ĞdžƚĞŶĚƐ ƐŽŵĞ ŽĨ ƚŚĞ ĨŝƐĐĂů ƌĞĨŽƌŵƐ ĂůƌĞĂĚLJ ŝŵƉůĞŵĞŶƚĞĚ ŝŶ ŵĞƚƌŽƉŽůŝƚĂŶ ŵƵŶŝĐŝƉĂůŝƚŝĞƐ ƚŽ ŶŽŶͲŵĞƚƌŽƉŽůŝƚĂŶ ĐŝƚŝĞƐ ĂŶĚ ŝƐ ĂĚŵŝŶŝƐƚĞƌĞĚ ďLJ ƚŚĞ ĞƉĂƌƚŵĞŶƚ ŽĨ ŽŽƉĞƌĂƚŝǀĞ'ŽǀĞƌŶĂŶĐĞ͘ DƵŶŝĐŝƉĂůŝƚŝĞƐ ŵƵƐƚ ŵĞĞƚ ĐĞƌƚĂŝŶ ĐƌŝƚĞƌŝĂ ĂŶĚ ĂƉƉůLJ ƚŽ ƌĞĐĞŝǀĞƚŚĞ ŝŶƚĞŐƌĂƚĞĚ ƵƌďĂŶ ĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚŝŶƐƚĞĂĚŽĨƚŚĞŵƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚŝŶƚĞƌŵƐŽĨĂƉƌŽĐĞƐƐƐĞƚŽƵƚ ŝŶƐĞĐƚŝŽŶϮς;ρͿŽĨƚŚĞŝǀŝƐŝŽŶŽĨZĞǀĞŶƵĞŝůů͘dŚĞƋƵĂůŝĨŝĐĂƚŝŽŶĐƌŝƚĞƌŝĂĐŽǀĞƌƚŚĞĨŽůůŽǁŝŶŐ ĂƌĞĂƐ͗ • DĂŶĂŐĞŵĞŶƚƐƚĂďŝůŝƚLJ;ůŽǁǀĂĐĂŶĐLJƌĂƚĞƐĂŵŽŶŐƐĞŶŝŽƌŵĂŶĂŐĞŵĞŶƚͿ͘ • ƵĚŝƚĨŝŶĚŝŶŐƐ͘ • hŶĂƵƚŚŽƌŝƐĞĚ͕ŝƌƌĞŐƵůĂƌ͕ĨƌƵŝƚůĞƐƐĂŶĚǁĂƐƚĞĨƵůĞdžƉĞŶĚŝƚƵƌĞ͘ • ĂƉŝƚĂůĞdžƉĞŶĚŝƚƵƌĞ͘ • ZĞƉŽƌƚŝŶŐŝŶƚĞƌŵƐŽĨƚŚĞDƵŶŝĐŝƉĂů&ŝŶĂŶĐĞDĂŶĂŐĞŵĞŶƚĐƚ͘ dŽƌĞŵĂŝŶŝŶƚŚĞŐƌĂŶƚ͕ĐŝƚŝĞƐŵƵƐƚĐŽŶƚŝŶƵĞƚŽŵĞĞƚŽƌĞdžĐĞĞĚƚŚĞĞŶƚƌLJĐƌŝƚĞƌŝĂ͘/ĨƚŚĞLJĚŽ ŶŽƚĚŽƐŽ͕ƚŚĞLJǁŝůůďĞƉůĂĐĞĚŽŶĂƉĞƌĨŽƌŵĂŶĐĞŝŵƉƌŽǀĞŵĞŶƚƉůĂŶ͘/ĨƚŚĞLJƐƚŝůůĚŽŶŽƚŵĞĞƚ ƚŚĞĐƌŝƚĞƌŝĂŝŶƚŚĞƐƵďƐĞƋƵĞŶƚLJĞĂƌ͕ƚŚĞLJǁŝůůƐŚŝĨƚďĂĐŬƚŽƌĞĐĞŝǀŝŶŐŐƌĂŶƚƚƌĂŶƐĨĞƌƐƚŚƌŽƵŐŚ 113 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ƚŚĞŵƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚ͕ǁŚŝĐŚĐŽŵĞƐǁŝƚŚĐůŽƐĞƌŽǀĞƌƐŝŐŚƚĂŶĚƐƵƉƉŽƌƚĨƌŽŵ ŶĂƚŝŽŶĂůĂŶĚƉƌŽǀŝŶĐŝĂůĚĞƉĂƌƚŵĞŶƚƐ͘dŚĞďĂƐĞĂůůŽĐĂƚŝŽŶƐĂŵƵŶŝĐŝƉĂůŝƚLJƌĞĐĞŝǀĞƐƚŚƌŽƵŐŚƚŚĞ ŵƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚĂŶĚƚŚĞŝŶƚĞŐƌĂƚĞĚƵƌďĂŶĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚǁŝůůďĞƚŚĞƐĂŵĞ ĂŶĚĂƌĞĚĞƚĞƌŵŝŶĞĚŝŶƚĞƌŵƐŽĨƚŚĞŵƵŶŝĐŝƉĂůŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚĨŽƌŵƵůĂĚĞƐĐƌŝďĞĚĂďŽǀĞ͘ /ŶĂĚĚŝƚŝŽŶƚŽƚŚĞďĂƐŝĐĨŽƌŵƵůĂͲďĂƐĞĚĂůůŽĐĂƚŝŽŶ͕ŵƵŶŝĐŝƉĂůŝƚŝĞƐƉĂƌƚŝĐŝƉĂƚŝŶŐŝŶƚŚĞŝŶƚĞŐƌĂƚĞĚ ƵƌďĂŶĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚĂƌĞĞůŝŐŝďůĞƚŽƌĞĐĞŝǀĞĂƉĞƌĨŽƌŵĂŶĐĞͲďĂƐĞĚŝŶĐĞŶƚŝǀĞĐŽŵƉŽŶĞŶƚ͕ ǁŚŝĐŚŝƐďĂƐĞĚŽŶƉĞƌĨŽƌŵĂŶĐĞĂŐĂŝŶƐƚƚŚĞǁĞŝŐŚƚĞĚŝŶĚŝĐĂƚŽƌƐƐĞƚŽƵƚďĞůŽǁ͘ dŚĞĐŽŶĚŝƚŝŽŶĂůŐƌĂŶƚƐƌĞǀŝĞǁŚŝŐŚůŝŐŚƚĞĚƚŚĞŶĞĞĚƚŽƌĞĂƐƐĞƐƐƚŚĞƌĞůĞǀĂŶĐĞŽĨĐĞƌƚĂŝŶ ŝŶĚŝĐĂƚŽƌƐŝŶƚŚĞŐƌĂŶƚƐŝŶĐĞŶƚŝǀĞĐŽŵƉŽŶĞŶƚĐĂůĐƵůĂƚŝŽŶƚŚĂƚŚĂǀĞƌĞŵĂŝŶĞĚĚŽƌŵĂŶƚƐŝŶĐĞ ƚŚĞŐƌĂŶƚ͛ƐŝŶĐĞƉƚŝŽŶĚƵĞƚŽĚĂƚĂůŝŵŝƚĂƚŝŽŶƐ͘/ƚĂůƐŽŝĚĞŶƚŝĨŝĞĚƚŚĞŶĞĞĚƚŽŝŶƚƌŽĚƵĐĞŐƌĞĂƚĞƌ ĨůĞdžŝďŝůŝƚLJďLJĂůůŽǁŝŶŐŝŶƚĞƌŵĞĚŝĂƚĞĐŝƚŝĞƐŵŽƌĞĚŝƐĐƌĞƚŝŽŶŝŶƚŚĞƵƐĞŽĨŝŶĐĞŶƚŝǀĞƐ͘dŚĞƐĞ ƌĞĨŽƌŵƐǁŝůůĐŽŶƚŝŶƵĞďĞŝŶŐŝŵƉůĞŵĞŶƚĞĚŝŶϮϬϮςͬϮϳ͘dŚĞƚŽƚĂůĂůůŽĐĂƚŝŽŶƐĨŽƌƚŚŝƐŐƌĂŶƚ ĂŵŽƵŶƚƚŽZκ͘ϯďŝůůŝŽŶŽǀĞƌƚŚĞϮϬϮςDd&ƉĞƌŝŽĚĂŶĚŐƌŽǁĂƚĂŶĂǀĞƌĂŐĞĂŶŶƵĂůƌĂƚĞŽĨρƉĞƌ ĐĞŶƚ͘ dĂďůĞtϭ͘ϮΘWĞƌĨŽƌŵĂŶĐĞͲďĂƐĞĚĐŽŵƉŽŶĞŶƚǁĞŝŐŚƚĞĚŝŶĚŝĐĂƚŽƌƐĨŽƌ ŝŶƚĞŐƌĂƚĞĚƵƌďĂŶĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚ /ŶĚŝĐĂƚŽƌƐWƵƌƉŽƐĞtĞŝŐŚƚ^ĐŽƌĞƐ EŽŶͲŐƌĂŶƚĐĂƉŝƚĂůĂƐĂ ƉĞƌĐĞŶƚĂŐĞŽĨƚŽƚĂů ĐĂƉŝƚĂůĞdžƉĞŶĚŝƚƵƌĞ ŶĐŽƵƌĂŐĞĐŝƚŝĞƐƚŽ ŝŶĐƌĞĂƐĞƚŚĞŝƌĐĂƉŝƚĂů ŝŶǀĞƐƚŵĞŶƚƐ ĨƵŶĚĞĚƚŚƌŽƵŐŚŽǁŶ ƌĞǀĞŶƵĞĂŶĚďŽƌƌŽǁŝŶŐ κϬйϭŝĨϳϬйŽƌŚŝŐŚĞƌ ϬŝĨϯϬйŽƌůŽǁĞƌ >ŝŶĞĂƌƐĐĂůĞŝŶďĞƚǁĞĞŶ ZĞƉĂŝƌƐĂŶĚŵĂŝŶƚĞŶĂŶĐĞ ĞdžƉĞŶĚŝƚƵƌĞĂƐƉĞƌĐĞŶƚĂŐĞ ŽĨŽƉĞƌĂƚŝŶŐĞdžƉĞŶĚŝƚƵƌĞ ZĞǁĂƌĚĐŝƚŝĞƐƚŚĂƚƚĂŬĞ ŐŽŽĚĐĂƌĞŽĨƚŚĞŝƌ ĞdžŝƐƚŝŶŐĂƐƐĞƚďĂƐĞ ϯϬйϭŝĨΘйŽƌŚŝŐŚĞƌ ƐƐĞƚŵĂŶĂŐĞŵĞŶƚƉůĂŶ DƵƐƚŚĂǀĞĂƉůĂŶŝŶ ƉůĂĐĞƚŚĂƚŚĂƐďĞĞŶ ĂƉƉƌŽǀĞĚďLJ ŵƵŶŝĐŝƉĂůĐŽƵŶĐŝů ĂŶĚƵƉĚĂƚĞĚŝŶƚŚĞůĂƐƚ ƚŚƌĞĞLJĞĂƌƐ ϯϬйϭŝĨLJĞƐĨŽƌĂůůƚŚƌĞĞ ϬŝĨŶŽĨŽƌĂŶLJŽĨƚŚĞƚŚƌĞĞ >ĂŶĚͲƵƐĞĂƉƉůŝĐĂƚŝŽŶƐŝŶ ƉƌŝŽƌŝƚLJĂƌĞĂƐ ƵĞƚŽƚŚĞůĂĐŬŽĨ ĂǀĂŝůĂďůĞĚĂƚĂ͕ƚŚĞƐĞ ŝŶĚŝĐĂƚŽƌƐ͕ǁŚŝĐŚĂƌĞ ŝŶƚĞŶĚĞĚƚŽƌĞǁĂƌĚ ƐƉĂƚŝĂůƚĂƌŐĞƚŝŶŐ ŽĨŝŶǀĞƐƚŵĞŶƚ͕ƌĞŵĂŝŶ ĚŽƌŵĂŶƚŝŶϮϬϮρͬϮς ϭŝĨρϬйŽƌŚŝŐŚĞƌ ϬŝĨϭϬйŽƌůŽǁĞƌ ƵŝůĚŝŶŐƉůĂŶƐĂƉƉůŝĐĂƚŝŽŶƐŝŶ ƉƌŝŽƌŝƚLJĂƌĞĂƐ ƵĞƚŽƚŚĞůĂĐŬŽĨ ĂǀĂŝůĂďůĞĚĂƚĂ͕ ƚŚĞƐĞŝŶĚŝĐĂƚŽƌƐ͕ ǁŚŝĐŚĂƌĞŝŶƚĞŶĚĞĚ ƚŽƌĞǁĂƌĚƐƉĂƚŝĂů ƚĂƌŐĞƚŝŶŐŽĨ ŝŶǀĞƐƚŵĞŶƚ͕ƌĞŵĂŝŶ ĚŽƌŵĂŶƚŝŶϮϬϮρͬϮς >ŝŶĞĂƌƐĐĂůĞŝŶďĞƚǁĞĞŶ ^ŽƵƌĐĞ͗EĂƚŝŽŶĂůdƌĞĂƐƵƌLJ 114 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh hƌďĂŶƐĞƚƚůĞŵĞŶƚƐĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚ KǀĞƌƚŚĞLJĞĂƌƐ͕ƚŚĞƵƌďĂŶƐĞƚƚůĞŵĞŶƚƐĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚŚĂƐĨĂĐĞĚĐƌŝƚŝĐŝƐŵĨŽƌƌĞƐƚƌŝĐƚŝŶŐ ŵƵŶŝĐŝƉĂůĚŝƐĐƌĞƚŝŽŶŝŶŝƚƐƵƐĞ͕ƉƌŝŵĂƌŝůLJĚƵĞƚŽŝƚƐƐƚƌŽŶŐĂƐƐŽĐŝĂƚŝŽŶǁŝƚŚŚŽƵƐŝŶŐĂŶĚŚƵŵĂŶ ƐĞƚƚůĞŵĞŶƚƐƉƌŽũĞĐƚƐ͘dŚŝƐĨŽĐƵƐŚĂƐŽǀĞƌůŽŽŬĞĚŽƚŚĞƌĐƌŝƚŝĐĂůŵƵŶŝĐŝƉĂůĨƵŶĐƚŝŽŶƐ͕ŶŽƚĂďůLJ ďƵůŬ ŝŶĨƌĂƐƚƌƵĐƚƵƌĞ ĚĞǀĞůŽƉŵĞŶƚ͘ /Ŷ ϮϬϮκͬϮρ͕ ƚŚĞ ŐƌĂŶƚ ĨƌĂŵĞǁŽƌŬ ǁĂƐ ĂŵĞŶĚĞĚ ƚŽ ƵŶĚĞƌƐĐŽƌĞƚŚĞŝŵƉŽƌƚĂŶĐĞŽĨƐƉĞŶĚŝŶŐŽŶďŽƚŚŶĞǁĂŶĚĞdžŝƐƚŝŶŐďƵůŬŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͘dŚŝƐ ĞŵƉŚĂƐŝƐƌĞŵĂŝŶƐĂŶĚǁŝůůďĞƌĞŝŶĨŽƌĐĞĚƚŚƌŽƵŐŚŵĞƚƌŽƉŽůŝƚĂŶƚƌĂĚŝŶŐƐĞƌǀŝĐĞƐƌĞĨŽƌŵƐŽǀĞƌ ƚŚĞϮϬϮςDd&ƉĞƌŝŽĚ͘ dŚĞƵƌďĂŶƐĞƚƚůĞŵĞŶƚƐĚĞǀĞůŽƉŵĞŶƚŐƌĂŶƚƐĞƌǀĞƐĂƐĂŶŝŶƚĞŐƌĂƚĞĚƐŽƵƌĐĞŽĨĨƵŶĚŝŶŐĨŽƌ ŝŶĨƌĂƐƚƌƵĐƚƵƌĞĚĞǀĞůŽƉŵĞŶƚŝŶŵƵŶŝĐŝƉĂůƐĞƌǀŝĐĞƐŝŶƚŚĞĞŝŐŚƚŵĞƚƌŽƉŽůŝƚĂŶŵƵŶŝĐŝƉĂůŝƚŝĞƐ͘ dŚŝƐŐƌĂŶƚŝƐĂůůŽĐĂƚĞĚĂƐĂƐƵƉƉůĞŵĞŶƚĂƌLJĨƵŶĚƚŽƚŚĞƐĞĐŝƚŝĞƐƵŶĚĞƌ^ĐŚĞĚƵůĞκ͕WĂƌƚŽĨƚŚĞ 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ƚŚĞŵĞƌŐĞĚ^DǁŝŶĚŽǁ͘dŚĞƐĞĨƵŶĚƐǁŝůůĐŽŶƚŝŶƵĞƚŽƐƵƉƉŽƌƚƐĞůĞĐƚĞĚŵƵŶŝĐŝƉĂůŝƚŝĞƐŝŶ ŝŵƉůĞŵĞŶƚŝŶŐĞŶĞƌŐLJͲƐĂǀŝŶŐƉƌŽũĞĐƚƐĂŶĚƚŚĞƌĞƚƌŽĨŝƚƚŝŶŐŽĨƉƵďůŝĐŝŶĨƌĂƐƚƌƵĐƚƵƌĞ͕ůĞǀĞƌĂŐŝŶŐ ƉƌŝǀĂƚĞͲƐĞĐƚŽƌŝŶǀĞƐƚŵĞŶƚƚŚƌŽƵŐŚĞŶĞƌŐLJĐŽƐƚƐĂǀŝŶŐƐƚŽĞŶƐƵƌĞůŽŶŐͲƚĞƌŵƐƵƐƚĂŝŶĂďŝůŝƚLJĂŶĚ ĚĞŵĂŶĚͲƐŝĚĞĞĨĨŝĐŝĞŶĐLJ͘dŚĞŝŶƚĞŐƌĂƚĞĚŶĂƚŝŽŶĂůĞůĞĐƚƌŝĨŝĐĂƚŝŽŶƉƌŽŐƌĂŵŵĞ;ƐŬŽŵͿŐƌĂŶƚŝƐ ƌĞĚƵĐĞĚďLJZϳΘκŵŝůůŝŽŶŝŶϮϬϮςͬϮϳƚŽǁĂƌĚƐƚŚĞWƌĞƐŝĚĞŶƚŝĂůŵƉůŽLJŵĞŶƚ^ƚŝŵƵůƵƐĂŶĚ ĂůůŽĐĂƚĞĚZς͘ςďŝůůŝŽŶŽǀĞƌƚŚĞŵĞĚŝƵŵƚĞƌŵ͘ 120 EEyhZtϭ yW>EdKZzDDKZEhDdKd,/s/^/KEK&ZsEh ZƵƌĂůƌŽĂĚƐĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚƐLJƐƚĞŵƐŐƌĂŶƚ dŚĞĞƉĂƌƚŵĞŶƚŽĨdƌĂŶƐƉŽƌƚĂĚŵŝŶŝƐƚĞƌƐƚŚĞƌƵƌĂůƌŽĂĚƐĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚƐLJƐƚĞŵƐŐƌĂŶƚ͘ dŚĞŐƌĂŶƚĨƵŶĚƐƚŚĞĐŽůůĞĐƚŝŽŶŽĨĚĂƚĂŽŶƚŚĞĐŽŶĚŝƚŝŽŶĂŶĚƵƐĂŐĞŽĨƌƵƌĂůƌŽĂĚƐŝŶůŝŶĞǁŝƚŚ ƚŚĞZŽĂĚ/ŶĨƌĂƐƚƌƵĐƚƵƌĞ^ƚƌĂƚĞŐŝĐ&ƌĂŵĞǁŽƌŬĨŽƌ^ŽƵƚŚĨƌŝĐĂ͘dŚŝƐŝŶĨŽƌŵĂƚŝŽŶŐƵŝĚĞƐ ŝŶǀĞƐƚŵĞŶƚƐƚŽŵĂŝŶƚĂŝŶĂŶĚŝŵƉƌŽǀĞƚŚĞƐĞƌŽĂĚƐ͘ŝƐƚƌŝĐƚŵƵŶŝĐŝƉĂůŝƚŝĞƐĐŽůůĞĐƚĚĂƚĂŽŶĂůů ƚŚĞŵƵŶŝĐŝƉĂůƌŽĂĚƐŝŶƚŚĞŝƌĂƌĞĂ͕ĞŶƐƵƌŝŶŐƚŚĂƚŝŶĨƌĂƐƚƌƵĐƚƵƌĞƐƉĞŶĚŝŶŐ;ĨƌŽŵƚŚĞŵƵŶŝĐŝƉĂů ŝŶĨƌĂƐƚƌƵĐƚƵƌĞŐƌĂŶƚĂŶĚĞůƐĞǁŚĞƌĞͿĐĂŶďĞƉƌŽƉĞƌůLJƉůĂŶŶĞĚƚŽŵĂdžŝŵŝƐĞŝŵƉĂĐƚ͘ƐĚĂƚĂ 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ĐĂƉĂďŝůŝƚLJĚĞǀĞůŽƉŵĞŶƚƉƌŽŐƌĂŵŵĞ͘ĞLJŽŶĚĨŝŶĂŶĐŝĂůŵĂŶĂŐĞŵĞŶƚ͕ƚŚĞƉƌŽŐƌĂŵŵĞǁŝůů ƐĞƌǀĞĂƐĂĨŽƵŶĚĂƚŝŽŶĨŽƌĂďƌŽĂĚĞƌŐŽǀĞƌŶŵĞŶƚͲǁŝĚĞŝŶŝƚŝĂƚŝǀĞƚŽŝŶƚĞŐƌĂƚĞĐĂƉĂďŝůŝƚLJ ĚĞǀĞůŽƉŵĞŶƚĂĐƌŽƐƐĂůůŵƵŶŝĐŝƉĂůĨƵŶĐƚŝŽŶƐ͕ŝŶĐůƵĚŝŶŐŐŽǀĞƌŶĂŶĐĞĂŶĚƐĞƌǀŝĐĞĚĞůŝǀĞƌLJ͘dŚŝƐ ĐŽŚĞƐŝǀĞ͕ůŽŶŐͲƚĞƌŵƐƚƌĂƚĞŐLJƵŶĚĞƌƐĐŽƌĞƐƚŚĞŝŵƉŽƌƚĂŶĐĞŽĨĂƵŶŝĨŝĞĚĞĨĨŽƌƚƚŽĂĐŚŝĞǀĞ ƐƵƐƚĂŝŶĂďůĞŵƵŶŝĐŝƉĂůĚĞǀĞůŽƉŵĞŶƚĂŶĚŝŵƉƌŽǀĞŽƵƚĐŽŵĞƐĨŽƌĐŽŵŵƵŶŝƚŝĞƐŶĂƚŝŽŶǁŝĚĞ͘ DĞƚƌŽƚƌĂĚŝŶŐƐĞƌǀŝĐĞƐŝŶĐĞŶƚŝǀĞŐƌĂŶƚĐŽŵƉŽŶĞŶƚ KǀĞƌƚŚĞŵĞĚŝƵŵƚĞƌŵ͕ŵĞƚƌŽƐŵƵƐƚĐŽŶƚŝŶƵĞƚŽŵĂŝŶƚĂŝŶƚŚĞŵŝŶŝŵƵŵĐŽŵŵŝƚŵĞŶƚƐĂŶĚ ĚĞŵŽŶƐƚƌĂƚĞŵĞĂƐƵƌĂďůĞƉĞƌĨŽƌŵĂŶĐĞŝŵƉƌŽǀĞŵĞŶƚƐĂŐĂŝŶƐƚƚŚĞƐĐĂůĂďůĞŝŶĚŝĐĂƚŽƌƐĂŶĚ ƌĞĨŽƌŵŵŝůĞƐƚŽŶĞƐƐĞƚŽƵƚŝŶƚŚĞŝƌĂƉƉƌŽǀĞĚϯͲƉĞƌĨŽƌŵĂŶĐĞŝŵƉůĞŵĞŶƚĂƚŝŽŶĂĐƚŝŽŶƉůĂŶƐ͘ ƵĚŐĞƚƐŵƵƐƚƐƵƐƚĂŝŶŵƵůƚŝͲLJĞĂƌŝŵƉůĞŵĞŶƚĂƚŝŽŶŽĨŽƉĞƌĂƚŝŽŶĂůĂŶĚĐĂƉŝƚĂůƌĞĨŽƌŵƐ͕ĞŶƐƵƌĞ ŽŶŐŽŝŶŐ ƌŝŶŐͲĨĞŶĐŝŶŐ ĂŶĚ ĐŽƌƌĞĐƚ ƚŚĞ DƵŶŝĐŝƉĂů ^ƚĂŶĚĂƌĚ ŚĂƌƚ ŽĨ ĐĐŽƵŶƚƐ ;ŵ^KͿ ĐůĂƐƐŝĨŝĐĂƚŝŽŶŽĨƵƌďĂŶĚĞǀĞůŽƉŵĞŶƚĨŝŶĂŶĐŝŶŐŐƌĂŶƚʹŵĞƚƌŽƚƌĂĚŝŶŐƐĞƌǀŝĐĞƐŝŶĐĞŶƚŝǀĞĨƵŶĚŝŶŐ͕ ĂŶĚƌĞĨůĞĐƚǀĞƌŝĨŝĞĚƉĞƌĨŽƌŵĂŶĐĞŽƵƚĐŽŵĞƐĂŶĚŝŶĐĞŶƚŝǀĞĂůůŽĐĂƚŝŽŶƐĐŽŵŵƵŶŝĐĂƚĞĚƚŚƌŽƵŐŚ ƚŚĞĂŶŶƵĂůďƵĚŐĞƚƉƌŽĐĞƐƐ͘DĞƚƌŽƐŵƵƐƚĂůƐŽŵĂŝŶƚĂŝŶƌĞĂĚŝŶĞƐƐĨŽƌŝŶĚĞƉĞŶĚĞŶƚǀĞƌŝĨŝĐĂƚŝŽŶ ďLJĞŶƐƵƌŝŶŐƚŝŵĞůLJƐƵďŵŝƐƐŝŽŶŽĨĐƌĞĚŝďůĞĞǀŝĚĞŶĐĞƚŚƌŽƵŐŚƚŚĞEĂƚŝŽŶĂůdƌĞĂƐƵƌLJƌĞƉŽƌƚŝŶŐ ƉŽƌƚĂůĂŶĚĐŽŶƚŝŶƵĞĚĂůŝŐŶŵĞŶƚŽĨDĞƚƌŽdƌĂĚŝŶŐ^ĞƌǀŝĐĞƐZĞĨŽƌŵ;Dd^ZͿƌĞƉŽƌƚŝŶŐǁŝƚŚ ĞdžŝƐƚŝŶŐƐƚĂƚƵƚŽƌLJĂŶĚŐƌĂŶƚƌĞƉŽƌƚŝŶŐŽďůŝŐĂƚŝŽŶƐ͘ 132 Annexure W2: Frameworks for Conditional Grants to Provinces Detailed frameworks on Schedule 4, Part A; Schedule 5, Part A; Schedule 6, Part A; and Schedule 7, Part A grants to provinces Introduction This annexure provides a brief description for each grant in Schedule 4, Part A; Schedule 5, Part A; Schedule 6, Part A; and Schedule 7, Part A of the 2026 Division of Revenue Bill. The following are key areas considered for each grant: x Strategic goal and purpose of the grant x Outcome statements and outputs of the grant x Outcome(s) of government that the grant primarily contributes to x Conditions of the grant (additional to what is required in the Bill) x Criteria for allocation between provinces x Rationale for funding through a conditional grant x Past performance x The projected life of the grant x 2026 MTEF allocations x The payment schedule x Responsibilities of transferring national department and receiving provinces x Process for approval of business plans for 2027/28 The attached frameworks are not part of the Division of Revenue Bill but are published in order to provide more information on each grant to parliament, legislatures, municipal councils, officials in all three spheres of government and the public. Once the Division of Revenue Bill, 2026 is enacted, these frameworks will be gazetted in terms of the Act. The financial statements and annual reports for 2026/27 will report against the Division of Revenue Act, Division of Revenue Amendment Act and their schedules, and the grant frameworks as gazetted in terms of the Act. Such reports must cover both financial and non-financial performance, focusing on the outputs achieved. 133 AGRICULTURE GRANTS Comprehensive Agricultural Support Programme Grant Transferring department x Agriculture (Vote 29) Grant schedule x Schedule 5, Part A Strategic goal x To create a favourable and supportive agricultural services environment for the farming community and reduce poverty through increased food production initiatives targeting vulnerable households, subsistence, smallholder and distressed commercial producers and agro-processors within strategically identified production areas prioritised in the Agriculture and Agro-processing Master Plan (AAMP) Grant purpose x To provide effective and coordinated agricultural support services through collaborations with industry transformation initiatives where possible x To promote and facilitate agricultural development by targeting beneficiaries of land reform and other black producers who have acquired land through private means and are engaged in value-adding enterprises domestically, or involved in export x To assist vulnerable South African farming communities to achieve an increase in agricultural production x To invest in infrastructure that unlocks agricultural production within strategically identified production areas x To revitalise agricultural colleges into centres of excellence Outcome statements x Broadened access to agricultural support for vulnerable households and black subsistence, smallholder and distressed commercial producers and agro-processors x Increased number of sustainable and profitable black producers in horticulture, grains, livestock, fibre and aquaculture value chains x Increased agricultural production of field crops such as grains and oilseeds, livestock, horticulture, fibre and aquaculture at both household and national level x Improved access to production inputs x Increased quantities (tons) of agricultural commodities produced by smallholder and household farmers x Increased capacity to support and oversee productivity and farming efficiency of beneficiaries of the Comprehensive Agricultural Support Programme (CASP) x Improved systems required for the maintenance of a foot and mouth disease free status as prescribed by the World Organisation for Animal Health x Increased wealth creation and sustainable employment in rural areas x Increased access to formal and institutional markets by beneficiaries of CASP x Improved household and national food security x Rehabilitated and expanded irrigation schemes x Reliable and accurate agricultural information available for management decision making Outputs x On and off-farm infrastructure provided and repaired, including agro-processing infrastructure x Land under agricultural production (field crops such as grains and oilseeds, horticulture fibre, and livestock) x Superior breeding animals acquired and distributed to farmers x Hectares of rehabilitated and expanded irrigation schemes x Community gardens supported x School gardens supported x Number of producers supported per category (vulnerable households, subsistence, smallholder and commercial) and per commodity x 50 per cent women, 40 per cent youth and 6 per cent people living with disabilities (farmers supported per category) x Quantity of output (tons) produced by beneficiaries of CASP per commodity x Number of beneficiaries of CASP that are South African Good Agricultural Practices certified x Number of jobs created x Number of unemployed graduates placed on commercial farms x Number of beneficiaries of CASP trained on farming methods or opportunities along the value chain x Percentage of CASP beneficiaries with access to formal and institutional markets x Tracing system for animal identification and movement provided and maintained for cattle in the foot and mouth disease controlled areas of Limpopo, Mpumalanga and KwaZulu-Natal x Physical boundary between the foot and mouth disease free zone and the protection zone provided and maintained x Food and veterinary laboratory infrastructure, including quality systems accreditation, revitalised in eight provinces (except Gauteng) x Number of animals vaccinated for foot and mouth disease x Number of extension officers including Assistant Agricultural Practitioners recruited and/or maintained in the system x Number of extension officers trained or deployed to commodity organisations x Partnerships with commodity organisations Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 10: Reduced poverty and improved livelihoods Details contained in the business plan x Outcome indicators x Outputs indicators x Inputs x Key activities x Monitoring framework x Risks and mitigation strategies 134 Comprehensive Agricultural Support Programme Grant Conditions x At least 30 per cent of the projects allocation must support food production (crop and livestock production) initiatives, prioritising vulnerable households, irrigation schemes, communal areas and areas under traditional leadership, subsistence, smallholder and distressed commercial producers supported with inputs and mechanisation. 30 per cent of this allocation may rehabilitate infrastructure in irrigation schemes x At least 50 per cent of the project allocation must support infrastructure development for production areas prioritised in the Agriculture and Agro-processing Master Plan x At least 3 per cent of the project allocation must be spent on market access and development x At least 3 per cent of the project allocation must be spent on training and capacity building of farmers, and 2 per cent can be used for mentorship programme x At least 1 000 unemployed agricultural graduates must be placed in commercial farms nationally as follows: o Gauteng and Northern Cape must place at least 80 graduates each o the remainder of the provinces must place at least 120 graduates each o all graduates must be employed at a rate of around R95 000 – R100 000 per annum in line with DPSA directive on the employment of persons to developmental programmes in the public sector x At least 5 per cent of the project allocation must support biosecurity interventions x At least 2 per cent of the project allocation must support livestock improvement programmes especially those aligned to Kaonafatso ya Dikgomo in partnership with the Agricultural Research Council x The producers supported must be linked to, but not limited to, commodity organisations including the commercial and emerging commodity organisations. The province should have formal partnership agreements with these commodity organisations to ensure appropriate support is provided to farmers (i.e. specialised technical support, joint funding, access to markets and joint implementation as outlined by the dynamic business model) x In cases where producers requiring support are outside a commodity organisation agreement, their proposals received from the advertisement process must be approved by committees and authorities established by the province as outlined in the standard operating procedure x All assisted producers should be listed or registered in the provincial and national farmer registers x The Department of Agriculture (DOA) will reprioritise the allocated funds on the following basis: o in the event of poor spending on the part of a province where poor spending is the result of poor planning or failure by service provider to meet contractual obligations o in the event of a disaster that affects the implementation of approved plans o provinces not adhering to the CASP standard operating procedure framework when implementing projects or implementing projects that are not approved by DOA o in the event that the ring-fenced funds are used for other things without prior approval by the transferring officer x The funds will be transferred as per the disbursement schedule approved by National Treasury ; and only after receipt of performance reports against already transferred allocations x Provinces must inform the transferring officer of any proposed changes to the business plans. Such changes must be approved by the transferring officer before they are implemented x The receiving officers may approve changes to the budget of already approved projects where savings or price escalations were realised. Such changes must finally be approved by the transferring officer before the end of the financial year x The provincial business plans must be signed- off by the heads of departments of the provincial agriculture departments in collaboration with Chief Financial Officers or their representatives, and must be co-signed by the heads of provincial treasuries x The signed business plan for CASP must be submitted to the DOA for approval x The projects must be listed in the DOA project list template and submitted to DOA within a month after approval of the provincial business plan x At least 80 per cent of the allocations for agricultural colleges must only be utilised to revitalise infrastructure and equipment at these colleges while 20 per cent must be utilised for the other four pillars of the Colleges Revitalisation Plan x Infrastructure projects must be reported in the provincial infrastructure reporting model Allocation criteria x The formula used to allocate funds is a weighted average of the following variables: agricultural land area, households involved in agriculture (General Household Survey 2019 report), previous conditional grant performance and current benchmarks on production and national policy imperatives Reasons not incorporated in equitable share x Agriculture is identified as a game changer and investment in agriculture must be guided under strict conditions to achieve the aspirations of the National Development Plan and the Agriculture and Agro- processing Master Plan x In 2026/27 the CASP grant is merged with the Ilima/Letsema Projects Grant. The grant will continue to support both commercial and subsistence farmers. This merger will streamline administration, improve resource allocation, and ensure clear, equitable support for both commercial, smallholder and subsistence farming Past performance 2024/25 audited financial outcomes x Allocated and transferred R2 billion (of which R300 million was flood disaster for WC and R40 million were approved rollovers) and R1.8 billion (88 per cent) was spent 2024/25 service delivery performance x 1 271 subsistence farmers supported x 7 213 smallholder farmers supported x 838 black commercial farmers supported x Beneficiaries were supported from 437 projects implemented, with 311 projects completed at the end of the financial year x 301 (68 per cent) supported projects were owned by youth and 227 (52 per cent) were owned by women 135 Comprehensive Agricultural Support Programme Grant x 52 per cent of beneficiaries supported were women, 14 per cent were youth and 1 per cent were people with disabilities x On and off farm infrastructure delivered include 68 irrigation systems, 10 stock and irrigation dams, 56 boreholes 54 stock water structures, 26 stock handling facilities, 10 projects of solar systems erected, 2 dairy structures, 9 dipping tanks, 27 small stock structures, 12 poultry struct one aquatic nursery structure, 2 nursery infrastructure, 349.87 km of fencing, 5 pack houses, 3 processing infrastructures, 9 storage facilities, 2 vet structures revamped, 6 ablution facilities, 6 hydroponic structures x 3 824 jobs created x Foot and mouth disease control deliverables: 222 FMD vaccination sessions in Limpopo, 120 000 animals were vaccinated in Mpumalanga; North West procured laboratory refrigerator and renovation of state veterinary clinic in Vryburg x 95 farms were audited for South African good agricultural practices certification and 49 farms were certified, while 86 farms were re-certified x 66 per cent of the smallholder farmers supported had access to formal markets x 17 708 farmers were trained in targeted training programmes, 48 per cent trained were women, 30 per cent trained were youth and 5 per cent trained were people with disabilities x 247 beneficiaries of CASP were supported with mentorship from 94 projects supported x 1 035 agricultural graduates were placed on commercial farms for a period of two years (2023/24- 2024/25) as part of the youth entrepreneurial programme x 29 extension officers were recruited nationally and 250 maintained in the system x 10 agricultural colleges upgrading infrastructure (ongoing) Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R2.3 billion; 2027/28: R2.5 billion and 2028/29: R2.6 billion Payment schedule x Four instalments: 8 May 2026, 28 August 2026, 30 October 2026; and 29 January 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Agree on outputs and targets with provincial departments in line with grant objectives for 2026/27 x Provide the guidelines and criteria for the development, approval and implementation of business plans x Provide a template for project registration and reporting x CASP transfers (planned, actual and revised) related to infrastructure projects must be reported in the n ational infrastructure reporting model x Monitor monthly financial expenditure by provinces and conduct sampled project site visits quarterly x Submit monthly financial reports to National Treasury 20 days after the end of the month x Submit quarterly performance reports to National Treasury within 45 days after the end of each quarter x Submit an annual evaluation performance report to National Treasury within four months after the end of the financial year x Oversee and monitor implementation of the grant during Ministerial Technical Committee and quarterly review meetings Responsibilities of the provincial departments x Provinces to adhere to the conditions of this framework and the 2026 Division of Revenue Act (DoRA) x Provinces to submit a detailed project list in the DOA project list template and project business plans x Provinces must report infrastructure projects and related infrastructure support funded through CASP in the provincial infrastructure reporting model monthly and quarterly x Submit project quarterly performance reports to the transferring officer using the DOA project list template x In an instance the receiving officer uses any organ of state to assist with the implementation of CASP projects, the receiving officer must submit a copy of the agreement to the transferring officer and National Treasury; and publish by notice in the Gazette, the allocations envisaged in the agreement before payment is made x Provinces must implement the CASP business plans as approved x All receiving departments must abide by the Public Finance Management Act, Treasury Regulations and the 2026 DoRA when executing projects as well as for reporting purposes x Provinces are to report monthly (for financial performance) 15 days after the end of each month, and quarterly (for non-financial performance) 20 days after the end of each quarter, and annually two months after the end of the financial year on the progress and achievements of the programme x Assign and delegate officials to manage and monitor the implementation of the programme before April 2026 x Keep a record of projects supported x Monitor project implementation on a quarterly basis and evaluate the impact of projects in achieving CASP goals x Provinces to adhere to the approved CASP standard operating procedure framework 136 Comprehensive Agricultural Support Programme Grant Process for approval of 202 7/28 business plans x Provide provincial departments with business plan format, guidelines, criteria and outputs as prescribed by National Treasury by 23 May 2026 x Submission of provincial CASP business plans by provinces by 28 August 2026 x Engagement with provinces (pre-national assessment panel) on submitted business plans during October/November 2026 prior to final national assessment panel meeting x Evaluation and recommendation of business plans by national assessment panel between November 2026 and February 2027 x Send funding agreements to provinces by February/March 2027 to be signed by heads of departments, C hief Financial Officers and CASP coordinators x Approval of business plans by the transferring officer before 31 March 2027 x Inform provinces of approval of the business plans by March or April 2027 x Approval by the transferring officer regarding 2027/28 business planning process compliance during April 2027 and send to the National Treasury by end April 2027 137 LandCare Programme Grant: Poverty Relief and Infrastructure Development Transferring department x Agriculture (Vote 29) Grant schedule x Schedule 5, Part A Strategic goal x To optimise productivity and sustainability of natural resources leading to greater productivity, food security, job creation and better quality of life for all Grant purpose x To promote sustainable use and management of natural resources by engaging in community-based initiatives that support the pillars of sustainability (social, economic and environmental), leading to greater productivity, food security, job creation and better well-being for all Outcome statements x Improved veld grazing and carrying capacity and livestock productivity x Improved production potential of arable land leading to increased yield x Improved quantity and quality of South Africa’s water resources through projects in SoilCare, VeldCare, Conservation Agriculture and WaterCare focus areas of LandCare programmes x Improved irrigated land soil and water management x Improved youth participation in the agricultural sector through agricultural schools activities and intergenerational skills transfer to develop the capacity of youth as well as provide opportunity to learn agricultural skills and knowledge x Improved custodianship and stewardship of natural agricultural resources through community- based initiatives by all land users x Improved livelihoods of rural communities within the ambit of the green economy x Improved partnerships with private, public, non-governmental organisations and community sectors x Improved knowledge and skills base of participants and land users x Enhanced ecosystem services and biodiversity for current and future generations x Improved governance of natural agricultural resources of the country x Improve policy and legislative frameworks for natural agricultural resources management x Sustained renewable energy solutions for small scale/emerging farmers aligned to farm management plan Outputs x Hectares of rangeland protected and rehabilitated x Number of hectares of agricultural land under fodder production x Hectares of arable land protected and rehabilitated x Hectares of land under conservation agriculture x Number of farmers using conservation agriculture x Number of irrigated land under sustainable water management x Number of youths and agricultural schools successfully attended all the organised Junior LandCare initiatives x Number of hectares of land and interventions where water resources are protected and rehabilitated x Number of schools supported through JuniorCare activities x Number of capacity building initiatives conducted for land carers and institutions x Number of people who benefited from capacity building initiatives x Number of awareness campaigns conducted x Number of people more aware of sustainable use of natural agricultural resources x Hectares of land where weeds and invader plants are under control x Hectares of land where bush encroachment is under control x Number of kilometres of fence erected x Number of green jobs created expressed as full-time equivalents x Number of LandCare committees established x Number of protocols, guidelines, strategies, policy and legislative frameworks developed for natural resources management x Number of agricultural schools supported x Number of agricultural graduates’ projects/initiatives supported x Number of renewable energy technologies supported Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 10: Reduced poverty and improved livelihoods Details contained in the business plan x Project header x Project background x Farm plan map x Farm management plan detail x Beneficiaries and job creation x Change pathways x Pre-project assessment x Risk assessment x Implementation map x Implementation details x Exit strategy x Monitoring and evaluation 138 LandCare Programme Grant: Poverty Relief and Infrastructure Development Conditions x Provinces must confirm capacity to implement projects before funds can be transferred x The province to delegate the responsibility of the receiving officer to the Provincial LandCare Coordinator at a deputy director or director level x Provincial departments annual evaluations must be submitted two months after the end of the financial year using an approved LandCare template x The impact (before and after) of the LandCare programme should also be quantified during initiation, implementation and handing-over phases of the projects x Projects should be implemented and guided by farm management plan in terms of Conservation of Agricultural Resources Act x Provinces should report signed financial performance per project on the 15th of every month in compliance with the 2026 Division of Revenue Act (DoRA). Provinces should report on the number of jobs created 15 days after the end of each month using an approved LandCare template. The number of jobs created should further be reported on the Expanded Public Works Programme reporting system x Projects should adhere to the reporting dates as stipulated in the 2026 DoRA and furthermore adhere to dates as agreed during the quarterly meetings and National LandCare Secretariat x Provinces should submit their portfolio of evidence (acknowledgement letters, project maps etc.) 30 days after the end of quarter to National LandCare Secretariat. The report should be in line with quarterly and monthly reports x Provinces should undertake skill audit of beneficiaries, provide training, and submit reports to the national Department of Agriculture (DOA) x VeldCare projects should be comprehensive to include fencing, stock water system, bush control and value chain Allocation criteria x Allocations are based on an index comprising of nodes, land capability, poverty, degradation and land size derived from the following sources: o nodes of the most deprived wards in the country o land capability: total hectares class I, II and III (spatial analysis - land capability data) o size: hectares (new boundaries from the Municipal Demarcation Board) o poverty: poverty gap based on food poverty line of Statistic South Africa Living Conditions Survey 2018 o land degradation: hectares (Land Degradation Report 2018) o policy imperatives and development for sustainable land management o past performance by provinces Reasons not incorporated in equitable share x The funding originated with the special poverty allocations made by national government for a specific purpose Past performance 2024/25 audited financial outcomes x Allocated R90 million and transferred R87 million to provinces, of which provinces spent R85 million (95 per cent) by the end of the financial year 2024/25 service delivery performance x 18 338 hectares of rangeland protected and rehabilitated x 1 238 hectares of arable land protected and rehabilitated x 9 045 hectares of land under conservation agriculture x 11 177 youths successfully attending organised Junior LandCare initiatives x 3 household and school food gardens established through Junior LandCare x 1 water sources developed or protected against over-utilisation x 42 capacity building initiatives conducted for Land Carers x 3 581 people with improved capacity and skill levels benefiting from capacity building initiatives x 199 awareness campaigns conducted and attended by Land Carers x 3 664 people more aware of sustainable use of natural resources x 8 808 hectares of land where weeds and invader plants are under control x 3 177 hectares of land where bush encroachment is controlled x 160 kilometres of fencing erected x 3 035 green jobs created expressed as full-time equivalents x 4 LandCare committees established Projected life x This grant will be aligned with changes in the Expanded Public Works Programme, national planning framework report and policy developments within government MTEF allocations x 2026/27: R98 million; 2027/28: R102 million; and 2028/29: R105 million Payment schedule x Allocation to provinces will be disbursed on a quarterly basis (May 2026, July 2026, October 2026; and January 2027) Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Host national assessment panel to assess the projects with the provincial departments in line with grant objectives for 2026/27 x Review guidelines and standards for the implementation of the grant x Provide the guidelines and criteria for the development and approval of business plans x Monitor implementation through project site visits, reports, quarterly meetings with provinces and provide support to provinces x Submit quarterly performance reports to the National Treasury within 45 days after the end of each quarter x Submit evaluation reports to the National Treasury within four months after the end of the financial year 139 LandCare Programme Grant: Poverty Relief and Infrastructure Development x Non-compliance by provinces till quarter two (of the current financial year) to consider their allocation stopped and reallocated as stipulated in 2026 Division of Revenue Act Responsibilities of provincial departments x Ensure that provinces organisational structure for programme 2 as prescribed by National Treasury is established and capacitated to manage LandCare and ensure adequate capacity of the director, line functional managers of each area and soil scientists, pasture scientists, soil conservation technicians and Engineers, land use planners and LandCare facilitators exists in the provinces to implement the LandCare projects x Hold provincial assessment panels, using multidisciplinary team to assess individual projects plans, use LandCare standard assessment criteria before submission of preliminary individual and provincial business plans to DOA by 30 September 2026 x Submit signed LandCare funding agreement to DOA x Ensure that procurement processes and procedures have been adhered to and plan in place to source service providers proactively for the implementation of LandCare projects to commence on 1 April 2026 x Submit signed monthly financial and jobs (EPWP) reports to DOA on the 15th day of every month x Submit signed quarterly reports (non- financial) with portfolio of evidence 30 days after the end of each quarter on the progress of the projects x Provinces should further adhere to agreements approved in quarterly meetings on performance, reporting and any other matter related to natural resource management x Implement projects according to the approved business plans. Deviation affecting outputs and budgets should first be communicated to the transferring officer in writing and approved before implementation x Monitor project implementation and evaluate the impacts of projects in achieving LandCare goals x Submit evaluation reports to DOA within two months after the end of the financial year x Ensure and support the upscaling of conservation agriculture practices within communities x Assist farmers with soil testing to improve and maintain soil health x Incorporate renewable and efficient energy technologies into LandCare projects x Conduct training for farmers and officials on soil fertility and testing , veld survey tools and veld management Process for approval of 202 7/28 business plans x DOA must provide provincial departments with business plan formats and guidelines by July 2026 x Engagement by DOA with provinces on business plans submission before Provincial Assessment Panel and submission of signed business plans prior to the National Assessment Panel (NAP) x Evaluation and recommendation of business plans by the NAP before the end of March 2027 x Interactions with provinces on the NAP comments and final submission of signed individual and pr ovincial business plans by the provinces prior to approval by Accounting Officer of DOA x Notify provinces of the approval of business plans before implementation 140 BASIC EDUCATION GRANTS Early Childhood Development Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To expand equitable access to quality early childhood development (ECD) services with a focus on vulnerable and poor children ensuring safe, inclusive and developmentally appropriate learning environments Grant purpose x To increase the number of poor children accessing subsidised, quality ECD programmes x To support ECD providers delivering ECD programmes to meet basic health and safety requirements for registration x To construct low-cost ECD centres Outcome statements x The provision of quality ECD to poor children contributing towards universal access x Improving health and safety conditions in which early learning takes place Outputs x This grant has two components with detailed outputs, conditions and responsibilities for each component specified in separate frameworks. The two components are: o infrastructure component o subsidy component Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x The provincial departments will use a single business plan issued by the national Department of Basic Education (DBE) for the two grant components which contain the following: o project background o project objectives o scope of the work o deliverables and outputs to be achieved o risk assessment with mitigation plan Conditions x Conditional grant funding cannot be used to reduce overall provincial own revenue and equitable share funding allocated to ECD subsidies. Each province may use a maximum of R8 million of their total conditional grant allocation (subsidy plus infrastructure components) for administrative management of the grant which includes capacity to manage the grant and funding for assessments of ECD centres. Provinces may choose to use this amount from the allocation for either one of the components or both as outlined in the practice note x Furthermore, provinces may utilise up to R6 million of grant funding for the appointment of public servants to either their ECD directorate or EMIS directorate to assist in increasing access to quality ECD services in the province, including the tools of trade that are required to increase access to quality ECD. Provinces must follow the employment framework issued by the national department regarding these contracts x All officials must be employed in line with the conditional grant on a three- years or more contract or permanently Allocation criteria x As specified in the two grant component frameworks Reasons not incorporated in equitable share x To allow DBE to better ring-fence expansion of ECD in the country and to facilitate compliance with the National Integrated ECD Policy approved by Cabinet on 9 December 2015 ensuring that the delivery and maintenance of any capital investment is coordinated in an efficient manner that is consistent with norms, standards and guidelines x ECD is a national priority and requires uniform implementation in order to achieve the minimum coverage of 60 per cent of all poor children and to have the desired impact of achieving universal access by 2030 Past performance 2024/25 audited financial outcomes x Of the total grant allocation of R1.6 billion, 100 per cent was transferred to provinces 2024/25 service delivery performance x 348 146 children benefitted from the subsidy Projected life x Given the nature of the programme and the drive to expand the provision of ECD services, the grant will be needed for the medium-term expenditure framework period, subject to review MTEF allocations x 2026/27: R4.6 billion; 2027/28: R6.9 billion; and 2028/29: R7.1 billion allocated as follows: o subsidy component: 2026/27: R4.3 billion; 2027/28: R6.6 billion; and 2028/29: R6.8 billion o infrastructure component: 2026/27: R268 million; 2027/28: R284 million; and 2028/29: R293 million Payment schedule x Quarterly instalments based on the approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Assess and approve the business plans submitted by provinces x Manage, support and monitor project progress and compliance with the conditional grant framework x Submit monthly financial report to the National Treasury 20 days after the end of the reporting month x Consolidate and submit quarterly performance reports to National Treasury within 45 days after the end of each quarter x Monitor the utilisation of the grant against the set outcomes and take appropriate action in cases of non- compliance with the framework x Facilitate approval of the payment schedule and approval of in- year adjustments to the payment schedule x The DBE will develop ECD infrastructure grant guidelines to be issued to the provinces by 27 March 2026 x Visit selected infrastructure sites in provinces Responsibilities of the provincial departments x Submit approved business plans signed off by the head of department to the DBE by 24 February 2026 141 Early Childhood Development Grant x Implement the business plan as approved by the DBE x Submit monthly financial reports to DBE 15 days after the end of the reporting month x Provinces must upload all ECD maintenance projects on the infrastructure reporting model and update it monthly x Submit quarterly performance reports to DBE within 30 days after the end of each quarter Process for approval of 202 7/28 business plans x Engagements will be held with provincial departments on the submission of business plans between September 2026 and February 2027 x Submit final provincial business plan, including cash flow projections and compliance certificates signed off by the heads of departments for the 2027/28 financial year must be submitted to DBE by 12 February 2027 x DBE must approve the final business plans by 31 March 2027 142 Early Childhood Development Grant: Infrastructure Component Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To expand equitable access to quality early childhood development (ECD) services with a focus on vulnerable and poor children ensuring safe, inclusive and developmentally appropriate learning environments Grant purpose x To support ECD providers delivering an ECD programme to meet basic health and safety requirements for registration x To construct low-cost ECD centres Outcome statements x The provision of ECD services to poor children contributing towards universal access x Improving health and safety conditions in which early learning takes place Outputs x Number of ECD centres supported with Health and Safety interventions for compliance with registration x Number of conditionally registered ECD centres maintained or upgraded to full compliance with registration x Number of new low-cost ECD centres constructed and operationalised Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x The provincial departments will use a single business plan issued by the national Department of Basic Education (DBE) for the two grant components (subsidy and infrastructure) which contains the following: o project background o project objectives o scope of the work o deliverables and outputs to be achieved o risk assessment with mitigation plan Conditions Health and Safety Intervention x This allocation may be used for conditionally registered ECD centres to provide health and safety support to improve their registration status x ECD Programmes must select ECD centres for health and safety support Maintenance and upgrading x This allocation may be used for: o conditionally registered ECD centres to do minor infrastructure maintenance works and upgrades to enable them to improve their registration status o i nfrastructure units in the provinces must receive a list of selected ECD centres for maintenance or upgrading from programme centres must sign service level agreements with the provincial department before implementing maintenance or upgrades o p rovinces shall include all projects in the final infrastructure asset management plan to be submitted at the end of March 2026 o all projects must be recorded on the infrastructure reporting model o provinces must update the infrastructure project details for each funded project in the infrastructure reporting model. This must be approved and submitted to National Treasury and DBE within 22 days after the end of each quarter New centre construction x This allocation may be used for construction of low-cost ECD centres where existing structures must be replaced or to address new demand in areas where the need is the greatest x A maximum of R3.6 million may be used for the construction of new ECD centres, inclusive of all costs x ECD centres must sign service level agreements with the provincial department before new construction of a centre x Every province must construct at least one ECD centre in 2026/27 x Each province must include the number of ECD centres to be constructed and the costs for the construction in the business plan for 2026/27 x Provinces shall include all projects in the final infrastructure asset management plan to be submitted at the end of March 2026 x All projects must be recorded on the infrastructure reporting model x Provinces must update the infrastructure project details for each funded project in the infrastructure reporting model. This must be approved and submitted to National Treasury and DBE within 22 days after the end of each quarter General conditions x DBE will develop guidelines for implementation that must be issued to the provinces by 27 March 2026 x All ECD sites may only benefit from this fund if they are eligible as per the requirements in the guideline issued by DBE x All projects must be selected, planned and implemented in a manner consistent with the guideline issued by the DBE x For conditionally registered centres a maximum amount of R600 000 per ECD centre may be spent on health and safety intervention and/or on maintenance improvement and upgrades, inclusive of all costs (Value Added Tax, disbursements etc) x Prior approval for any amount exceeding more than 20 per cent of the maximum amount per centre should be obtained from the head of department or the Chief Financial Officer with a detailed assessment and 143 Early Childhood Development Grant: Infrastructure Component cost analysis to justify the additional amount x Provinces must conduct assessments of conditionally registered ECD sites and cost them in order to qualify for funding in 2027/28 and submit by 30 September 2026 Allocation criteria x The provincial infrastructure allocations are determined based on: o a base allocation for the construction of at least one low cost ECD o the allocation of the balance is based on the ECD census data Reasons not incorporated in equitable share x To allow DBE to manage the expansion of ECD in the country and to facilitate compliance to the National Integrated ECD Policy approved by Cabinet on 9 December 2015 ensuring that the delivery and any capital investment is coordinated in an efficient manner that is consistent with norms, standards and guidelines x ECD is a national priority and requires uniform implementation to achieve the minimum coverage of 60 per cent of all poor children and to have the desired impact of achieving universal access by 2030 Past performance 2024/25 audited financial outcomes x The R81 million maintenance grant allocation was fully transferred to the provinces, with provinces spending R59 million (72 per cent) by end of the financial year 2024/25 service delivery performance x 827 Health and Safety packs were delivered, 172 ECD centres were maintained and 7 new low-cost ECD centres were constructed Projected life x Given the nature of the programme and the drive to expand provision of ECD services, the grant will be needed for the medium-term expenditure framework period, subject to review MTEF allocations x 2026/27: R268 million; 2027/28: R284 million; and 2028/29: R293 million Payment schedule x Quarterly instalments according to approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x DBE will develop ECD infrastructure grant guidelines for each of the two areas listed above that must be issued to the provinces by 30 January 2026 x DBE will conduct monitoring on the grant, support provincial education departments and consolidate quarterly grant performance reports received from PEDs x DBE ensures all provinces adhere to norms and standards developed for ECD Responsibilities of provincial departments x Provinces must provide a procurement plan on how they will implement their projects in the 2027/28 financial year by 31 August 2026 x The ECD infrastructure project manager must maintain a secure database of all ECD centres that have been assisted with maintenance, upgrades or new construction x The ECD programme manager must maintain a secure database of all ECD centres that have received health and safety support x The ECD programme manager must maintain a secure database of all ECD centres that have improved their registration status x Provinces must record all maintenance and new construction projects on the national infrastructure reporting model and education facilities management system x Provinces must adhere to the requirements in the ECD infrastructure grant guidelines issued by DBE in the implementation of the grant x Provincial education departments must comply with the framework for infrastructure delivery and procurement management in the planning and implementation of projects Process for approval of 202 7/28 business plans x Engage with provincial departments on the submission of business plans between September 2026 and February 2027 x Provincial education departments to submit approved business plans signed off by the head of department to the DBE by 24 February 2027 x The transferring officer must approve the final business plans by 31 March 2027 144 Early Childhood Development Grant: Subsidy Component Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To expand equitable access to quality early childhood development (ECD) services with a focus on vulnerable and poor children ensuring safe, inclusive and developmentally appropriate learning environments Grant purpose x To increase the number of poor children accessing subsidised ECD programmes Outcome statements x The provision of ECD programmes to poor children contributing towards universal access Outputs x Number of eligible children subsidised, as agreed in the service level agreement (SLA) x Number of all children: o enrolled in ECD programmes in fully and conditionally registered ECD centres o subsidised from the conditional grant in fully and conditionally registered ECD centres o enrolled in fully and conditionally registered non-centre-based programmes o subsidised from the conditional grant in fully and conditionally registered non-centre- based programmes o benefiting from the top-up grant in fully and conditionally registered ECD centres o subsidised through provincial own revenue, including the equitable share in fully and conditionally registered ECD centres x Number of days subsidised for centre-based programmes x Number of sessions subsidised in non-centre-based programmes x Number of ECD practitioners and other staff working in subsidised ECD programmes x The number of Bronze level ECD programmes registered through the Bana Pele Mass Registration Drive receiving Bronze support x Number of new staff appointed to either the ECD Directorate or EMIS Directorate to support improved ECD administration using eCares x Number of social workers and social auxiliary workers appointed to support improved ECD administration using eCares Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x The provincial departments will use a single business plan issued by the National Department of Basic Education (DBE) for the two grant components (i.e. subsidy and infrastructure) which contain the following: o project background o project objectives o scope of the work o deliverables and outputs to be achieved o risk assessment with mitigation plan Conditions x Only fully and conditionally registered ECD programmes (centre and non-centre-based) will be eligible for the subsidy x ECD programmes registered at Bronze level not eligible for the subsidy until they reach silver or gold registration x The subsidy is targeted for children of any age in registered ECD programmes x The provincial education departments and ECD programmes will enter into SLAs which stipulate the purpose of the subsidy, the amount and conditions of the subsidy and obligations of both provincial education departments and ECD programmes regarding the payment of the subsidy, compliance with funding and the reporting requirements x The value of the subsidy paid to each centre-based ECD programme is R24 multiplied by the number of days (264), multiplied by the number of qualifying children attending the centre-based ECD programme as agreed to in the SLA x The value of the subsidy paid to each registered non-centre-based ECD programme is R13 multiplied by the number of sessions, multiplied by the number of qualifying children attending as agreed to in the SLA x The full value of the subsidy will be paid in equal parts in line with the SLA and any changes to the payment schedule must be aligned to a determination of non-compliance as defined in the SLA x Once funds are transferred to an ECD programme, the department may not pre-approve how the funds are to be utilised other than what is stipulated in the SLA x All allocations must be aligned to the number of children as per the SLA and can only be reduced as per the process outlined in the SLA. Allocations must not be changed in-year, based on how many children attend x Additional subsidy funding must be prioritised in accordance with guidelines issued by the DBE set out below: o eligible programmes in designated priority municipal wards are to be targeted for full subsidy funding up to the total confirmed enrolment of the programme. These programmes will not be subject to any individual income-based means test o eligible programmes which provide proof that 80 per cent or more enrolled children meet the income- based means test described below, are to be prioritised for full subsidy funding up to the total confirmed enrolment 145 Early Childhood Development Grant: Subsidy Component o eligible programmes not in designated wards, where less than 80 per cent of enrolled children meet the income-based means test, will be funded on a per child basis o a child is eligible to be subsidised if his/her parents’ income falls below the following prescribed test Income -based means test: x Income of parents or caregivers may not exceed the means test values applied for the receipt of the child support grant for a single parent and married parents as gazetted by the national Department of Social Development in 2025. This is updated each year with an increase in the grant value x In the case of children receiving a child related social assistance grant; original, reprinted or certified copies of proof of receipt of the child related grant (child support grant or the foster care grant) as issued by the South African Social Security Agency must be submitted x In the case of children who are not beneficiaries of a child related grant the following must be submitted: o proof of income of parents (or caregivers) o three months bank statements of parents or guardians o affidavit declaring status of income Support to Bronze programmes: x Once all eligible children in programmes which the province has received an approved subsidy application for 2026 have been subsidised, any remaining funds may be used to provide Bronze income support in line with the prescribed conditions below: o only ECD programmes registered at Bronze level are eligible for Bronze income support o bronze support is targeted for children of any age in registered ECD programmes o the value of Bronze support paid to each ECD programme is R2 000 multiplied by the number of children enrolled in the ECD programme o bronze support funds may be used to assist the programme in meeting Silver registration requirements outlined in the registration framework o provinces must follow the guidelines issued on how to administer bronze support to ELP programmes Allocation criteria x The provincial subsidy allocations are determined based on: o the number of poor children that should be accessing ECD subsidy o the number of poor children who are currently accessing the ECD subsidy Reasons not incorporated in equitable share x To allow DBE to better facilitate the expansion of ECD services in the country x ECD is a national priority and requires uniform implementation in order to achieve the minimum coverage of 60 per cent of all poor children and to have the desired impact of achieving universal access by 2030 Past performance 2024/25 audited financial outcomes x R1.4 billion was allocated and transferred to the provinces, which subsequently achieved a 99.7 per cent expenditure rate by the end of the financial year 2024/25 service delivery performance x 348 146 children benefitted from the subsidy Projected life x Given the nature of the programme and the drive to expand the provision of ECD services, the grant will be needed for the medium-term expenditure framework period, subject to review MTEF allocations x 2026/27: R4.3 billion; 2027/28: R6.6 billion; and 2028/29: R6.8 billion Payment schedule x Quarterly instalments according to approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Review standardised SLAs to be entered into between provincial departments of basic education and ECD programmes if necessary x Review of the standardised business plan x Develop guidelines for the implementation of the ECD subsidy and Bronze income support Responsibilities of provincial departments x Conclude SLAs with ECD programmes in a format prescribed by the DBE x Ensure that payments are made in line with the payment schedule as per the SLAs with ECD programmes x Subsidies must be made into the ECD programmes designated bank accounts, which must be with a registered deposit taking institution in the Republic of South Africa x Subsidies may only be reduced in cases of non-compliance as outlined in the prescribed SLA x Use the information reported in the quarterly reports from ECD programmes to develop and maintain a master list of all children benefitting from the ECD subsidy x Maintain a secure database on the status of registration of all ECD programmes in the province that is inclusive of the following basic information: o ECD programme name o ECD programme type o registration status o registration expiry date o location information including education district, local municipality and ward o capacity of the centre o number of children enrolled o number of children enrolled in subsidised programmes o number of children with disabilities enrolled in subsidised programmes o number of children with disabilities enrolled 146 Early Childhood Development Grant: Subsidy Component Process for approval of 202 7/28 business plans x Provincial Department of Education to submit approved business plans signed off by the head of department to the DBE by 24 February 2027 x The transferring officer must submit payment schedules and compliance certificates by February 2027 x The transferring officer must approve provincial business plans by 31 March 2027 147 Education Infrastructure Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 4, Part A Strategic goal x To supplement provinces to fund the provision of education infrastructure in line with the regulations relating to minimum uniform norms and standards for public school infrastructure Grant purpose x To help accelerate construction, maintenance, upgrading and rehabilitation of new and existing infrastructure in education including district and circuit accommodation x To address achievement of the targets set out in the minimum norms and standards for school infrastructure x To address damages to infrastructure x To enhance capacity to deliver infrastructure in education Outcome statements x Improved quality of education service delivery by provincial departments as a result of an improved and increased stock of school infrastructure x Aligned and coordinated approach to infrastructure development at the provincial sphere x Improved education infrastructure expenditure patterns x Improved response to the rehabilitation of school infrastructure x Improved rates of employment and skills development in the delivery of infrastructure x Improved safety in school facilities through occupational health and safety Outputs x Number of new schools, additional education spaces, education support spaces and administration facilities constructed as well as equipment and furniture provided x Number of existing schools’ infrastructure upgraded and rehabilitated including schools constructed of asbestos material and other inappropriate material x Number of new and existing schools maintained x Number of disaster damaged schools rehabilitated x Number of schools provided with water, sanitation, and electricity x Number of work opportunities created x Number of new special schools provided, and existing special and full-service schools upgraded and maintained Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x This grant uses an infrastructure plan that includes: o the infrastructure programme management plan o the procurement strategy o the capacitation strategy o the infrastructure reporting model o the year-end evaluation report Conditions x Provinces may utilise a portion of grant funding for the appointment of public servants on a permanent basis to their infrastructure units in line with human resource capacitation circular published by National Treasury (including maximums set in the circular) x The flow of each instalment of the grant depends upon provinces submitting to national Department of Basic Education (DBE), provincial treasuries and National Treasury financial and non-financial performance reports on programmes partially and fully funded by the grant x The flow of the first instalment of the grant depends upon receipt by the DBE and provincial treasuries and National Treasury of: o approved and signed-off infrastructure plan with tabled prioritised project lists for the 2026 m edium- term expenditure framework (MTEF) by no later than 13 March 2026. The infrastructure plan must, where applicable, also include the implementation plans for schools affected by natural disasters o approved and signed-off infrastructure project list (Table B5) for the 2026 MTEF on the infrastructure reporting model o preventative and corrective maintenance plan for all maintenance programmes over the 2026 MTEF period accompanied by a project list no later than 13 March 2026 x The flow of the second instalment depends upon receipt by DBE, provincial treasuries and National Treasury of the approved and signed-off: o monthly infrastructure reports in a format determined by the National Treasury and DBE o a summary report on all projects that have reached practical completion and captured on the education facilities management system mobile application for the fourth quarter of the 2025/26 financial year no later than 29 April 2026 o a report on the filling of posts on the approved establishment for the infrastructure unit in the format approved by National Treasury for the fourth quarter of the 2025/26 financial year within 22 days after the end of the fourth quarter x The flow of the third instalment is dependent upon receipt by DBE, provincial treasuries, and the National Treasury, on a date and in a format determined by National Treasury, of the approved and signed-off: o infrastructure plans for all infrastructure programmes for a period of 10 years (including the initial list of prioritised projects) on a date specified in the performance-based approach guidelines 148 Education Infrastructure Grant o the 2026/27 project list must be drawn from the prioritised project list for the MTEF tabled in 2025/26 o preventative and corrective maintenance plans for all maintenance programmes over the MTEF period accompanied by a project list on a date specified in the performance-based approach guidelines o monthly infrastructure reports in the format determined by National Treasury and the DBE o a summary report on all projects that have reached practical completion and captured on the education facilities management system mobile application for the first quarter of 2026/27 by 25 July 2026 o a report on the filling of posts on the approved establishment for the infrastructure unit in the format approved by National Treasury for the first quarter of the 2026/27 financial year within 22 days after the end of the first quarter o the conditional grant year-end evaluation report on financial and non- financial performance no later than 27 May 2026 x The flow of the fourth instalment is conditional upon receipt by the DBE and provincial treasuries and National Treasury of the approved and signed off: o monthly infrastructure reports in the format determined by National Treasury and the DBE o a summary report on all projects that have reached practical completion and captured on the education facilities management system mobile application for the second quarter of 2026/27 by 23 October 2026 o infrastructure programme management plan s for infrastructure programmes envisaged to commence within the period for the MTEF on a date specified in the performance-based approach guidelines o procurement strategy for infrastructure programmes envisaged to commence within the period of the MTEF on a date specified in the performance-based approach guidelines o a report on the filling of posts on the approved establishment for the infrastructure unit in the format approved by National Treasury for the second quarter of the 2026/27 financial year within 22 days after the end of the second quarter x The flow of the fifth instalment is conditional upon receipt by the DBE, the relevant provincial treasuries and National Treasury on a date determined by National Treasury, of the approved and signed-off: o monthly infrastructure reports in the format determined by National Treasury and the DBE o a summary report on all projects that have reached practical completion and captured on the education facilities management system mobile application for the third quarter of 2026/27 to DBE no later than 20 January 2027 o a report on the filling of posts on the approved establishment for the infrastructure unit in the format approved by National Treasury for the third quarter of the 2026/27 financial year within 22 days after the end of the third quarter x Provincial education departments must ensure that a programme and project management system is in place for planning, management and monitoring of infrastructure delivery funded from the grant x Provincial education departments must comply with the framework for infrastructure delivery and procurement management x Provincial education departments must provide school governing bodies with maintenance guidelines to conduct minor maintenance. This should be in accordance with the sector maintenance strategy x Provincial education departments should allocate no less than 60 per cent of the Education Infrastructure Grant allocation to address preventative and corrective maintenance at schools, which should appear as such on the infrastructure reporting model and MTEF database x Provincial education departments to prioritise and fund from the grant, the eradication of pit latrines and other unacceptable forms of sanitation x The grant allocation can be transferred to schools in line with the guidelines which will be issued by DBE x Provincial education departments to prioritise the rehabilitation of storm damaged schools, schools built of asbestos and other inappropriate material x Provincial education departments must utilise this grant for minor renovations to classrooms to improve accessibility and ensure compliance with universal design standards x In implementing the three streams model, provincial education departments to prioritise the planning for construction of technical schools and schools of skill as well as conversion of academic stream schools to vocational and occupational streams in 2026/27, for commissioning of projects in 2027/28 x Provincial education departments may use multiple implementing agents when implementing projects funded from the grant x To promote conducive teaching and learning within the acceptable occupational, health and safety standards, provincial education departments must implement maintenance projects in all education facilities x In schools without section 21 responsibilities, provincial education departments should put in place the necessary measures to ensure that planned maintenance at these schools occurs as per the scheduled maintenance plan for such schools x Provincial education departments must provide all the necessary equipment and furniture in the spaces provided when constructing new projects 149 Education Infrastructure Grant x Provincial education departments must submit their plans for the procurement of mobile classrooms to the DBE and any deviation from these plans should be approved in writing by the DBE x Provincial education departments to ensure cost-effectiveness as they implement infrastructure projects x The DBE approved 10-point plan must be implemented to ensure improvements in infrastructure delivery x Non-compliance with any of the above conditions may result in the withholding and subsequent stopping of transfers x The following amount is allocated through the Budget Facility for Infrastructure for the construction of schools in Western Cape. These funds may only be used for this projects and are subject to the conditions set out in the 2026 MTEF preliminary allocation letter to DBE: o Western Cape: R1.3 billion x An amount of R4.6 billion from the School Infrastructure Backlogs Grant (SIBG) will be merged into this grant over the 2026 MTEF period and earmarked for specific priority projects identified by the DBE and conditions set out in the letter to the respective provinces. In 2026/27 R1.1 billion will be allocated to three provinces, namely, Eastern Cape, KwaZulu-Natal and Limpopo for the construction of appropriate sanitation to meet norms and standards o Eastern Cape: R355 million o KwaZulu-Natal: R464 million o Limpopo: R285 million x The allocation for 2027/28 (R1.7 billion) and 2028/29 (R1.8 billion) will remain unallocated within this grant Allocation criteria x Allocations for 2026/27 are based on historical allocations for this grant x Allocations also include incentive-based allocations as described in part 4 to Annexure W1 of the 2026 Division of Revenue Bill Reasons not incorporated in equitable share x Funding infrastructure through a conditional grant enables the national department to ensure the delivery and maintenance of education infrastructure in a coordinated and efficient manner, consistent with national norms and standards for school buildings Past performance 2024/25 audited financial outcomes x Of the R14 billion allocated, R14 billion (100 per cent) was transferred and spent by provinces 2024/25 service delivery performance x 2 532 teaching spaces and 82 administrative spaces provided x 1 113 maintenance projects, 278 water, 328 sanitation, 61 electricity and 148 fencing infrastructure projects x Completed two boarding facilities x The sector has provided a total of 41 new and replacement schools in provinces, while 102 schools commenced with construction Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R16.3 billion; 2027/28: R16.6 billion; and 2028/29: R17.1 billion Payment schedule x Transfers are made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Visit selected infrastructure sites in provinces x DBE and National Treasury to support provinces to improve infrastructure delivery capacity and systems x Provide guidance to provinces in planning and prioritisation x Issue guidelines on the capacitation process of infrastructure units as well as the conditions attached to the utilisation of the funding x DBE and National Treasury to jointly evaluate progress with the capacitation of provincial infrastructure units and provide feedback to all provinces in terms of the guidelines x DBE and National Treasury must jointly evaluate and provide feedback to all provinces on the assessment of all documents as outlined on the performance-based approach system guidelines x Assess the reports submitted by provincial education departments and provide feedback before transferring the instalment x Submit reports to the National Treasury in terms of quarterly achievements by provincial education departments x Comply with the conditions of this grant framework and the relevant clauses within the stipulated time frames of the 2026 Division of Revenue Act (DoRA) Responsibilities of provincial departments x Approve monthly provincial infrastructure reports on infrastructure programme in the infrastructure reporting model within 15 days after the end of each month and submit to the relevant provincial treasury and DBE x Submit a signed-off monthly provincial infrastructure report on infrastructure programmes in the infrastructure reporting model within 22 days after the end of each month to the relevant provincial treasury, DBE and National Treasury x Comply with the conditions of this grant framework and the relevant clauses within the stipulated time frames in 2026 DoRA x Submit quarterly capacitation reports within 22 days after the end of each quarter 150 Education Infrastructure Grant x Ensure that section 42 transfers as per the Public Finance Management Act are effected Process for approval of 2027/28 business plans x The process for approval for the 2027 MTEF allocations will be in line with the performance-based incentive approach guidelines published by National Treasury x Submission to National Treasury by DBE of the infrastructure programme management plan for 2026/27 projects by 12 February 2027 for projects completed under the School Infrastructure Backlogs Grant 151 HIV and AIDS (Life Skills Education) Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x Addressing social and structural drivers of HIV, sexually transmitted infections (STIs) and tuberculosis (TB) prevention, care and impact x Contribute to preventing new HIV, STIs and TB infections x To increase access to sexual and reproductive health services including HIV, as well as TB services for learners and educators, with a specific focus on schools that are located in high priority areas Grant purpose x To support the implementation of South Africa’s National Strategic Plan on HIV, STIs and TB Strategy 2023 – 2028 (NSP) to accelerate implementation of a comprehensive strategy for prevention, treatment, care and support, mitigate the impact of HIV by implementing prevention programmes and reduce the vulnerability of children to HIV, TB and STIs, with a particular focus on orphaned learners (boys and girls) Outcome statements x Increased HIV, STI, TB and Sexual Reproductive Health knowledge and skills amongst learners, educators, school support staff and officials in order to reduce risky sexual behaviours through awareness, peer education, and advocacy campaigns x Decrease in risky sexual behaviour among learners x Decreased barriers to retention in schools, in particular for vulnerable learners (girls and boys) Outputs x Build capacity of the sector by: o 8 084 educators, officials capacitated on DBE HIV prevention policies, frameworks, including the HIV, AIDS policy, Policy on the Prevention and Management of Learner Pregnancy in Schools (LPPM), the protocol on reporting on sexual assault and harassment in schools, Integrated School Health Policy (ISHP), Standard Operating Procedure for the provision of sexual and reproductive health rights and social services in secondary schools, and the guide for Learner Support Agents (LSAs) and schools on the provision of psychosocial support to learners o 6 852 educators trained to implement care and support prevention programmes for learners to be able to protect themselves from HIV and TB, and the associated key drivers, including alcohol and drug use, leading to unsafe sex, learner pregnancy, and HIV infection, prioritising schools located in areas with a high burden of HIV and TB infections o 2 689 learner support agents capacitated on the guide for LSAs and schools on the provision of Psychosocial support and ISHP SOP in order to strengthen referral and access to Sexual Reproductive Health services o 7 937 parental communication dialogues on care and support programmes including HIV, Early Unintended Pregnancy (EUP), risky sexual behaviours and substance abuse x 4 677 primary and secondary schools with peer education providing comprehensive sexuality education, access to sexual and reproductive health and TB services including a focus on prevention of alcohol, drug use and learner pregnancy, targeting 327 200 learners. Priority will be in schools located in high priority areas x 2 689 learner support agents appointed to support care and support programmes implemented to reach 158 450 vulnerable learners, using the care and support for teaching and learning framework x 51 550 Information, Education and Communication (IEC) material printed and distributed to 8 480 schools x 9 317 number of school-based advocacy, social mobilisation and calendar events reaching 344 800 learners, including commemoration x 4 170 number of schools monitored Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions x Provincial education departments must distribute the grant allocation in accordance with the following weights for the key performance areas: o capacity building and training of educators and officials in in policies and implementing care and support programme (10 per cent) o co-curricular activities (peer-education and dialogues) (15 per cent) o care and support (appointment of LSAs) (45 per cent) o printing and distribution of IEC material (5 per cent) o advocacy and social mobilisation (10 per cent) o monitoring and support (8 per cent) o management and administration (7 per cent) x Provincial education departments must report on implementation and expenditure according to the above seven key performance areas per quarter x Instalments are dependent on the DBE receiving these reports, adherence to approved business plans and attendance at the biannual inter-provincial meetings 152 HIV and AIDS (Life Skills Education) Grant x The above percentages are guidance and may be deviated from in accordance with provincial needs with the approval of the national transferring officer x Deviations should be informed and motivated by achievements and/or critical challenges relating to the trends in the epidemic as relevant to respective provincial education departments x Provincial education departments must ensure they have the necessary capacity and skills to manage the implementation of the grant Allocation criteria x The education component of the provincial equitable share formula, as explained in part 4 of Annexure W1 of the 2026 Division of Revenue Bill, is used to allocate the grant amongst provinces Reasons not incorporated in equitable share x To enable the DBE to provide overall guidance, to ensure congruency, coherence and alignment with: o National Strategic Plan for HIV, TB and STIs (2023–2028) o DBE National Policy on HIV, STIs and TB for learners, educators, school support s taff in all primary and secondary schools in the basic education sector o Learner Pregnancy Policy x This enables the DBE to exercise an oversight role in the implementation of the HIV and AIDS life skills education programme in schools Past performance 2024/25 audited financial outcomes x Of the R250 million allocated to provinces, R250 million (100 per cent) was transferred to provinces, of which R242 million (96.9 per cent) was spent by the end of the financial year 2024/25 service delivery performance x 7 194 educators trained to implement comprehensive sexuality education and TB prevention programmes for learners to be able to protect themselves from HIV and TB and the associated key drivers x 4 773 school management teams and governing bodies trained to develop policy implementation plans focusing on the keeping mainly young girls in schools, ensuring that comprehensive sexuality education and TB education are implemented for all learners x 115 836 learners reached through co-curricular activities and jamborees on provision of comprehensive sexuality education, access to sexual and reproductive health and TB services. x Care and support programmes and psychosocial support services implemented to reach 107 620 learners and 3 523 educators; Learner Support Agents appointed to support vulnerable learners prioritising primary schools x 52 999 copies of curriculum and assessment policy statement (CAPS) compliant comprehensive sexuality education material, including material for learners with barriers to learning, printed and distributed to 3 805 schools x Host advocacy and social mobilisation activities and events with 310 121 learners, educators and school community members lobbying for support of the DBE policies and empower them to change social norms and values on the provision of Comprehensive Sexuality Education and Sexual Reproductive Health services. In addition, 1 669 schools were reached through TB awareness activities x 3 880 schools reached through monitoring and support visits Projected life x Grant will be reviewed on an ongoing basis to respond to nature and trends in the HIV and TB epidemics MTEF allocations x 2026/27: R272 million; 2027/28: R283 million; and 2028/29: R292 million Payment schedule x Four instalments: 15 April 2026; 29 July 2026; 28 October 2026; and 27 January 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x To provide evidence-based guidance towards the development of a standardised annual conditional grant framework and nine provincial specific annual business plans for the HIV and AIDS life skills education programme x Identify risks and challenges impacting provincial implementation x Develop risk management strategies to address these risks x Ensure synergy with national strategies and processes aimed at reducing HIV and related chronic illnesses, such as TB infection together with the associated risk factors, such as alcohol and drug use, prevention of unbecoming behaviour and teenage pregnancy in schools x Agree on outputs and targets with provincial education departments in line with grant objectives and national imperatives for 2027/28 from 23 September 2026 x Monitor implementation of the programme and provide support to provinces x Establish partnerships with key stakeholders x Submit quarterly performance reports to National Treasury within 45 days after the end of each quarter (including monthly and annual reports on the implementation of the programme and expenditure against the allocated budget) Responsibilities of the provincial departments x Ensure synergy with national strategies and processes aimed at reducing HIV and TB infections and other related issues including the associated risk factors such as alcohol and drug use, prevention of unbecoming behaviour and teenage pregnancy in schools x Identify risks and challenges impacting implementation 153 HIV and AIDS (Life Skills Education) Grant x Develop risk management strategies and implementation plans to address these risks x Submit monthly reports, quarterly and annual performance evaluation reports to the DBE in line with the 2026 Division of Revenue Act and Public Finance Management Act x Agree with the DBE on outputs and targets to ensure effective implementation and expenditure of the programme x Monitor implementation of the programme and provide support to districts and schools x Provincial education departments to implement the projects according to the approved business plans x Any deviation should first be communicated to and approved by the DBE before implementation x Evaluate and submit a provincial evaluation report on the performance of the conditional grant to the DBE in May/June 2026 (date will be determined by the national department) Process for approval of 2027/28 business plans x Communicating and meeting with provinces to inform targets for 2027/28 from 28 October 2026 x Provincial education departments submit draft business plans to DBE for evaluation from 27 November 2026 x DBE evaluates provincial business plans from 9 December 2026 x Comments sent to provincial education departments to amend the plans from 8 January 2027 x Provincial education departments submit amended and signed plans to DBE from 24 February 2027 x DBE approves provincial business plans from 2 April 2027 154 Learners with Profound Intellectual Disabilities Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To ensure that learners with severe to profound intellectual disabilities access quality, publicly funded education and support Grant purpose x To provide the necessary support, resources and equipment to identified special care centres and schools for the provision of education to children with severe to profound intellectual disabilities Outcome statements x Improved access to quality basic education for children with severe to profound intellectual disabilities in conditions that ensure dignity, promote self-reliance and facilitate active participation in the community Outputs x Nine deputy chief education specialists as provincial grant managers and 255 transversal itinerant outreach team members appointed to provide support in special care centres and targeted schools x 483 special care centre data captured and managed using the South African School Administration and Management System x 255 transversal itinerant outreach team members, 2 490 caregivers trained on the learning programme for learners with profound intellectual disabilities and other programmes that support the facilitation of the learning programme x Number of caregivers trained on accredited training x 9 672 children with severe to profound intellectual disabilities supported through a range of services x Number of children with severe to profound intellectual disabilities from special care centres placed in schools x Number of practitioners, caregivers and class assistants appointed Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities x Annual budget and resource allocation schedules x Monitoring and reporting x Risk management plan x Cash flow projections x Participating centres and schools list (separate annexure) x Organogram for transversal itinerant outreach team within the district Conditions Grant structure and allocation x The grant is utilised on an interventional basis and is not a general source of funding for all special care centres and schools x The focus of the grant is children with severe to profound intellectual disabilities who are currently not accessing publicly funded education in special care centres x Learners with severe, mild and moderate intellectual disabilities and with specific learning difficulties enrolled in special care centres should be assessed for placement in schools x Schools that have enrolled learners with profound intellectual disabilities from special care centres in schools should be supported x The learning programme for learners with profound intellectual disabilities should be used to guide the teaching of learners with profound intellectual disabilities in special care centres and targeted schools x The allocation of funds per provincial education department should be divided as follows: o 9 per cent for the training of caregivers o 17 per cent for assistive devices, storage containers and top-up learning and teaching support materials and classroom furniture and equipment for newly on-boarded special care centres and designated schools for the benefit of learners with severe to profound intellectual disabilities from special care centres o 65 per cent for compensation of transversal itinerant outreach team members and provincial grant managers o 9 per cent for administration including travel, vehicles, accommodation and subsistence x Provinces may deviate from the prescribed allocations only after having complied with the conditions of the framework and obtained the relevant approval from the transferring officer. The request for deviations must be submitted to the transferring officer no later than 29 October 2026. Any deviation for the appointment of practitioners, caregivers and class assistants must not exceed 3 per cent of the grant allocation Business planning process x The transferring and receiving departments must appoint or identify qualified and experienced person/s to administer, manage and coordinate the activities of the grant in accordance with the provisions of the framework and business plan x In order to ensure the effective management of the grant, receiving departments should not allocate other responsibilities to a staff member appointed to manage the grant x The receiving department must appoint outreach teams, as part of the district-based support team, made up of one senior education specialist (learning support - post level three), one chief education occupational therapist, one chief education speech therapist, one chief education physiotherapist and an educational psychologist 155 Learners with Profound Intellectual Disabilities Grant x In order to ensure effective and adequate support to learners, outreach teams must prioritise LSPID Conditional Grant activities as a first responsibility; however, where necessary, the receiving department may deploy them to support relevant district functions, provided this does not compromise the achievement of the grant deliverables. Outreach teams must be appointed and compensated in accordance with post levels as agreed upon with the national Department of Basic Education (DBE) x Outreach team members must be appointed on district posts and be part of the district-based support team and be based at the district, circuit or school level, in order to ensure integration of the services they provide into district plans and efficiency when they facilitate and support the implementation of the learning programme and provide psycho-social and other therapeutic support to learners enrolled in special care centres and targeted schools x Where in-service therapists are not available, outreach team members should provide therapeutic, including any other, support to learners with profound intellectual disabilities enrolled in schools x The receiving department must facilitate and support the implementation of the learning programme for learners with profound intellectual disabilities in special care centres and schools x The transferring department must train outreach team members on the implementation of the learning programme for learners with profound intellectual disabilities and other programmes that enhance accountability in the implementation of the learning programme for learners with profound intellectual disabilities x The receiving departments, using outreach team members and other officials, must conduct on-site on-the- job coaching and mentoring of caregivers, teachers, in-service therapists, and officials on the learning programme for learners with profound intellectual disabilities, and other programmes that directly enhance accountability in the implementation of the learning programme and provision of outreach services to targeted special care centres and schools x The receiving department must work with DBE and ensure that caregivers receive accredited training that results in recognised qualifications x Administrative support will include purchasing or leasing appropriate vehicles in cases where cars have not been purchased (one car per team), purchasing tools of trade (in line with the DBE guidelines), fuel costs, and subsistence and accommodation costs when visiting special care centres and schools with the travel distance of more than 200 km or in instances where the teams will spend more than one day in an area providing outreach services x Transport is provided for in the grant framework and hence costs incurred from the use of own cars must be avoided x The receiving department should facilitate and advocate for the placement of learners from special care centres in schools at all levels of the education system as well as in the broader community Procurement x In order to expedite the delivery of assistive devices and learning and teaching support materials, provincial education departments must utilise transversal contracts where available, unless they can demonstrate gains from an exemption in their business plans x To effectively use finances the use of implementing agencies to procure items must be avoided x In order to address the buying of inappropriate equipment and learning and teaching support materials, provincial education departments must consult with DBE by sharing and discussing the specifications of the items to be bought x The receiving departments must procure relevant and adequate learning and teaching support materials, classroom furniture and equipment, equipment for basic non-accredited skills programmes for learners with severe intellectual disabilities that cannot be placed in schools and assistive devices for learners in special care centres in consultation with the DBE x Buying of assistive devices must be informed by an assessment by a therapist x The receiving department must procure specialised tools of trade and storage equipment in special care centres and where storage is inadequate x Procurement should include training of caregivers, teachers and end-users in the utilisation of all resources provided x Transfer of the first tranche to provincial education departments will be done on submission of approved business, procurement and training plans x This framework must be read in conjunction with the practice note as agreed to with National Treasury Allocation criteria x Allocations consider the number of special care centres, children with severe or profound intellectual disabilities in special care centres, schools that have enrolled learners with profound intellectual disabilities referred from special care centres per province as well as the urban and rural nature of each province Reasons not incorporated in equitable share x In order to address the needs of this marginalised population of children with severe or profound intellectual disabilities that are not in school and not accessing educational subsidies through the educational norms applied at schools, the funding is ring-fenced in the form of a conditional grant. This enables DBE to provide overall guidance to ensure congruence and coherence in programme implementation Past performance 2024/25 audited financial outcomes x The R278 million allocation was fully transferred to the provinces, with provinces spending R268 million (96 per cent) by the end of the financial year 2025/26 service delivery performance x Deputy chief education specialists appointed as provincial grant managers x 227 appointed transversal itinerant outreach team members recruited to guide and support curriculum delivery 156 Learners with Profound Intellectual Disabilities Grant and provide therapeutic support in special care centres and targeted schools x Data Management: 454 special care centres that support children with severe to profound intellectual disabilities managed using South African School Administration and Management System x Training: 227 transversal itinerant outreach team members, 2 738 care givers, 387 teachers, 107 in- service therapists and 105 officials trained on the learning programme for learners with profound intellectual disabilities x 596 caregivers received certification for a range of accredited training, including training in ECD Level 4 and 370 enrolled in various accredited training programmes that end in 2025/26 x Outreach services: outreach services provided to 9 672 children /learners with severe to profound intellectual disabilities. The following services were rendered: o 2 013 learners assessed by psycho-education psychologists and determined their education strengths and needs, and assessment reports used to guide nature of support o 5 230 learners with profound intellectual disabilities were taught using the learning programme for learners with profound intellectual disabilities o learners participated in basic skills programmes, 3 546 learners received therapy and 492 received assistive devices o 454 special care centres were provided with a range of learning and teaching support materials to use to support teaching and the learners enrolled in these centres o shipping storage containers were procured for special care centres that do not have safe and adequate storage to store learning and teaching support materials o 33laptops, 20 cartridges, 33 monitors bought for transversal itinerant outreach team members as tools of trade, 44 board makers, 7 folding wheels shopping cart for LTSM storage, 35 office desks, 7 cabinet fillings, 35 chairs, 109 packets of vinelands o 410 children, from special care centres, enrolled in schools Projected life x The grant framework will be reviewed on an ongoing basis to respond to the nature and trends in the education of learners with severe to profound intellectual disabilities MTEF allocations x 2026/27: R307 million; 2027/28: R322 million; and 2028/29: R337 million Payment schedule x Transfer payments shall be effected on 16 April 2026; 18 August 2026; 17 November 2026 and 16 January 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Evaluate, approve and submit provincial business plans to National Treasury x Refine monitoring and evaluation guidelines tools that will be used to monitor and evaluate the implementation of the grant x Refine standard operation procedures and tools, if and when necessary, that will be used to enhance performance management and accountability x Work with provincial education departments in developing a guiding document to guide provincial education departments with the appointment of practitioners or caregivers in 2026/27 on a 12-month contract to support children placed in schools from special care centres and the appointment of class assistants in 2026/27 on a 12-month contract to support teachers in schools that have enrolled learners with profound intellectual disabilities from special care centres x Train provincial grant managers and transversal itinerant outreach team members on programmes to ensure the effective implementation of the grant, including the implementation of the learning programme for learners with profound intellectual disabilities x Monitor and support the implementation of the conditional grant by provincial education departments x Collaborate with other government departments to ensure the provision of integrated services to learners/children with severe or profound intellectual disabilities Responsibilities of provincial departments x Develop and submit approved business and procurement plans to the DBE x Manage the implementation of business plans in line with the 2026 Division of Revenue Act and the Public Finance Management Act as amended to ensure that expenditure is on track and that there is no withholding of transfers by the transferring officer x Ensure systems, capacity and controls are in place to ensure the successful implementation of the conditional grant x Facilitate the appointment of outreach team members and grant managers in permanent posts as per the conditional grant conditions x Work with the DBE in developing a document to guide provincial education departments on the appointment of practitioners/caregivers in 2026/27 on a 12-month contract to support children placed in schools from special care centres x Work with the DBE in developing a document to guide provincial education departments on the appointment of class assistants in 2026/27 on 12-month contracts to support teachers in schools that have enrolled learners with profound intellectual disabilities from special care centres x Ensure conditional grant activities are implemented as approved in the business plans. Any proposed deviations from the approved plans must be submitted in writing to the DBE and receive written approval from the transferring officer prior to implementation x Monitor, support and quality assure the provision of outreach services to special care centres and school s on a monthly and quarterly basis or as and when required x Use the DBE systems to manage data on special care centres 157 Learners with Profound Intellectual Disabilities Grant x Ensure that children enrolled in special care centres are enrolled in schools x Ensure compliance with reporting requirements by providing consolidated quality-assured and approved quarterly reports 30 days after the end of the quarter x Facilitate collaboration with key government departments in the delivery of services to children with severe or profound intellectual disabilities. This will entail the establishment of inter-departmental structures that will ensure provision of integrated service delivery of services to children with severe or profound intellectual disabilities x Plan and implement advocacy programmes for the implementation of inclusive education for learners/children with severe or profound intellectual disabilities Process for approval of 2027/28 business plans x Meeting with provinces to review and discuss grant framework for the next financial year and receive input from provincial education departments by 30 September 2026 x DBE uses inputs from meeting with provincial education departments and drafts the grant framework by 31 October 2026 x Support grant manager to compile first daft business plans and provincial education departments submit first draft business plans to DBE for evaluation by 04 December 2026 x DBE evaluates draft provincial business plans and provides comments to provincial education departments to amend plans by 11 December 2026 x Provincial education departments submit amended plans by 16 January 2027 x Final comments sent to provincial education departments to amend by 10 February 2027 x Provincial education departments submit amended and signed-off plans to DBE by 15 March 2027 x DBE approves provincial business plans by 31 March 2027 158 Maths, Science and Technology Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To strengthen the implementation of the National Development Plan and the Action Plan of 2019 by increasing the number of learners taking mathematics, science and technology subjects, improving the success rates in the subjects and improving teachers’ capabilities Grant purpose x To provide support and resources to schools, teachers and learners in line with the Curriculum Assessment Policy Statements for the improvement of mathematics, science and technology teaching and learning at selected public schools Outcome statements x Improved learner participation and success in mathematics, science and technology subjects in the country Outputs x School support o 1 936 maths, science and technology schools o 485 schools supplied with subject specific computer hardware and related software in accordance with the minimum specifications prescribed by the Curriculum Assessment Policy Statements including coding and robotics pilot schools o 232 schools offering technical subjects (including pilot schools for the vocationally oriented curriculum) and schools offering agricultural subjects supplied with workshop tools, machinery, equipment and consumables for technology subjects repaired, maintained and/or replaced in accordance with the minimum specifications o 1 936 laboratories supplied with apparatus and consumables for mathematics, science and technology subjects in accordance with the minimum specifications including coding and robotics kits x Learner support o 55 000 learners registered for participation in mathematics, science and technology olympiads/fairs/expos and other events based on a structured annual calendar including support through learner camps and additional learning, teaching and support material such as study guides x Teacher support o 2 500 participants attending specific structured training and orientation for teachers and subject advisors in subject content and teaching methodologies on curriculum assessment policy statements for electrical, civil and mechanical technology, technical mathematics, and technical sciences o 2 000 teachers and subject advisors attending targeted and structured training in teaching methodologies and subject content either for mathematics, physical, life, natural and agricultural sciences, technology, coding and robotics, computer applications technology, information technology, agricultural management and technology subjects x Grant administration support o a ll provincial grant managers are supported to manage, administer, monitor and evaluate the implementation of the grant in line with the business plan. The support includes payment for expenses such as travelling, accommodation, stationery, flight fares, subsistence and other incidental costs o administration staff appointed on a three-year contract Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities x Annual budget and resource allocation schedules x Monitoring and reporting x Risk management plan x Cash flow projections x Participating schools list (separate annexure) Conditions Grant structure and allocations x The grant is utilised on an interventional basis and is not a general grant for all schools x Schools needs and allocation of funds must be identified through criteria indicated in the framework in partnership with provinces and districts in the preceding financial period x The grant will support a total of 1 936 schools across all provinces covering all mathematics, science and technology subjects from grades R - 12 x The grant will support the national Department of Basic Education (DBE)-Cuba mathematics, science and technology subjects support programme in the Eastern Cape, Gauteng, KwaZulu-Natal, Limpopo, and Mpumalanga provinces x The allocations should be divided in accordance with the following guideline for Eastern Cape, Gauteng, Limpopo, and Mpumalanga: o 10 per cent for information communication technologies including coding and robotics resources o 40 per cent for the supply, (10 per cent allocated for repair/replacement and 10 per cent allocated for maintenance and 20 per cent allocated for procurement) of workshop machinery, equipment and tools for technical (including pilot schools for vocationally oriented curriculum) and agricultural schools 159 Maths, Science and Technology Grant o 20 per cent for laboratory equipment/apparatus, manipulatives and consumables including coding and robotics. 10 per cent allocated for refurbishment and maintenance of laboratories o 12 per cent for teacher support including teacher support for coding and robotics and vocationally oriented curriculum pilots o 11 per cent for learner support including learners in teaching mathematics for understanding pilot schools o 1 per cent for grant administration, monitoring, support and evaluation o 6 per cent for the DBE-Cuba mathematics, science and technology subjects support programme , including remuneration x The allocations should be divided in accordance with the following guideline for Free State, KwaZulu-Natal, Northern Cape, North West and Western Cape: o 10 per cent for information communication technologies including coding and robotics resources o 40 per cent for the supply (10 per cent allocated for repair/replacement and 10 per cent allocated for maintenance and 20 per cent allocated for procurement) of workshop machinery, equipment and tools for technical (including pilot schools for vocationally oriented curriculum) and agricultural schools o 25 per cent for laboratory equipment/apparatus, manipulatives and consumables including coding and robotics. 10 per cent allocated for refurbishment and maintenance of laboratories o 10 per cent for teacher support including teacher support for coding and robotics and vocationally oriented curriculum pilots o 14 per cent for learner support including learners in teaching mathematics for understanding pilot schools o 1 per cent for grant administration, monitoring, support and evaluation Priorities x All the grant outputs are prioritised in accordance with the allocation percentages unless the province has requested a deviation and this is approved by the transferring officer Outputs x Information, Communication and Technology (ICT) resource items should be procured as per the minimum specifications defined by the DBE and in line with Curriculum Assessment Policy Statements. Subject specific ICT resources refer to hardware and software, which are compulsory and required by the curriculum. The grant also supports the training of all end-users in the utilisation of all ICT resources provided to a school x Workshop equipment and machinery items should be supplied, repaired, maintained and/or replaced where appropriate in order to meet the minimum specifications defined by the DBE and in line with curriculum assessment policy statements x Laboratories’ workshop equipment, apparatus and consumables should be procured as per the minimum specifications as defined by the DBE and in line with Curriculum Assessment Policy Statements. This should be prioritised in line with the budget allocated to this item. These resources are provided to improve practical teaching and learning in all mathematics, science and technology subjects with special attention to mathematics and physical science x Learner support is provided to all identified learners in line with provincial needs in support of curriculum delivery based on a structured annual calendar. This includes competition participation expenses, learner coaching, printing, delivery and mediation of study materials. This support includes study camps for identified learners as per the provincial programme including a focus on girl learners. Teaching mathematics for understanding support material learner activity book x Teacher support is provided to all identified teachers in line with provincial needs in support of curriculum delivery. Teacher training or development should be based on a structured programme, which must be submitted to the transferring department as and when required. No ad-hoc training will be supported from the grant Procurement x Provinces must participate in DBE’s three-year transversal contract to enable provincial education departments to secure three-year contracts but may request permission for exemption if they can demonstrate gains from such exemption. In the absence of a DBE transversal tender, provinces must continue to procure on their own x The grant funds and implementation (procurement, delivery and payment) must be managed at provincial level unless a transversal tender has been issued or the school has demonstrated capacity, systems and controls to efficiently manage the processes of the grant x Before funds can be transferred to schools, there should be assurance that systems, controls and capacity to manage the funds, implementation and delivery processes of the grant are in place x Provinces will be required to submit approved deviations before submitting amended business plans on or before the last week of January every year Allocation criteria x Participating schools should be identified according to the following criteria: o priority should be given to schools classified in quintiles 1-3 o provinces may include schools in quintiles 4 and 5, as per provincial needs. T he approval of the transferring officer (provided the average learner performance in all subjects including mathematics, science and technology is at a level below 60 per cent at Grade 12) o primary schools will be supported as feeder schools to secondary schools participating in the grant based on the provincial needs analysis in line with the outputs of the grant o Schools achieving a minimum overall of 40 per cent per grade per subject in all MST Subjects will be supported maths, science and technology schools offering technical and agricultural subjects including pilot schools for vocationally oriented, coding and robotics curriculum o provinces should select schools with safety and security measures in place 160 Maths, Science and Technology Grant Reasons not incorporated in equitable share x The grant is a targeted systemic capacity improvement programme. The number of schools requiring support is not proportionally distributed across the provinces. The level of support required by schools differs across provinces Past performance 2024/25 Audited Financial Outcomes x R443 million was allocated and transferred to provinces, R415 million (94 per cent) was spent by the end of the financial year 2024/25 service delivery performance x ICT o 747 schools (31: Eastern Cape, 397: Free State; 71: Gauteng, 53: KwaZulu Natal, 0: Limpopo; 14: Mpumalanga;17 Northern Cape, 104: North West: and 60:Western Cape) were supplied with information, communication and technology (ICT) resources such as laptops, tablets and software for Maths, Science and Technology curriculum to support curriculum and teaching methodology at MST schools x Workshop equipment, machinery and tools o 336 schools (14: Eastern Cape; 57: Free State; 60: Gauteng 36: KwaZulu- Natal; 24: Limpopo; 63: Mpumalanga; 38: Northern Cape; 12: North West; and 32: Western Cape) were supplied with equipment, tools and machinery for Technology to support curriculum and practical teaching methodology at MST schools x Laboratories and workshop equipment, apparatus and consumables o 4 804 schools (3 560: Eastern Cape; 248: Free State; 100: Gauteng; 98: KwaZulu-Natal; 83: Limpopo; 110: Mpumalanga; 490: Northern Cape; 81: North West; and 34: Western Cape) were supplied with consumables and subject related apparatus to support curriculum and practical teaching methodology at MST schools x Learner support o 430 274 learners (22 484: Eastern Cape; 14 210: Free State; 51 789: Gauteng, 58 176: KwaZulu- Natal; 111 350: Limpopo; 37 856: Mpumalanga; 24 795 Northern Cape; 84 413 North West and 47 153: Western Cape) were funded to participate in Maths and Science Olympiads including coaching and revision camps to improve learner preparedness for the NSC examinations x Teacher support o 27 439 Teachers: (2 058 Eastern Cape; 415: Free State; 796: Gauteng; 5 386: KwaZulu- Natal, 2 360: Limpopo; 10 509: Mpumalanga 1 652: Northern Cape; 4 153 North West; and 110: Western Cape) were trained during 2024/25 financial period Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R478 million; 2027/28: R497 million; and 2028/29: R512 million Payment schedule x 6 May 2026; 12 August 2026; 11 November 2026; and 3 February 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Identify and analyse areas requiring support in mathematics, science and technology x Evaluate, approve and submit provincial business plans to National Treasury x Provide the administrative services for the grant (manage, coordinate, monitor and support programme implementation at all levels) x Develop and distribute planning, implementation, monitoring and evaluation guidelines and/or templates including minimum specifications for school resources x The transferring officer must develop centralised procurement processes that provinces can participate in x Ensure compliance with reporting requirements in line with the provisions of the 2026 Division of Revenue Act (DoRA) x Monitor implementation at provincial, district and school level on a quarterly basis or as and when required, in line with the grant framework x Evaluate the performance of the conditional grant and submit an evaluation report to National Treasury as per the requirements of the 2026 DoRA Responsibilities of provincial departments x Identify and analyse areas requiring support in mathematics, science and technology x Develop and submit approved business plans to DBE x Submit lists of schools to DBE as per the timeframes set in the grant framework x Develop and submit an approved procurement plan in line with the business plan targets by the end of the financial year x Ensure compliance with reporting requirements by providing consolidated monthly expenditure reports 15 days after the end of the month, and quarterly reports 30 days after the end of the quarter including other monitoring or diagnostic reports and reviews as required from time to time x Manage and implement the programme in line with the 2026 DoRA and the Public Finance Management Act x Where applicable, participate in transversal tenders issued by the DBE or other provinces in order to procure goods and services related to the outputs of the grant x Monitor and provide support to districts/regions, circuits and schools on a monthly and quarterly basis or as and when required x Provide human resource capacity at all relevant levels including the appointment or identification of a qualified and experienced person/s to administer, manage and co-ordinate the activities of the grant in accordance with the provisions of the framework and compliance certificates 161 Maths, Science and Technology Grant x Evaluate the performance of the grant and submit evaluation reports to DBE within two months after the end of the financial year x Implement projects according to the approved business plan. Any deviation should be communicated in writing and approved by the transferring officer before implementation x Submit school’s business plans to DBE by the end of June every year if funds are being transferred to schools Responsibilities of schools x Submit school’s needs on mathematics, science and technology to the districts as required by the province x Submit school’s business plans to provinces before funds can be transferred to schools x Submit quarterly mathematics, science and technology activity reports on equipment, machinery, consumables, maintenance, learner and teaching support material and training support x Submit learner performance data for all grades in mathematics, science and technology subjects to the district and grant manager x Ensure that capacity, systems and controls are in place to implement the grant, to receive funds where a transfer to a school has been agreed upon x Receive funds from provincial departments of education and manage the procurement, delivery and payment processes where necessary x Participate in relevant structures that have been put in place to support implementation of the grant such as annual principals’ meetings x Monitor and ensure the quality of work of the service providers and sign-off on the completeness of the service delivery processes Process for approval of 2027/28 business plans x The first draft of the consolidated provincial business plans and revised school lists to be submitted to DBE for appraisal by 28 October 2026 x The DBE team will meet to evaluate the consolidated business plans by 11 November 2026 x The comments on the business plans will be sent to provinces for amendments by 11 December 2026 x Provinces will be required to submit the provincially approved amended business plans to DBE by 24 February 2026, DBE will approve the final business plans by 31 March 2027 162 National School Nutrition Programme Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 5, Part A Strategic goal x To enhance learning capacity and improve access to education Grant purpose x To provide nutritious meals to targeted schools Outcome statements x Enhanced learning capacity and improved access to education Outputs x 19 800 schools that prepare nutritious meals for learners Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities x Risk management plan Conditions x Spending must be in line with national and provincial business plans x The budget allocation must be distributed in terms of the following weightings for both secondary and primary schools: o school feeding: minimum of 97 per cent o kitchen facilities, equipment and utensils: minimum of 0.3 per cent and not exceeding R10 million o administration: maximum of 2.5 per cent o nutrition education (including deworming and hygiene practices): maximum of 0.2 per cent x Minimum feeding requirements: o provide nutritious meals to learners in quintiles 1 - 3 primary and secondary schools, as well as identified special schools on all school days o provide nutritious meals to targeted learners in identified quintiles 4 and 5 schools in line with available resources o meal costs per learner will increase at a minimum of 5 per cent in all benefiting primary schools and 3 per cent for all secondary schools. Far-flung/low enrolment farm and rural schools that are receiving funds directly should be allocated a higher meal cost to cover higher transport costs o pay honorarium of a minimum of R17.27 (R2 256) per person per hour for 8 hours daily plus UIF at 1 per cent per month. Food handlers must be allocated in line with approved sliding scales submitted with provincial business plans o comply with approved food specifications and menu guidelines consisting of meals containing: starch, protein and fresh vegetable/fruit o breakfast porridge should be served in targeted schools as per provincial business plans o fresh vegetables/fruits must be served daily and vary between green, yellow and red o a variety of protein-rich foods must be served in line with approved menu options o processed chicken livers must be served in targeted schools once a week as per provincial business plans o grade 1 and 2 raw sugar beans must be packed separately from samp, not mixed in one packet o soya mince should not be served more than once a week and must meet approved specifications. Soya may not be used as seasoning/thickening for other dishes o canned pilchards/mackerel/sardines must be served at least once a week. High quality protein products can replace pilchards in areas where these are not socially acceptable o ultra- high temperature treated full cream milk or pasteurised maas must be served once a week. Milk must be approved in line with dairy standards outlined in the NSNP Food Specifications o seasoning must be provided for all meals except on days when milk is served x Provinces must support and promote sustainable food production and nutrition education in schools in collaboration with social and business partners x Provinces must promote local economic empowerment, including procurement of fresh produce from smallholder farmers that are supported by the Department of Agriculture x Provincial business plans will be approved in line with the above minimum requirements and available resources. The following variations may be approved by the transferring officer based on achievements and/or critical challenges in each province: o feeding cost below the minimum requirements, provided the quality of meals is not compromised o reduction in the number of learners due to learner verification o number of learners that exceed the gazetted quintiles o breakfast porridge and chicken livers served as per available funding o serving of processed vegetables or fruit in remote areas o quintile 1- 3 schools that do not feed all learners due to food wastage in all provinces need to approve letters from schools requesting a deviation from whole school feeding o reduced feeding during exams to enhance efficiency o deviation requests from approved business plan activities must be submitted to the transferring officer not later than 28 November 2026 163 National School Nutrition Programme Grant x The flow of the first instalment of the grant depends upon receipt by the national Department of Basic Education (DBE) of submission of procurement process plans as well as quarterly performance (narrative and indicators) and financial reports x The flow of the December 2026 and the January 2027 instalments of the grant depends upon receipt by the DBE of submission of quarterly performance (narrative and indicators) and financial reports x Non-compliance with any of the above conditions may result in the withholding and subsequent stopping of budget transfers x Provinces reserve the right to withhold funds from schools in case of financial mismanagement, non-compliance to guidelines and excessive surplus funds. If schools are closed due to a declared state of disaster, funds from the grant that would have been spent on providing meals in schools may instead be used to provide meals to learners through alternative means Allocation criteria x The distribution formula is poverty-based in accordance with the poverty distribution table used in the national norms and standards for school funding as gazetted by the Minister of Basic Education on 17 October 2008 x Unallocated amounts will be distributed to provinces on the basis of identified programme priorities, of which feeding shall take precedence above all other priorities Reasons not incorporated in equitable share x The National School Nutrition Programme (NSNP) is a government programme for poverty alleviation, specifically initiated to uphold the rights of children to basic food and education x The conditional grant framework enables the DBE to play an oversight role in the implementation of all NSNP activities in schools Past performance 2024/25 audited financial outcomes x R9.8 billion was allocated and transferred to provinces, R9.8 billion (99.6 per cent) was spent 2024/25 service delivery performance x 19 772 schools were provided with nutritious meals x Food Safety workshops were conducted across all provinces to raise awareness on proper food handling practices x Breakfast and processed chicken livers were served in all provinces in identified schools Projected life x It is envisaged that, given the high poverty and unemployment rates in the country, the need for such a grant will persist for at least another 10 years. The programme ensures that learners from the poorest communities have decent opportunities to learn MTEF allocations x 2026/27: R10.8 billion; and 2027/28: R11.3 billion; 2028/29: R11.8 billion Payment schedule x The payment schedule will be in line with respective provincial procurement models as follows: o provinces that transfer funds directly to all schools (Eastern Cape, Free State, North West and Northern Cape) receive five instalments as follows: 6 April 2026; 26 June 2026; 14 August 2026; 23 September 2026; and 4 December 2026 o provinces that procure from service providers on behalf of schools receive five instalments as follows: 6 April 2026; 17 July 2026; 14 August 2026; 18 October 2026; 23 January 2027 o the 14 August 2026 budget transfer is for kitchen facilities, equipment and utensils as per equipment specifications provided by the DBE o payment schedules may be revised in line with implementation and spending trends Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Evaluate, approve and submit provincial business plans to the National Treasury x Guide the conceptualization and implementation of provincial procurement models to ensure achievement of outputs x Manage, monitor and support programme implementation in provinces and districts x Ensure compliance with reporting requirements and NSNP guidelines x Transfer funds to provinces in line with the approved payment schedule x Consolidate and submit quarterly performance reports to the National Treasury within 45 days after the end of each quarter x Evaluate performance of the conditional grant and submit an evaluation report to the National Treasury four months after the end of the financial year Responsibilities of provincial departments x Develop and submit approved business plans to DBE with the following: o procurement process plans for equipment and utensils, including refrigeration o current service provider Service Level Agreements (SLA) for records as well as any required additional procurement related information (only for provinces procuring via tenders) o implementation plans outlining how 10 per cent of the NSNP fresh produce would be sourced from smallholder farmers o a signed compliant protein product list that is guided by DBE’s and Food Specifications x Monitor and provide support to districts/circuits and schools x Manage and implement the programme in line with the 2026 Division of Revenue Act and the Public Finance Management Act x Provinces must update databases on kitchen facilities (specifying those with certificates of acceptability), equipment and utensils x Ensure that districts are resourced in line with provincial business plans to conduct effective monitoring and support to schools in line with Goal 27 of the Action Plan of 2019, towards the realisation of schooling 2030 164 National School Nutrition Programme Grant x Consult districts on the development and implementation of their provincial business plans x Provide oversight for districts to develop and implement monitoring and evaluation plans x Provide human resource capacity at all relevant levels x Evaluate the performance of the conditional grant annually and submit evaluation reports to the DBE two months after the end of the financial year x Submit quarterly financial and performance reports including consolidated monitoring, reporting and response system reports to DBE after the end of each quarter. The fourth quarter report should include kitchen facilities, equipment and utensils procured x Provinces that are transferring funds to schools are required to reconcile expenditure by schools against budget transfers on a quarterly basis Responsibilities of districts x Monitor and support schools x Implement monitoring and evaluation plans x Submit monthly and quarterly reports (narrative and expenditure reports to the provincial department, as well as reports on expenditure by schools, where applicable). This should include consolidated monitoring, reporting and response system reports, where applicable x Coordinate all NSNP activities in the district Responsibilities of schools x Implement the programme in line with the conditions of the NSNP framework x Submit reports to districts as per the provincial reporting requirements, i.e. performance and expenditure reports in provinces that are transferring funds to schools x Safeguarding of programme resources, i.e. cooking facilities, equipment and utensils Process for approval of 202 7/28 business plans x First inter-provincial meeting during the first quarter x Consultation with district officials, provincial treasuries, provincial finance sections and the National Treasury on business plans in June 2026 x Provinces submit first draft business plans to the DBE by 31 July 2026 x DBE evaluates first draft business plans and sends comments to provinces by 28 August 2026 x Provinces submit final approved business plans and requisite attachments to DBE by 11 December 2026 x The transferring national officer to approve national and provincial business plans by 31 March 2027 165 School Infrastructure Backlogs Grant Transferring department x Basic Education (Vote 16) Grant schedule x Schedule 6, Part A Strategic goal x The eradication of inappropriate education structures and backlogs in basic services Grant purpose x Eradication and upgrading of inappropriate school buildings x Provision and upgrading of water and sanitation to schools x Provision and upgrading of classrooms to address overcrowding Outcome statements x Improved access to enabling learning and teaching environments x Build the capacity of provinces benefiting from an indirect grant allocation to carry out this function in the future Outputs x Final accounts for the accelerated school infrastructure delivery initiative and sanitation appropriate for education projects x Section 42 transfer of assets developed under the accelerated school infrastructure delivery initiative and sanitation appropriate for education x Update of infrastructure information on the national education infrastructure system/education facilities management system Outcome(s) of government that this grant primarily contributes to x Outcome 13: Improved education outcomes and skills Details contained in the business plan x This grant uses an infrastructure programme management plan that includes the following: o institutional framework o procurement and contract management plan o scope management o time management plan o cost management plan o risk management plan o quality management plan o monitoring and reporting details o budgeting and programme accounting details o performance management plan o communication management plan Conditions x This is an in-kind grant administered by the national Department of Basic Education (DBE) that may be transferred to a province through the Education Infrastructure Grant (EIG) if the province is able to demonstrate through a proven track record that it has the capacity to implement the projects x DBE must submit to National Treasury an infrastructure programme management plan by 12 February 2026 x Programme governance will be conducted by the following committees established to ensure that various processes are initiated within the programme: o national steering committee o technical committee o project steering committee o infrastructure bid specification and evaluation committee o infrastructure bid adjudication committee x The provincial planning and monitoring teams or equivalent in each province should meet monthly to ensure information flows between the stakeholders, unblock processes, monitor progress, and enhance cooperation x DBE must load all infrastructure funded projects in the infrastructure reporting model before the start of the financial year (1 April 2026) x DBE must submit monthly project reports with cash flows to National Treasury 15 days after the end of each month, that show how actual payments and cash flows reconcile with the projected cash flow schedule and explain any deviations from the original projected cash flow x DBE must update the infrastructure project details for each funded project in the infrastructure reporting model. This must be approved and submitted to National Treasury within 22 days after the end of each quarter x Assets will be transferred to custodians in the respective provinces at final completion. The provincial education departments must report in their annual report how the schools have been considered in their future maintenance plans x The DBE must agree in writing with the provinces on projects that they will administer on behalf of each province x DBE and/or implementing agents must ensure skills transfer takes place as part of the implementation of projects x The DBE approved 10-point plan must be implemented to ensure improvements in infrastructure delivery Allocation criteria x The grant allocation is based on the distribution of inappropriate structures and schools without access to water and sanitation across provinces x Final allocations will be based on the finalised infrastructure programme management plan of the DBE as approved by the transferring officer Reasons not incorporated in equitable share x This is a specific purpose grant to provide and upgrade basic facilities such as water and sanitation, replace schools constructed from inappropriate material, including mud schools, provision and 166 School Infrastructure Backlogs Grant upgrading of classrooms to address overcrowding to contribute towards improved learning and teaching. The grant will be administered by the DBE to achieve maximum impact in the shortest time possible Past performance 2024/25 audited financial performance x Allocated R1.8 billion of which R1.7 billion (94 per cent) was spent by the end of the financial year 2024/25 service delivery performance x 1 new school built, 8 schools provided with water, 152 schools provided with sanitation, 67 classrooms (overcrowding) were provided and nil schools provided with electricity (electricity sub-programme has been completed) Projected life x This grant comes to end in 2027/28 MTEF allocations x 2026/27: R448 million Payment schedule x Payments will be made according to verified invoices from service providers or advance payments in line with approved memoranda of agreement, implementation plans and reviewed monthly cash flow projections from implementing agents Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Undertake planning of processes, activities, and accelerated school infrastructure delivery initiative programme policies required to realise the outputs and identify required resources x Undertake the necessary procurement measures to secure the services of implementing agents, professional service providers, contractors and secondary procurement objectives to respond to the scope of work identified in the infrastructure programme management plan x Monitor and evaluate performance of the programme support unit, implementing agents, conduct project site inspections at selected sites to verify progress and quality of the works to secure programme outputs and deliverables x DBE must report infrastructure projects implemented with voted funds in the national infrastructure reporting model within 22 days after the end of the quarter x Harness the opportunities offered through the programme to contribute towards skills development x DBE must submit an annual assessment of progress against its skills transfer and capacity building plan to National Treasury two months after the end of the national financial year x DBE will convene and chair meetings of the national steering committee which will: o provide strategic direction to the accelerated school infrastructure delivery initiative programme o provide general oversight on the programme o ensure that the management of the programme brings together those players responsible for different elements of project success and ensure a holistic approach in support of the programme o ensure that standards are in line with different prescripts e.g. norms and standards for school infrastructure are adhered to o facilitate the establishment of sub- programme management, their membership, reporting modalities and their interaction with the steering committee o establish the modalities linking the targeted provincial education departments with DBE o supervise the programme and ensure appropriate coordination and cooperation between different agencies and departments involved o facilitate the linkages between national stakeholders such as the National Treasury (infrastructure delivery improvement plan), Construction Industry Development Board, and the national departments of Human Settlements, Water and Sanitation, Electricity and Energy, and Public Works and Infrastructure o ensure accelerated school infrastructure delivery initiative strategies and targets are in line with national goals and targets o monitor progress in terms of national goals and targets o assist the management of the programme in solving particular issues that may arise and that may require the intervention of the committee o report to the Minister of Basic Education, the Council for Education Ministers, the heads of education departments committee, and senior management x DBE must ensure that a programme and project management system is in place for planning, management and monitoring of infrastructure delivery x The grant may be transferred to provinces to address overcrowding in schools x Develop a sector procurement strategy and procurement strategy for this grant in terms of the practice guide prescribed by the infrastructure delivery management toolkit x DBE will develop a procurement strategy for this grant that will lead to the quickest possible achievement of the grant objectives which may require the clustering of projects across provincial boundaries x Submit an approved infrastructure programme management plan including projects list to the National Treasury x Ensure compliance with reporting requirements and adherence to projected cash flow schedules x Consolidate and submit quarterly reports to National Treasury and the National Council of Provinces within 45 days after the end of each quarter x Conduct site visits to selected projects to assess performance x Create the necessary organisational structures and build capacity within the department to oversee and monitor the implementation of the grant x DBE must ensure that the heads of education departments committee meets at least once a month and 167 School Infrastructure Backlogs Grant is provided with sufficiently detailed reports to assess project implementation and projected cash flow schedules reconciled at the end of the month preceding the monthly meetings x Provide an operations and maintenance manual to the provincial education departments x The DBE must submit an annual assessment of progress against its skills transfer and capacity building plan to National Treasury two months after the end of the national financial year Responsibilities of provincial departments x Provide the list of schools to be included in the accelerated school infrastructure delivery initiative programme and sanitation appropriate for education x Ensure that the list of schools identified includes all the schools that never had basic sanitation, water and electricity x Ensure that, where schools are identified for rationalisation and mergers, DBE is made aware on time, in writing, and that all necessary supporting documents are provided x Establish provincial planning and monitoring teams that will provide support to the DBE when implementing projects funded by this grant x Monitor projects implemented at their respective provinces x Convene the provincial planning and monitoring teams and report to the national steering committee x Generate a maintenance plan from the operations and maintenance manual provided Process for approval of 2027/28 business plans x Not applicable as this grant would have ended 168 COOPERATIVE GOVERNANCE GRANT Provincial Disaster Response Grant Transferring department x Cooperative Governance (Vote 3) Grant schedule x Schedule 7, Part A Strategic goal x To enable timely response to address community needs regarding impending or disastrous events classified by the National Disaster Management Centre Grant purpose x To provide for the immediate release of funds for disaster response if an occurrence cannot be adequately addressed in line with section 2(1)(b) of the Disaster Management Act Outcome statements x Immediate consequences of disasters are mitigated or alleviated Outputs x Emergency repair of critical infrastructure x Emergency provision of critical goods and services Outcome(s) of government that this grant primarily contributes to x Outcome 10: Reduced poverty and improved livelihoods Details contained in the business plan x Applications for funding from this grant use the National Disaster Management Centre (NDMC) disaster grant guideline which includes the following: o copy of the applicable contingency plan and emergency procedures in use by the provincial department (in terms of section 35(1)(d) of the Disaster Management Act) o documentation linked to Sections 56 and 57 of the same Act o details of insurance and insured infrastructure, where applicable including factors outlined in Sections 56 and 57 of the same Act as well proof from the insurance company on the matter o number of people, households, livestock and infrastructure affected and the extent of damages and losses o sectors affected o total funds required for disaster response and relief measures o resources (both financial and in- kind) allocated by the province to respond and mitigate the effects of the disaster o resources (both financially and in-kind) committed by other role players, including municipalities, national departments, state owned entities and non-government organisations o the affected provincial sector department must indicate funds spent or contributed towards dealing with the disaster o support received from non-government organisations and businesses or any other stakeholder o cost-benefit analysis of the projects to be implemented x An implementation plan with the following: o details of the projects to be repaired including Global Positioning System (GPS) coordinates o estimated total costs of the projects o asset register of all the projects to be repaired reflecting the condition of the asset o consolidated projects cash flow over six-month period as an annexure to the implementation plan o technical report (high level that explains technical solution, viability and practicality) o maintenance plan and resourcing of the infrastructure to be repaired x An application for funding may be based on the rapid assessment x Specifics on the rapid response capacity to implement the projects and account for allocated funding Conditions x An occurrence should be classified as a disaster by the NDMC in terms of the Disaster Management Act and documentation linked to conditions within sections 56 and 57 of the above-mentioned Act submitted to the NDMC x This grant may only be used to fund expenditure in the event that the responsible line function/organ of state is unable to deal with the effects of the disaster utilising their own legislation, guidelines and available resources x The grant may not be utilised for insured infrastructure. In case of inadequate insurance, reasons for inadequate insurance to be provided as well as proof from the insurer on the amount paid or to be paid x The emergency procurement system as provided for in the Public Finance Management Act should be invoked by the provincial department to ensure immediate response and relief measures to support affected communities x Funds may only be used in line with the approved business plan by NDMC. Any requests for amendments to the business plan must be submitted to the NDMC for approval at least three months prior to end of the six- month implementation period. Copies of the approved amendments to be shared with National Treasury x The provincial department must provide details of their capacity in implementing emergency projects and accounting for allocated funding Allocation criteria x The grant is allocated for classified disasters based on reports from assessments conducted by the NDMC and the relevant Provincial Disaster Management Center (PDMC) and affected sectors for immediate disaster response and relief needs. This should include implementation of Sections 56 and 57 of the Disaster Management Act. Additionally, it must be established that there are immediate disaster response and relief needs that cannot be met by the province through the contingency arrangements already in place x The Accounting Officer for the relevant organ of state must provide proof together with the funding request indicating that the total funds required from the grant for disaster response exceed the available resources and/or resources already allocated for disaster response x Funding may be released in tranches, with the first tranche based on the rapid assessment, verification of the immediate disaster response and relief needs and the submitted cash flow projection. The next tranches will be released once proof is submitted that the first tranche has been fully spent or committed and all grant conditions have been met 169 Provincial Disaster Response Grant Reasons not incorporated in equitable share x This grant caters for response and relief measures from unforeseen and unavoidable disasters where the provincial departments are unable to cope with the effects of the disaster only utilising own resources Past performance 2024/25 audited financial outcome x R149 million was transferred to provincial sector departments, however the money was transferred back by the provincial treasuries of Limpopo, Eastern Cape, Mpumalanga and KwaZulu Natal 2024/25 service delivery performance x Not applicable Projected life x This grant is expected to continue over the medium-term subject to review MTEF allocations x 2026/27: R157 million; 2027/28: R164 million; and 2028/29: R169 million Payment schedule x Transfers are made subject to approval by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the National Disaster Management Centre x Verify the applications for funding as per the requirements of the Disaster Management Act and submit funding request to National Treasury for consideration within 14 days following the receipt of the assessment report and written funding requests from the sector departments through the PDMCs and when all grant conditions have been met x Request the support of the relevant national sector departments to prevent duplication of support and resources x Notify the relevant PDMC and provincial treasury of a transfer at least three days before transfer. Funds must be transferred no later than five days after notification x Provide National Treasury with written notification of the transfer within 14 days of a transfer of the grant x Submit financial report to National Treasury within 20 days of the end of each month x Provide a performance report, within 45 days of the end of the quarter in which the funds were spent, to the National Treasury using the disaster allocation monitoring template agreed to with the National Treasury x Together with the PDMC, monitor the implementation of disaster funded projects Responsibilities of Provincial Disaster Management Centres x Together with the affected provincial departments, conduct rapid assessments of disaster impacts to verify the applications for initial funding within 14 days following the classification of a disaster x Conduct assessments of disaster impacts together with the NDMC and the affected provincial departments, to verify applications for funding within 35 days of the incident while adhering to the requirements of the Disaster Management Act x Request support from the relevant provincial sector departments to prevent duplication of support and resources x Submit requests for disaster funding on behalf of sector departments, monitor projects and provide reports to the NDMC, and provincial treasury x Provide financial reports to NDMC within 15 days of the end of each month x Provide a performance report which includes evidence on progress implementation of the projects to the NDMC within 35 days of the end of the quarter in which funds are spent using the relevant disaster grant allocation-reporting template x The PDMC should activate a project task team comprising of the affected provincial sector departments and other relevant role players x Establish provincial project steering committees to coordinate the monitoring and reporting of implementation of projects Responsibilities of provincial sector departments x Conduct damage assessment and costing of emergency repair work x Together with required supporting documentation, submit disaster assessment reports and funding requests signed-off by the Accounting Officer or delegated official to the PDMC within 14 days following the classification of a disaster x Consult with the relevant national sector departments and provincial treasury for support on existing resources to address the disasters x Consult with the relevant national sector department on a funding request before submission to the PDMC, request to be accompanied by proof of engagement and response from relevant national department x Notify provincial treasury of all requests for funding submitted x Invoke emergency procurement processes to implement immediate disaster response and relief projects x Activate a provincial departmental task team to monitor, report and evaluate the impact of projects x Monitor implementation of projects and report on their impact x Provide a financial report to the PDMC and relevant national sector department within 10 days of the end of each month, signed-off by the Accounting Officer. Include evidence (invoices, payment certificates and pictures of the projects) as annexures x Provide a performance report which includes evidence, and progress on implementation of the projects, to the PDMC and relevant national sector department within 20 days of the end of the quarter in which funds are spent, signed off by the Accounting Officer x Sector departments to submit the relevant contingency plans Responsibilities of national sector departments x Provide support and guidance in resource mobilisation to provincial sectors before a funding request is lodged to the NDMC through the PDMC x Provide support and guidance to provincial sector departments and NDMC regarding line function related matters on assessments and costing verifications x Sector departments to submit the relevant contingency plans x Provide support and guidance to provincial sector departments and the NDMC in the preparation of funding 170 Provincial Disaster Response Grant requests x Provide support and guidance to provincial sector departments in the preparation of reports, performance and realisation of the impacts of the projects as well as ensure compliance with the grant framework and relevant guidelines x Monitor through site visits, report and evaluate implementation of projects by provincial sectors x Activate an internal departmental task team to monitor, report and evaluate the impact of projects Process for approval of 2027/28 business plans x Not applicable 171 HEALTH GRANTS District Health Programmes Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x The implementation of the national strategic plan on the HIV, sexually transmitted infections (STIs) and tuberculosis (TB) and implementation of the national strategic plan on malaria elimination x To improve access to community based primary health care services through ward based primary health care outreach teams x There are two components to this grant that allow for the achievement of the stated strategic goal: o comprehensive HIV/AIDS component (with a separate framework) o district health component (with a separate framework) Grant purpose x To enable the health sector to develop and implement an effective response to HIV/AIDS x To enable the health sector to develop and implement an effective response to TB x To ensure provision of quality community outreach services through ward based primary health care outreach teams x To improve efficiencies of the ward based primary health care outreach teams programme by harmonising and standardising services and strengthening performance monitoring x To enable the health sector to develop and implement an effective response to support the effective implementation of the national strategic plan on malaria elimination x To enable the health sector to prevent cervical cancer by making available Human Papillomavirus (HPV) vaccinations to all eligible girls aged 9-15 years with a single dose of HPV vaccine in all settings Outcome statements x As specified in the two component frameworks Outputs x As specified in the two component frameworks Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x As specified in the two component frameworks Conditions x As specified in the two component frameworks Allocation criteria x As specified in the two component frameworks Reasons not incorporated in equitable share x As specified in the two component frameworks Past performance 2024/25 audited financial performance x As specified in the two component frameworks 2024/25 service delivery performance x As specified in the two component frameworks Projected life x As specified in the two component frameworks MTEF allocations x 2026/27: R29.5 billion; 2027/28: R30.8 billion; and 2028/29: R31.8 billion, of which the two components are allocated: o comprehensive HIV/AIDS component: 2026/27: R26 billion; 2027/28: R27.1 billion; and 2028/29: R28 billion o district health component: 2026/27: R3.6 billion; 2027/28: R3.7 billion; and 2028/29: R3.8 billion Payment schedule x Monthly instalments based on the approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x As specified in the two component frameworks Responsibilities of provincial departments x As specified in the two component frameworks Process for approval of 2027/28 business plans x As specified in the two component frameworks 172 District Health Programmes Grant: Comprehensive HIV/AIDS Component Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x The implementation of the national strategic plan on HIV, sexually transmitted infections (STIs) and tuberculosis (TB) Grant purpose x To enable the health sector to develop and implement an effective response to HIV/AIDS x Prevention and protection of health workers from exposure to hazards in the workplace x To enable the health sector to develop and implement an effective response to TB Outcome statements x Improved coordination and collaboration in the implementation of HIV/AIDS programme between national and provincial government x Improved quality of HIV/AIDS response through provision of access to prevention, treatment, care and support services x Improved coordination and collaboration in the TB response between national and provincial governments x Improved quality of TB (including drug resistant-TB) services including access to prevention, screening, testing, treatment and adherence monitoring and support Outputs x Number of new patients started on antiretroviral therapy x Total number of patients on antiretroviral therapy remaining in care x Number of male condoms distributed x Number of female condoms distributed x Number of infants tested through the polymerase chain reaction test at 10 weeks x Number of clients tested for HIV (including antenatal) x Number of medical male circumcisions performed x Number of clients started on pre-exposure prophylaxis x Number of HIV positive clients initiated on TB preventative therapy x Number of TB contacts initiated on TB preventive treatment (under five years and five years and older combined) x Number of patients tested for TB using TB nucleic acid amplification test x Number of eligible HIV positive patients tested for TB using urine lipoarabinomannan assay x Drug sensitive TB treatment start rate (under five years and five years and older combined) x Rifampicin resistant confirmed treatment start rate Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions x The following priority areas must be supported through the grant: o antiretroviral therapy related interventions o care and support o condom distribution and high transmission area interventions o prevention of mother to child transmission o post-exposure prophylaxis and pre-exposure prophylaxis o programme management strengthening o advocacy, communication and social mobilisation o regional training centres o HIV counselling and testing o medical male circumcision o TB prevention o screening and testing people for TB o linkage to TB treatment o retention on TB treatment Allocation criteria x Allocations are based on antenatal HIV prevalence, estimated share of AIDS cases and population numbers post-demarcation x Allocation is based on TB workload cases and population numbers post-demarcation Reasons not incorporated in equitable share x HIV, AIDS and TB are key national priorities and require a coordinated response for the country as a whole and this is effectively achieved through a conditional grant x TB, multi-drug resistant, and extremely drug resistant strains, are key national priorities and require a countrywide coordinated response which is best achieved through a conditional grant Past performance 2024/25 audited financial performance x HIV/AIDS component: allocated and transferred R24.7 billion to provinces of which R24.8 billion (101 per cent) was spent by provinces by the end of the national financial year x TB component: allocated and transferred R503 million to provinces, of which R503 million (100 per cent) was spent by provinces 2024/25 service delivery performance x HIV/AIDS component: o 345 716 new patients that started on antiretroviral therapy o 5.6 million patients on antiretroviral therapy remaining in care 173 District Health Programmes Grant: Comprehensive HIV/AIDS Component o 663 million male condoms distributed o 22 million female condoms distributed o 137 717 infant polymerase chain reaction tests around 10 weeks o 18 million clients tested for HIV (including antenatal) o 553 991 medical male circumcision performed o 254 770 patients on antiretroviral therapy initiated on isoniazid preventative therapy x TB component o 2.5 million patients tested for TB using gene xpert o 147 783 eligible HIV positive patients tested for TB using urine lipoarabinomannan assay o 97.7 per cent drug sensitive TB treatment start rate (under five years and five years and older combined) o 80.8 per cent rifampicin resistant confirmed treatment start rate Projected life x Ongoing in line with national strategic plan on the HIV, STI and TB for 2023 – 2027 MTEF allocations x 2026/27: R26 billion; 2027/28: R27.1 billion; and 2028/29: R28 billion Payment schedule x Monthly instalments based on the approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Visit provinces twice a year to monitor implementation and provide support x Report to the National Treasury on an additional set of indicators on progress against the 95-95-95 targets x Meet with National Treasury to review grant performance twice a year Responsibilities of provincial departments x Quarterly performance output reports to be submitted within 30 days following the reporting period using standard formats as determined by the national department. Submit an electronic version to be followed by a hard copy signed by the provincial grant receiving manager x Clearly indicate measurable objectives and performance targets as agreed with the national department in the provincial departmental business plans for 2026/27 and over the medium-term expenditure framework period Process for approval of 202 7/28 business plans x Submission of draft business plans to the national Department of Health by 30 October 2026 x Submission of final business plans to the national Department of Health by 26 February 2027 x Submission of final business plans to the National Treasury by 31 March 2027 174 District Health Programmes Grant: District Health Component Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x Prevention and treatment of malaria, including the implementation of national strategic plan on malaria elimination x To enable the health sector to prevent cervical cancer by making available Human Papillomavirus ( HPV) vaccinations to all eligible girls aged 9 -15 years with a single dose of HPV vaccine in all settings x To improve access to community based primary health care services through ward based primary health care outreach teams Grant purpose x To enable the health sector to develop and implement an effective malaria response in support of the implementation of the national strategic plan on malaria elimination x To enable the health sector to prevent cervical cancer by making available HPV vaccinations to all eligible girls aged 9 -15 years with a single dose of HPV vaccine in all settings x To ensure provision of quality community outreach services through ward based primary health care outreach teams by ensuring community health workers receive remuneration, tools of trade and training in line with scope of work Outcome statements x Improved implementation of malaria strategies in support of malaria elimination efforts x 90 per cent of girls aged 9 -15 years are vaccinated with a single dose of HPV vaccine in all settings x 90 per cent of schools with eligible girls reached with a single dose during the multi- aged cohort campaign and in all settings x Progressive integration of HPV vaccinations into the expanded programme on immunisation x Improved access to quality primary health care services at community level with a focus on preventive and promotive care, screening for health conditions and referral for relevant services Outputs x Malaria: o number of malaria-endemic municipalities with 95 per cent or more indoor residual spray coverage o percentage of confirmed malaria cases notified within 24 hours of diagnosis in endemic areas o percentage of confirmed malaria cases investigated and classified within 72 hours of notification o percentage of identified health facilities with recommended malaria treatment in stock o percentage of identified health workers trained on malaria elimination o p ercentage of population reached through malaria information education and communication on malaria prevention and early health-seeking behaviour interventions o percentage of vacant funded malaria positions filled as outlined in the business plan o number of malaria camps refurbished and/or constructed x HPV vaccination: o 90 per cent of girls aged 9 -15 years are vaccinated with a single dose of HPV vaccine in all settings o 90 per cent of schools with eligible girls reached with a single dose during the multi-aged cohort campaign and in all settings x Community outreach services: o number of community health workers receiving a stipend o number of community health workers trained o number of HIV clients lost to follow-up traced o number of TB clients lost to follow-up traced o number of households 1st and follow-up visits conducted Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions The following priority areas must be supported through the grant: x Programme management strengthening for malaria elimination through hiring of staff for approved malaria posts x Establishment of malaria response core groups or teams x Malaria elimination acceleration strategies o implementation of activities under the foci clearing programme o malaria drug efficacy and resistance monitoring o malaria insecticide resistance monitoring o implementation of genomic surveillance o implementation of the environmental health practitioner test and treat x Malaria surveillance, prevention and treatment o mobile active testing units o testing and treating through active testing in the community o health promotion activities which address indoor residual spraying importance o health promotion activities to promote preventative measures, such as the use of chemoprophylaxis to be taken during travel to endemic areas and treatment seeking behavior x Malaria vector control o entomological surveillance during routine surveillance and foci investigations o indoor residual spraying 175 District Health Programmes Grant: District Health Component o integrated vector management activities o improvement of indoor residual spray camp infrastructure x Provinces must maintain funding for malaria from their equitable share at 2016/17 levels, as adjusted for inflation x A maximum of 3 per cent of each allocation of this grant may be utilised for administration cost s related to malaria, HPV, and community outreach services programmes x Social mobilisation to promote the uptake of the HPV vaccination to prevent cervical cancer should be done as part of the expanded programme on immunisation x The grant must be used for the implementation of the ward based primary health care outreach teams policy framework and strategy x All contracted non- governmental organisations receiving funding from this grant for community outreach services must have a service level agreement with the relevant provincial department of health including performance indicators. This is applicable to Western Cape only as per the standing arrangement x Provinces that make transfer payments to non-governmental organisations for the community outreach services programme should follow the stipulations of section 8.4 of the Treasury Regulations and section 38(1)(j) of the Public Finance Management Act x For community outreach services, the grant can only fund the maximum of the community health worker stipend and any adjustment in line with the cost-of-living adjustment as approved and gazetted by the Department of Employment and Labour x The following is the allocation for all the programmes funded from this grant: HPV vaccination Malaria Community Outreach Services o Eastern Cape: R46 million R222 million o Free State: R16 million R164 million o Gauteng: R38 million R614 million o KwaZulu-Natal: R62 million R20 million R698 million o Limpopo: R38 million R79 million R448 million o Mpumalanga: R24 million R33 million R346 million o Northern Cape: R6 million R120 million o North West: R18 million R314 million o Western Cape: R 27 million R236 million x The above allocations must be linked to an objective segment on the basic accounting system x Approval to shift funds between programmes is vested with the transferring officer and should be communicated with National Treasury Allocation criteria x Allocations are based on malaria incidence and provincial equitable share allocations in endemic provinces, the number of girls aged 9 - 15 years from the education management information system in each province, the population numbers post-demarcation, assessment of the need in different provinces and the availability of funds Reasons not incorporated in equitable share x Malaria is a key national priority, and a seasonal disease, and requires a coordinated response during defined periods for all endemic provinces which is most effectively achieved through a conditional grant and not all provinces are affected x Cervical cancer is a high national priority and requires uniform implementation to achieve the minimum coverage of 90 per cent and have the desired impact of significantly reducing incidences of cervical cancer x The approval of the policy in 2018 formalised the community health workers programme as a component of primary health care and as a national priority. The implementation of the policy requires a focused approach to implementation and monitoring to achieve the desired outputs and outcomes on defined health indicators Past performance 2024/25 audited financial outcomes x Malaria: allocated and transferred R119 million to provinces, of which R119 million (100 per cent) was spent by the end of the financial year x HPV vaccination: allocated and transferred R249 million to provinces, of which R233 million (94 per cent) was spent by the end of the financial year x Community Outreach Services: allocated and transferred R2.8 billion to provinces, of which R2.8 billion (100 per cent) was spent by the end of the financial year 2024/25 service delivery performance x Malaria: o 13 out of the 17 targeted municipalities reached above 95 per cent of the indoor residual spray coverage o 62 per cent of all the confirmed cases were notified with 24 hours of diagnosis in the endemic districts o 90 per cent of the confirmed cases were investigated and classified within 72 hours in the endemic districts o 100 per cent of identified health facilities had the recommended treatment in stock o 127 per cent of all identified health workers trained on malaria elimination o 110 per cent of the population were reached through malaria information education and communication campaigns o 63 per cent of vacant funded malaria positions were filled o 3 malaria camps were refurbished and/or constructed x HPV vaccination: o 97 per cent of schools with grade five girls reached by the HPV vaccination team with one dose, with all provinces reaching above 90 per cent of schools o 88.6 per cent of grade five school girls vaccinated for HPV with one dose with all provinces above 80 per cent learners vaccinated with HPV vaccine in public, special, private and independent schools 176 District Health Programmes Grant: District Health Component o the national advisory group for immunisation recommended the one dose vaccines to all girls. For the 2024/25 financial year HPV vaccination campaign, 88 per cent of girls in public, special, private and independent schools were vaccinated with only one dose x Community Outreach Services: o 36 858 community health workers receiving stipend o 17 324 community health workers trained o 851 227 HIV defaulters traced o 63 417 TB defaulters traced o 14 million households 1st and follow-up visits conducted (new indicator) Projected life x Grant will continue until 2028/29, subject to review MTEF allocations x 2026/27: R3.6 billion; 2027/28: R3.7 billion; and 2028/29: R3.8 billion Payment schedule x Monthly instalments based on the approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Visit provinces twice a year to monitor implementation and provide support x Report to the National Treasury on an additional set of indicators if and when agreed upon between the two departments x Meet with National Treasury to review grant performance twice a year x Manage the contracts for HPV vaccines and the supporting information systems x Monitor and support provincial planning and implementation and reporting x Strengthen the capacity of provinces to deliver the HPV vaccination programme x Submission of quarterly reports to the National Treasury as prescribed by the 2026 Division of Revenue Act (DoRA) and monthly expenditure with variance explanations in terms of the Public Finance Management Act x Approved business plans must be submitted by the national Department of Health (DoH) to National Treasury by 27 March 2026 Responsibilities of provincial departments x The business plan, signed by the receiving officer and in the prescribed format, must be submitted to the transferring officer by 27 February 2026 x Quarterly financial and performance output reports to be submitted within 30 days following the reporting period using standard formats as determined by the national department, including measurable objectives and performance targets as agreed with DoH. Reports must include budgets and expenditure under both provincial equitable share and the conditional grant x Provincial health departments must provide DoH with full and unrestricted access to all records and data related to the programme x Assign a dedicated official the responsibility for managing the grant and related components x Where possible, utilise existing human resource, transport capacity and training of all contracted personnel at all relevant levels and augment capacity where needed on a contractual basis x Provide a list of contracted non-governmental organisations that will provide services x Include the indicators in the provincial annual performance plans and ensure compliance with the 2026 DoRA x Ensure that all the national indicators’ data sets related to community health workers are entered into the district health information system and that there is accordance between the metrics in the district health information system and the 2026 DoRA reporting for community outreach services Process for approval of 2027/28 business plans x Submission of a draft business plan to DoH by 30 October 2026 x Submission of final business plans to the DoH by 26 February 2027 x Submission of final business plans to National Treasury by 31 March 2027 177 Health Facility Revitalisation Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x To enable provinces to plan, manage, and transform health infrastructure in line with national and provincial policy objectives Grant purpose x To help to accelerate maintenance, renovations, upgrades, additions, and construction of infrastructure in health x To help on replacement and commissioning of health technology in existing and revitalised health facilities x To enhance capacity to deliver health infrastructure x To accelerate the fulfilment of the requirements of occupational health and safety Outcome statements x Improved service delivery by provincial departments as a result of an enhanced and better quality of health services x Improved quality and quantity of well-maintained health infrastructure (backlog and preventative maintenance) x Improved rates of employment and skills development in the delivery of infrastructure x Value for money and cost-effective design of facilities in line with the framework for infrastructure procurement and delivery management Outputs x Number of primary health care facilities constructed or revitalised x Number of hospitals constructed or revitalised x Number of facilities maintained or refurbished Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x The business plan for this grant consists of the following: o the user-asset management plan for at least 10 years o infrastructure programme management plan over the 2026 medium term expenditure framework (MTEF) including a list of projects o annual implementation plan Conditions x Projects should be initiated in terms of the control framework of the framework for infrastructure procurement and delivery management stage one which requires an initiation report. Pre-feasibility and feasibility reports are required for all projects x With the exception of funding for costs incurred on stages one and two of the framework for infrastructure procurement and delivery management, projects (business case, project brief and design for all new or replacement facilities and upgrades or additions projects that need licensing) must be approved by the national transferring officer before funds can be released for such projects x The management and procurement of all projects funded through this grant must follow the prescripts of the infrastructure delivery management system and framework for infrastructure procurement and delivery management x Provinces may utilise a portion of grant funding for the appointment of public servants on a permanent basis to their infrastructure units in line with human resource capacitation circular published annually by National Treasury x In instances where the capacity of the provincial departments of public works is deemed insufficient, the provincial department of health will be entitled to engage alternative implementing agents, provided that supply chain management processes as prescribed in the Treasury Regulations for appointment of service providers are followed x Provincial departments of health must enter into a service delivery agreement with their implementing agents x Appropriately qualified built environment representatives from the provincial departments’ infrastructure units must assist in the procurement of professional service providers and contractors by its implementing agent, through representation as a member on the specification, evaluation and adjudication committees of the implementing agent x New facilities will only be funded from the grant if proof of operational budget that includes the approved organisational structure (staff structure) is submitted prior to the approval of the clinical brief. Endorsement of the operational budget by the provincial treasury will have to be acquired as part of the approval process x The funding from this conditional grant may only be utilised for planned and unplanned maintenance of infrastructure, renovations, upgrading and additions of infrastructure, new and replacement of infrastructure, health technology provision and quality assurance interventions linked to infrastructure projects. The conditional grant should not be used for day-to-day maintenance x In 2026/27 the following amounts are allocated through the Budget Facility for Infrastructure for Belhar and Klipfontein Regional Hospitals in Western Cape. These funds may only be used for these projects and are subject to the conditions set out in the 2026 MTEF preliminary allocation letter to the Department of Health: o Belhar Regional Hospital: R88 million o Klipfontein Regional Hospital: R89 million Allocation criteria x Allocations for 2026/27 are project and performance based Reasons not incorporated in equitable share x Funding infrastructure through a conditional grant enables the national department to ensure the delivery, rehabilitation, maintenance and upgrading of health infrastructure in a coordinated and efficient manner and to ensure consistency with national norms, standards and guidelines for health facilities Past performance 2024/25 audited financial outcomes x R7.1 billion available was transferred and spent by the provinces (100 per cent 2024/25 service delivery performance x 47 primary health care facilities constructed or revitalised x 46 hospitals constructed or revitalised x 403 public health care facilities (clinics, hospitals, nursing colleges, emergency medical service base) maintained, repaired and/or refurbished Projected life x Health is a key government priority and given the need to continually maintain health infrastructure to ensure that norms and standards are maintained, the grant is expected to remain in place until at least the end of the 2026 MTEF MTEF allocations x 2026/27: R7.7 billion; 2027/28: R8.2 billion; and 2028/29: R8.4 billion 178 Health Facility Revitalisation Grant Payment schedule x Transfers are made on a quarterly basis in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Coordinate and facilitate site visits x Attend quarterly provincial infrastructure progress review meetings with National Treasury x Provide guidance to provinces on planning, prioritisation and evaluating of user-asset management plan, infrastructure programme management plan, annual implementation plan, project proposals and concept reports that provinces develop and submit x Capital transfers to provinces (planned, actual and revised) related to this conditional grant must be reported in the national infrastructure reporting model x Review if provinces comply with the framework for infrastructure procurement and delivery management x Issue guidelines on the capacitation process of infrastructure units, as well as the conditions attached to the utilisation of funds x National Department of Health (DoH) and National Treasury must jointly evaluate progress with capacitation of provincial infrastructure units and provide feedback to all provinces x DoH must submit quarterly infrastructure reports to National Treasury, according to the template agreed between National Treasury and DoH within 45 days after the end of each quarter Responsibilities of provincial departments x Provincial departments must conduct regular site visits and hold progress review meetings with the relevant implementing agents x Annual implementation plans (which include an equipment list) signed-off by the head of department, sent to the DoH for approval by 27 February 2026 x The 2026 MTEF project list as captured in the annual implementation plan for both current and capital budgets should cover: o planned and unplanned maintenance of infrastructure, except day-to-day maintenance o renovations, upgrading and additions of infrastructure o new and replacement of infrastructure o health technology provision o quality assurance interventions linked to infrastructure projects x Provinces must submit to DoH quarterly reports for all projects funded in the 2026/27 financial year in this grant to the infrastructure reporting model through the project management information system x Provinces must report infrastructure projects and related infrastructure support funded through this conditional grant in the provincial infrastructure reporting model monthly and quarterly x Provincial departments of health must align infrastructure plans (user-asset management plan and infrastructure programme management plan) with their respective strategic plans and annual performance plans x Provinces will include or transfer to the Department of Public Works and Infrastructure the list of completed projects to be part of their asset register x Provinces should undertake life cycle maintenance as well as the full operation, staffing and management of the projects in facilities completed under this grant Process for approval of 2027/28 business plans x The process for approval for the 2027 MTEF will be in line with the performance-based incentive approach guidelines published by National Treasury and DoH x Submission of the user-asset management plan for 2027/28 to National Treasury and DoH by 26 June 2026 x Submission of the infrastructure programme management plan for 2027/28 to National Treasury and DoH by 28 August 2026 x Submission of the final 2027/28 project list aligned with the MTEF allocations and annual implementation plan by 26 February 2027 179 Human Resources and Training Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x To contribute to the implementation of the national human resource plan for health through the clinical training and supervision of health science trainees in designated public health facilities in South Africa x Effective implementation of the human resources for health strategy and health workforce capacity development for sustainable service delivery Grant purpose x To appoint statutory positions in the health sector for systematic realisation of the human resources for health strategy and the phase-in of National Health Insurance x Support provinces to fund service costs associated with clinical training and supervision of health science trainees on the public service platform Outcome statements x Progressive realisation of the national human resource plan for health x Clinical training and supervision capacity established in designated developmental provinces (Eastern Cape, Limpopo, Mpumalanga, Northern Cape, and North West) x Enhanced access to healthcare services by addressing critical skills shortages in underserved communities Outputs x Number and percentage of statutory posts funded from this grant (per category and discipline) and other funding sources x Number and percentage of registrars’ posts funded from this grant (per discipline) and other funding sources x Number and percentage of specialists’ posts funded from this grant (per discipline) and other funding sources Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x Non-financial business plan – number of specialists, registrars, medical officers, clinical supervisors/tutors per category in nursing, emergency medical services, allied health, pharmacy and grant administration staff funded from the grant x Financial business plan – allocation by economic classification to each category of clinical trainer/supervisor Conditions x Cost of administration of the grant must not exceed 1 per cent of the total grant allocation x This grant has two components Statutory Human Resources Component x The statutory human resources component must only be utilised for funding of statutory posts Training Component x The training component must prioritise all registrar posts and the balance of the allocation may be utilised for specialist (supervisors) and other approved categories x Additional funds have been allocated for the developmental portion and the breakdown per province is as follows: o Eastern Cape: R10 million o Limpopo: R6 million o Mpumalanga: R5 million o Northern Cape: R4 million o North West: R5 million x The developmental allocation will be withheld and transferred to other developmental provinces if a province fails to spend these funds. Developmental allocations are only applicable to the training and development component Allocation criteria x Statutory Human Resources component allocations are based on the following criteria: o provinces with greatest needs have been prioritised o number of statutory posts o future projections of professional production versus need x Training component is based on historical allocations and spending patterns Reasons not incorporated in equitable share x Provinces give effect to the national human resource strategy through the clinical training and supervision of health science trainees on the public health service platform x National coordination is needed for health science training x To ensure that the additional human resources funded through this component address unmet health needs as opposed to perpetuating historical allocation patterns x Allocation of medical interns and community service applicants is a national function Past performance 2024/25 audited financial outcomes x Statutory Human Resources component: allocated and transferred R2.5 billion to provinces, of which R2.5 billion (100 per cent) was spent by the end of the financial year x Training component: allocated and transferred R2.9 billion to provinces, of which R2.9 billion (100 per cent) was spent by the end of the financial year 2024/25 service delivery performance x 2 153 statutory medical intern’s posts funded from this grant and other funding sources x 2 409 statutory community service posts funded from this grant and other funding sources x 2 042 registrars posts funded from this grant and other funding sources x 1 979 specialist posts funded from this grant and other funding sources Projected life x The grant is subject to review at the end of 2028/29. Its projected life will be guided by the need for health science trainees to be trained and supervised on the public health service platform MTEF allocations x Total allocation in 2026/27: R6 billion; 2027/28: R6.2 billion; and 2028/29: R6.4 billion, of which o Statutory Human Resources component: 2026/27: R2.8 billion; 2027/28: R2.9 billion; and 2028/29: R3 billion o Training component: 2026/27: R3.2 billion; 2027/28: R3.3 billion; and 2028/29: R3.4 billion 180 Human Resources and Training Grant Payment schedule x Monthly instalments as per approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x National Department of Health (DoH) to submit approved business plans to the National Treasury by 27 March 2026 x Convene at least one annual meeting of national or provincial and facility programme managers x Monitor the number of health science trainers/clinical supervisors that are responsible for health science training on the public health service delivery platform x Conduct a minimum of one site visit to provinces and site visits to selected facilities on a rotational basis x Submission of quarterly financial and non-financial performance reports to National Treasury x Meet with National Treasury to review the performance of the grant twice a year Responsibilities of provincial departments x Provinces are to submit an approved business plan in the prescribed format signed by the provincial head of department to the DoH by 24 February 2026 x Provinces are encouraged to maintain a separate budget for each benefiting facility/cluster x Monitor the implementation of the grant and report quarterly to DoH x Provincial health departments must provide DoH with full and unrestricted access to all records and data related to the programme and to facilities to implement systems x All developmental provinces must ring-fence the developmental allocation and report on expenditure and implementation progress in their quarterly reports x To report on the number of clinical supervisors associated with clinical training and supervision of students, funded on the public health service delivery platform: o number of specialists o number of registrars o number of medical officers o number of clinical associates o number of postgraduates o number of clinical supervisors/trainers per category in nursing, emergency medical services and allied health and pharmacy o number of grant administration staff Process for approval of 2027/28 business plans x Draft business plans for 2027/28 must be submitted in the approved format by 30 October 2026 x Completion of an approved business plan, in the prescribed format, signed by each receiving officer by 26 February 2027 and the transferring officer by 31 March 2027 181 National Health Insurance Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 5, Part A Strategic goal x To achieve universal health access through the phased implementation of National Health Insurance (NHI) and to improve access to quality health care services Grant purpose x To expand the health care service benefits through the strategic purchasing of services from health care providers Outcome statements x Implementation of strategic purchasing platform for primary health care providers x Strengthen mental health care service delivery in primary health care and community-based mental health services x Improved forensic mental health services Outputs Health Professionals Contracting x Number of health care providers contracted x Number of sessions covered by contracted health care providers Mental Health x Number of mental health care providers contracted (per category: psychiatrists , medical officers with a diploma in mental health or psychiatry, psychologists, registered counsellors, occupational therapists and, social workers) x Number of users seen by the contracted mental health care providers x Number of forensic mental observations conducted by the contracted mental health care providers Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x Background of the grant, including service gaps that the health care providers contracted with the grant will assist to address x Key activities and resources funded by the grant x Contracting models x Indicators and targets for each quarter. Indicators and targets must be aligned to the different health care providers contracted x Monitoring and evaluation framework x Risk management plan x Cash flow requirements x An appendix with all contracts and related documents Conditions x A health care provider cannot be contracted with any component of the NHI Grant if they are not registered and in good standing with a relevant South African statutory professional council. This council must recognise all relevant qualifications of the health care provider x All health care providers contracted must primarily render direct patient clinical interventions x The funding from this grant should be used to: o test contracting models to purchase primary health care services. With approval from the transferring officer, provinces may consider alternative health care service benefits, delivery platforms and delivery models o contract with individual health care providers, health establishments or multidisciplinary teams of primary health care providers. Different models of contracting are encouraged to enable strategic purchasing. Funds may be used to test capitation models within proof-of-concept contracting units for primary health care o contract with mental health care providers to deliver mental health care services at primary health care level, and to assist with forensic mental observations. Psychiatrists, medical officers with a diploma in mental health or psychiatry psychologists, registered counsellors, occupational therapists and social workers are the only categories of mental health care providers that are funded for mental health care services x The following amounts are allocated for contracting health care providers and mental health: Health Care Providers Contracting Mental Health o Eastern Cape: R44 million R21 million o Free State: R21 million R9 million o Gauteng: R54 million R45 million o KwaZulu-Natal: R54 million R37 million o Limpopo: R35 million R20 million o Mpumalanga: R21 million R15 million o Northern Cape: R21 million R4 million o North West: R21 million R13 million o Western Cape: R20 million R19 million x No more than 3 per cent of the funds from this grant may be used for administration of this grant or ‘tools- of-trade’ to enable the work of the contracted health care providers x Approval to shift funds between programmes is vested with the transferring officer and any shift should be communicated with National Treasury Allocation criteria x Allocations are based on o historical allocations o user and provider needs o number of health care providers contracted 182 National Health Insurance Grant o number of patients reported o past expenditure Reasons not incorporated in equitable share x Capitation contracting of providers and establishments for primary health care service provision will be the primary method of reimbursement under the NHI. Towards successful implementation of the NHI, dedicated funding to test and improve these processes is necessary Past performance 2024/25 audited financial outcomes x Of the R456 million made available for the grant, R447 million (98 per cent) was spent 2024/25 service delivery performance x 389 health care providers contracted x 417 467 users seen by contracted mental health care providers at primary health care level Projected life x Expected to remain in place until the NHI Fund is created through legislation MTEF allocations x 2026/27: R475 million; 2027/28: R497 million; and 2028/29: R513 million Payment schedule x Payments will be made monthly in line with the approved payment schedule Responsibilities of the transferring officer and receiving officer Responsibilities of national department x Provide oversight and support to provincial departments to ensure achievement of the grant outcomes x Submission of quarterly financial and non-financial performance reports to the National Treasury x Business Plans must be submitted to National Treasury by 3 April 2026 Responsibilities of provincial departments x Facilitate the achievement of grant outputs x Ensure that the provision and funding of existing programmes and services continues and is not substituted by the implementation of this grant x Provincial departments of health must provide the transferring officers with full and unrestricted access to all records and data related to the programme and to accommodate oversight site visits x Contract management must be done internally by the receiving officers x Receiving officers must perform adequate monitoring and evaluation of the programme x Submission of quarterly financial and non-financial performance reports to the transferring officer not later than 30 days after the end of the quarter x Submission of an annual financial and non-financial performance report to the transferring officer not later than 60 days after the end of the financial year Process for approval of 2027/28 business plans x Provinces must submit a draft business plan to the transferring officer by 30 October 2026 x Provinces must submit a final approved business plan to the transferring officer by 26 February 2027 x Submission of approved business plan by the transferring officer to the National Treasury by 31 March 2027 183 National Health Insurance Indirect Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 6, Part A Strategic goal x To strengthen the public health care system in preparation for implementation of National Health Insurance (NHI), design of NHI through innovative testing of new reforms and to improve quality of services at primary health care facilities x To achieve universal health access through the phased implementation of NHI and to improve access to quality health care services x To ensure appropriate health infrastructure that is in line with national and provincial policy objectives x This grant has two components: o health facility revitalisation component o health systems component Grant purpose x To create an alternative track to improve spending, performance as well as monitoring and evaluation on infrastructure in preparation for NHI x To enhance capacity and capability to deliver infrastructure for NHI x To accelerate the fulfilment of the requirements of occupational health and safety x To implement the centralised models for the dispensing and distribution of chronic medication x Develop and roll-out new health information systems in preparation for NHI x Enable the health sector to address the deficiencies in the primary health care facilities systematically through the implementation of the ideal clinic programme x To expand the healthcare service benefits through the strategic purchasing of services from health care providers Outcome statements x As specified in the two component frameworks Outputs x As specified in the two component frameworks Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x As specified in the two component frameworks Conditions x As specified in the two component frameworks Allocation criteria x As specified in the two component frameworks Reasons not incorporated in equitable share x As specified in the two component frameworks Past performance 2024/25 audited financial outcome x As specified in the two component frameworks 2024/25 service delivery performance x As specified in the two component frameworks Projected life x Subject to policy developments that will be finalised as part of the implementation of NHI MTEF allocations x 2026/27: R2.6 billion; 2027/28: R2.6 billion and 2028/29: R2.7 billion of which the two components are: o health facility revitalisation component: 2026/27: R1.7 billion; 2028/29: R1.7 billion and 2028/29: R1.8 billion o health systems component: 2026/27: R816 million; 2027/28: R849 million and 2028/29: R875 million Payment schedule x As specified in the two component frameworks Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x As specified in the two component frameworks Responsibilities of provincial departments x As specified in the two component frameworks Process for approval of 2027/28 business plans x As specified in the two component frameworks 184 National Health Insurance Indirect Grant: Health Facility Revitalisation Component Transferring department x Health (Vote 18) Grant schedule x Schedule 6, Part A Strategic goal x To ensure appropriate health infrastructure that is in line with national and provincial policy objectives Grant purpose x To create an alternative track to improve spending, performance as well as monitoring and evaluation on infrastructure in preparation for National Health Insurance (NHI) x To enhance capacity and capability to deliver infrastructure for NHI x To accelerate the fulfilment of the requirements of occupational health and safety Outcome statements x Appropriate procurement of service providers for infrastructure delivery for NHI x Improved spending, performance, monitoring and evaluation of infrastructure projects for NHI x Improved employment and skills development in the delivery of infrastructure for NHI x Value for money and cost-effectively designed facilities in line with the framework for infrastructure delivery and procurement management x Improved patient experience of care Outputs x Number of primary health care facilities constructed or revitalised x Number of hospitals constructed or revitalised x Number of facilities maintained, repaired and/or refurbished Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x The infrastructure programme management plan for the 2026 medium term expenditure framework (MTEF) aligned to the infrastructure delivery management system and framework for infrastructure delivery and procurement management will be submitted on 31 March 2026 and will include the following: o costed project lists with annual cash flow projections per project for the full duration of the projects on the programme o projected milestones per project for framework for infrastructure delivery and procurement management control framework stages indicating current stage of the project o project allocation list to the various implementing agents Conditions x The national Department of Health (DoH) must, in consultation with the provinces, have in place an intergovernmental protocol framework covering the 2026 MTEF and outlining how the grant will operate as well as the responsibility and functions of each sphere. Project sheets will form part of the agreement x Should there be an amendment to an existing protocol agreement, the amended agreement should be submitted to the National Treasury by 31 March 2026 x Prior to submitting the infrastructure programme management plan, each provincial department must have signed-off a project sheet for all projects funded from the grant which lists program name, sub programme or project name, facility associated, current status, projected status for the MTEF, expected stage at handover to the province and any high level comments associated x With all new projects, DoH must comply with the framework for infrastructure delivery and procurement management processes x Only projects that are aligned to priorities and needs as defined within the health infrastructure portfolio plan would be considered for implementation through this grant x For projects with a total project cost exceeding R500 million, DoH must notify National Treasury when framework for infrastructure delivery and procurement management stage three is reached x The grant component must only be spent on projects included in the infrastructure programme management plan and project lists signed by provinces. Projects can only be added after approval by the National Treasury x Appropriately qualified built environment representatives from the national department must assist in the procurement of professional service providers and contractors by its implementing agent x DoH may utilise a portion of grant funding for the appointment of public servants to their infrastructure units. The amount that can be used for this is determined in terms of the conditions set in terms of the 2026 Appropriation Act x All completed projects must have a close-out report with a documented maintenance plan x New facilities will only be funded from the grant if proof of operational budget that includes the approved organisational structure (staff structure) is submitted prior to the approval of the clinical brief. Endorsement of the operational budget by the provincial treasury must be acquired as part of the approval x An amount of R550 million is allocated to through the Budget Facility for Infrastructure (BFI) for the construction of the Limpopo Academic Hospital in 2026/27. The amount earmarked for Limpopo Academic Hospital may only be used for this project and is subject to the conditions set out in Annexure B of the 2018 MTEF allocation letter of the DoH x An amount of R259 million is allocated through the Budget Facility for Infrastructure for the construction of the Siloam District Hospital in Limpopo in 2026/27. The amount earmarked for Siloam District Hospital may only be used for this project Allocation criteria x Allocations for 2026/27 are project based x Allocation is dependent on the existence of a signed and agreed to implementation protocol agreements x Allocation for budget adjustment is dependent on project performance and associated priority Reasons not incorporated in equitable share x Funding infrastructure through an indirect conditional grant enables the national department to ensure the delivery and maintenance of health infrastructure in a coordinated and efficient manner that is consistent with national norms, standards and guidelines for health facilities Past performance 2024/25 audited financial outcomes x Allocated R1.4 billion, of which 97 per cent was spent by the end of the financial year (including the earmarked allocation for Limpopo Academic Hospital) 185 National Health Insurance Indirect Grant: Health Facility Revitalisation Component 2024/25 service delivery performance x Completion of Tshilidzini Neonatal Projected life x NHI is a key government priority and given the need to continually maintain health infrastructure and ensure that norms and standards are maintained, the grant will continue over the 2026 MTEF, subject to review MTEF allocations x 2026/27: R1.7 billion; 2027/28: R1.7 billion; and 2027/28: R1.8 billion Payment schedule x Estimated monthly cashflow forecast available on all projects implemented through the grant x Monthly payments made according to verified and approved invoices from the service providers for projects that are implemented by the department. Quarterly tranche payments are made to implementing agents responsible for other projects Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Build and demonstrate the capacity necessary to manage this grant x Ensure alignment between the infrastructure programme management plan and the annual performance plan x Undertake the infrastructure development cycle as per the framework for infrastructure delivery and procurement management x Convene progress review committees with appropriate reporting and invite National Treasury and provinces x DoH must maintain an up-to-date database (project management information system), with all contracts that are fully or partially funded by this grant x DoH must report infrastructure projects implemented with voted funds in the national infrastructure reporting model within 22 days after the end of the quarter x Collaboration and coordination with provincial departments of health for the full development cycle of infrastructure development in respect of projects funded by this grant x In instances where the capacity of the DoH and the provincial department are deemed insufficient, DoH is entitled to engage alternative implementing agents, provided that supply chain management processes as prescribed in the Treasury Regulations for the appointment of service providers are followed. In those cases, service level agreements between DoH and the implementing agent must be in place x DoH must convene quarterly progress review committee meetings with all project managers and implementing agents for monitoring and oversight of the performance of all funded projects. National Treasury should be invited to the meetings x Provide provincial departments of health with progress of the projects under this grant for inclusion in provincial annual reports x DoH must submit quarterly infrastructure reports to National Treasury, according to the agreed template between National Treasury and DoH, within 45 days after the end of each quarter Responsibilities of provincial departments x Provide accurate and detailed clinical brief to projects defining the need of projects. This should include any prefeasibility and feasibility works to obtain sufficient approval of projects x Participate in design and delivery activities of projects implemented within their provinces as part of the grant. This includes facilitation of issues and risks mitigation under their ambit of control x Be responsive and time conscious in the review and validation of project deliverables on the critical path of the projects undertaken through the grant x Ensure that sufficient budget is made available for the staffing, operationalisation and maintenance of facilities post works x Ensure that the completed projects are included in the asset registers of the provincial custodian of state- owned facilities x Undertake life cycle maintenance as well as the full operation, staffing and management of the facilities completed under this grant by the DoH x All immovable asset management and maintenance responsibilities of the completed projects under this grant as prescribed by the Government Immovable Asset Management Act of 2007 rests with the provinces x Provinces should report on progress of the projects under this grant in their annual reports and describe how these facilities have been considered in their future planning and budgeting. The projects must be included in the provincial user-asset management plans Process for approval of 2027/28 business plans x Submission of a draft infrastructure programme management plan to the National Treasury by 30 October 2026 x Submission of the final infrastructure programme management plan to the National Treasury by 31 March 2027 x Submission of signed implementation protocol by 31 March 2027 186 National Health Insurance Indirect Grant: Health Systems Component Transferring department x Health (Vote 18) Grant schedule x Schedule 6, Part A Strategic goal x To strengthen the public healthcare system in preparation for National Health Insurance (NHI) x To strengthen the design of NHI through innovative testing of new reforms x To improve the quality of services at primary health care facilities x To improve the quality of services in health care facilities Grant purpose x To expand the alternative models for the dispensing and distribution of chronic medication x To develop and roll out new health information systems in preparation for NHI, including human resource for health information systems x To enable the health sector to address the deficiencies in primary health care facilities systematically and to yield fast results through the implementation of the ideal clinic programme x To implement a quality improvement plan Outcome statements x Improved access to and quality of healthcare through: o expansion of the alternative dispensing and distribution model for chronic medication o improved quality health services in all primary health care facilities through the ideal clinic programme o building and implementation of the enterprise architecture design for national health insurance digital information systems o development and implementation of systems for medicines stock management and procurement o certification of all public health facilities by the Office of Health Standards Compliance (OHSC) Outputs x Alternative chronic medicine dispensing and distribution model implemented x Number of new and number of total patients registered in the programme, broken down by the following: o antiretroviral treatment o antiretroviral with co-morbidities o non-communicable diseases o number of pickup points (state and non-state) x Intern community service programme system maintained and improvements effected x Number and percentage of primary healthcare facilities peer reviewed against the ideal clinic standards x Number and percentage of primary healthcare facilities achieving an ideal status x Number of public health facilities implementing the health patient registration system x Number and percentage of the population registered on the health patient registration system x National data centre hosting environment for NHI information systems established, managed and maintained x Development and implementation of the master facility list policy x Number of primary healthcare facilities implementing an electronic stock monitoring system x Number of hospitals implementing an electronic stock management system x Number of fixed health establishments reporting medicines availability to the national surveillance centre x Number of quality learning centres established x Number of facilities improving their baseline OHSC scores (or other approved quality metrics) x Number of proof-of-concept contracting units for primary health care established x Number of engagements towards developing contracting units for primary health care x Number of frameworks drafted to enable strategic purchasing Outcome(s) of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x Input, output indicators and outcome indicators x Milestones with projected dates when this will be achieved x Description of how the project will be managed including the roles and responsibilities of national and provincial departments x Key activities and resource schedule x Monitoring and evaluation plan x Risk management plans and cash flow projections Conditions x Completion of a business plan by the national Department of Health (DoH) signed by the transferring officer by 2 April 2026 and submitted to the National Treasury by 2 April 2026 x All information systems developed and implemented under this grant component must comply with the interoperability norms and standards as approved by the national health council x No more than 3 per cent of this grant component may be used for grant administration Allocation criteria x The alternative chronic care medication dispensing and distribution model allocations will be based on the volume of patients per province x Ideal clinic allocation is based on the number of identified facilities and their needs in each province x Information systems allocation is not allocated per province and will be utilised towards the development and making sure that implementation is standardised across provinces, districts and public health facilities, and towards the establishment of unified health information and management of health commodities for the country x The proof-of-concept contracting units for primary health care programme allocation is based on the needs of the national project team, the provincial and contracting units for primary health care project teams, and the user and health care service provider needs within the proof-of-concept contracting units for primary health care 187 National Health Insurance Indirect Grant: Health Systems Component Reasons not incorporated in equitable share x The importance of central coordination in the development of models and the establishment of NHI to inform ongoing NHI designs x Ideal clinic is a key national priority and requires a systematic implementation to achieve quality health care services x In line with the sections 74(1) and 74(2) of the National Health Act 61 of 2003, DoH has to develop and coordinate all health information systems in the country. This is a complex programme with many facets that requires an iterative process of testing and implementation in a phased manner. This situation calls for dedicated funding which will allow for institutionalisation over time Past performance 2024/25 audited financial outcomes x Of the R669 million made available, R530 million was spent (79 per cent) by the end of the financial year 2024/25 service delivery performance x Alternative chronic medicine dispensing, and distribution model implemented x 8.9 million new and total patients registered in the programme broken down x 2.1 million antiretroviral treatments x 615 236 antiretroviral with co-morbidities x 789 003 non-communicable diseases x 2 912 pickup points (non-state) and 3 576 health establishments (state) rendering the central chronic medicines dispensing and distribution service x Peer review activity was replaced by peer review updates as there were no new facilities to enrol for peer reviews x 2 762 (80 per cent) of primary health care facilities achieving an ideal status against target of 2 700 x 3 265 primary health care facilities and 76 hospitals implementing the health patient registration system x 68.5 million individuals from the population registered on the health patient registration system x 3 311 primary health care facilities implementing an electronic stock monitoring system x 377 hospitals implementing an electronic stock monitoring system x National data centre hosting environment for NHI information systems established, maintained and operational x First phase of the national health information centre platform completed x 3 866 fixed health establishments reporting medicine availability to the national surveillance centre x Nine proof-of-concept contracting units for primary health care established Projected life x Subject to policy developments that will be finalised as part of the implementation of NHI MTEF allocations x 2026/27: R816 million; 2027/28: R849 million; and 2028/29: R875 million Payment schedule x Payments will be made according to verified invoices or in line with approved programme implementation plans from the service providers x Monthly instalments which may be altered at the discretion of National Treasury based on invoices paid Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x To establish contracts with service providers for the delivery of goods and services as necessary in the four sub-components outlined above x Establish the necessary organisational structures and build capacity within the DoH to implement, oversee and monitor the execution of all approved projects using the 3 per cent administrative costs provision x Manage, monitor and support provincial programme planning and implementation x Meet with the National Treasury to review the performance of the grant on a quarterly basis x Strengthen the technical support to provinces to expand the programme x Strengthen the capacity of provinces to realise and maintain ideal clinic status x Maintain the ideal clinic and central chronic medicines dispensing and distribution software x Evaluate the impact of quality improvement activities and submit preliminary reports on progress to National Treasury and the Presidency by 29 July 2026 and 2 December 2026 and a final report by 31 March 2027 Responsibilities of provincial departments x Facilitate the achievement of grant outputs x Delegate person/s responsible for managing the ideal clinic programme, health patient registration system programme, medicines information systems and central chronic medicine dispensing and distribution, respectively x Provinces are responsible for ensuring medicines availability to service providers for the central chronic medicine dispensing and distribution programme aligned to the medicine’s formulary x Ensure compliance with all reporting requirements and adherence to the provisions of service level agreements x Provincial health departments must provide DoH with full and unrestricted access to all records and data related to the programmes and to facilities to implement systems (monitoring and evaluation, storage space for filing cabinets etc.) x Include performance indicators related the four sub-components in the provincial annual performance plans x Provinces must develop draft implementation plans to assume responsibility for the centralised chronic medicines dispensing and distribution, ideal clinic and information systems x Submit quarterly performance reports to DoH Process for approval of 2027/28 business plans x Submission of the business plan signed by the transferring officer on 31 March 2027 to National Treasury 188 National Tertiary Services Grant Transferring department x Health (Vote 18) Grant schedule x Schedule 4, Part A Strategic goal x To enable provinces to plan, modernise, rationalise and transform the tertiary hospital service delivery platform Grant purpose x Ensure the provision of tertiary health services in South Africa x To compensate tertiary facilities for the additional costs associated with the provision of tertiary services Outcome statements x Modernised and transformed tertiary services that allow for improved access and equity to address the burden of disease x Accelerated modernisation of tertiary services (new services) in developmental provinces (Eastern Cape, Limpopo, Mpumalanga, Northern Cape and North West) x Accelerated oncology infrastructure (Eastern Cape, Gauteng, KwaZulu-Natal, Limpopo, Mpumalanga, Northern Cape and North West) Outputs x Number of inpatient separations x Number of day patient separations x Number of outpatient first attendances x Number of outpatient follow-up attendances x Number of inpatient days x Average length of stay by facility (tertiary) x Average length of stay by facility (psychiatry) x Bed utilisation rate by facility (tertiary) x Bed utilisation rate by facility (psychiatry) Outcome of government that this grant primarily contributes to x Outcome 12: Improved access to affordable and quality healthcare Details contained in the business plan x This grant uses business plans which are signed between the national Department of Health (DoH) and each provincial department of health and contain the following information: o provincial and institutional budget allocations o tertiary services specifications (approved YES list) funded by the grant, by facility per province o annual targets and baselines for funded specialists, specialised nurses, allied health, grant management, inpatient separations, inpatient days, day patient separations, outpatient first visits, outpatient follow up visits per facility per province per year o monitoring and reporting responsibilities o validation and revision of data o deviations or changes to tertiary services o referral responsibilities o approved business plan including details on the developmental portion of the National Tertiary S ervices Grant (NTSG), the modernisation of tertiary services portion and the oncology portion) o approved specialists funded from the grant (approved specialist detail list) o national guidelines on definitions of tertiary services that may be funded by the grant o description of the planned use of the NTSG developmental allocations (only provinces who receive these) o description of the planned use of the oncology developmental allocations (only provinces who receive this) Conditions x The grant allocation to each central/provincial tertiary facility must not exceed a maximum of 65 per cent of the total facility budget x To facilitate the acceleration of modernisation of tertiary services in developmental provinces, up to 10 per cent of the provincial grant allocation should be used for the development of tertiary services currently not provided in the province or expansion of critical services where there is currently a backlog of untreated patients x An approved service specification requires the appointment of a Health Professionals Council of South Africa registered specialist and in accordance with a nationally approved business plan x Funds have been allocated for the developmental portion for five provinces. The breakdown per province is as follows: o Eastern Cape: R25 million o Limpopo: R12 million o Mpumalanga: R12 million o North West R25 million o Northern Cape: R12 million x All developmental provinces must ring-fence the developmental allocation and report on it quarterly x Additional funds have been allocated for the development of oncology infrastructure and project related costs in provinces. This allocation is project based. The breakdown per province is as follows: o Eastern Cape: R96 million o Gauteng R25 million o KwaZulu-Natal: R9 million o Limpopo: R9 million o Mpumalanga: R9 million o Northern Cape: R9 million o North West: R60 million 189 National Tertiary Services Grant x The allocation for the development of oncology infrastructure must be ring-fenced and reported on quarterly x The oncology subcomponent may be used in the following areas: o funds may be used for compensation of employees on start up oncology services for a limited period of up to two years, thereafter those personnel must be moved to the NTSG or alternative source of funding o funds may be used for the payment of professional fees at the start of the Oncology projects o funds m ay be used to procure equipment for the newly developed Oncology services, or to upgrade existing old equipment x Cost of administration of the grant must not exceed 1 per cent of the total grant allocation x The following amounts in the allocation to Gauteng are earmarked to fund the operations of the Nelson Mandela Children’s Hospital: o 2026/27: R389 million o 2027/28: R377 million o 2028/29: R396 million x The allocation earmarked for the Nelson Mandela Children’s Hospital for 2026/27 includes the allocation made for the development of oncology infrastructure and project related costs. Total remuneration packages for the staff at the Nelson Mandela Children's Hospital, paid from this grant and any other sources, may not exceed Department of Public Service and Administration approved remuneration rates. Total remuneration packages must be captured and submitted to both the provincial, and the national departments of health x The services offered by the Nelson Mandela Children’s Hospital should be integrated into the service delivery platform in collaboration with relevant provinces, particularly Gauteng x The grant does not fund the leasing of capital equipment Allocation criteria x Based on historical allocations and spending patterns, with additional allocations for four developmental provinces Reasons not incorporated in equitable share x There are significant cross-provincial flows of patients needing tertiary services and the grant compensates provinces with greater tertiary capacity for treating patients from other provinces Past performance 2024/25 audited financial outcomes x Allocated and transferred R14.3 billion to provinces, of which R14.1 billion (98 per cent) was spent by the end of the financial year 2024/25 service delivery performance x 705 161 inpatient separations x 679 489 day patient separations x 1.5 million outpatient first attendances x 3.4 outpatient follow up attendances x 6 million inpatient days x 7.6 average lengths of stay by facility (tertiary) x 90 per cent bed utilisation rate (tertiary) Projected life x Support for tertiary services will continue because of the need to sustain and modernise tertiary services MTEF allocations x 2026/27: R16.7 billion; 2027/28: R17.4 billion; and 2028/29: R18 billion Payment schedule x Monthly instalments as per the payment schedule approved by National Treasury except for the Nelson Mandela Children’s Hospital where the first payment will be made in April 2026 and the second payment will be made in October 2026 based on evidence of satisfactory performance submitted to the DoH Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Approved business plans to be submitted to the National Treasury by 2 April 2026 x Monitor expenditure by economic classification, and patient activity and provide on- site support to facilities/complexes and provinces x Conduct a minimum of two site visits to provinces and a minimum of one site visit to facilities/complexes x Identify the national need for service delivery and facilitate the development of those services through business planning processes Responsibilities of provincial departments x Submission of an approved business plan, in the prescribed format, signed by the provincial head of department by 27 February 2026 x Completion of provincial and facility business plans, in the prescribed format, signed by the receiving officer and the benefiting institutions by 31 March 2026 (due date for Nelson Mandela Children’s Hospital is 31 March 2026) x Provinces must provide the allocated amounts for each funded facility /cluster to the relevant provincial treasury for gazetting as per the number of agreed-upon business plans per province and facility/cluster by 22 April 2026 x Provinces must maintain a separate budget for each benefiting facility x The receiving officer must supply the head of each benefiting facility/complex with a budget letter which includes their conditional grant and equitable share allocation by 29 April 2026 x Conduct a minimum of two site visits to each budgeted facility/complex per annum and submit reports of these site visits to the DoH x Submission of updated specialist details funded by the equitable share and the grant at facility level by 30 November 2026 x Submission of service specifications funded at each facility (new YES list) by 30 November 2026 x Submission of quarterly reports in the approved expenditure areas in the prescribed format 190 National Tertiary Services Grant x Provide patient utilisation data (inpatient separations, inpatient days, day case separations, outpatient first visits, outpatient follow up visits) average length of stay (tertiary), average length of stay (psychiatric) and bed utilisation rates (tertiary) as per the prescribed format x Provinces intending to develop a new service area need to submit a separate business plan outlining the investment case to DoH for approval x Provinces may request, in writing to the transferring officer, approval to amend their approved business plan. Requests must be submitted no later than 30 November 2026. This will be the only time that provinces can request amendments to their approved business plan. Revised plans will be approved or rejected by 18 December 2026 Process for approval of 2027/28 business plans x Submission of draft business plans (provincial and facility) by 30 October 2026 x Completion of a business plan, in the prescribed format, signed by each receiving officer by 26 February 2027 and by the transferring officer by 31 March 2027 191 HUMAN SETTLEMENTS GRANTS Human Settlements Development Grant Transferring department x Human Settlements (Vote 33) Grant schedule x Schedule 5, Part A Strategic goal x The creation of sustainable and integrated human settlements that enable improved quality of household life Grant purpose x To provide funding for the progressive realisation of access to adequate housing through the creation of sustainable and integrated human settlements Outcome statements x The facilitation and provision of adequate housing opportunities and improved quality living environments x A functionally equitable and integrated residential property market x Enhanced institutional capabilities for effective coordination of spatial investment decisions x Tenure security for all recipients of government subsidised houses Outputs x Number of residential units delivered in relevant housing programmes x Number of serviced sites delivered in relevant housing programmes x Number of informal settlements upgraded in situ and/or relocated x Number of subsidies disbursed through First Home Finance x Number of title deeds registered to beneficiaries x Hectares of well-located land acquired and rezoned for development of housing opportunities x Number of socio-economic amenities delivered in human settlements x Number of integrated residential development projects registered on housing subsidy system, planned and approved, funded and implemented x Number of township registers opened in respect of pre and post 1994 title deeds backlog x Number of beneficiaries confirmed as legitimate in registered townships in respect of pre and post 1994 title deeds backlog x Number of township establishments registered and declared x Number of ownership disputes logged and resolved in respect of pre and post 1994 title deeds backlog x Number of implementation programmes for priority housing development areas Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation Details contained in the business plan x Medium-term development plan targets and budgets x Project planning and implementation, including special housing needs aligned to the project readiness matrix x Annual and quarterly planned targets and budgets per project x Monthly cash flow projections (payment schedule) x Project information (name, housing subsidy system number, description, location (district and local municipality), city/town name, suburb, ward numbers and Geographic Information System (GIS) co- ordinates) x Detailed project plans to be submitted for bulk infrastructure and socio-economic amenities as a nnexures x Title deeds project list addendum to the business plan in accordance with the compliance and reporting framework x Planned bulk infrastructure projects, budget and spending per province in a prioritised municipality with distressed mining communities x Professional fees and bulk infrastructure projects including details of planning activities to be undertaken x Number of job opportunities to be created x Implementation agreement between national, provincial and local government x Procurement plan confirming the appointment of requisite service providers in accordance with government procurement preferential plan and policies as part of the project readiness matrix (to be attached as an annexure to the business plan) x Projects, targets and budgets in priority housing development areas x Planned annual allocation, projects and outputs to be implemented by accredited municipalities and any other organ of state, including annexures of project plans Conditions x Funds for this grant should be utilised for the priorities set out in the 2024-2029 medium term development plan for human settlements x Provinces may utilise any of the stated outputs in the approved framework that are aligned to the sector standardised indicators and their annual performance plans. Provinces may request approval from the national department for exemption to deviate from sector standardised indicators, that are not planned for the financial year x The transfer of the first tranche of funds is conditional upon the national Department of Human Settlements (DHS) approving provincial business plans consistent with the provisions of the Housing Act 107 of 1997 (Housing Act) and in compliance with the National Housing Code of 2009 (National Housing Code) x The transfer of subsequent tranches is conditional on provinces capturing the targets and budget, delivery statistics, and expenditure monthly on the housing subsidy system and the basic accounting system at a sub- programme level and project level, and submitting monthly reconciliations within the required time frames 192 Human Settlements Development Grant x Provinces must ensure reconciliation and alignment of financial and non-financial outputs between the housing subsidy system and basic accounting system on a monthly basis x All projects in the approved business plan must be aligned with the integrated development plan and the spatial development framework of municipalities as well as the one plan and signed off by the municipal accounting officer x Draft and final business plans must be aligned to provincial annual performance plans x Provinces may request, in writing to the transferring officer, approval to amend their approved business plan x When the business plan is adjusted, it must still align with the approved provincial annual performance plans x Provinces are allowed to shift budgets between projects in the business plan provided that: o no new projects are introduced into the business plan in-year without approval by the transferring officer o the delivery targets in the approved business plan are not reduced x The payment schedules must be derived and be aligned to the cash flows contained in the approved business plan x Provincial heads of departments must sign-off and confirm that the procurement process are concluded of the projects captured in their business plans prior to the start of the new financial year and that projects captured in their business plans are assessed and approved for implementation in the 2026/27 financial year x A minimum of 2 per cent of the grant may be allocated to programmes and projects for implementation of innovative building technologies approved by Agrément South Africa, with a detailed cost analysis for the housing sector (subject to the consultation of local authorities and beneficiaries) x Provinces must prioritise implementation and completion of identified blocked projects x Provinces may utilise up to a maximum of 3 per cent of the provincial allocation for the operational capital budget programme to support the implementation of projects contained in the business plan x Provinces must indicate budget allocations consistent with provincial and related municipal backlogs for adequate housing x Where municipalities have been accredited for the housing function, the provincial business plans must reflect relevant allocations, targets and outputs as agreed and approved with the respective municipalities x Provinces must gazette planned allocation for three years for the accredited municipalities in terms of section 12(6)(a) of the DoRA. This should also specify the amount of operational funding to be transferred to accredited municipalities. The purpose of the accreditation funding must be clear and aligned with the delegated function x Provinces may utilise a portion not exceeding 5 per cent of their grant allocations for the provision of bulk infrastructure projects for basic services in non-metropolitan municipalities to unlock human settlement projects x DHS in consultation with the National Treasury must develop a framework to systematically allow provinces to use up to 30 per cent of their allocation for bulk infrastructure. This framework must include the following minimum requirements: o projects must be contained in the integrated development plan of municipalities o the a pplicable land use regulatory approvals including but not limited to township establishment and environmental approvals o p rovinces must submit project lists that have been verified against projects that are funded through other conditional grants, including but not limited to the Municipal Infrastructure Grant, the Integrated Urban Development Grant, the Urban Settlements Development Grant, the Water Services Infrastructure Grant and the Regional Bulk Infrastructure Grant o the long-term financial implications of the bulk infrastructure on municipal budgets o p rojects approved by the national transferring officer must be included in the business plans of provinces and be submitted to the national department for approval o projects will be separately earmarked in a grant framework and presented as part of the Division of Revenue Bill o province and relevant municipality have signed a memorandum of understanding with regard to the construction, ownership, operations and maintenance of the infrastructure x The provision above is not applicable to distressed mining towns x Human settlements projects must be implemented in the gazetted priority human settlements and housing development areas x P rovinces must allocate a reasonable percentage of their grant allocation to the approved national priority projects (previously known as catalytic projects) in line with their project readiness status x Provinces should ensure that the allocation for land acquisition and related purposes is included in the business plans accompanied with a detailed motivation, a land assembly programme (with clear details of budget allocation for land acquisition, location of land and other related activities) for the medium-term expenditure framework (MTEF) period and a status report of previously acquired land including status of rezoning x Land acquisition, assembly and audit should be informed and accompanied by the human settlements comprehensive plan developed by the municipalities x Provinces must agree with municipalities on a plan for the provision of basic services to all households served in new housing developments 193 Human Settlements Development Grant x Provinces are to set aside funds that should fund title deeds for housing projects completed before 28 March 2014 and submit a detailed report on the delivery and expenditure of the previous transfer and should include: o agreed deliverables supported by evidence o actual expenditure against the planned cash flows or the same period o compliance with the housing subsidy o cash flows for the remainder of the financial year Allocation criteria x The grant is allocated through the Human Settlements Development Grant (HSDG) allocation formula approved by the human settlements MINMEC and Budget Council. The formula is based primarily on the share of inadequate housing in each province but also accounts for population size and the extent of poverty in each province. Further details of the formula are set out in Annexure W1 to the Division of Revenue Bill Reasons not incorporated in equitable share x A conditional grant enables the national department to provide effective oversight and ensure compliance with the National Housing Code Past performance 2024/25 audited financial outcomes x Of the R14 billion made available to provinces, R13.9 billion (99.9 per cent) was spent by the end of the financial year 2024/25 service delivery performance x 38 453 housing units completed x 38 957 serviced sites completed Projected life x This is a long-term grant as the government must assist the poor with the provision of human settlements in terms of the Constitution MTEF allocations x 2026/27: R13.3 billion; 2027/28: R13.8 billion; and 2028/29: R14.3 billion Payment schedule x Monthly instalments as per the payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Finalise and ensure the approval of the applicable subsidy quantum per programme and the allocation formula for the delivery of sustainable and integrated human settlements x Develop a formal national bulk infrastructure planning framework in consultation with other sector departments, to guide sequencing, budgeting, and resource allocation across municipalities x Approve the final national and provincial business plans and issue national compliance certificates x Assess and make recommendations on the credibility of provincial business plans and the readiness of projects captured therein x Ensure that provinces align financial and non-financial information in terms of reporting in the basic accounting system, housing subsidy system, provincial business plans and provincial quarterly reports x Monitor provincial financial and non-financial grant performance and control systems related to the grant x Ensure provinces comply with the reporting requirements for the housing subsidy system in terms of frequency and quality of the input x Provide support to provinces and accredited municipalities with regard to human settlements delivery as may be required x Facilitate regular interaction between DHS and provincial departments of human settlements and accredited municipalities x Undertake structured and other visits to provinces and metropolitan municipalities as necessary x Submit an annual evaluation report for 2025/26 on the financial and non- financial performance of the grant to National Treasury by 31 July 2026 x Submit quarterly performance reports to National Treasury within 45 days after the end of each quarter x Provide systems including the housing subsidy system that support the administration of the human settlements delivery process x Comply with responsibilities of the transferring officer outlined in the 2026 DoRA x Ensure provinces only implement programmes that are contained in the approved business plans x Provide a detailed list of all bulk infrastructure projects to the National Treasury that provinces are planning to implement in terms of their business plans x Prioritise the finalisation of the White Paper on the Housing Policy and Strategy for South Africa Responsibilities of provincial departments x Provinces utilising other organs of state to implement projects on their behalf, must conclude implementation protocols x Submit 2025/26 annual evaluation reports to DHS by 29 May 2026 x Submit 2025/26 audited annual reports to DHS by 30 September 2026 x Prioritise funds in order to build houses for military veterans x Provinces must conclude and sign implementation protocols with accredited municipalities to enable implementation of delegated functions, the transfer of allocated funding as well as monitor the performance of the accredited municipalities x Support accredited municipalities in carrying out delegated functions as per the accreditation framework x Provinces must utilise the housing subsidy system for the administration and related performance reporting of all the human settlement delivery programmes and processes 194 Human Settlements Development Grant x Projects to be funded and included in the business plan must be registered on the housing subsidy system and the housing subsidy system project number and GIS coordinates must be included in the business plan and the infrastructure reporting model x Provinces must ensure alignment of financial and non-financial reporting in terms of reporting in the basic accounting system, housing subsidy system, approved provincial business plans and provincial quarterly reports x Ensure effective and efficient utilisation of and access to the housing subsidy system by municipalities x Comply with the Housing Act, 2026 DoRA, National Housing Code and all applicable legislation x The monthly expenditure report, as contemplated in the 2026 DoRA and section 40(4)(c) of the Public Finance Management Act, must be submitted by the 15th of every month for the preceding month with work in progress inclusive of expenditure, outputs, monthly basic accounting system and housing subsidy system reconciliation as stipulated on the practice note dated 24 April 2015 x Monthly and quarterly financial and non-financial reports must be signed-off by both the provincial human settlements and provincial treasuries’ heads of departments x Provinces should ensure alignment of the approved business plan with the signed infrastructure plans, gazetted allocations and transfers to accredited municipalities x Provinces should ensure alignment between projected cash flows in the business plans and inputs into the payment schedule x Provinces must only utilise the grant funds to implement programmes and projects in the approved business plans x Provinces are allowed to implement the finance linked individual subsidy programme within the integrated residential reporting programme x Provinces should prioritise the revitalisation of the distressed mining towns programme within their funding x The head of department in the province should confirm in writing to DHS consultation with municipalities on the programme and projects submitted for approval in terms of the Human Settlements Development Grant business plan including all bulk infrastructure projects and that a copy of the memorandum of understanding is signed with all municipalities prior to the commencement of any bulk infrastructure project x The head of department in the province to confirm in writing to DHS that all projects to be implemented are aligned to the municipal integrated development plan and spatial development frameworks of municipalities x Provinces to align their business plans with provincial annual performance plans and infrastructure reporting model x After approval of rollover funds, p rovinces must submit an amended business plan with the rollover amount, and subsequent separate monthly progress reports on projects related to the approved roll-over x A province that is allocated additional funding or reallocated funds that have been stopped from another province, must submit a revised business plan and subsequent monthly progress reports on the use of the additional or reallocated funds x On completion of units for military veterans, provincial departments should forward the claims to the national Department of Military Veterans for the top-up, as agreed in terms of the memorandum of understanding between the national Department of Military Veterans and DHS x In addition to legislated reporting requirements, quarterly provincial reports must include: o the percentage of their allocations awarded to companies owned by designated groups on a quarterly basis o progress relating to blocked projects in line with the targets and expenditure as per the approved business plan o progress on performance on the implementation of asbestos removal o a quarterly report on the number of jobs opportunities to be created x Provinces must submit monthly reports that include the outcome or the effectiveness of the utilisation of the approved operational capital budget programme x Provinces must submit quarterly reports that record the performance of operational capital budget programme Process for approval of 2027/28 business plans x Draft consolidated provincial business plans for 2027/28 financial year, project readiness matrix and multi- year housing development plan (aligned with the business plan and project readiness matrix) to be submitted to the national department by 28 August 2026 x Submit final consolidated provincial business plans, project readiness matrix, multi- year housing development plan (including cash flow projections and compliance certificates for 2027/28 financial year) to the DHS by 5 February 2027 195 Informal Settlements Upgrading Partnership Grant: Provinces Transferring department x Human Settlements (Vote 33) Grant schedule x Schedule 5, Part A Strategic goal x The creation of sustainable and integrated human settlements that enable improved quality of household life Grant purpose x To provide funding to facilitate a programmatic and inclusive approach to upgrading informal settlements Outcome statements x Adequate housing in improved quality living environment x A functionally equitable and integrated residential property market x Enhanced institutional capabilities for effective coordination of spatial investment decisions x Security of tenure Outputs x The grant shall fund the outputs defined in phases 1 – 3 of the Upgrading of Informal Settlements Programme (UISP) in the National Housing Code of 2009 (National Housing Code): Social Facilitation: x Number of informal settlements where community compacts were conducted (from project initiation to implementation) Phase 1 x Number of prefeasibility studies conducted x Number of informal settlements re-blocked Phase 2 x Hectares of land acquired x Number of informal settlements benefitting from rudimentary services/ interim municipal engineering services and/or any alternative technology x Number of engineering designs: water, sewer, roads and storm water drainage concluded x Number of layout plans approved Phase 3 x Number of settlements provided with permanent municipal engineering services and/or any other alternative engineering services x Number of informal settlements supplied with bulk infrastructure projects x Number of serviced sites developed x Number of social and economic amenities . The specific types of amenities must only be provided in collaboration with the municipality and the community x Number of title deeds registered x Number of township establishments registered Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation Details contained in the business plan x This grant requires provinces to attain both municipal council and Member of Executive Council (MEC) approval on informal settlements to be upgraded in the 2026/27 financial year x A province must submit a business plan prepared in terms of the requirements of the national Department of Human Settlements’ (DHS) business planning for informal settlements upgrading x Provinces must submit an informal settlement upgrading plan in line with UISP in the National Housing Code for each settlement to be upgraded which includes: o project description o settlement name and Geographic Information System coordinates o project institutional arrangements o sustainable livelihood implementation plan o outputs and budgets o cash flow projections (payment schedule) o details of the support plan o risk management plan o prioritisation certificate issued by the MEC in consultation with relevant mayors o number of re-blocking projects to be undertaken o priority development areas x Number of job opportunities to be created x Detailed project plans to be submitted for bulk infrastructure projects x Professional fees including details of planning activities to be undertaken Conditions x Funds for this grant should be utilised for the priorities as set out in the 2024-2029 medium term development plan for human settlements x Provinces may utilise any of the stated outputs in the approved framework that are aligned to the sector standardised indicators and their annual performance plans. Provinces may request approval from the national department for exemption to deviate from sector standardised indicators, that are not planned for the financial year x All projects that are listed in the business p lan must be ready for implementation, registered on housing subsidy system x Funds must be utilised as per the UISP as defined in the National Housing Code x The provincial informal settlements upgrading business plans must be aligned to the p rovincial informal settlement upgrading strategy 196 Informal Settlements Upgrading Partnership Grant: Provinces x All projects in the approved business plans must be aligned with the integrated development plan and the spatial development framework of municipalities x Draft and final business plans must be aligned to provincial annual performance plans x Provincial heads of departments must sign- off and confirm that projects captured in their informal settlements upgrading business plans are ready for implementation in the 2026/27 financial year and will yield expenditure as per cashflows submitted x Provinces must indicate the amounts of their annual allocations for spending on the identified national priority projects x Provinces must prioritise the implementation of projects that are in the gazetted priority human settlements and housing development areas x Provinces must ensure that the allocation for land acquisition and related purposes is included in the business plans accompanied with a detailed motivation, a land assembly programme (with clear details of budget allocation for land acquisition, location of land and other related activities) for the medium-term expenditure framework (MTEF) period and a status report of previously acquired land including status of rezoning x Land acquisition, and land assembly should be informed and accompanied by the human settlements comprehensive plan developed by the municipalities x The transfer of the first tranche of funds is conditional upon the DHS approving provincial business plans consistent with the provisions of the Housing Act 107 of 1997 (Housing Act) and in compliance with the National Housing Code of 2009 (National Housing Code) x The transfer of subsequent tranches is conditional on provinces capturing the targets and budget, delivery statistics, and expenditure monthly on the housing subsidy system and the basic accounting system at a sub-programme level and project level, and submitting monthly reconciliations within the required time frames x Provinces must ensure reconciliation and alignment of financial and non- financial outputs between the housing subsidy system and the basic accounting system on a monthly basis x The payment schedule submitted by provinces should be derived from the cash flows contained in the approved upgrading plans x If a province is allocated additional funding or funds have been stopped and reallocated to another province, a revised business plan must be submitted for subsequent reporting x The payment schedules must be derived and be aligned to the cash flows contained in the approved business plan whilst payment schedules submitted by municipalities should be derived from the cash flows contained in the approved upgrading plans x A maximum of 3 per cent of the of the allocation may be utilised for the operational support c apital programme as per the operational support capital programme policy of the DHS x A maximum of 3 per cent of a province’s allocation may be used for social facilitation applicable from inception to implementation x A maximum of 5 per cent of the annual allocation should be used for re-blocking x Monthly and quarterly financial and non-financial performance reports must be signed- off by both the provincial human settlements and provincial treasuries heads of departments and submitted to the DHS in line with the Division of Revenue Act prescripts x Provinces must report monthly and quarterly on projects funded through this grant using the template prescribed by DHS. Reporting must include financial and non-financial detailed performance report per settlement (project level performance) report for phase 1-3 aligned to the business plan x Provinces are allowed to shift budgets between projects in the business plan provided that: o no new projects are introduced into the business plan in- year without approval by the transferring officer o the delivery targets in the approved business plan are not reduced Allocation criteria x The grant is allocated to all provinces. These funds are also allocated in line with the Human Settlements Development Grant (HSDG) allocation formula approved by human settlements MINMEC and National Treasury Reasons not incorporated in equitable share x A conditional grant enables the national department to provide effective oversight and ensure compliance with the National Housing Code Past performance 2024/25 audited financial outcomes x R3.5 billion was made available to provinces, with 99.7 per cent spent 2024/25 service delivery performance x Service delivery performance is indicated in the performance evaluation reports for 2024/25 Projected life x This grant will continue until 2028/29, subject to review MTEF allocations x 2026/27: R1.9 billion; 2027/28: R2 billion; and 2028/29: R2 billion Payment schedule x Monthly instalments as per the payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Receive, assess and make determinations on the credibility of provincial informal settlements upgrading plans and the implementation readiness of projects captured therein x Develop a formal national bulk infrastructure planning framework in consultation with other sector departments, to guide sequencing, budgeting, and resource allocation across municipalities. x Submit an annual evaluation report for 2025/26 on the financial and non- financial performance of the grant to National Treasury by 31 July 2026 x Submit quarterly performance reports to National Treasury within 45 days after the end of each quarter 197 Informal Settlements Upgrading Partnership Grant: Provinces x Maintain the policy and programme, and assist with interpretation of the policy, informal settlements upgrading business plans and individual upgrading plans x Develop a reporting template for provinces on the informal settlements upgrading partnership g rant (ISUPG) grant outputs and publish it by 01 April 2026 x Monitor and evaluate provincial financial and non- financial grant performance and control systems including quarterly summary reports on performance related to the ISUPG x Provide implementation assistance support to provinces as may be required x Undertake structured and other verification visits to projects as is necessary x Facilitate regular interaction between DHS and provinces x Submit a report on the status of informal settlements and their categorisation in terms of the n ational upgrading support programme’s methodology, to the National Treasury by 31 July 2026 x Use the grant to leverage other forms of funding x Provide support to provinces and accredited municipalities with regard to human settlement delivery as may be required x Facilitate regular interaction between DHS and provincial departments of human settlements and accredited municipalities x The accounting officer must monitor the performance of the operational support capital programme to ensure adherence to the operational support capital programme prescripts Responsibilities of provincial departments x Should ensure collaboration and involvement of communities and civil organisations in the signing of implementation protocols for projects to be implemented x Submit 2025/26 annual evaluation reports to DHS by 29 May 2026 x Initiate, plan and formulate applications for projects relating to the upgrading of informal settlements, which in the case of municipalities that are not accredited, must be in collaboration with the relevant provincial department x Request assistance from the relevant national department on any of the matters concerned if the province lacks the capacity, resources or expertise x Must align their business plan with provincial annual performance plans and infrastructure reporting model in terms of section 13(1)(a) of this Act x Implement approved projects in accordance with UISP in the National Housing Code x Work with municipalities to fast track the planning approval processes for informal settlements upgrading projects x Agree with municipalities on how settlement areas developed under this programme will be managed, operated and maintained x Coordinate with municipalities and facilitate the provision of bulk and connector engineering services x Should ensure alignment of approved business plan with the signed infrastructure plans, gazetted allocations and transfers to accredited municipalities x S hould ensure alignment between projected cash flows in the business plans and inputs into the payment schedule x Must ensure only implementation of programmes in the approved business plans x Monthly and quarterly financial and non-financial reports must be signed- off by both the provincial human settlements and provincial treasuries’ heads of departments x Must adhere to section 16 of the Division of Revenue Act if they are planning to appoint any other organ of state to implement human settlements projects on their behalf x Must report on a monthly basis the amount transferred and the expenditure including the non- financials thereof to any organ of state in line with section 12 of the Division of Revenue Act x Must report on the percentage of their allocations awarded to companies owned by designated groups on a monthly and quarterly basis x Must use the ISUPG to leverage other forms of funding x Provinces must sign implementation protocols with accredited municipalities to enable gazetting transfer of funds as well as to monitor the performance of the municipality x Report on the number of jobs created on a quarterly basis x Provinces must submit monthly reports that include the outcome/effectiveness of the utilisation of the approved operational support capital programme budget x Provinces must submit quarterly reports that record the performance of operational support capital programme x After approval of roll-over funds, provinces must submit an amended business plan with the roll- over amount, and subsequent separate monthly progress reports on projects related to the approved roll- over x A province that is allocated additional funding or reallocated funds that have been stopped from another province, must submit a revised business plan and subsequent monthly progress reports on the use of the additional or reallocated funds Process for approval of 2027/28 business plans x First draft of the signed business plan must be submitted to the DHS by 28 August 2026. Final consolidated signed provincial business plans, project readiness matrix, multi-year housing development plan (including cash flow projections and compliance certificates for 2026/27 financial year) to the DHS by 5 February 2027 198 PUBLIC WORKS AND INFRASTRUCTURE GRANTS Expanded Public Works Programme Integrated Grant for Provinces Transferring department x Public Works and Infrastructure (Vote 13) Grant schedule x Schedule 5, Part A Strategic goal x To provide Expanded Public Works Programme (EPWP) incentive funding to expand job creation efforts where labour-intensive delivery methods can be optimised Grant purpose x To incentivise provincial departments to expand work creation efforts through the use of labour-intensive delivery methods in the following identified focus areas, in compliance with the EPWP guidelines: o road maintenance including but not limited to block paving and pothole patching o maintenance of buildings o low traffic volume roads and rural roads o other economic and social infrastructure o tourism and cultural industries o sustainable land based livelihoods o waste management and cleaning services o home community-based services o early childhood development services o community nutrition programme o community safety programme o sports programme o national school nutrition programme o other social services programmes Outcome statements x Improved quality of life of poor people and increased social stability through engaging the previously unemployed in paid and productive activities x Reduced level of poverty x Contribute towards increased levels of employment x Improved opportunities for sustainable work through experience, learning gained and skills development x Strengthened capacity of non-government delivery partners through increased access to funds for wages and administration Outputs x Number of people employed, trained and receiving income through the EPWP in the social, infrastructure and environment and culture sectors x Number of days worked per work opportunity created x Number of Full-Time Equivalents (FTEs) to be created through the grant x Number of beneficiaries provided with social services Outcome(s) of government that this grant primarily contributes to x Outcome 1: Increased employment and work opportunities Details contained in the business plan x The programme is implemented through provinces using grant agreements that contain project lists and targets for eligible provincial departments on the creation of FTEs, work opportunities, and participants to be trained Conditions x The incentive grant allocation must be used to strengthen and expand work opportunity creation programmes in the infrastructure, environment, culture and social sector x EPWP projects must comply with the project selection criteria determined in the EPWP grant manual, the EPWP guidelines set by the Department of Public Works and Infrastructure (DPWI), the ministerial determination for EPWP workers, the EPWP recruitment guidelines and the National Minimum Wage Act 9 of 2018 including applicable gazettes x Provincial departments must register all projects on the DPWI’s EPWP reporting system x Project data reports must be loaded and updated on the EPWP reporting system every month. The system closes 15 days after the end of every quarter in order for progress to be assessed x The grant cannot be used for departmental personnel costs, however, a maximum of 5 per cent of the grant can be used to fund contract-based capacity required to manage data capturing and on-site management costs related to the use of labour-intensive methods x The grant can only be utilised for EPWP purposes and for the projects approved in each eligible provincial department’s EPWP project list x To receive the first tranche disbursement, eligible provincial departments must, by 10 April 2026 , submit: o signed-off EPWP project list including a training plan o signed the EPWP integrated grant agreement with DPWI x Subsequent grant disbursements are conditional upon eligible provincial departments: o reporting on EPWP performance on the EPWP reporting system within the required time frames o complying with reporting on EPWP Integrated Grant funded projects and training o implementing their approved EPWP projects on the project list, as planned towards the agreed work opportunity targets o submitting, on a quarterly basis, non- financial reports by the timelines stipulated in the clauses of the 2026 Division of Revenue Act (DoRA) o reporting on EPWP Integrated Grant expenditure monthly, within the required time frames x Provincial departments must ensure that EPWP branding is included as part of the project cost in line with the DPWI’s corporate identity manual 199 Expanded Public Works Programme Integrated Grant for Provinces x Provincial departments must maintain participants and payroll records as specified in the audit requirements in the EPWP grant manual and the ministerial determination for EPWP and make these available to DPWI for data quality assessment tests x Provincial departments must ensure that a minimum of 2 per cent and maximum of 5 per cent of the grant allocation must be used for training of participants Allocation criteria x The allocation criteria is based on the following: o the EPWP grant allocations are based on FTEs reported in the past 18 months o to be eligible for an EPWP grant allocation in 2026/27, a provincial department must have reported at least 50 FTEs in either the infrastructure, environment and culture sector or social sector in the 2024/25 financial year. Additionally, the calculated allocation must be R1 million or more, meaning departments that fail to reach R1 million are not eligible o penalties are applied to provincial departments that are non-compliant with the DoRA o past performance with regard to FTEs reported in the past 18 months and labour intensity in the creation of EPWP work opportunities o poverty headcount as a percentage from the Community Survey 2016 Reasons not incorporated in equitable share x This grant is intended to fund expansion in specific focus areas as well as incentivise increased EPWP performance x The grant is based on performance, the potential to expand and the need for EPWP work in key focus areas Past performance 2024/25 audited financial outcomes x Of the total grant allocation of R312 million for the integrated grant for provinces, 100 per cent was transferred to provinces. R312 million (100 per cent) of the transferred funds was spent by the end of the financial year x Of the total grant allocation of R306 million for the social sector EPWP incentive grant for p rovinces, 100 per cent was transferred to provinces. R303 million (99 per cent) of the transferred funds was spent by the end of the financial year 2024/25 service delivery performance for EPWP integrated grant for provinces x 27 711 Work opportunities reported x 16 359 FTEs were created x Average duration of the work opportunities created is 136 days 2024/25 service delivery performance for social sector EPWP for provinces x 16 056 Work opportunities reported x 12 748 FTEs were created x Average duration of the work opportunities created is 182 days Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R649 million; 2027/28: R681 million; and 2028/29: R703 million Payment schedule x Transfers are made in accordance with a payment Schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Determine eligibility and set grant allocations and FTE targets for eligible provincial departments x Publish on the EPWP website all documents relevant for provincial departments to understand and implement the grant, such as a grant manual, EPWP recruitment guidelines, the ministerial determination for EPWP workers, the EPWP infrastructure guidelines and the National Minimum Wage Act 9 of 2018, including applicable gazettes x Support provincial departments, in the manner agreed to in the grant agreement, to: o identify suitable EPWP projects and develop EPWP project lists in accordance with the EPWP project selection criteria o apply the EPWP project selection criteria and EPWP guidelines to the project design o report using the EPWP reporting system x Monitor the performance and spending of provincial departments and assess progress towards their implementation of the EPWP project lists x Disburse the grant to eligible provincial departments that comply with the DoRA requirements x Report to the National Treasury on progress against FTE targets and spending against the grant allocation within 45 days after end of each quarter x Conduct data quality assessments on a continuous basis to support good governance and identify areas for administrative improvement x Manage the EPWP coordinating structures in collaboration with provincial coordinating departments to support implementation, identify blockages, and facilitate innovative solutions x Support public bodies to collect the required data, align monitoring and reporting frameworks and to report on key outputs on the EPWP reporting system x Conduct site visits to verify the existence of projects and identify where support is needed Responsibilities of provincial departments x Develop an EPWP project list and sign the grant agreement with the DPWI by 10 April 2026, agreeing to comply with the conditions of the grant before receiving any grant disbursement x Agree on the areas requiring technical support from the DPWI upon signing the grant agreement x Register and report all EPWP projects on the EPWP reporting system and update progress monthly in accordance with the reporting requirements and timelines stipulated in the grant agreement x Provincial departments must maintain participants’ payroll records as specified in the audit requirements in the EPWP grant manual, and make these available to the DPWI for data quality assessment tests x Submit quarterly non-financial reports 30 days after the end of each quarter 200 Expanded Public Works Programme Integrated Grant for Provinces Process for approval of 202 7/28 business plans x Provincial departments must report on performance of EPWP projects for the 2025/26 financial year by 15 October 2026 to be eligible for grant allocation x Eligible provincial departments must sign the grant agreement with an approved 2027/28 EPWP project list by 09 April 2026 201 SPORT, ARTS AND CULTURE GRANTS Community Library Services Grant Transferring department x Sport, Arts and Culture (Vote 37) Grant schedule x Schedule 5, Part A Strategic goal x To enable the South African society to gain access to knowledge and updated information that will improve its socio-economic status Grant purpose x To transform urban and rural community library infrastructure, facilities and services (primarily targeting previously disadvantaged communities) through a recapitalised programme at provincial level in support of local government and national initiatives Outcome statements x Improved coordination and collaboration between national, provincial and local government on library services x Equitable access to library and information services delivered to all rural and urban communities x Improved library infrastructure and services that meet the specific needs of the communities they serve x Improved staff capacity at urban and rural libraries to respond appropriately to community knowledge and information needs x Improved culture of reading and literacy development Outputs x 280 000 library materials (books, periodicals, toys etc.) purchased x Library information and communication technology infrastructure and systems software installed and maintained in all provinces x New services established for the visually impaired at five identified community libraries in all provinces x Number of new library structures completed x 18 new library structures funded for construction and completion over the next two financial years x Five upgraded library structures completed x 40 maintained library structures completed x 2 936 existing contract library staff maintained in all provinces x Number of new staff appointed for dual-purpose libraries x 35 new staff appointed at public libraries to support the shifting of the function to provinces x Capacity building programmes for public librarians Outcome(s) of government that this grant primarily contributes to x Outcome 15: Social cohesion and nation-building Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions x The provincial business plans must be developed in accordance with identified priority areas x Provincial departments may only request (in writing, to the transferring officer) to amend the business plan before 30 November 2026 x Provinces may not exceed the 20 per cent threshold provided for variation orders on infrastructure projects without the approval of the transferring officer x To qualify for allocations in 2027/28 provinces must submit progress reports that detail a phased approach towards the full funding of the function, either by assignment to municipalities, or preparation of provinces to take over the function, or a combination of both. This process must be completed by the end of the 2025 medium term expenditure framework (MTEF) provided funding is available x Grant funding must not be used to replace funding for items that provinces have previously allocated to community libraries x Provinces may use a maximum of 5 per cent of the total amount allocated to them for capacity building and provincial management of the grant at the provincial department and the details of how these funds will be used must be included in their respective business plans x Provinces must include in their business plans, the budget to be committed to the upgrading and maintenance of existing libraries x Within three months of the approval of business plans Provinces must submit the scope of work for maintenance and upgrading of existing libraries and those being built x Funds earmarked to support Schedule 5 function shift and to establish dual purpose service points may only be used for that purpose. Provinces may use up to 80 per cent of their earmarked allocations in 2026/27 to address the Schedule 5 function shift imperative. At least 20 per cent of the earmarked allocations must be used to establish and sustain dual purpose service points in collaboration with provincial departments of basic education. The detail of how these funds will be used by provinces must be included in their respective business plans. The total earmarked allocations per province are as follows: o Eastern Cape: R77 million 202 Community Library Services Grant o Free State: R48 million o Gauteng: R149 million o KwaZulu-Natal: R104 million o Limpopo: R34 million o Mpumalanga: R82 million o Northern Cape: R77 million o North West: R53 million o Western Cape: R100 million x Service level agreements (SLAs)/Memorandum of Agreements (MOA) determining reporting protocols must be signed with receiving municipalities within three months after the start of the municipal financial year x The SLA/MOAs must include financial commitments over the MTEF in addition to the payment schedules to municipalities and reporting protocols which outline measurable performance targets for each municipality x The allocations from this conditional grant funding must only be used for items that are provided for in the conditional grant framework and in line with the approved business plan Allocation criteria x Allocations are based on an evaluation report for 2024/25 conducted by the national Department of Sport, Arts and Culture (DSAC) which identified community library needs and priorities for 2026 Reasons not incorporated in equitable share x This funding is intended to address backlogs and disparities in the provision and maintenance of community library services across provinces, and enable the DSAC to provide strategic guidance and alignment with national priorities Past performance 2024/25 audited financial outcomes x Of the R1.6 billion allocated, transferred, R1.6 billion was transferred to provinces of which R1.6 billion (100 per cent) was spent by the end of the national financial year 2024/25 service delivery performance x Nine new libraries built x Forty four libraries upgraded/maintained x 2 936 staff maintained x 166 231 library materials procured Projected life x This grant will be phased into the Provincial Equitable Share, staring with the Compensation of Employees component at the end of the 2025/26 financial year. The outstanding provinces must complete the function shift and the necessary processes to ensure full funding of the service MTEF allocations x 2026/27: R1.7 billion; 2027/28: R1.8 billion; and 2028/29: R1.8 billion Payment schedule x Four instalments: 13 April 2026; 13 July 2026; 12 October 2026; and 18 January 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Ensure that capital transfers to provinces are recorded in the national infrastructure reporting model along with actual and revised transfers x Establish an intergovernmental forum with provinces that meets at least twice a year to discuss issues related to the provision of community library services x Participate in at least one intergovernmental forum meeting per province between provinces and municipalities per year x Identify challenges and risks and prepare mitigation strategies x Monitor and evaluate implementation x Evaluate the annual performance of the grant for the previous financial year, for submission to National Treasury within four months after the end of the financial year x Submit monthly financial and quarterly performance reports to the National Treasury x Determine outputs and targets for 2026/27 with provincial departments Responsibilities of provincial departments x Provinces must establish intergovernmental forums with municipalities within their province that are funded through this grant, that meet quarterly to discuss issues related to the provision of community library services x Provincial departments must establish capacity to monitor and evaluate SLAs with municipalities x Provinces must maintain the number of staff appointed using this conditional grant x Submit evaluation reports to DSAC within two months after the end of the financial year x Submit signed monthly financial reports to DSAC within 15 days after the end of every month x Submit quarterly performance reports to DSAC within 30 days after the end of the quarter x Provinces must complete the conversion of contract staff to permanent staff by end of March 2027 subject to applicable public service regulations and availability of funding x Submit an approved and signed-off infrastructure project list (Table B5) aligned to the business plan for the 2026 MTEF on the infrastructure reporting model x Submit monthly financial and non-financial reports on infrastructure programmes in the infrastructure reporting model within 15 days after the end of each month to the relevant provincial treasury and DSAC x Submit monthly signed-off financial and non-financial reports on infrastructure programmes in the infrastructure reporting model within 22 days after the end of each month to the relevant provincial treasury 203 Community Library Services Grant x Comply with the conditions of this grant framework and the relevant clauses within the stipulated timeframes in the 2026 Division of Revenue Act Process for approval of 202 7/28 business plans x Provinces must submit function shift progress report to DSAC by 30 March 2027 x Progress reports must detail at least the following: o criteria that will be used to evaluate the capacity of municipalities to administer the function on behalf of the province o a policy framework for funding municipalities that administer the service with details of this funding for a three-year time period x Provinces to submit first draft business plans to DSAC by 7 September 2026. Business plans must be aligned to their strategies for full funding of the function x DSAC to evaluate provincial business plans and provide feedback to provinces by 30 September 2026 x Provinces to submit second draft business plans to DSAC by 30 November 2026 x Provinces to submit final provincial business plans to DSAC by 1 February 2027 x DSAC approves business plans and submits them to National Treasury by 31 March 2027 204 Mass Participation and Sport Development Grant Transferring department x Sport, Arts and Culture (Vote 37) Grant schedule x Schedule 5, Part A Strategic goal x Increasing citizens’ access to sport and recreation activities Grant purpose x To facilitate sport and active recreation participation and empowerment in partnership with relevant stakeholders Outcome statements x Increased and sustained participation in sport and active recreation x Improved sector capacity to deliver sport and active recreation Outputs x School sport o learners competing in the national school sport championships o school sport programmes supported at a provincial level o school sport programmes supported at a district and local level o schools provided with equipment and/or attire to enable participation in sport and/or recreation o people trained in school sport o School sport coordinators appointed x Community sport and active recreation o active sport and recreation activities in communities organised and/or supported o provincial indigenous games festival implemented o hubs provided with equipment and/or attire to enable participation in sport and/or recreation o active recreation coordinators appointed o people trained in active recreation x Club development o local federation leagues supported o local community sporting clubs supported to participate in local leagues o local community sporting clubs supported to participate in competitions o people trained in club development o club development coordinators appointed o clubs provided with equipment and/or attire to enable participation in sport and/or recreation o provincial teams supported to participate in biennial National SA Games o professional boxing events supported o Steve Tshwete boxing tournament supported x Sport academies o athletes’ development programme supported by the sport academies o sport academies supported (equipment and personnel) o people trained to support sport academy programme x Transversal matters o sport and active recreation projects implemented by the provincial sports confederation o provincial programmes contributing to “I choose 2B Active” implemented x Management o staff appointed on a long-term contract o administration standards met Outcome(s) of government that this grant primarily contributes to x Outcome 15: Social cohesion and nation-building Details contained in the business plan x Grant purpose x Outcome indicators x Grant outputs x Output indicators x Key activities Conditions Provincial compliance x Provinces must ensure that: o the allocation of the conditional grant shall consider support for all sporting codes o consideration must also be aligned towards major international codes like but not limited to Common wealth Games, Olympic Games, Paralympic Games etc. Uniqueness of the province to be taken into consideration o 50 per cent of hubs and clubs supported must be from rural and farm areas o list of schools, hubs, clubs, short-term and long- term contracts must be provided with the business plan and the support required o performance evidence in prescribed format must be timeously submitted, irrespective of the status of the project, as per the technical indicator descriptors o funds from this grant shall not be used on projects falling outside the scope of the grant unless, following a written request, approval to such effect is granted by the transferring officer o to submit expenditure, report every end of each quarter detailing spending in all the programmes per indicator o the Sport Trust shall be the implementing agency for the National School Championships. Provinces will sign a Service Level Agreement (SLA) with the Sports Trust for related transversal expenses 205 Mass Participation and Sport Development Grant o the department will implement a transversal procurement arrangement for purchase of sport and recreation equipment and attire funded through MPSD Conditional Grant. Provinces are required to utilise this transversal contract as the primary mechanism for sourcing approved items. Procurement outside the transversal contract is permitted only with prior written approval from DSAC, accompanied by a detailed justification o R30 million will be allocated from the Mass Participation and Sport Development Grant in the hosting of the biennial SA Games organised by the South African Sport Confederation and Olympic Committee o p rovinces may transfer the allocation to the confederation and/or BSA for the implementation of the professional women boxing bout o p rovinces may transfer to the federations/confederation for the implementation of school sport leagues and/or club development leagues and/or SA Games x The provincial allocation must be utilised as follows: o school sport: 40 per cent o community sport and active recreation: 39 per cent o sport academies: 9 per cent o transversal matters: 4 per cent o management: 8 per cent x Provinces, based on their provincial dynamics, may apply to the transferring officer to change the above sub- allocations School sport: 40 per cent x Provinces must ring-fence R8 million, of which R2 million will be deducted per province for the hosting of the National School Sport Championships to the host province. The R6 million allocation remaining per province will be used by provinces to provide transport, attire and delivery of provincial teams to the various segments of the national school sport championships. The R2 million allocation will be reallocated to the host provinces for the three segments of the School Sport Championships, i.e. Autumn, Winter and Summer, to enable them to prepare and help deliver the School Sport Championships. These funds to host provinces will include the cost of accommodation, meals and other costs associated with staging of the championships x The remaining school sport allocation must be allocated as follows: o 10 per cent to number of school sport programmes supported at a provincial level o 35 per cent to deliver school sport programmes supported at a district and local level o 30 per cent to schools provided with equipment and/or attire to enable participation in sport and/or recreation o 10 per cent for people trained in school sport o 15 per cent for school sport coordinators appointed Community sport: 39 per cent x Active recreation: 19 per cent o 40 per cent for active sport and recreation activities in communities organised and/or supported o 15 per cent for provincial indigenous games festival implemented o 15 per cent to hubs provided with equipment and/or attire to enable participation in sport and/or recreation o 15 per cent for active recreation coordinators appointed o 15 per cent for people trained in active recreation Club development: 20 per cent x The portion of the grant ring-fenced for club development programme must be allocated as follows: x Provinces to ringfence R1 million for team preparation and delivery of provincial teams selected and qualified to participate in the National SA Games (biennial) x Provinces to ringfence R1.3 million for Steve Tshwete Boxing Tournament and professional women boxing tournament x The MOA between provincial departments and provincial/district federations (implementers) may be entered to deliver and support leagues x Support must be used for resourcing local leagues o 15 per cent to local federations leagues supported o 40 per cent to community sporting clubs supported to participate in local leagues o 10 per cent to community sporting clubs supported to participate in competitions o 10 per cent for people trained in club development o 20 per cent to community sporting clubs provided with equipment and/or attire to enable participation in sport and/or recreation o 5 per cent for club development coordinators appointed o Provincial teams supported to participate in National SA Games (biennial) o Professional boxing tournament supported o Steve Tshwete boxing tournament supported Sports academies: 9 per cent x The allocation must be used for the support and resourcing of district and provincial academies in line with sport academies framework and guidelines of DSAC o An agreement between the departments and provincial academies must be entered into to deliver the academy programmes and annual performance plans for the departments. Provinces may transfer funds to the Provincial Academies of Sport, provided a transfer plan has been developed and submitted to DSAC together with a signed business plan 206 Mass Participation and Sport Development Grant o The SLA between the departments and provincial academies must be entered into to deliver the academy programmes and annual performance plans for the departments o 45 per cent for athletes’ development programme supported by sport academies o 40 per cent for sport academies supported (equipment and personnel) o 15 per cent for people trained to support academy programme Transversal matters: 4 per cent x Provincial sport confederation: 3 per cent - provinces may transfer funds to the provincial sport confederation provided: o a transfer plan has been developed and submitted together with a signed business plan approved by the provincial department o an MOA has been entered into between the provincial department and the provincial sport confederation stating clearly what is expected of the provincial sport confederation o a monitoring mechanism is in place to monitor expenditure and performance by the sport confederation as per the MOA Provincial programmes: 1 per cent x These are specific provincial programmes that contribute to the “I Choose 2B Active” Campaign and Recognition programme Management: 8 per cent x Appointing staff: 7 per cent o provinces are expected to utilise this portion of the allocation for the appointment of staff o staff must be appointed on a three- year contract to implement conditional grant programmes. The allocation is not for support staff in programmes such as finance, planning, monitoring and evaluation or research Administration: 1 per cent x Provinces are expected to use this portion of the allocation to ensure that all their submissions are packaged properly (including business plans project implementation plan monthly, quarterly and annual reports) and for logistical arrangements relating to the administration of the grant Allocation criteria x R30 million will be allocated from the Mass Participation and Sport Development Grant in the hosting of the biennial SA Games organised by the South African Sport Confederation and Olympic Committee x Each province is allocated a baseline of R20 million, thereafter the equitable share formula proportions are applied to determine the remaining amount x The Northern Cape’s allocation is increased to ensure an increase in participation due to the vastness of the province. R2 million and R3 million has been deducted from Gauteng and KwaZulu-Natal respectively to fund this Reasons not incorporated in equitable share x The conditional grant is assisting the sport sector in implementing the National Sport and Recreation Plan objectives Past performance 2024/25 audited financial outcomes x Of the R622 million available and transferred to provinces, R606 million (97.5 per cent) was spent 2024/25 service delivery performance x 90 organized community-based sport and recreation activities x 123 school sport leagues supported at a district level x 4 923 schools, hubs and clubs provided with equipment and/or attire to enable participation in sport and/or recreation x 9 athlete development programmes supported by the sport academies Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R653 million; 2027/28: R679 million; and 2028/29: R700 million Payment schedule x Four instalments: 29 May 2026; 31 August 2026; 30 November 2026; and 29 January 2027 Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Evaluate annual reports for the 2025/26 grants for submission to the National Treasury by 31 July 2026 x Agree on outputs and targets with provincial departments in line with grant objective for 2026/27 by 21 November 2025 x Provide the guidelines and criteria for the development and approval of business plans x Monitor implementation and provide support x Submit approved business plan for 2026/27 to the National Treasury by 30 April 2026 x Submit quarterly performance reports to National Treasury 45 days after the end of each quarter x Ensure that all the conditional grant practice notes issued by National Treasury are adhered to x Desktop monitoring: analysis of monthly and quarterly reports received by provinces x Physical verification visits to the provinces to verify what has been reported in the monthly and quarterly reports x Hold quarterly review sessions with all conditional grant role players from the provinces x May implement internal mechanisms to manage the quarterly disbursements of the grant where there is non- compliance with the conditions of the grant. This may include withholding and reallocation of tranche payments Responsibilities of provincial departments x Heads of Department must submit approved Business Plans to DSAC by the 31 March 2026 x Submit the 2025/26 annual evaluation report to DSAC by 30 May 2026 x Submit monthly reports as per the requirements contained in the 2026 Division of Revenue Act x Monitor progress of programmes delivered through the conditional grant 207 Mass Participation and Sport Development Grant x Ensure that conditional grant managers attend all national conditional grant meetings x Ensure that a grant manager is appointed to manage the grant and be responsible for the grant framework, planning, implementation and reporting x Ensure organisational capacity to deliver on the programmes that are implemented through the grant Process for approval of 202 7/28 business plans x Provinces submit draft business plan to DSAC by 9 December 2026 x Provinces submit revised draft business plans to DSAC by 10 February 2027 x Head of Department approves business plan by 31 March 2027 x DSAC submits business plans to National Treasury by 30 April 2027 208 TRANSPORT GRANTS Provincial Roads Maintenance Grant Transferring department x Transport (Vote 40) Grant schedule x Schedule 4, Part A Strategic goal x To ensure efficient and effective investment in provincial roads to implement the Road Infrastructure Strategic Framework for South Africa in line with the S’hamba Sonke Road programme and other related road programmes Grant purpose x To supplement provincial investments for road infrastructure maintenance (routine, periodic and special maintenance) x To ensure that all roads are classified as per the Road Infrastructure Strategic Framework for South Africa and the technical recommendations for highways, and the road classification and access management guidelines x To implement and maintain road asset management systems x To supplement provincial projects for the repair of roads and bridges damaged by unforeseen incidents including natural disasters x To improve road safety with a special focus on pedestrian safety in rural areas Outcome statements x Improvement in governance, administration and efficiency x Improve the condition and lifespan of provincial roads and level of service backed by a periodic five-year review of the road network conditions x Improved rates of employment and community participation through labour-intensive construction methodologies and resulting in skills development through the delivery of roads infrastructure projects x Improved accessibility and connectivity to rural settlements through safe road transportation and lower transport costs x Improve overall road safety in line with the National Development Plan (NDP) 2030 Outputs x Network condition assessment and determination of priority projects list (table B5) from the road asset management systems or the integrated transport information system (ITIS) x The following actual delivery related measures against 2025/26 targets defined in the final road asset management plan and annual performance plan for each province: o number of m² of surfaced roads rehabilitated (quarterly) o number of m² of surfaced roads resurfaced (overlay or reseal) o number of rural bridges constructed o number of m² of blacktop patching (including pothole repairs) o number of kilometres of gravel roads re-gravelled o number of kilometres of gravel roads bladed o number of kilometres of gravel roads upgraded o number of kilometres of gravel roads visually assessed as per the applicable technical m ethods for highways manual o number of kilometres of surfaced roads visually assessed as per the applicable technical methods for highways manual o number of road safety audits conducted in hazardous locations o number of safety interventions in hazardous locations or identified through IRAP o number of refurbishment actions/ make safe actions of bridges as per bridge condition assessments and other road structures x The following performance, based on national job creation indicators: o number of work opportunities created o number of full-time equivalents created o number of youths employed (age 18 – 35) o number of women employed o number of persons living with disabilities employed x The following performance contractor development: o number of small, medium micro enterprises contracted o number of direct targeted contractors o number of indirect targeted contractors o number of contract opportunities for women owned contractors o number of contract opportunities for youth owned contractors o number of contract opportunities for people with disability owned contractors x The following performance against the rehabilitation and refurbishment component o number of m² of surfaced roads rehabilitated o number of gravel roads upgraded o number of gravel roads constructed Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation Details contained in the business plan x This grant uses a road asset management plan, based on the technical methods for highways manual which contains the following details: o network hierarchy o performance management framework 209 Provincial Roads Maintenance Grant o gap analysis based on TMH22 maturity levels o information and systems deployed at a province o prioritised project list and lifecycle planning o table B5 projects and a comparison to the prioritised project list o financial plan o monitoring, reviewing and continual improvements o road asset management policy or programme strategy o risk management plan Conditions x The framework must be read in conjunction with the Provincial Roads Maintenance Grant (PRMG) practice note, as amended and issued by the national Department of Transport (DoT) as agreed with National Treasury x The PRMG allocation may fund visual condition inspections as per the applicable TMH manual as a maximum rate of: o R8 000 per km of paved road o R3 000 per km of gravel roads o R8000 per bridge and, o R4 000 per major culvert x Provinces may use a maximum of 25 per cent of the PRMG allocation for rehabilitation activities, which includes the block paving and upgrading of roads with traffic volume greater than 300VPD used to access rural communities, schools, clinics, basic amenities and agricultural areas x Provinces may use a maximum of 5 per cent of the PRMG allocation for road safety audits or assessments and safety improvements activities x Any other improvements to roads and new facilities must be funded from the provincial equitable share x Provinces must show commitment by budgeting from the provincial equitable share to match or exceed grant allocations where possible x The payment of the first instalment is dependent upon submission to the DoT and the relevant provincial treasury of the following: o final road asset management plan for the 2026 medium term expenditure framework (MTEF ) by 3 February 2026 o final tabled project list in table B5 format and registered on the roads authority reporting annual performance plan for the 2026 MTEF by 3 February 2026, with the various projects captured and readily identifiable on the infrastructure reporting model in terms of disaster funding, rehabilitation and refurbishment and the Welisizwe Rural Bridges Programme o programme submission to DoT of all the monthly and quarterly performance reports that have become due for the 2025/26 financial year, in terms of the 2026 Division of Revenue Act and the requirements of this framework, prior to date of release of payment o planning for the infrastructure reporting model for the 2026 MTEF by 22 April 2026 x The payment of the second instalment is dependent upon submission to the DoT and the relevant provincial treasury of the following: o Signed first quarter monthly infrastructure reporting model expenditure reports o the signed-off fourth quarter performance report for the 2025/26 financial year in terms of the 2025 Division of Revenue Act o the signed-off annual grant performance evaluation report by 1 June 2026 o the signed-off first draft 2026 MTEF road asset management plan with georeferencing of these projects as required by the Division of Revenue Act and the requirements of this framework by 29 June 2026 x The payment of the third instalment is dependent upon submission to the DoT and the relevant provincial treasury of the following: o submission of signed-off first quarter PRMG performance report for the 2026/27 financial year by 31 July 2026 o signed-off monthly infrastructure reporting model expenditure reports for quarter two o submission of the signed-off infrastructure programme management plan for the 2027 MTEF including the 2027 MTEF project list by 31 August 2026 o submission of signed-off road asset management systems data submission in the correct THM18 format and PRMG practice note requirements by 30 September 2026 o the submission of signed-off first quarter report for Welisizwe Rural Bridges Programme by 31 July 2026 x The payment of the fourth instalment is dependent upon submission to the DoT and the relevant provincial treasury of the following: o signed-off infrastructure programme implementation plan(s) for the 2027 MTEF including 2027 project list by 30 October 2026 o the submission of the signed-off second quarter performance report for the 2026/27 financial year by 3 November 2026 o signed-off monthly infrastructure reporting model expenditure reports for quarter three x Provinces must submit to the DoT, updated road condition data, (for paved and unpaved) including instrumental/automated road survey data, traffic data, safety audit report and bridge conditions by 30 September 2026 x Provinces must ensure that the table B5 project list is compliant to the PRMG conditional grant framework, and all projects are registered on the infrastructure reporting model x The PRMG allocation can be allocated to the following projects as identified and prioritised through the 210 Provincial Roads Maintenance Grant provincial road asset management systems: o projects as identified and prioritised through the provincial road asset management systems o routine maintenance (operating expenditure): includes day-to- day routine activities such as cleaning drains and culverts, vegetation control, line marking, guard rail repair, road sign repair, crack sealing, patching, edge repair, spot re-graveling, and blading o periodic maintenance (operating expenditure): includes periodically scheduled activities such as fog sprays/diluted emulsions/rejuvenators, surface seals and functional asphalt overlays <50 mm in thickness. For gravel roads it includes re-gravelling up to 100 mm thick o special maintenance (operating expenditure): includes the repair of selected pavement areas followed by application of surface seal or functional asphalt overlay 50 mm limited to a maximum of 25 per cent of the PRMG allocation o rehabilitation (capital expenditure): includes increasing the structural capacity of an existing pavement through the recycling of existing layers and/or addition of new granular layers or structural asphalt overlays >50 mm thick limited to a maximum of 25 per cent of the PRMG allocation o block paving or upgrading of gravel roads with a traffic count of greater than 300 VPD used to access rural communities, schools, clinics, basic amenities and agricultural areas x The PRMG maintenance component allocation cannot be allocated to the following projects: o the hire, purchasing, repairs, maintenance and operational costs of construction plant and equipment o geometric improvements on paved or unpaved roads, which may include widening of the riding surface or addition of paved shoulder, addition of lanes of passing lanes, improving sight distances (curve slackening, blind rises), and localised geometric and intersection improvements - justified by road safety audit reports to TRH29 standards o the cumulative rehabilitation and upgrade activities are limited to a maximum of 25 per cent of the PRMG allocation, in addition to other projects financed through rehabilitation and refurbishment allocations o any costs associated with feasibility studies, tendering and programme management support o geometric improvements on paved or unpaved roads, which may include w idening of the riding surface or addition of paved shoulder, addition of lanes or passing lanes, improving sight distances (curve slackening, blind rises), and localised geometric and intersection improvements – not justified by road safety reports o the upgrading of gravel roads to surface roads outside of the 25 per cent threshold o the construction of new roads and new interchanges o improvement network capacity e.g. upgrading of earth (dirt) road to engineered gravel road or gravel to surfaced o upgrading of single carriageway road to four-lane or dual carriageway road o t he construction of new gravel or surfaced road where previously no road existed (brown/green fields construction) o t he construction of new bridge to replace existing bridge or new interchange to replace intersection x The PRMG rehabilitation and refurbishment component allocation may only be allocated to: o rehabilitation and refurbishment of provincial strategic road network o geometric improvements on paved or unpaved roads, which may include widening of the riding surface or addition of paved shoulder, addition of lanes or passing lanes, improving sight distances (curve slackening, blind rises), and localised geometric and intersection improvements o upgrading of a single carriageway road o upgrading of earth (dirt) road to an engineered gravel road o the upgrading of a gravel road to a surfaced road x All projects under the refurbishment component must be included in business plans, and with approval from the DoT x The following amounts per province must be used in 2026/27 for the repair of infrastructure damaged by disasters classified in June 2025. Expenditure is restricted to projects expressly approved and recorded in the National Disaster Management Centre’s post‑disaster verification assessment reports o Eastern Cape: R708 million o Limpopo: R804 million Allocation criteria x PRMG allocations to provinces are based on the PRMG formula, which takes into account the extent of the provincial road network (gravel/paved), the traffic volumes, the visual condition indices on the network and geo-climatic and topographic factors. Road transfers shall not affect the PRMG formula x Unallocated amounts, for rehabilitation and refurbishment for 2026/27 and 2027/28 will be allocated as incentive-based on the level of service efficiency achieved in road project investments undertaken Reasons not incorporated in equitable share x This grant is intended to ensure that provinces give priority to road infrastructure and promote efficiency in road investment Past performance 2024/25 audited financial outcomes x Of the R17.2 billion allocated, R15.2 billion (88.2 per cent) was spent by provinces by the end of the financial year 2024/25 service delivery performance x 6 057 983 m² (1730 effective km) surfaced roads rehabilitated x 7 299 489 m² (2085 effective km) of surfaced roads resurfaced (overlay or rescal) x 2 238 469 m² of roads were patched x 2 756 km of gravel roads re-gravelled 211 Provincial Roads Maintenance Grant x 253 510 km of gravel roads bladed x 277 904 jobs created (work opportunities) x 88 119 full-time equivalents created x 66 374 youths employed (18-35) x 218 734 women employed x 100 people living with disabilities employed Projected life x The grant is ongoing, but will be subject to periodic review MTEF allocations x 2026/27: R17.9 billion; 2027/28: R17.8 billion; and 2028/29: R18.4 billion Payment schedule x Payment will be made in accordance with a payment schedule agreed to with provinces and approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Ensure that the table B5 project list is reviewed, verified, and validated to comply with the PRMG conditional grant framework and that all projects are registered in required reporting systems and kept up to date by the provinces. This includes on-going feedback and engagements with provinces to ensure compliance x Monitor and review any special allocations and/or the performance-based allocations mechanism for use in determining future allocations x Submit annual national road assessment management plan to National Treasury by 29 March 2027 x Submit a grant evaluation report to National Treasury four months after the end of the financial year x Review the performance-based allocation mechanism for use in determining future allocations x Confirm the correctness of data submitted by provinces by assessing a representative sample x Ensure that road asset management plan project list and infrastructure reporting model are updated and aligned x Upload submitted road condition data into a central repository x Monitor project implementation through on-going engagements, quarterly through bilateral and site inspections x Implement internal mechanisms to monitor adherence to grant conditions and manage the disbursements of the grant where there is non-compliance. Measures to address non-compliance include withholding transfers, as provided for in the 2026 Division of Revenue Act. If matters are still unresolved, this may result in the stopping and reallocation of tranche payments of the 2026 Division of Revenue Act x Put in place national transversal appointments and internal mechanisms to assist the identified provinces to implement the projects submitted by or as per agreement with the provinces through the use of national transversal appointments Responsibilities of provincial departments x Provincial departments must submit monthly infrastructure reports that comply with the infrastructure reporting model to DoT and the relevant provincial treasury 22 days after the end of each month x Provinces must align the road asset management plan, asset management strategy, PRMG business plan project list and ensure the table B5 project list is registered on the infrastructure reporting model, the ERS, eQPR systems and the roads authority report annual performance plan and that these systems are kept up to date x Identification and preparation of project profile reports in partnership with the DoT x Identification and submission of projects to be implemented by the DoT x Provinces must report on job creation and contractor development programmes x Provinces must provide for detailed reports on ring-fenced allocations for disasters, rehabilitation and refurbishment and Welisizwe Rural Bridges Programme x Provinces must submit updated road condition data (for paved and unpaved), including instrumental automated road survey data, traffic data, safety audit report and bridge conditions data to latest COTO TMH18 specification to the ITIS central repository and safety audit report to DoT by 29 September 2026 x Submit completed and signed-off quarterly performance report templates 30 days after the end of each quarter, together with a separate and signed-off report on safety projects as per the requirements of the performance incentive allocation x Submit completed and signed-off annual grant performance evaluation reports two months after the end of each financial year, together with a separate chapter/report on safety projects as per the requirements of the performance incentive allocation x In addition to industry best practice guidelines, provincial departments must implement their projects in line with the S’hamba Sonke and the Expanded Public Works Programme guidelines x Ensure that approved grant funded projects are published as part of the Estimates of Provincial Revenue and Expenditure through the provincial legislative processes x Ensure projects are selected using road asset management system as the primary source of information x Participate and support DoT on the Operational Vala Zonke programme Process for approval of 2026/27 business plans x Provinces must submit for approval, a draft 2027/28 road asset management plan with a minimum of five years of planned projects selected using road asset management system as the primary source, by 29 June 2026 x Provinces must submit for approval, the infrastructure programme management plan including 2027 MTEF project list by 31 August 2026 x Road asset management plans, including 2027 MTEF prioritised project lists (the infrastructure programme management plan) must be reviewed by DoT and feedback provided by 30 September 2026. Provinces must submit the infrastructure programme management plan including 2027/28 delivery project list by 212 Provincial Roads Maintenance Grant 30 November 2026 and must be reviewed by DoT and feedback provided by 31 December 2026 x Provinces to submit for approval, final 2027/28 road asset management plan and table B5 project list to DoT, the relevant provincial treasury and National Treasury by 1 February 2027 indicating all the required planned targets 213 Public Transport Operations Grant Transferring department x Transport (Vote 40) Grant schedule x Schedule 4, Part A Strategic goal x Subsidised road based public transport services Grant purpose x To provide supplementary funding towards public transport services provided by provincial departments of transport Outcome statements x The provision of public transport services in terms of contracts which are kilometre based and affordable to the users of the services x Improved efficiencies in public transport spending Outputs x Number of vehicles subsidised x Number of vehicles subsidised (cumulative annual number) x Number of trips operated x Number of passengers x Number of kilometres x Number of employees Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 9: Economic transformation for a just society Details contained in the business plan x Not applicable Conditions x This conditional grant provides supplementary funding to subsidise service contracts entered into between the provincial departments of transport and public transport operators for the provision of affordable subsidised transport services x If the contracting function is assigned to any municipality before the 2026/27 adjustment budget, the appropriate portion of the grant will also be assigned to the municipality. The implementation of the assignment should be managed in terms of section 16 of the 2026 Division of Revenue Act. The municipality and province will have to make transitional arrangements to ensure payments to operators to meet contractual commitments. A service level agreement between the province and the municipality must be signed and funds must flow in line with the 2026 Division of Revenue Act requirements. Provinces must take all reasonable measures to assist the transition within a framework to be prescribed by the National Department of Transport (DoT) and National Treasury x Where contracting functions are not assigned, provinces must continue performing the contracting function until this function is assigned to a municipality in terms of the provisions of the National Land Transport Act 5 of 2009 (as amended). In cases where a contract, or part thereof, is transferred in terms of any applicable legislation or legal provision as part of the integrated public transport network of the municipality, the funds allocated to such a contract or part thereof must be ring-fenced and transferred to the municipality taking over the contract from the province. The provinces must share relevant information with municipalities relating to this grant, where services link to integrated public transport networks x For the purpose of planning, provinces must establish public transport integration committees. Provinces must ensure that public transport integration committees are functional and that no new contracts are paid from the grant if they are not considered by the public transport integration committees x All new contracts, including designs and operators’ business plans detailing subsidised services, must be assessed by the public transport integration committees, to ensure that they are in line with relevant legislation and in compliance with the public transport strategy of 2007 and recommended for approval. Where an intermodal planning committee is established at municipal level, in terms of the National Land Transport Act 5 of 2009 (as amended) the functions of the two committees must be consolidated to ensure integration of planning, services and modes Allocation criteria x Allocations are based on the 2009 Division of Revenue Act allocation baseline, weighted for the average shares of historical contributions that supplement the grant. Provinces/contracting authorities should determine individual operator’s budgets and ensure that the operation stays within the allocation or provide supplementary funds from their provincial budget Reasons not incorporated in equitable share x Subsidies are earmarked for the provision of public transport services Past performance 2024/25 audited financial outcome x Allocated and transferred R7.8 billion to provinces of which R7.8 (100 per cent) billion was spent by the end of the national financial year 2024/25 service delivery performance x Number of vehicles subsidised: 6 232 x Number of kilometres subsidised: 211 million x Subsidy per passenger: R33.25 x Subsidy per kilometre operated: R37.11 x Passengers per vehicle: 3 148 x Passengers per trip operated: 45.8 x Employees per vehicle: 2.6 Projected life x Grant continues until the 2028/29, subject to review MTEF allocations x 2026/27: R8.4 billion; 2027/28: R8.7 billion; and 2028/29: R9 billion Payment schedule x Monthly instalments according to a payment schedule approved by National Treasury 214 Public Transport Operations Grant Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Disburse allocations to provinces x Collect and evaluate operational and financial data from provinces and consolidate for submission to National Treasury x Maintain a national database with key performance indicators of public transport services as per data received from provinces x Submit quarterly and annual reports to National Treasury in line with the 2026 Division of Revenue Act requirements and time frames x Advise provinces/contracting authorities regarding the design of contracted services x Implement internal mechanisms to monitor adherence to grant conditions and manage the disbursements of the grant where there is non-compliance. Measures to address non-compliance include withholding transfers, as provided for in the 2026 Division of Revenue Act. If matters are still unresolved, this may result in the stopping and reallocation of tranche payments in terms of the 2026 Division of Revenue Act Responsibilities of provincial departments x Any contractual agreement entered into in relation to this grant will be the responsibility of the contracting authority x Provincial departments remain responsible for funding any shortfall experienced on this grant from their provincial equitable share x Ensure that contracted operators certified claims are paid within 30 days from the date of receipt x Provinces must monitor and verify the correctness of the operators’ claims in terms of the kilometres of service provided and provide a monthly summary report to the transferring officer x Certify and submit monthly performance reports to DoT within 25 days after the end of the month, and quarterly performance reports within 30 days after the end of each quarter using the reporting format developed by DoT x The Public Transport Operations Grant reports must be signed by the accounting officer or delegated official in terms of the Public Finance Management Act x Provinces must inform the transferring officer of any disputes or challenges that may lead to service disruptions x For the purposes of planning provinces must ensure that public transport integration committees are established and new public transport contracts are to be considered by the public transport integration committees for recommendation Process for approval of 2027/28 business plans x Not applicable 215 Annexure W3: Frameworks for Conditional Grants to Municipalities Detailed frameworks on Schedule 4, Part B; Schedule 5, Part B; Schedule 6, Part B; and Schedule 7, Part B grants to municipalities Introduction This annexure provides a brief description for each grant in Schedule 4, Part B; Schedule 5, Part B; Schedule 6, Part B; and Schedule 7, Part B of the 2026 Division of Revenue Bill. The following are key areas considered for each grant: x Strategic goal and purpose of the grant x Outcome statements and outputs of the grant x Outcome(s) of government that the grant primarily contributes to x Conditions of the grant (additional to what is required in the Bill) x Criteria for allocation between municipalities x Rationale for funding through a conditional grant x Past performance x The projected life of the grant x 2026 MTEF allocations x The payment schedule x Responsibilities of transferring national department and receiving municipalities x Process for approval of business plans for 2027/28 The attached frameworks are not part of the Division of Revenue Bill but are published in order to provide more information on each grant to parliament, legislatures, municipal councils, officials in all three spheres of government and the public. Once the Division of Revenue Bill, 2026 is enacted, these frameworks will be gazetted in terms of the Act. The financial statements and annual reports for 2026/27 will report against the Division of Revenue Act, Division of Revenue Amendment Act and their schedules, and the grant frameworks as gazetted in terms of the Act. Such reports must cover both financial and non-financial performance, focusing on the outputs achieved. 216 COOPERATIVE GOVERNANCE GRANTS Integrated Urban Development Grant Transferring department x Cooperative Governance (Vote 3) Grant schedule x Schedule 5, Part B Strategic goal x To support spatially aligned public infrastructure investment that will lead to functional and efficient urban spaces and ultimately unlock growth Grant purpose x To provide funding for public investment in infrastructure for the poor and to promote increased access to municipal own sources of capital finance in order to increase funding for public investment in economic infrastructure x To ensure that public investments are spatially aligned and to promote the sound management of the assets delivered Outcome statements x Improved access to municipal infrastructure x Improved quality of municipal services through infrastructure that is in better condition x Improved spatial integration Outputs x Number of new water connections meeting minimum standards x Number of new sewer connections meeting minimum standards x Percentage of known informal settlements receiving integrated waste handling services during the financial year x Number of additional parks, outdoor sports facilities and open space provided during the financial year x Number of additional community halls provided during the financial year x Additional kilometers of unsurfaced roads graded within the financial year x Additional kilometers of surfaced municipal road lanes which has been resurfaced and resealed x Additional kilometers of roads, stormwater and stormwater channels constructed during the financial year x Number of pedestrian and vehicular bridges constructed during the financial year x Additional kilometers of non-motorised transport paths built over the financial year x Number of community lighting, street lights and high mast lights, constructed during the financial year x Number of work opportunities and Full-Time Equivalents (FTEs) created using the Expanded Public Works Programme (EPWP) guidelines for the above outputs x Number of specialised vehicles for waste management (as defined in annexures A and B of the norms and standards for specialised waste vehicles), purchased to service poor unserved communities x Number of urgent repairs and refurbishment undertaken on municipal infrastructure Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses a three-year capital programme that is aligned with a 10-year Capital Expenditure Framework (CEF) x The three-year capital programme must demonstrate alignment with the municipal Integrated Development Plan (IDP), sector masterplans, District One Plans developed in terms of the District Development Model (DDM), and the Integrated Urban Development Framework (IUDF) outputs and outcomes x The three-year capital programme must provide the following detail for each sub-programme that is partially or fully funded by the Integrated Urban Development Grant (IUDG): o classification of sub- programme as informal settlement upgrading, other new infrastructure or renewal o anticipated outputs o indication of the proportion of outputs that will be delivered in priority areas as identified in the Spatial Development Framework o indication of the proportion of outputs that will benefit low- income households, high income households or non-residential customers x The three-year capital programme must demonstrate appropriate co-funding for the portion of the programme that does not benefit low-income households x The three-year capital programme must be developed in accordance with the planning, administration and implementation phases of project management x This grant uses the Municipal Infrastructure Grant-Management Information System (MIG-MIS) registration requirements for ongoing projects that were previously funded from the Municipal Infrastructure Grant Conditions x IUDG funds may only be spent on: o basic residential infrastructure for the poor for water, sanitation, roads, waste management, street lighting, community facilities as well as associated municipal bulk and connector infrastructure o new infrastructure, upgrading existing infrastructure or renewing existing infrastructure o maintenance of roads infrastructure mainly serving the poor o specialised waste management vehicles servicing the poor o undertaking specified planning and programme management activities x Municipalities with non-compliance pre-directives or directives from relevant sector departments may use up to 10 per cent of their IUDG allocation for urgent repairs and refurbishment, provided that data is based on the respective sector master plans and/or asset management plans. This is subject to prior approval from DCoG x IUDG receiving municipalities must submit their infrastructure asset management plans, accompanied by an excel copy of the municipality’s audited asset register to the Department of Cooperative Governance (DCoG) by 30 April 2026 217 Integrated Urban Development Grant x MIG project commitments not completed with the transition from the MIG programme to the IUDG programme take priority in terms of funding allocation and accounted for both through the MIG-MIS and the IUDG reporting structures, until the projects are fully completed x Before newly participating municipalities can receive their first tranche, their three-year capital programme and 10-year CEF must have been approved through processes led by DCoG x An IUDG receiving municipality must use the Public Infrastructure Unit Cost Guidelines, 2021 edition, for the costing of IUDG funded projects x A maximum of 5 per cent of a municipality’s IUDG base allocation may be used for programme management costs related to grant funded projects, only if a business plan for their Programme Management Unit (PMU) is submitted for assessment and recommendation by the provincial department responsible for local government; and approved by the transferring officer before the start of the municipal financial year. If these funds are not planned or spent for this purpose, they must revert back to capital projects in the IUDG x The 2026/27 financial year PMU business plans must be submitted to DCoG for approval, by not later than 30 April 2026 x The performance-based component of the IUDG can only be used for new, upgrading and rehabilitation of basic services infrastructure x The planning component is only provided to new entrants to the IUDG programme and the allocation must be used to develop, review, strengthen and ensure alignment between the CEFs, three-year capital programme, IUDF, asset management plans and district one plans x An IUDG receiving municipality must spend at least 60 per cent of its transferred amount, before the next transfer x An IUDG receiving municipality must spend at least 45 per cent of its allocation by December 2026 x IUDG funds can be used for road maintenance only if projects are planned and prioritised using asset management plans x Municipalities that have allocations gazetted for specific sport infrastructure projects funded from the ring- fenced sport funds may only spend these allocations on the projects identified by the Department of Sport, Arts and Culture (DSAC) x Municipalities that are already part of the IUDG but do not continue to meet all of the qualification criteria for the grant must adopt and implement a Performance Improvement Plan (PIP) and meet the qualification criteria within two years of the implantation of the PIP, if they are to remain part of this grant x Municipalities implementing a PIP must submit quarterly reports on its progress to DCoG x Municipalities must apply labour intensive construction methods (LICs) and comply with EPWP infrastructure guidelines x Municipalities using IUDG funding to purchase specialised vehicles for waste management must prepare a technical assessment report (TAR) which must comply with the norms and standards for specialised waste management vehicles. The TAR must demonstrate that IUDG funds will only be used for the expansion of waste management services to poor households not previously served. The purchase will only be done through the National Treasury’s RT57 transversal contract and the TAR must include a recommendation from the provincial Department of Forestry, Fisheries and the Environment (DFFE) and a final recommendation from the national DFFE before it is considered for approval by the national Department of Cooperative Governance. Vehicles may not be purchased with IUDG funds for other purposes x IUDG receiving municipalities must comply with sector norms, standards and legislation, in implementing the three-year capital programme Allocation criteria x Allocations are focused on municipalities whose circumstances align with the IUDG’s criteria, which include higher urban population densities and high economic activity x The IUDG includes a base component that is derived from the MIG formula explained in part five of Annexure W1 of the 2026 Division of Revenue Bill; a performance-based component and a 3 per cent planning component x A portion of the total IUDG allocation is allocated as a performance incentive. The performance-based component is also weighted according to the allocations in the MIG formula. This allocation is then adjusted based on performance against the following weighted indicators: o non-grant capital as a percentage of total capital expenditure (40 per cent) o repairs and maintenance expenditure (30 per cent) o asset management plan (30 per cent) o land use applications in priority areas (0 per cent - this factor is dormant in 2026/27) o building plan applications in priority areas (0 per cent - this factor is dormant in 2026/27) x An equivalent of 3 per cent of the MIG formula allocation for newly participating municipalities is allocated to undertake specified planning activities, provided that these conform to the list of eligible activities identified by the transferring officer, including: o a detailed three-year capital programme and a 10-year CEF o property market empirical and diagnostic studies o integrated infrastructure and spatial planning for identified integration zones o investment pipeline development o municipal systems and/or measures to improve ease of doing business such as construction permits and land use applications o development or review of infrastructure asset management plans o identified priority areas for spatial transformation in line with the Spatial Development Framework and CEF 218 Integrated Urban Development Grant o development of infrastructure financing strategies and instruments including finance strategy for green and climate resilient infrastructure o implementation of an agreed performance improvement plan o private sector engagement strategy and programme indicating how the municipality will partner with different stakeholders on the delivery of the CEF o development of climate change mitigation and adaptation plan or strategy Reasons not incorporated in equitable share x This is a specific purpose grant with conditions, objectives and distribution criteria different from that of the equitable share Past performance 2024/25 audited financial outcomes x R1.2 billion was allocated and transferred, of which 99.9 per cent was spent by the end of the financial year 2024/25 service delivery performance x Number of poor households impacted through the construction of new infrastructure and upgrading and renewal of existing infrastructure for: o 43 969 households provided with basic water service o 130 790 households provided with sanitation services x Community infrastructure constructed (new infrastructure and upgrading and renewal of existing infrastructure): o 15 501 households with access to sports and recreation facilities o 10 168 households with access to paved roads and stormwater o 18 808 households with access to waste management service 337 households with access to high mast and street lights o 6 487 households with access to community halls, taxi ranks and cemeteries o 908 WOC created using the EPWP guidelines for the above outputs Projected life x The programme will continue up to 2028/29, subject to review MTEF allocations x 2026/27: R1.4 billion; 2027/28: R1.4 billion and 2028/29: R1.5 billion Payment schedule x The grant will be paid in three instalments: July 2026, December 2026 and March 2027, in line with the payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national departments x DCoG administers the IUDG and co-ordinates its activities with all stakeholders, through appropriate structures. DCoG must: o monitor expenditure and non- financial performance in collaboration with provincial departments of cooperative governance o coordinate overall programme implementation o e nsure that the results of the green drop, blue drop and no drop assessments are considered and prioritised in the planning and prioritisation of water projects x The Municipal Infrastructure Support Agent must support municipalities that have been identified collaboratively by DCoG and its provincial counterparts as needing assistance x DFFE must make the final recommendation on the TAR for the purchasing of specialised waste management vehicles x In addition to the sector-specific support and advice, the Department of Water and Sanitation, DFFE, Department of Transport, Department of Electricity s and Energy and DSAC will be expected to: o provide sector policies and plans to municipalities as informants to the preparation of CEFs o participate in processes to approve the 10-year CEF and three-year capital programme o fulfil a sectoral monitoring and guidance role on relevant sectoral outputs. National sector departments will be invited to participate in IUDG in-year monitoring meetings in order to facilitate this role Responsibilities of the provincial departments x Provincial departments responsible for local government must: o coordinate technical support to municipalities o provide assistance to municipalities in managing municipal infrastructure projects o participate in processes to approve the 10-year CEF and three-year capital programme o participate in in-year monitoring meetings o verify outputs and outcomes reported by municipalities on a sample of projects annually x Provincial treasuries must: o participate in processes to approve the 10-year CEF and three-year capital programme o participate in in-year monitoring meetings x Provincial departments of environment, forestry and fisheries are responsible for providing recommendations on the TAR for the purchasing of specialised waste management vehicles to the national Department of Environment, Forestry and Fisheries Responsibilities of the municipalities x Municipalities must ensure appropriate programme and project planning and implementation readiness prior to the year of implementation and this must be informed by the IDP, three-year capital programme and the 10-year CEF x Municipalities must monitor projects during the year and use this monitoring to inform reporting to DCoG x Municipalities must report monthly, quarterly and at the end of the financial year in the prescribed format(s) and timelines x Monthly, quarterly and annual reports must be signed-off by the Accounting Officer or the delegated official and submitted directly to DCoG 219 Integrated Urban Development Grant x Ensure that the results of the green drop, blue drop and no drop assessments are considered and prioritised in the planning and prioritisation of water projects x Municipalities must ensure that at least 20 per cent of their IUDG budget applies labour intensive construction methods (LICs) and complies to EPWP infrastructure guidelines x Procurement of service providers and contractor should be concluded within the first quarter of the 2026/27 financial year Process for approval of 202 7/28 business plans x Eligibility for the IUDG and minimum conditions for qualification are outlined in Annexure W1 to the 2026 Division of Revenue Bill x Any Category B municipality may apply to qualify for the IUDG for 2027/28 by submitting an application by 31 July 2026 x IUDG receiving municipalities must submit data for the calculation of the performance-based component (incentives) for approval by DCoG by not later than 30 August 2026, to inform the subsequent year’s allocations x Municipalities that will be receiving the IUDG for the first time in 2027/28 must submit a first draft of the three-year capital programme and 10-year CEF to the transferring officer by 30 March 2027 and the final versions of the three-year capital programme and 10-year CEF must be adopted by respective councils by 1 June 2027 x The adopted three-year capital programme and 10-year CEF must be submitted to DCoG with council resolution no later than 10 days after adoption by council x Municipalities that are already on the IUDG do not need to submit CEFs to DCoG annually unless they embarked on a process to review or amend their CEF and three-year capital programme in the prior year or advised by DCoG upon conducting a gap analysis on the existing CEF x The 2027/28 financial year PMU business plans must be submitted to DCoG for approval, by not later than 30 April 2027 220 Municipal Disaster Response Grant Transferring department x Cooperative Governance (Vote 3) Grant schedule x Schedule 7, Part B Strategic goal x To enable timely response to address community needs regarding impending or disastrous events classified by the National Disaster Management Centre Grant purpose x To provide for the immediate release of funds for disaster response if an occurrence cannot be adequately addressed in line with section 2(1)(b) of the Disaster Management Outcome statements x Immediate consequences of disasters are mitigated or alleviated x Improved service delivery in the local government sphere Outputs x Emergency repair of critical infrastructure x Emergency provision of critical goods and services Outcome(s) of government that this grant primarily contributes to x Outcome 10: Reduced poverty and improved livelihoods Details contained in the business plan x Applications for funding from this grant use the National Disaster Management Centre (NDMC) disaster grant guideline which includes the following: o copy of the applicable contingency plan and emergency procedures in use by the municipality ( in terms of section 49(1)(d) of the Disaster Management Act) documentation linked to Sections 56 and 57 of the same Act o details of insurance and insured infrastructure, where applicable including factors outlined in sections 56 and 57 of the same Act as well as proof from the insurance company on the matter o number of people, households and infrastructure affected and the extent of damages and losses o sectors affected o total funds required for disaster response and relief measures o resources (both financial and in-kind) allocated by the municipality to respond and mitigate the effects of the disaster o resources (both financial and in-kind) committed by other role players, including provinces, the private sector, national departments, state owned entities and non-government organisations o cost-benefit analysis of the projects to be implemented o an asset register that accurately reflects the projects for which funding has been applied x An implementation plan with the following: o details of the projects to be repaired including Global Positioning System (GPS) coordinates o estimated total cost of the projects o consolidated projects cash flow over six-month period as an annexure to the implementation plan o technical report signed by the Accounting Officer or a delegated official (high level that explains technical solution, viability and practicality) o maintenance plan and resourcing of the infrastructure to be repaired x An application for funding contribution may be based on the rapid assessment (preliminary versions of the supporting documentation required above may be accepted for the funding application) x Specifics on the rapid response capacity to implement the projects and account for allocated funding Conditions x An occurrence should be classified as a disaster by the NDMC in terms of the Disaster Management Act and documentation linked to conditions within sections 56 and 57 of the above-mentioned Act submitted to the NDMC x This grant may only be used to fund expenditure in the event that the municipality responsible for the provision of the affected basic service is unable to deal with the effects of the disaster utilising own legislation, guidelines and available resources x The grant may not be utilised for insured infrastructure. In case of inadequate insurance, reasons for inadequate insurance to be provided as well as proof from the insurer on the amount paid/to be paid x Municipalities must fund a portion of the costs of the disaster response and relief measures from their own budget, if unable to do so, proof must be provided together with the funding request x Funds may only be used in line with the approved business plan by NDMC. Any requests for amendments to the business plan must be approved by the accounting officer and be submitted to the NDMC at least three months prior to end of the six months implementation period, supported and recommended by the Provincial Disaster Management Centre (PDMC) and Municipal Infrastructure Support Agency (MISA); and approved by the NDMC and copies of the approved amendments to be shared with National Treasury x Funding may be released in tranches, with the first tranche being based on the rapid assessment and verification of the disaster relief needs. The next tranches will be released once proof is submitted that the first tranche has been fully spent or committed and all grant conditions have been met x The emergency procurement system provided for in the Treasury Regulations should be invoked by the affected municipalities to ensure immediate response and relief measures within their areas of jurisdiction x A copy of the contingency plan for the relevant hazard is to be submitted with the funding request Allocation criteria x The grant is allocated for classified disasters, based on reports from assessments conducted by the municipality and the verification process conducted by the NDMC, PDMC, MISA and affected sectors for immediate disaster response and relief needs. This should include implementation of Section 56 and 57 of the Disaster Management Act. Additionally, it must be established that there are immediate disaster response and relief needs that cannot be met by the municipality through the contingency arrangements already in place x The accounting officer of the affected municipality must provide proof together with the funding request indicating that the total funds required from the grant for disaster response and relief exceed the available resources and/or resources already allocated for disaster response and relief 221 Municipal Disaster Response Grant Reasons not incorporated in equitable share x This grant provides funding for responding to and providing response and relief measures for unforeseeable and unavoidable disasters where municipalities are unable to cope with the effects of the disaster from own resources Past performance 2024/25 audited financial outcomes x The grant was allocated R891 million, of which R873 million was transferred to 83 municipalities in all nine provinces and R483 million was spent 2024/25 service delivery performance x R873 million was transferred to municipalities to provide funding to repair municipal infrastructure damaged due to floods. The funding was disbursed as follows: o R220 million to Eastern Cape for 27 municipalities o R59 million to Free State for 6 municipalities o R88 million to KwaZulu-Natal for 9 municipalities o R62 million to Gauteng for 1 municipality o R107 million to Limpopo for 13 municipalities o R162 million to Mpumalanga for 13 municipalities o R5 million to Northern Cape for 1 municipality o R40 million to North-West for 3 municipalities o R130 million to Western Cape for 10 municipalities Projected life x This grant is expected to continue over the medium-term subject to review MTEF allocations x 2026/27: R411 million; 2027/28: R427 million and 2028/29: R441 million Payment schedule x Transfers are made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the National Disaster Management Centre x Advise and guide municipalities and PDMCs about the existence of the grant and how grant funding can be applied for and the criteria to qualify for the grant x Verify the applications for funding as per the requirements of the Disaster Management Act and submit funding request to National Treasury for consideration within 14 days following the receipt of the assessment report and written funding request from the municipalities through the PDMCs and when all grant conditions have been met x Request the support of the relevant national sector departments are providing and ensure there is no duplication of support x Notify the relevant municipality of a transfer at least three days before the transfer is made x Notify the relevant Municipal Disaster Management Centre and PDMC together with the relevant sector departments, National Treasury and the relevant provincial treasury of a transfer and reason for transfer within five days of the transfer of funds to municipalities x Provide National Treasury and the relevant provincial treasury with written notification of the transfer within 14 days of a transfer of this grant x Together with the relevant PDMC monitor the implementation of disaster response and relief projects x Share with the National Treasury, approvals to utilise more than six calendar months after the date of transfer x Provide an information system, if available to capture, analyse information, and produce reports Responsibilities of Municipal Infrastructure Support Agency x Support the NDMC and PDMCs in conducting detailed assessments and verification of the damage to municipal infrastructure x In collaboration with the relevant sector departments, assist the identified municipalities on appropriate infrastructure, planning delivery models for the implementation of disaster projects x coordinate the infrastructure verification assessment in collaboration with the PDMC, provincial sector departments and NDMC x Advise on the pre-engineering processes to be followed in the reconstruction of damaged infrastructure (Environmental Impact Assessments and Water Use License Applications) x Recommend the technical reports and designs by the municipalities to ensure technical viability and feasibility and costing of the projects x Support the municipalities with improvements to municipal processes for planning, project prioritisation and selection. This includes detailed planning, scoping, designing, scheduling, costing and procurement implementation Responsibilities of District Municipalities x Provide technical advice and expertise to identified municipalities on the use of alternative technologies x Assist local municipalities x Monitor the implementation of projects together with the affected municipalities, PDMC and NDMC Responsibilities of Provincial Disaster Management Centres x Advise municipalities about the existence of the disaster grants and facilitate funding applications by municipalities x Assist municipalities with the rapid assessment reports to be submitted to the NDMC x Provide support to municipalities with regard to the final post-disaster verification report x Facilitate submission of final post-disaster verification reports signed-off by the Accounting Officer in the municipality x Provide a copy of the final post-disaster verification report to municipalities x Provincial Disaster Management Centre analyse and recommendation to the NDMC signed-off x Assist municipalities in preparing business plans incorporating the implementation plans and cash flow projections 222 Municipal Disaster Response Grant x Monitor the performance of municipalities and recommend relevant measures required for under- performance to NDMC x Activate monthly provincial project task teams for implementation of approved disaster projects x Facilitate the submission of financial and non-financial reports to the NDMC within 10 days after the end of each month including supporting documentation such as pictures, payment certificates, invoices and proof of payments x Analyse and make recommendations signed-off on the submitted reports x Provide expenditure and project performance reports including supporting documentation such as pictures payment certificates, invoices and proof of payments to the NDMC within 35 days after the end of the quarter in which funds are spent x Make recommendation on requests by municipalities x Coordinate provincial on-site visits to monitor and report on the implementation of projects and provide reports of progress to the NDMC x Provide financial and non-financial reports to the NDMC within 10 days after the end of each month. Photographs depicting the projects progress should be included as an annexure x Provide expenditure and project performance reports including evidence to the NDMC within 35 days after the end of the quarter in which funds are spent Responsibilities of the municipalities x Conduct damage assessment and costing of emergency repair work x Together with the required supporting documentation, submit disaster assessment reports and funding requests signed-off by the accounting officer or delegated official to the PDMC within 14 days following the classification of a disaster x Municipalities must invoke emergency procurement processes provided for within the Treasury Regulations when spending the funds allocated, to ensure immediate assistance to the affected areas and must provide proof that measures were put in place to mitigate the occurrence in the form of a contingency plan for the specific hazard x Municipalities must implement all projects approved and ensure that the funds allocated are spent for their intended purposes in line with the grant condition x Activate project task teams during the implementation of disaster projects at a municipal level x Submit expenditure reports signed-off by the accounting officer or a delegated official which include evidence (such as certificate of payment, pictures, invoices) of implementation progress on the projects to the relevant PDMC within 10 days after the end of each month in which funds are spent x Submit a performance report signed-off by the accounting officer or delegated official which includes evidence (such as certificate of payment, pictures, invoices, completion certificate, close out reports) of implementation progress on the projects to the PDMC within 30 days after the end of the quarter in which funds are spent x Compile lessons learnt from post-grant intervention, completion certificate, close out reports outlining measures taken to reduce risks or enhance resilience. This should encompass an assessment of exposure to hazards, vulnerability and capacity, and hazard’s characteristics as part of performance reporting Process for approval of 2027/28 business plans x Not applicable 223 Municipal Infrastructure Grant Transferring department x Cooperative Governance (Vote 3) Grant schedule x Schedule 5, Part B and Schedule 6, Part B Strategic goal x Subsidise the capital costs of providing basic services to poor households x Subsidise the development of asset management plans for infrastructure servicing poor households Grant purpose x To provide specific capital finance for eradicating basic municipal infrastructure backlogs through the construction of new infrastructure, and the renewal and refurbishment of existing infrastructure for poor households, microenterprises, and social institutions servicing poor communities x To provide specific funding for the development of asset management plans for infrastructure servicing the poor Outcome statements x Improved access to basic services infrastructure for poor communities, through the use of labour- intensive construction (LIC) methods where it is technically feasible and economically viable x Improved reliability of basic services infrastructure for poor communities x Improved coordinated infrastructure network for service delivery in poor communities Outputs x Number of poor households impacted through the construction of new infrastructure and the upgrading and renewal of existing infrastructure for: o basic water and sanitation services o central collection points for refuse, transfer stations, recycling facilities and solid waste disposal sites o sport and recreation facilities o street and community lighting o public facilities x Number of poor households impacted through the urgent repairs and refurbishment of water, sanitation, roads and stormwater and solid waste management existing infrastructure x Number of kilometres of municipal roads developed, upgraded and maintained servicing the poor x Number of specialised vehicles for waste management purchased for servicing the poor x Number of work opportunities and Full-Time Equivalents (FTEs) created using the Expanded Public Works Programme (EPWP) guidelines for the above outputs x Number of Infrastructure Asset Management Plans developed Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses the Municipal Infrastructure Grant (MIG) registration form for both Schedule 5, part B and 6, part B as agreed with sector departments, which includes: o project title o sector o timeframes for implementation o operation and maintenance financial requirements and source o number of beneficiaries o funder (municipalities in the case of Schedule 5, part B and the Department of Cooperative Governance (DCoG) in the case of Schedule 6, part B) o cost of the project o LIC component of the project, with targets and processes to be used Conditions Schedule 5, Part B x To receive the first tranche, municipalities must have followed the process for approval of 2026/27 projects and have confirmed by 30 April 2026 with DCoG, their programme, project planning and implementation readiness in the form of a municipal approved (by municipal manager) implementation plan that includes cash flow projections as well the procurement plan x To receive the first tranche professionals and contractors must have been procured by 1 August 2026 on the registered project identified in the implementation plans mentioned above x Municipal allocations must be fully committed to registered projects prior to the year of implementation and be informed by the Integrated Development Plans (IDPs) and three-year capital plans which are aligned to the relevant One Plan of districts areas developed under the District Development Model x MIG priorities set by municipalities (as stated in their MIG implementation plans) can only be changed in-year with not more than 20% of the MIG allocation with other MIG registered projects, supported by a municipal council resolution and confirmation that the projects will be awarded and implemented in the same year x Projects not implemented within three years of approval by the relevant appraisal committee will be deregistered by MIG Appraisal Committees x Unjustified stalled projects where MIG funds have already been spent and not completed should be prioritised for implementation before any new projects are considered for registration x Stalled projects can only be deregistered on confirmation that they are functional and benefiting the intended beneficiaries as per the project registration and within approved itemised cost x MIG funds must be allocated and transferred directly to the Category B or C municipality assigned the relevant basic services function under section 84 of the Municipal Structures Act. However, where a municipality exhibits material governance, financial, SCM, or contract management weaknesses, indicating a high risk to the safeguarding and effective use of infrastructure funds, the allocation may be converted to indirect delivery through an accredited implementing agent x At least 95 per cent of municipalities’ allocation must be used on eligible infrastructure funded projects, including renewal and refurbishment of roads and stormwater, solid waste management, and water and sanitation infrastructure servicing the poor 224 Municipal Infrastructure Grant x Municipalities must prioritise MIG funds for infrastructure that services eligible beneficiaries, such as: o basic residential infrastructure for the poor for water, sanitation, roads and stormwater, solid waste management, street lighting and community facilities o new or upgrading of municipal bulk infrastructure to support existing areas, the formalisation of informal settlements and to support economic development o renewal of eligible infrastructure servicing the poor subject to the confirmation by the relevant sector department of the state of infrastructure and a commitment from the municipality on how future operations and maintenance of the renewed infrastructure will be funded o renewal and refurbishment of water and sanitation, roads infrastructure, solid waste management infrastructure mainly servicing the poor o specialised waste management vehicles servicing the poor x WSA municipalities’ water services infrastructure failure must use at least 10 per cent of their MIG allocations for urgent repairs and refurbishments of infrastructure provided data is based on asset management plans. The application must be accompanied by a certified Excel copy of the municipality’s audited asset register x Municipalities’ solid waste disposal sites failure identified through non-compliance pre-directives or directives issued by the provincial departments of environment must use at least 5 per cent of their MIG allocation for urgent repairs and refurbishment of their solid waste disposal sites x A maximum of 5 per cent of a municipality’s allocation may, subject to submitting a business plan for approval by DCoG, be used to fund activities related to the development of an Infrastructure Asset Management Plan. The business plan must be: o recommended by the relevant sector department o accompanied by an Excel copy of the municipality’s audited asset register and a resolution of Council approving the project submitted by 01 April 2026 x The cost to augment the project management capacity must not exceed 5 per cent of a municipality’s MIG allocation and may be used for programme/project management costs related to all Schedule 5, Part B grant-funded projects and only if a business plan is approved by 30 April 2026. If these funds are not committed for this purpose or spent for this purpose, they must revert to fund MIG capital projects x Municipalities must comply with sector norms, standards and legislation as confirmed by sectors during the MIG project registration processes x Local municipalities investing in roads and stormwater infrastructure must utilise data from Rural Roads Asset Management Plan (RRAMS) and/or Infrastructure Asset Management Plan to identify and prioritise their investment on roads maintenance projects servicing the poor x Ring-fenced sport infrastructure allocation: o municipalities that have allocations gazetted as part of the ring- fenced allocation for specific sport infrastructure projects may only spend these allocations on the projects identified by the Department of Sport, Arts and Culture (DSAC) o initial transfers of funds from the ring-fenced sport infrastructure allocation to identified projects will be subject to signing of a memorandum of understanding (MoU) between DSAC and the beneficiary municipalities o subsequent transfers for projects funded through the ring-fenced amount will also be subject to approval by DSAC x Sport infrastructure not funded from the ring-fenced amount: o municipalities must submit technical reports on sport and recreation infrastructure projects o all sport infrastructure plans and technical reports must be submitted as part of the normal MIG planning process but will be reviewed and approved by DSAC to ensure they comply with norms and standards before construction can begin x Municipalities must ensure compliance to EPWP infrastructure guidelines (that includes training) in aligning their projects and reporting the work opportunities created and training on the EPWP reporting system x Municipalities must ensure that a minimum of 20 per cent of their budget applies LIC methods and complies to EPWP infrastructure guidelines as part of the feasibility phase of the project x Municipalities using MIG funding to purchase specialised vehicles for waste management must complete a Technical Assessment Report (TAR) which must comply with the norms and standards for specialised waste management vehicles. The TAR must demonstrate that MIG funds will only be used for the expansion of waste management services to poor households not previously serviced. The purchase will only be done through the National Treasury’s transversal contract RT57 and the TAR must include a recommendation from the Provincial Department Forestry, Fisheries and the Environment (DFFE) and a final approval from the National DFFE before being appraised for registration. Vehicles may not be purchased with MIG funds for other purposes x Municipalities must submit annual reports in the prescribed national template and signed-off by the Municipal Manager or delegated official x Municipalities must utilise the Municipal Infrastructure Grant Management Information System (MIG- MIS) to facilitate programme and project management and monthly and quarterly reporting x Municipalities must spend at least 60 per cent of their previous transfers and comply with reporting provisions before subsequent tranches are transferred x By 4 January 2027, municipalities must spend: o at least 40 per cent of their total MIG allocation, where allocations are equal or less than R100 million o at least 45 per cent of their total MIG allocation, where allocations are more than R100 million 225 Municipal Infrastructure Grant Schedule 6, Part B x DCoG will assess new municipalities on the following criteria for inclusion in 2026/27 to identify municipalities for possible conversion of portions of the Schedule 5B allocations to Schedule 6B: o municipalities with DWS and DFFE directives/non-compliance/criminal charges on the poor state of water, sanitation and solid waste management infrastructure o actual expenditure reported by municipalities on repairs and maintenance from the previous financial year is lower than 2 per cent of the value of the municipality’s Property, Plant and Equipment (PPE); extent of non-revenue water as reported in the audited municipal annual financial statements (AFS) o Where non-revenue water is in excess of 30 per cent and not decreasing from year-to-year, the municipality shall be determined to be failing to manage its water supply o Perennial poor performer of MIG - low MIG expenditure performance over the last three municipal financial years (spent on average 80 per cent and less against the originally annually allocated MIG (before adjustments) over the last two years (2022/23 – 2024/25) x DCoG will continue to convert schedule 5B allocations from existing municipalities identified in 2025/26 to conclude subsequent phases of water services infrastructure x DCoG will notify new identified municipalities by March 2026 on the analysis results, DCoG and newly identified municipalities must enter into an MoA before any project is implemented and agree on a capacity building plan to assist identified municipalities to return to implementing the full schedule 5B allocations x DCoG will review existing MOAs whether the implementation modalities currently deployed are to the benefit of the schedule 6B approach, which this review could inform the amendment of implementation modalities x DCoG to prepare an implementation plan by 30 April 2026 based on the converted funding specifying the agreed projects to be implemented per municipality. The affected municipalities will align their 2026/27 implementation plans in line with their converted 2026/27 MIG allocations to be submitted to DCoG by 30 April 2026 x DCoG to develop a Standard Operating Procedure (SOP) for MIG schedule 6B by 30 June 2026 that identifies the timelines for critical processes and the roles and responsibilities that various stakeholders can plan in the implementation of MIG schedule 6B x Grant funding shall be directed only to capable implementing agents such as district municipalities, water boards, the Development Bank of Southern Africa and MISA Allocation criteria x Part 5 of Annexure W1 to the 2026 Division of Revenue Bill sets out the MIG formula in detail, showing how the formula incorporates backlog and poverty data x The funds ring-fenced for sport infrastructure are allocated based on estimated costs of projects that: o fill identified gaps and are confirmed with the provincial departments responsible for sport and the municipalities o align to the National Sport and Recreation Plan, National Sport Facilities Plan and transformation imperatives o align to priority sport codes Reasons not incorporated in equitable share x This is a specific purpose grant with conditions, objectives and distribution criteria different from that of the equitable share Past performance 2024/25 audited financial outcomes x The MIG programme was allocated R17 billion, the entire amount was transferred and R16.5 billion (96 per cent) was reported as spent by municipalities at the end of the 2024/25 financial year 2024/25 service delivery performance x Number of poor households impacted through the construction of new infrastructure and upgrading and renewal of existing infrastructure for: o 42 509 households provided with basic water and 42 268 households provided with sanitation services o 205 131 households provided with street and community lighting x Community infrastructure constructed (new infrastructure and upgrading and renewal of existing infrastructure): o 20 central collection points for refuse, transfer stations, recycling facilities and solid waste disposal sites developed o 127 sport and recreation facilities developed o 164 public facilities developed o 1 579 kilometres of municipal roads developed x 177 496 FTEs created using the EPWP guidelines for the above outputs Projected life x This grant continues until 2028/29, subject to review MTEF allocations Direct transfers (Schedule 5, Part B) x 2026/27: R17.5 billion; 2027/28: R20 billion; and 2028/29: R20.7 billion Allocations in kind (Schedule 6, Part B) x 2026/27: 536 million Payment schedule x Transfers are made in accordance with a payment Schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national departments x DCoG administers the MIG and co-ordinates its activities with all stakeholders, through appropriate structures. DCoG must: o report to sector departments on outputs o monitor expenditure and non-financial performance in collaboration with provincial DCoGs o coordinate overall programme implementation o provide support to municipalities in the utilisation of the MIG-MIS 226 Municipal Infrastructure Grant x For Schedule 6B allocations, DCoG must: o where local and district municipalities lack the capacity to deliver, redirect funds to capable implementing agent such as district municipalities, water boards, the DBSA or MISA o enter into an MoU with municipalities regarding the construction, ownership, funding arrangements, and operations and maintenance of proposed infrastructure prior to the commencement of construction o provide to National Treasury, detailed information on the selection criteria, and evidence of the approved capacity building plan o ensure that implementing agents submit monthly financial and quarterly non- financial reports on stipulated dates o make payments to contracted Implementing Agent based on invoices for work done x MISA must: o provide technical support and advice to municipalities that have been identified collaboratively with DCoG and its provincial counterparts as needing assistance o on behalf of and in collaboration with national and provincial DCoG’s, conduct detailed municipal assessments of the municipalities identified for assistance, including innovative solutions, investigative lifecycle assessments of MIG projects, municipal MIG and sector performance, and municipal project management functions, to identify detailed reasons for challenges affecting the implementation of MIG o report all findings and recommendations for improvement to the identified municipalities, national and provincial DCoGs o assist the municipal manager of each identified municipality, in collaboration with appropriate structures, including sector departments, to implement recommendations identified by MISA, for improvement, and supply formal progress reports o recommendations may include improvements to municipal processes for planning, project prioritisation and selection. Recommendations may also include detailed planning, scoping, designing, scheduling, costing and procurement implementation o provide and facilitate assistance, technical advice and expertise to identified municipalities for the use of alternative technology and good practices for MIG projects, including for feasibility studies, operations and maintenance and integrated infrastructure asset management o partake in the assessment of the business plans for the asset management planning provision and make recommendations to the transferring officer o support DCoG in the identification of projects to be funded from DCoG as a Schedule 6, Part B x In addition to their sector-specific responsibilities, each national sector department will be expected to: o provide information on service delivery priorities per municipality as expressed within sectoral plans and municipal IDPs o fulfil a sectoral monitoring and guidance role on relevant sectoral outputs o evaluate reports and provide final recommendations to the municipality by 15 September 2026 o frequently update sector norms and standards (including mainstreaming disaster risk reduction) and confirm adherence thereto for MIG funded projects through the MIG registration process, which includes participation in the district appraisal processes o confirm the current state of maintenance where municipalities have applied for funding of renewal projects o advise which sphere (provincial or national even if different across provinces) should sign- off MIG projects and participate in MIG workflow processes o sign-off on project close- out reports, thereby acknowledging the projects have been completed as intended x Department of Water and Sanitation must: o support and monitor municipalities to prepare and implement water services development plans o ensure alignment between the Regional Bulk Infrastructure Grant (RBIG) and the Water Services Infrastructure Grant (WSIG) with the MIG programme, Human Settlement Development Grant (HSDG) and Informal Settlement Upgrading Partnership Grant: Municipalities (ISUPG) o for the MIG funding stream, monitor and oversee progress on water and sanitation projects implemented through the MIG o promote the use of innovative solutions in pre-feasibility, feasibility studies and in technical r eport(s) o support the process of the development of water and sanitation infrastructure asset management plans and the updating and verification of asset registers o support DCoG in the identification of projects to be funded from DCoG as a Schedule 6, Part B x Department of Human Settlements must ensure alignment between the MIG programme, HSDG, ISUPG: Municipalities, RBIG and WSIG x Department of Forestry, Fisheries and the Environment (DFFE): o must support municipalities with planning and implementation of solid waste management projects and monitor their performance and compliance with conditions applicable to this sector o the provincial DFFEs will be responsible for providing recommendations on the TAR for the purchasing of specialised waste management vehicles and national DFFE will provide final approval before submitting projects for registration in the MIG appraisal process o support the process of the development of waste management infrastructure asset management plans and the updating and verification of asset registers x Department of Electricity and Energy must: o support municipalities with planning and implementation of public lighting and monitor municipalities’ performance and compliance with conditions applicable to this sector 227 Municipal Infrastructure Grant o support the process of the development of electricity community infrastructure asset management plans and the updating and verification of asset registers x Department of Transport must: o support municipalities with planning and implementation of municipal roads projects in terms of the RRAMS data and monitor municipalities’ performance and compliance with conditions applicable to this sector o support DCoG in the identification of projects to be funded from DCoG as a Schedule 6, Part B x Department of Sport, Arts and Culture must: o evaluate technical reports and provide final recommendations to the municipality by 15 September 2026 that will allow municipalities to submit project registrations for appraisal by 30 September 2026 o support municipalities throughout all project management stages of municipal sport and recreation facilities and monitor municipalities performance and compliance with conditions applicable to this sector o review, approve and sign- off all MIG projects before recommendation by the provincial sports departments to the MIG appraisal committee o review and approve designs before the appointment of contractors o establish National Sport and recreation infrastructure steering committee support the process of the development of sport infrastructure asset management plans and the updating and verification of asset registers o ensure alignment with the outcomes of the conditional grants review, specifically regarding the earmarked sports component in the grant, including the conclusion of sports infrastructure projects currently in the development stage and the avoidance of new commitments o arrange quarterly meetings with ringfence beneficiaries through provincial department x Department of Public Works and Infrastructure must: o monitor compliance with the EPWP infrastructure guidelines and advise municipalities on the use of labour-intensive processes, systems, techniques and approaches o monitor the number of work opportunities and FTEs created on MIG funded projects that contribute towards EPWP and assist municipalities in meeting their set targets o ensure that municipalities register their projects on the EPWP reporting system and monitor compliance with norms and standards applicable to this sector Responsibilities of provincial departments x Coordinate technical support to municipalities x Monitor performance of funding utilised to augment the Programme/Project Management capacity and recommend relevant sanctions for under-performance to DCoG x Provide support to municipalities with the development of Infrastructure Asset Management Plans x Provide assistance to municipalities in managing municipal infrastructure projects x Provide support to municipalities in the utilisation of the MIG-MIS x Monitor and reconcile reported expenditure with proof of payment signed-off by the municipality x Monitor the accuracy of project registration forms, data generated through the MIG-MIS for monthly DoRA reporting, annual reports from municipalities and forward them to DCoG x Coordinate district appraisal and progress committee meetings ensuring that DCoG and relevant sector departments are invited x Issue registration letters for projects approved by the district appraisal committees to municipalities, copying DCoG x Monitor project implementation in collaboration with sectors through scheduled site visits with relevant stakeholders and compile relevant spot check reports x Monitor the capturing of site visit reports by municipalities on the MIG-MIS x Monitor compliance with provincial legislation and alignment to provincial growth and development strategies through project registration x Facilitate the sign-off on project close-out reports, thereby acknowledging the projects have been completed as intended on MIG-MIS Responsibilities of provincial sector departments x Each provincial sector department must fulfil a sectoral monitoring and guidance role on relevant sectoral outputs x Provide technical advice as required by a municipality through the feasibility, planning, design, tender and construction phases of a MIG project x Provide support to municipalities with the development of Infrastructure Asset Management Plans x Participate in district appraisal and progress committee meetings x Evaluate and provide recommendations on sector technical reports before projects are appraised x Provincial departments of environment, forestry and fisheries are responsible for providing recommendations on the TAR for the purchasing of specialised waste management vehicles and the national DFFE must provide final approval before submitting projects for registration in the MIG appraisal process x Facilitate the sign-off on project close-out reports, thereby acknowledging the projects have been completed as intended on MIG-MIS x Support the DCoG will the identification of Schedule 6B projects Responsibilities of municipalities x Municipalities must ensure appropriate programme and project planning and implementation readiness prior to the year of implementation, and this must be informed by the IDP and three-year capital programme 228 Municipal Infrastructure Grant x Municipalities must certify compliance to the provision of 2026 Division of Revenue Act after the Schedule of transfers has been communicated by DCoG and before the first transfer is made to the municipality by DCoG x Municipalities must have appropriate capacity to implement the MIG, this must be supported by the human resource plan of the municipality x Municipalities must monitor each project and ensure that MIG funds are spent for the intended purpose as registered on the MIG-MIS x The municipality must comply with the submission of monthly and quarterly reports through the MIG- MIS and the annual reports in the prescribed formats and timelines, reports must be signed-off by the Municipal Manager or the delegated official and submitted to national government via the provincial department responsible for local government x Compulsory use of the MIG-MIS to inform the content of the reports mentioned above x Municipalities must capture project site visit reports as part of the portfolio of evidence to support claims o e nsure that the results of the green drop, blue drop and no drop assessments are considered in the planning and prioritisation of projects o in terms of Sport and Recreation ringfenced allocation, municipalities must submit technical reports together with confirmation letter from local sport confederation to DSAC National through Provincial DSAC before 31 March 2026 o m unicipalities must ensure that MOUs for ringfenced allocations are signed by Municipalities before 30 April 2026, failure to sign the MOU will result in withdrawal of the ringfenced allocation o ensure that designs are reviewed and approved by DSAC before appointment of contractor (before the advertisement of tender) o e ach benefitting municipality must establish the project steering committee, and involve all relevant stakeholders including PMU, community services Directorate, Local and District Sport Council, traditional councils, surrounding schools, MISA and Districts Department of Sport, Arts and Culture o attend the quarterly progress meetings arranged through provincial DSAC o attend progress site visit o municipality must communicate in writing any changes in terms of the scope of work Process for approval of 202 7/28 business plans Schedule 5, Part B x Municipalities must submit all technical reports to the sector departments responsible for water, sanitation, solid waste, sport and recreation, roads and transport by 31 July 2026 for all projects to be implemented in 2027/28 x The responsible sector department must evaluate reports and provide final recommendations to the municipality by 15 September 2026 x When projects are registered for 2027/28, the municipality must identify how each MIG infrastructure project is aligned to and/or supports their local economic development strategy x The municipality must submit all project registration forms by 30 September 2026, for the projects to be implemented in 2027/28, to the provincial department responsible for local government x The provincial departments must provide final recommendations to municipalities by 2 December 2026 x Municipalities must submit to DCoG by 1 February 2027, detailed project implementation plans for all the projects to be implemented in the 2027/28 and 2028/29 financial years x Such plans should include timelines regarding project designs, initiation of procurement, and environmental impact assessment (EIA) and/or relevant permit/license approvals in the prescribed format x Municipalities must submit updated implementation plans (as described above) by 29 April 2027, justifying any changes from the 1 February January 2027 submission x MISA must review and sign-off on technical and business plan reports of municipalities identified collaboratively between MISA and DCoG and its provincial counterparts as needing assistance [before submission to sector departments or Acquisition Committees], thereby acknowledging the appropriate use of alternative technology and good practices for MIG projects, including for feasibility studies, labour-intensive construction, operations and maintenance and integrated infrastructure asset management Schedule 6, Part B x DCoG will assess new municipalities on the following criteria for inclusion in 2026/27 to identify municipalities for possible conversion of a portion of the Schedule 5B allocations to Schedule 6B as per the SOP for schedule 6B that will include processes for the preparation for 2027/28 229 ELECTRICITY AND ENERGY GRANTS Integrated National Electrification Programme (Municipal) Grant Transferring department x Electricity And Energy (Vote 10) Grant schedule x Schedule 5, Part B Strategic goal x To increase access to electricity through funding alternative energy technologies, household connections and distribution bulk infrastructure (substations, medium and high voltage lines) to ensure constant supply of electricity x To reduce electricity consumption by promoting energy efficient practices Grant purpose x To implement the Integrated National Electrification Programme (INEP) by providing capital subsidies to municipalities to increase access to electricity, existing and planned residential dwellings (including informal settlements, farm dwellers, new and existing dwellings) and the installation of relevant bulk infrastructure x To provide subsidies to municipalities to accelerate the implementation of energy efficiency and demand side management (EEDSM) initiatives within municipal infrastructure in order to reduce electricity consumption and improve energy efficiency Outcome statements x Universal access to electricity x A reduction in household electrification backlogs x Increased energy efficiency and reduced demand for electricity Outputs x The number of household connections per annum x The number of installations with alternative energy technologies per annum x The number of substations completed x Kilometres of medium voltage lines completed x Implementation of labour-intensive delivery methods, in compliance with the Expanded Public Works Programme (EPWP) guidelines on electrification projects and the work opportunities created x Amount of electricity saved in kilowatt hours (kWh) x Number of energy efficient streetlights installed x Number of energy efficient traffic lights installed x Number of retrofitted buildings x Number of units of water services infrastructure retrofitted Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 5: Energy security and a just energy transition x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Output indicators x Projected energy savings x Key activities x Inputs (resources) Conditions x Municipalities must submit electrification business plans for bulk infrastructure to be registered with INEP and abide by the advice or guidance of the Department of Electricity and Energy (DEE) regarding the central planning and co-ordination for such bulk infrastructure x Municipalities must provide the DEE with a detailed project implementation plan during the first quarter of the municipal financial year x Bulk infrastructure can only be funded for infrastructure serving poor households (where infrastructure serves tariff-funded areas and poor households, costs should be shared) x INEP funds may be used for the refurbishment of critical infrastructure, only upon approval of a business plan submitted to the DEE x Municipalities must utilise their own funding if the subsidy is insufficient x Projects should be implemented as per the contract agreed between the DEE and the municipality, any deviations from the contract must be communicated to the DEE for approval x No contracts will be signed unless all the annexures are submitted by end April 2026 x No reimbursement will be made for projects that have been implemented without the prior approval by the DEE x Funds may only be used in line with the approved project implementation plan x Municipalities must spend at least 50 per cent of their previous transfer and comply with reporting provisions before the second and subsequent transfers are made x The maximum size of supply is 2.4 kVA after diversity maximum demand, standard installation of 20 Amp per household connection, in line with the Suite of Supply within the INEP Handbook Guideline (2022) x For projects that the municipality is planning to execute in the outer year, the DEE will fund the pre- engineering amount according to the Engineering Council of South Africa guidelines on professional fees 230 Integrated National Electrification Programme (Municipal) Grant x Municipalities must adhere to labour intensive construction methods in terms of the EPWP guidelines for activities such as trenching and the planting of poles, including the promotion of companies owned by vulnerable groups x Municipalities creating assets under the Eskom area of supply should enter into a Service Level Agreement with respect to the operations and maintenance of the asset x Funds earmarked for energy efficiency and demand management can only be used to implement electricity- saving projects in municipal infrastructure x The implementation of energy efficiency measures shall focus on municipal buildings facility, public lighting infrastructure, wastewater treatment works and pump stations x Municipalities must determine a detailed electricity consumption baseline in line with South African Standards (SANS 5002 and SANS 50010) x Municipalities must respond to the request for proposals issued by the DEE in the format provided x A performance agreement with specific conditions shall be entered into between the municipality and the DEE x The municipality shall prepare and submit a project work plan and business plan in the templates provided by the DEE x The municipality shall procure the streetlight luminaires as per the standardised technical specifications, and where possible in the panel of energy efficient technology suppliers listed by the transferring officer x A municipality may apply to the transferring officer, by no later than 31 July 2026 to utilise a maximum of 15 per cent of the total annual allocation to undertake specified planning activities to embed the Mitigation Action Facility project, provided that these conform to the list of eligible activities identified by the transferring officer, including: o investment pipeline development (excluding direct project preparation) o development of infrastructure financing strategies and instruments o utilisation of a minimum of 50 per cent capital expenditure as co- funding for the Mitigation Action Facility projects Allocation criteria x Allocations for this grant will be based on the following x An assessment of applications based on: o high backlogs; rural bias; number of planned households per project; past performance o integration with other programmes such as the district developmentmodel, the National Development Plan, catalytic projects, and mining towns o the financial, technical and staff capabilities to distribute electricity and expand and maintain networks o consultation with communities through the Integrated Development Plan (IDP) process o ensuring that universal access objectives are fast-tracked o connecting informal settlements where service delivery has been prioritised o new and upgrading of bulk infrastructure projects that support future electrification needs, and for refurbishment projects, where distribution network reliability adversely impacts economic activity and cannot sustain current electrification o municipalities that have responded to the request for proposals issued by the DEE and that show readiness and capacity to implement EEDSM projects o municipalities with higher electricity consumption and higher electricity saving potential as well as with clearly defined objectives on energy efficiency improvements o proposals that use proven energy efficient technologies with low pay-back periods o municipalities that are participating in the Mitigation Action Facility Support Project o good past performance if a municipality has previously participated in the programme o quality, viability and financial feasibility of proposed projects Reason not incorporated in equitable share x This is a specific conditional capital grant that supports both the electrification of households and the EEDSM programme Past performance 2024/25 audited financial outcomes - INEP x R1.7 billion was allocated and transferred to municipalities, of which R1.4 billion (82.3 per cent) was spent by the end of the financial year 2024/25 audited financial outcomes – EEDSM x R235 million was allocated and transferred to participating municipalities, of which R212 million (90.2 per cent) was spent by the end of the financial year 2024/25 service delivery performance – INEP x 52 954 households were connected including connections funded from roll-overs 2024/25 service delivery performance - EEDSM x A total electricity saving of 19.5MWh per annum was reported by municipalities against the total projected electricity consumption baseline of 21.5 MWh per annum Projected life x The grant will continue until 2028/29, subject to review MTEF allocations x 2026/27: R1.9 billion 2027/28: R2 billion 2028/29: R2 billion 231 Integrated National Electrification Programme (Municipal) Grant Payment schedule x Transfers are made in accordance with a payment schedule approved by the National Treasury Responsibilities of national transferring officer and receiving officer Responsibilities of national department x Agree with municipalities on outputs and targets x Continuously monitor implementation and provide support to municipalities x Verify reports from municipalities x Ensure that the payment schedule is aligned to the timelines for projected expenditure on each project x Enter into the Memorandum of Agreement (MoA) with municipalities x Monitoring and evaluation of the EEDSM programme including measurement and verification of energy savings x Make available to municipalities, the lighting technology technical specifications guideline and support them through capacity building workshops on best practices and pricing for EEDSM projects x Communicate to municipalities the process and requirements for obtaining EEDSM grant funds in 2026/27 x Develop a fair and open process to establish a panel of competent service providers with technical expertise and suppliers of energy efficient technology to support municipalities during the implementation of EEDSM projects x Provide technical support to municipalities participating in the Mitigation Action Facility support project of South Africa Responsibilities of Municipalities x Municipalities must appoint service providers by 01 July 2026 x Ensure that projects are implemented in line with what is reflected in the IDP of the municipality x Report accurately and timeously on the management of this grant and include invoices and EPWP information on their monthly reports, when reporting to the DEE x Maintain and operate electricity infrastructure in line with licence conditions x Agree and sign the addendum with the transferring officer after the reallocation of funds x Submit EEDSM proposals as per the request for proposals issued by DEE x Ensure that proposals are in the format and template provided by DEE x Implement the EEDSM measures as per the framework and contractual agreement x In the implementation of EEDSM projects, where necessary use service providers and/or energy efficient technology suppliers accredited and listed by DEE x Submit to the DEE detailed energy consumption baseline data and a business plan signed by the municipal manager before the start of the 2026/27 municipal financial year x Submit to the DEE the monthly, quarterly and annual performance reports approved by the Municipal Manager x In a case where a municipality delegates the implementation of the programme to its entity (i.e. Johannesburg City Power, Mangaung CENTLEC, etc.) such an entity shall enter into an implementation contract with the municipality for the purposes of reporting and accountability. A copy of this implementation contract must be shared with DEE Process for approval of 202 7/28 business plans x Application forms for INEP are sent to municipalities and the evaluation of all applications and business plan proposals received from municipalities is completed by 31 October 2026 x Appoint service providers during the last quarter of the 2026/27 financial year for projects to be funded in 2027/28 x Proposals for EEDSM must be submitted by 16 September 2026 and shall be evaluated against the in criteria set out in this framework and the request for proposals issued by DEE 232 Integrated National Electrification Programme (Eskom) Grant Transferring department x Electricity and Energy (Vote 10) Grant schedule x Schedule 6, Part B Strategic goal x To increase access to electricity through funding of alternative energy technologies, household connections and distribution bulk infrastructure (substations, medium and high voltage lines) to ensure constant supply of electricity Grant purpose x To implement the Integrated National Electrification Programme (INEP) by providing capital subsidies to Eskom to increase access to electricity, existing and planned residential dwellings (including informal settlements, farm dwellers, new and existing dwellings) and the installation of relevant bulk infrastructure in Eskom licenced areas Outcome statements x A reduction in household electrification backlogs x Universal access to electricity and improvement in distribution infrastructure reliability Outputs x The number of household connections per annum x The number of installations with alternative energy technologies per annum x The number of substations completed x Kilometres of medium voltage lines completed x Implementation of labour-intensive delivery methods, in compliance with the Expanded Public Works Programme (EPWP) guidelines on electrification projects and the work opportunities created Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 5: Energy security and a just energy transition x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Inputs x Output indicators x Key activities Conditions x Plans need to have undergone pre-engineering and project feasibility and be approved by the Director- General of the Department of Electricity and Energy (DEE) prior to implementation x Projects must be prioritised by municipalities in their Integrated Development Plans (IDPs) before being approved for INEP (Eskom) grant funding x Eskom must submit to DEE letters signed by municipal accounting officers to demonstrate that the municipalities are in agreement with the projects to be undertaken x Eskom to comply with the DEE’s requirements to provide approved bulk projects in their business plans x Eskom must spend at least 40 per cent of their previous transfers and comply with reporting provisions before subsequent tranches are transferred x By 30 December 2026, Eskom must have spent at least 60 per cent of their total INEP allocation, where allocations are equal or less than R800 million x All assets constructed through this grant must be ring-fenced on Eskom’s asset register as government assets and Eskom will be responsible for the operations and maintenance of these assets x Eskom must adhere to labour-intensive construction methods in terms of the EPWP guidelines for activities such as trenching and planting of poles including the promotion of companies owned by vulnerable groups x Ensure effective management of the Eskom municipality debt problem to prevent adverse effects on the implementation of the INEP Allocation criteria x Allocations to Eskom are made on behalf of municipalities based on applications from Eskom to the Department for all municipalities (licensed and non-licensed) according to the following criteria: o high backlogs o rural bias o integration with other programmes such as the district development model, the National Development Plan, catalytic projects, and mining towns o the cost of a project is within benchmarked norms and standards o the project is aligned with the IDP for a particular municipality Reasons not incorporated in equitable share x This is a specific conditional capital transfer for electrification of households and bulk infrastructure Past performance 2024/25 audited financial outcomes x The grant was allocated R2.2 billion and the entire amount was transferred to Eskom, which subsequently spent R1.4 billion (63.6 per cent) by the end of the financial year 2024/25 service delivery performance x 83 072 connections were completed at the end of the financial year (includes connections funded from roll- overs) Projected life x The grant will continue until 2028/29, subject to review MTEF allocations x 2026/27: R1.6 billion; 2027/28: R2.5 billion; and 2028/29: R2.5 billion Payment schedule x Payments are made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Review and approve Eskom’s outputs and targets x Continuously monitor implementation x Provide central coordination for bulk infrastructure x Approve submissions for refurbishment of critical infrastructure 233 Integrated National Electrification Programme (Eskom) Grant Responsibilities of Eskom x The maximum size of supply is 2.4 kVA, after diversity maximum demand, 20 Amp per household connection, in line with the Suite of Supply within the INEP Handbook Guideline (2022) x Implement INEP according to the approved implementation guidelines x Report to the DEE and the National Treasury on monthly and quarterly progress on financial and non- financial performance of the grant x Report accurately and timeously on EPWP information Process for approval of 202 7/28 business plans x Eskom and the DEE must ensure that all planned projects are in line with municipal IDPs and priority lists x Eskom and the DEE must ensure that planned projects are feasible and have gone through the pre-engineering process by 02 November 2026 234 HUMAN SETTLEMENTS GRANTS Informal Settlements Upgrading Partnership Grant: Municipalities Transferring department x Human Settlements (Vote 33) Grant schedule x Schedule 5, Part B Strategic goal x The creation of sustainable and integrated human settlements that enable improved quality of household life Grant purpose x To provide funding to facilitate a programmatic, inclusive and municipality-wide approach to the upgrading of informal settlements Outcome statements x Adequate housing in improved quality living environment x Enhanced institutional capabilities for effective coordination of spatial investment decisions x Security of tenure Outputs x The grant shall fund the outputs defined in Phases 1 – 3 of the Upgrading of Informal Settlements Programme (UISP) in the National Housing Code of 2009 Social Facilitation: x Number of informal settlements where community compacts were conducted Phase 1 x Number of pre-feasibility studies conducted x Number of informal settlements re-blocked Phase 2 x Hectares of land acquired as approved by the National Department as the Transferring Officer x Number of informal settlements benefitting from rudimentary services/interim municipal engineering services and/or any alternative technology x Number of engineering designs: water, sewer, roads and storm water drainage concluded x Number of layout plans approved Phase 3 x Number of settlements provided with permanent municipal engineering services and/or any other alternative engineering services x Number of informal settlements supplied with bulk infrastructure projects/services x Number of serviced sites developed x Number of socioeconomic amenities delivered x Number of sites transferred to end users x Number of township establishments registered Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant requires municipalities to attain municipal council approval on informal settlements to be upgraded in the 2026/27 financial year x Municipalities are required to submit an Informal Settlements Upgrading Business Plan, aligned with the Upgrading of Informal Settlements Programme (UISP) in the National Housing Code, for each settlement identified for upgrading. The plan must be prepared in accordance with the template prescribed by the Department of Human Settlements (DHS), which includes the following: o project description o settlement name and global positioning system coordinates o project institutional arrangements o outputs and targets for services to be delivered o cash flow projections o procurement plan o risk management plan o number of re-blocking projects to be undertaken x Number of jobs opportunities to be created x Detailed project plans to be submitted for bulk infrastructure projects x Professional fees including details of planning activities to be undertaken Conditions x Funds for this grant should be aligned to the priorities set out in the 2024-2029 Medium Term Development Plan for human settlements x Municipalities may utilise any of the stated outputs in the approved framework that are aligned to the sector standardised indicators and their Annual Performance Plans. Municipalities may request approval from the National Department for exemption to deviate from sector standardised indicators, that are not planned for the financial year x All projects that are listed in the business plan must be ready for implementation, registered on the Housing Subsidy System x Funds may only be used for disaster relief interventions in informal settlements based on a plan approved by the DHS x Funds should be utilised as per the UISP as defined in the National Housing Code x Business plans for this grant must be informed by the Municipal Informal Settlements Upgrading Strategy, which has to be aligned to the Provincial Informal Settlement Upgrading Strategy x Draft and final business plans for this grant must be aligned to municipal Integrated Development Plans x Municipal managers or duly delegated municipal officials must sign-off and confirm that projects captured in business plans are ready for implementation in the 2026/27 financial year and will yield the expenditure as per cashflows submitted x Final business plans must be submitted by 18 May 2026 x Municipalities should only implement projects in the approved upgrading plans and any deviation from the approved upgrading plans should be sought from the DHS 235 Informal Settlements Upgrading Partnership Grant: Municipalities x Metros should ensure that the allocation for land acquisition and related purposes is included in the business plans accompanied with a detailed motivation, a land assembly programme (with clear details of budget allocation for land acquisition, location of land and other related activities) for the medium-term expenditure framework (MTEF) period and a status report of previously acquired land including status of rezoning x Land acquisition, assembly and audit should be informed and accompanied by the human settlements comprehensive plan developed by the municipalities x There shall be no new acquisition of land parcels without the concurrence of the national department, including to respond to disaster incidents x Municipalities should ensure alignment between the infrastructure grants (provision of bulk) and the ISUPG x The transfer of the first tranche of funds is conditional upon the national Department of Human Settlements (DHS) approving the business plan and informal settlements upgrading plans per settlement consistent with the provisions of the Housing Act, and in compliance with the National Housing Code x The flow of the second tranche will be conditional upon the: o submission of the first quarter report, in line with the requirements of the Municipal Finance Management Act (MFMA) circular 88, signed off by the accounting officer of the municipality o submission of the report with financial and non- financial information aligned to the approved upgrading plans x The flow of the third tranche will be conditional upon submission of second quarter (both financial and non- financial) performance information, in line with the requirements of MFMA circular 88 x If a municipality is allocated additional funding or its funds are stopped and reallocated to another municipality, a revised business plan must be submitted for subsequent reporting x The payment schedules submitted by municipalities should be derived from and aligned to the cash flows contained in the approved business plans x A minimum of 70 per cent of the annual allocation must be used for delivery of serviced sites, including permanent municipal engineering services, in line with the MTDP targets x A maximum of 3 per cent of a municipality’s allocation may be utilised for the Operational Support Capital Programme as per the Operational Support Capital Programme Policy of the DHS x A maximum of 3 per cent of the total allocation should be earmarked for social facilitation x A maximum of 5 per cent of the annual allocation should be used for re-blocking x 1 per cent of the total allocation should be allocated to responding to fire-related disasters occurring within informal settlements x The grant shall not be utilised for operational requirements, including but not limited to honey suckers and maintenance of chemical toilets x Municipalities are allowed to shift budgets between projects in the business plan provided that: o no new projects are introduced into the business plan in- year without approval by the transferring officer o the delivery targets in the approved business plan are not reduced Allocation criteria x The grant is allocated to all metropolitan municipalities x These funds are determined through the USDG allocation formula Reasons not incorporated in equitable share x This is a conditional grant with a specific purpose to provide for the upgrading of informal settlements and other related aspects thereto Past performance 2024/25 audited financial outcomes x R4.5 billion was allocated and transferred to municipalities; and R4.4 billion (97.8 per cent) was spent 2024/25 service delivery performance x Service delivery performance is as indicated in the performance evaluation report for 2024/25 Projected life x This grant will continue until 2028/29, subject to review MTEF allocations x 2026/27: R4.4 billion; 2027/28: R5.1 billion; and 2028/29: R5.3 billion Payment schedule x Transfers will be made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Receive, assess and make determinations on the credibility of municipal informal settlements upgrading plans and the implementation readiness of projects captured therein x Develop a formal national bulk infrastructure planning framework in consultation with other sector departments, to guide sequencing, budgeting, and resource allocation across municipalities x Maintain the policy and programme and assist with interpretation of the policy, informal settlements upgrading business plans and individual upgrading plans x Monitor and evaluate municipal financial and non-financial grant performance and control systems including quarterly summary reports on performance related to the UISP x Provide implementation assistance support to municipalities as may be required x Undertake structured and other visits to municipalities as is necessary x Facilitate structured intergovernmental forums for regular interaction with municipalities x Identify lessons from the preparation and implementation of this window and use these to inform the design of the proposed new grant for informal settlement upgrading x The transferring officer should design and distribute a reporting template, before 1 July 2026, to be signed by a municipal manager or a duly delegated municipal officer to be submitted with monthly and quarterly reports by metropolitan municipalities 236 Informal Settlements Upgrading Partnership Grant: Municipalities x Use the grant to leverage other forms of funding x Prioritise implementation of the gazetted priority projects x Submit quarterly performance reports to National Treasury within 45 days after the end of each quarter x Submit an annual evaluation report for 2025/26 on the financial and non-financial performance of the grant to National Treasury by 30 October 2026 x Submit a report on the status of informal settlements and their categorisation in terms of the national upgrading support programme’s methodology, to the National Treasury Responsibilities of municipalities x Municipalities should ensure collaboration and involvement of communities and civil organisations in the signing of implementation protocols for projects to be implemented x Submit 2025/26 annual evaluation reports to DHS by 29 August 2026 x Initiate, plan and formulate applications for projects relating to the upgrading of informal settlements, which in the case of municipalities that are not accredited, must be in collaboration with the relevant provincial department x Develop long term municipal wide informal settlements upgrading strategy that will influence the annual business plan x Request assistance from the provincial department on any of the matters concerned if the municipality lacks the capacity, resources or expertise x Should ensure alignment between projected cash flows in the business plans and inputs into the payment schedule x Should ensure that the allocated grant funds are only used to implement the programmes and projects in the approved business plans x Municipalities must align their business plan with Municipal housing chapters of IDPs and Infrastructure Reporting Model (IRM) in terms of section 13(1)(a) of this Act x Implement approved projects in accordance with the UISP in the National Housing Code of 2009 x Fast-track the planning approval processes for informal settlements upgrading projects x Assume ownership of the engineering services installed x Manage, operate and maintain settlement areas developed under this programme x Coordinate and facilitate the provision of bulk and connector engineering services (including through funding from the main USDG) x Submit a report on the status of informal settlements in their municipal area and their categorisation (in terms of the National Upgrading Support Programme’s methodology) to DHS by 29 May 2026 x Identify lessons from the implementation of this grant and share these with DHS x Municipalities should submit a signed letter by a municipal manager or a delegated person, as an attachment to the monthly and quarterly reports x Detailed performance report per settlement (i.e., project level performance) report for phase 1-3 aligned to the business plan must be submitted quarterly x Municipalities must utilise the ISUP grant to leverage alternative financing mechanisms/instruments Municipalities must report quarterly on projects funded, in line with the requirements of the MFMA circular 88. Reporting must include financial and non-financial performance on progress against the UISP plans, using the template prescribed by the DHS x Municipalities must report on the percentage of their allocations awarded to companies owned by designated groups on a monthly and quarterly basis x Municipalities must submit financial performance reports by no later than 10 working days after the end of each month using a template as prescribed by DHS and signed by a municipal or duly delegated municipal official x The reports to be submitted by Municipalities must contain detailed performance report per settlement (i.e., project-level performance for Phases 1–3 aligned to the business plan) using the template prescribed by DHS and should be signed by the Municipal manager or a delegated municipal official x Each informal settlement should have a project specific upgrading plan available upon request by the DHS x Should on quarterly basis, report on the number of job opportunities created x Municipalities must submit monthly reports that include the outcome/effectiveness of the utilisation of the approved OPSCAP budget x After approval of rollover funds, Metros must submit an amended business plan with the rollover amount, and subsequent separate monthly progress reports on projects related to the approved rollover x A Metro that is allocated additional funding or reallocated funds that have been stopped from another Metro, must submit a revised business plan, and subsequent monthly progress reports on the use of the additional or reallocated funds Process for approval of 202 7/28 business plans x Municipalities must submit a comprehensive draft ISUPG plan (based on MFMA circular 88 indicators) with targets aligned to the MTDP, IDP and SDBIP and a draft and or approved municipal budget to the transferring officer for comment, by 24 March 2027 x Final business plans must be submitted by no later than 15 June 2027 237 Urban Settlements Development Grant Transferring department x Human Settlements (Vote 33) Grant schedule x Schedule 4, Part B Strategic goal x The creation of sustainable, reliable, quality infrastructure asset base to enable the development of integrated urban settlements that enable improved quality of household life Grant purpose x To supplement the capital revenues of metropolitan municipalities in order to implement infrastructure projects that promote equitable, integrated, productive, inclusive and sustainable urban development Outcome statements x The outcomes to be realised in order to promote integrated sustainable urban settlements and improved quality of living environments are as follows: o supporting inclusive densification and transit-oriented urban development, integrating existing and new urban developments o increased investment in existing and new bulk and distribution for urban developments o Increase access to the quality of water and sanitation , electricity and energy, and solid waste management services o increased bulk infrastructure capacity for municipal services o provide opportunities for leveraging of public funding within partnerships that promote integrated mixed-income and mixed-use urban development projects and funding for broader urban development o provision of resources for sustainable community development for social and economic infrastructure and meaningful participation Outputs x The following outputs should be funded by the grant to support the improvement of the overall built environment: o increased annual investment in renewal (rehabilitation and/or replacement) and expansion in municipal bulk and distribution infrastructure o increase in the provision of access to municipal bulk and link infrastructure , connector services and reticulations o increase in access to public and socio-economic amenities o construction/provision of internal engineering services, including backyarders and densification overlay zones o hectares of land already acquired as approved by the National Department of Human Settlements and rezoned for provision for subsidised housing, or mixed-use developments in support of approved human settlements and other urban developments o number of inner-city buildings renovated/refurbished Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses the Urban Settlements Development Grant (USDG) plan (containing a project list with project names, project descriptions, infrastructure classification, Geographic Information System (GIS) coordinates and wards in which projects are being developed. The USDG plan is consistent with the Integrated Development Plan (IDP), including the human settlements chapter of the IDP, and the Service Delivery and Budget Implementation Plan (SDBIP) of the receiving municipality x Name of the grant or fund for which USDG acts as supplementary, per project x Approved project budget and total project expenditure to date x Professional fees including details of planning activities to be undertaken Conditions x Municipalities must submit a USDG plan that is aligned to the SDBIP, IDP and the One Plan in pilot areas for the District Development Model to the national Department of Human Settlements (DHS) and National Treasury x Municipalities may utilise any of the stated outputs in the approved framework that are aligned to the sector standardised indicators and their Annual Performance Plans. Municipalities may request approval from the National Department for exemption to deviate from sector standardised indicators, that are not planned for the financial year x Land acquisition, assembly and audit should be informed and accompanied by the human settlements comprehensive plan developed by the municipalities x There shall be no new acquisition of land parcels without the concurrence of the National Department, including to respond to disaster incidents x The annual USDG plan must contain a project list with project names, project descriptions, classification of infrastructure, GIS coordinates and wards in which projects are being developed. The submission should include motivations of how the projects will benefit poor households and information on spatial targeting, co-funding and other associated investments x Municipalities must prioritise the completion of existing critical water, sanitation, roads, storm water and electricity projects by the end of the 2027/28 financial year x The flow of the first tranche is conditional upon: o approval of the municipal USDG business plan by the DHS o submission of the 2025/26 third quarter financial performance signed off by the municipal a ccounting officer or duly delegated official and non-financial information in line with the requirements set out in the Municipal Finance Management Act (MFMA) circular 88 o submission of a final USDG plan that is aligned to the municipal IDP, SDBIP and national priorities by 18 May 2026 x The flow of the second tranche will be conditional upon the submission of the 2025/26 fourth quarter financial performance signed off by the municipal accounting officer and/or duly delegated authority and non-financial information as per the requirements set out in the MFMA circular 88 238 Urban Settlements Development Grant x The flow of the third tranche will be conditional upon submission of second quarter financial performance signed off by the municipal accounting officer or duly delegated authority and non-financial information as per the requirements set out in the MFMA circular 88 x A maximum of 3 per cent of the USDG may be used to procure capacity to support the implementation of USDG human settlements programme outputs as contained in the Medium-Term development plan (MTDP) and in line with the capacity building guideline issued by DHS x Municipalities must indicate the amounts of their annual allocations for spending on the identified national priority projects as approved by the National Department x Municipalities must prioritise the implementation of projects that are in the gazetted Priority Human Settlements and Housing Development Areas subject to these projects being included in the municipal IDP x Municipalities may request in writing to the transferring officer to amend the approved business plans during the mid-term adjustment period. Approval is subject to the transferring officer’s concurrence. The following factors must be taken into consideration in the amendment of the business plans o the total grant allocation and delivery targets should be maintained unless the allocation has been stopped or reallocated in terms of sections 18 and 19 of the 2026 Division of Revenue Act (DoRA) o municipalities are allowed to shift budgets between projects in the business plan provided that no new projects are introduced into the business plan in-year without approval by the transferring officer the delivery targets in the approved business plan are not reduced x With approval by the transferring officer, municipalities may utilise funding for the procurement of specialised waste management vehicles servicing the poor. Municipalities must complete a technical assessment report (TAR) which must comply with the norms and standards for specialised waste management vehicles. The TAR must demonstrate that funds will solely be used for the expansion of waste management services to poor households previously under- serviced x An amount of R1.1 billion in 2026/27 is ring-fenced for the City of Johannesburg’s Lufhereng Mixed Use Development Programme approved through the Budget Facility for Infrastructure x Should there be a cost variation of more than 10 per cent on the Budget Facility for Infrastructure funded project, the City of Johannesburg is required to inform the National Treasury and the transferring officer within 30 days of confirming the cost variation Allocation criteria x The grant is allocated to all metropolitan municipalities x The base allocation is derived from the Municipal Infrastructure Grant formula explained in part 5 of annexure W1 of the 2026 Division of Revenue Bill. The formula incorporates household backlogs in basic services and access to socio-economic services and poverty-weighted data x The BFI allocations ring-fenced in this grant are application-based Reasons not incorporated in equitable share x This is a supplementary capital infrastructure grant with conditions, objectives and distribution criteria (including infrastructure backlogs) different to those of the equitable share Past performance 2024/25 audited financial outcomes x Of the R8.7 billion made available to municipalities, R8.6 billion (98.8per cent) was spent 2024/25 service delivery performance x Service delivery performance is as indicated in the performance evaluation reports for 2024/25 Projected life x This grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R4.1 billion; 2027/28: R2.9 billion; and 2028/29: R2.1 billion Payment schedule x Transfers will be made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Develop indicators for the outcomes and outputs x Convene a structured forum to meet with municipalities on a quarterly basis x Monitor and evaluate the municipal financial and non-financial performance of the grant, including quarterly summary reports on performance across municipalities x Provide support to municipalities with regard to human settlement programmes including but not limited to oversight visits to municipalities as may be necessary, facilitate strategic and spatial planning support related to urban development x Publish a guideline by 31 March 2026 on how municipalities should use capacity funds from this grant x Ensure collaboration between provinces and municipalities to promote area-based planning, budgeting and funding alignment as well as implementation support, where applicable x Coordinate and facilitate interaction between national departments, state-owned enterprises, other relevant entities of the state, provincial departments of human settlements and participating municipalities, on a quarterly basis x Participate in the municipal budget benchmarking process as and when indicated by the National Treasury x The transferring officer should design and distribute a template by 1 July 2026 to be signed by a municipal manager or a delegated municipal officer to be submitted with monthly and quarterly reports by metropolitan municipalities x The review of revised business plans must be finalised by the DHS within 14 days of submission by the municipality x Use this grant to leverage alternative financing mechanisms/instruments Responsibilities of other national sector departments x The Department of Electricity and Energy, Department of Water and Sanitation, Department of Environment, Forestry and Fisheries and the Department of Transport must all provide technical advice and support relevant to their sectors and monitor the performance of municipalities in line with the requirements set out in the MFMA circular 88 x National Treasury will issue guidance notes, on requirements for turnaround strategies, institutional reforms and business plans for the trading services financing component 239 Urban Settlements Development Grant Responsibilities of municipalities x Complete the business plan template and ensure accurate information and data is provided x Metropolitan municipalities may replace non-performing projects with performing projects providing a similar infrastructure that fulfils the same policy objectives. The performing projects should be from the approved business plans, and the replacement should not jeopardise the achievement of the overall MTSF targets committed to by the municipality x Changes to the project list of the approved business plan and within the same and related function must be reported quarterly to the DHS in writing and provide all the relevant details of the new project within 30 days after the end of the quarter x Should ensure that the allocated grant funds are only used to implement the programmes and projects in the approved business plans x Comply with the terms and conditions of the receiving officer outlined in the 2026 DoRA x Ensure effective and efficient utilisation of the grant and alignment to the purpose and outputs of the grant x Ensure compliance with required intergovernmental forums, reporting, and accountability frameworks for human settlements x Ensure that the USDG is used to meet municipal priorities x Municipalities should submit a signed letter by a municipal manager or a delegated authorised person as an attachment to the monthly and quarterly reports x Municipalities must report on the percentage of their allocations spent on service provided by companies owned by designated groups on a quarterly basis x Municipalities must report quarterly on projects funded, in line with the requirements of the MFMA circular 88. Reporting must include financial and non-financial performance on progress against UISP plans, using the template prescribed by the DHS x Municipalities must submit the financial performance reports within 10 working days after the end of the month x Use this grant to leverage alternative financing mechanisms/instruments x Municipalities must submit monthly reports that include the outcome/effectiveness of the utilisation of the approved OPSCAP budget x Municipalities are to use funds from this grant for inner city regeneration and reclamation of inner-city buildings through brown field projects x After approval of rollover funds, municipalities must submit an amended business plan with the rollover amount, and subsequent separate monthly progress reports on projects related to the approved rollover x A municipality that is allocated additional funding or reallocated funds that have been stopped from another Metro, must submit a revised business plan, and subsequent monthly progress reports on the use of the additional or reallocated funds Process for approval of 20 27/28 business plans x Municipalities must submit a comprehensive draft USDG plan (based on MFMA circular 88 indicators) with targets aligned to the MTDP, IDP and SDBIP and a draft and/or approved municipal budget to the transferring officer, by 23 March 2027 x The final business plans must be submitted by 17 May 2027 x The business plan will be finalised before the start of the municipal financial year 240 NATIONAL TREASURY GRANTS Infrastructure Skills Development Grant Transferring department x National Treasury (Vote 8) Grant schedule x Schedule 5, Part B Strategic goal x To improve infrastructure delivery management capacity within municipalities by developing a long- term and sustainable pool of registered professionals with built environment and related technical skills in engineering, town and regional planning, quantity surveying, geographic information systems and project management Grant purpose x To recruit unemployed graduates into municipalities to be trained and professionally registered as per the requirements of the relevant statutory councils within the built environment Outcome statements x Developed technical capacity within local government to enhance infrastructure provision, and service delivery, through improved infrastructure planning, implementation, operations and maintenance x Registered professionals with built environment qualifications (national diploma and/or degree) as per the statutory councils’ requirements x Increased number of qualified and registered professionals employed within local government Outputs x Number of built environment graduates registered as candidates for training and professional development as per requirements of the relevant statutory councils x Number of graduates recognised as registered professionals by the relevant statutory councils x Number of graduates employed as registered professionals within the built environment in local government Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions x The business plan must demonstrate that the municipality has projects in which the graduates can be trained, and provide the relevant complexity of work and responsibility that can support graduates to meet the registration requirements of the relevant statutory councils and the budget must be clearly outlined x Municipalities must have a Project Management Unit x The business plan must be signed by the municipal manager x Graduates must be seconded to an entity (public or private) if no relevant training is available to develop the necessary competence of the graduates x Where graduates are placed in another entity (public or private) a memorandum of agreement must be developed and signed between the municipality and the entity, according to Infrastructure Skills Development Grant (ISDG) guidelines. The memorandum of agreement must clearly demonstrate the supervision requirements and the roles and responsibilities of all parties associated with the training of graduates x Graduates must have a national diploma or degree in the built environment from higher education institutions i.e. universities or universities of technology recognised by the statutory council x Municipalities must provide training as per the road-to-registration requirements of the relevant statutory council x Mentoring must be provided by registered professionals in the same field as the graduates in training. The full names and proof of registration of the mentor must be submitted to the National Treasury, and a contract must be entered into with each mentor, in accordance with the ISDG guidelines x The ISDG funding is to be utilised exclusively for costs associated with the training and professional development process of graduates (refer to ISDG guidelines) x The business plan of a municipality must include an absorption strategy for the graduates within the municipality or any other municipality x A project administrator may be appointed per municipality for the purpose of the ISDG administration if approved by National Treasury (refer to ISDG guidelines) x Graduates are to be placed in units to support the management, maintenance and/or implementation of infrastructure, infrastructure related projects and accelerated service/infrastructure delivery x Graduates must be assigned to a supervisor with experience in the same field as the graduates-in- training x Graduates’ training progress is to be evaluated by professionally registered mentors on a quarterly basis and the development of the required competencies of graduates is to be evaluated bi-annually x Municipalities must submit monthly and quarterly reports timeously x Graduate reports and/or logbooks must be completed in the format of the statutory council and must be signed by the registered mentor/supervisor as required by statutory councils x Municipal Managers must sign a service level agreement (SLA) with the National Treasury and such an agreement must be adhered to x Non-compliance with the above conditions can result in the funds being withheld, stopped or re- allocated Allocation criteria x Allocations are based on business plans submitted and the ability of municipalities to provide training and professional development to graduates for the duration of the candidacy phase as stipulated by statutory councils 241 Infrastructure Skills Development Grant Reasons not incorporated in equitable share x This conditional grant is meant to develop technical skills within municipalities Past performance 2024/25 audited financial outcomes x R160 million was allocated and transferred to 18 municipalities and R154 million (96 per cent) was spent 2024/25 service delivery performance x The grant has created employment and training opportunities x Currently 400 graduates are in training x Since inception of the grant, 398 graduates have been professionally registered with the relevant statutory councils x 350 graduates are professionally registered and absorbed by the municipalities x The following municipalities hosted graduates through the grant: Buffalo City (20 graduates); Nelson Mandela Bay (37 graduates); eThekwini (64 graduates); City of Johannesburg (15 graduates); Polokwane (18 graduates); Govan Mbeki (67 graduates); Gert Sibande (58 graduates); Alfred Nzo (19 graduates); Sol Plaatje (13 graduates); John Taolo Gaetsewe (13graduates); King Sabata Dalindyebo (10 graduates); City of Cape Town (23 graduates); George (17 graduates); Alfred Duma (11 graduates); Thulamela (10 graduates); Vhembe (12); Ehlanzeni (7); Mafikeng (6). Projected life x The grant is expected to continue up to 2028/29 MTEF allocations x 2026/27: R180 million; 2027/28: R187 million; and 2028/29: R193 million Payment schedule x Transfers are made in accordance with a payment schedule approved by the National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Issue guidelines and supporting documentation for the implementation of the ISDG x Rollout the ISDG in municipalities in compliance with the ISDG framework, guidelines and relevant prescripts x Manage, monitor and report on the programme x Ensure professional development is aligned to statutory council requirements x Monitor the registration progress of graduates with the relevant statutory councils by municipalities x Monitor financial and non-financial performance of the ISDG x Maintain graduates’ database for the ISDG x Work with relevant stakeholders on policies, strategies and guidelines to recruit graduates into permanent positions in local government after they have registered as professionals x Participate in the review of the municipal capacity support system during 2026 Responsibilities of municipalities x Comply with the requirements of the 2026 Division of Revenue Act, ISDG guidelines, service level agreement and the requirements of the relevant statutory councils x Municipalities must prepare a structured training plan, indicating how graduates will be exposed to suitable projects, to ensure that graduates achieve competencies in relevant activities and are developed professionally to meet the outcome(s) requirements for professional registration x Seek and provide secondment opportunities/agreements with professional service providers, appointed by the municipality, when there is no more relevant work with adequate responsibility for the candidate to progress x Provide the candidate with the requisite workspace, supervisor, tools of profession/trade and logistics to perform the recommended activities within their training plans x Continuously review and assess the candidates’ work and progress on the road-to-registration and make recommendations for corrective action x Ensure that candidates attend professional development activities in accordance with their training plans, progress and the requirements of their respective statutory councils x Attend all meetings and workshops convened by the National Treasury relating to this grant x Support and supervise graduates on the road-to-registration training x Recruit professionally registered mentors who are able to provide the skills training required and ensure that they are adequately orientated on the registration process and its requirements x Manage the programme and provide progress reports on a monthly and quarterly basis in the standard reporting templates provided by the National Treasury x Manage the utilisation of ISDG funds and report to the National Treasury x The municipality must provide, and update, the list of business tools procured with ISDG funds. The business tools must be procured in accordance with ISDG guidelines x Municipalities must submit applications for graduates to register as candidates with the relevant statutory councils within six months, and where not initially eligible, must complete the additional requirements for acceptance as a candidate within 12 months of intake x Municipalities must submit evidence of the graduates’ registration to National Treasury when graduates have registered as professionals Process for approval of 2027/28 business plans x Participating municipalities must submit revised business plans to the National Treasury by 31 August 2026 242 Local Government Financial Management Grant Transferring department x National Treasury (Vote 8) Grant schedule x Schedule 5, Part B Strategic goal x To secure sound and sustainable management of the fiscal and financial affairs of municipalities Grant purpose x To promote and support reforms in financial management by building capacity in municipalities to implement the Municipal Finance Management Act (MFMA) Outcome statements x Strengthen capacity in financial management of municipalities x Improved and sustained skills development, including appointment of interns supporting the implementation of financial management reforms focusing on the gaps identified in the Financial Management Capability Maturity Assessments and as reflected in the Financial Management Grant (FMG) support plans x Appropriately skilled financial officers appointed in municipalities with financial management competencies beyond the minimum competencies’ regulations x Timely submission of all in-year reports, including the financial statements and improved audit outcomes Outputs x Number of municipal officials registered for financial management training x Number of interns serving on the internship programme x Number of municipalities that are compliant with the Standard Chart of Accounts (mSCOA) Outcome(s) of government that this grant primarily contributes to x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses a FMG support plan to direct resources towards addressing weaknesses in financial management Conditions x FMG funds can be used towards the following to improve institutional sustainability: o strengthen capacity and up-skilling officials in the budget and treasury office, internal audit and audit committees o a total of five interns in local municipalities and three interns in metropolitan and district municipalities must be appointed over a multi-year period. Municipalities must submit a plan for the retention of interns through the internship programme o acquisition, upgrade and maintenance of financial management systems to produce multi- year budgets, in-year reports, service delivery and budget implementation plans, annual financial statements, annual reports and automated financial management practices o support the training of municipal financial management officials towards attaining the minimum competencies, as regulated in Government Gazette 29967 of June 2007 amended through Gazette 41996 of October 2018 x FMG support plan must be consistent with the conditions of the grant and be submitted timeously x Timely submission of reports with complete information as prescribed in the 2026 Division of Revenue Act (DoRA) x Accommodation, Travel and subsistence allowance are not covered by the grant x Expenditure must be maintained at appropriate levels x Functional Disciplinary Boards consistent with chapter 15 of the MFMA read with the Municipal Regulations on Financial Misconduct Procedures and Criminal Proceedings with clear evidence of cases being processed through the board and finalised x Council approved UIFW reduction strategy with clear monthly milestones for reduction per category of expenditure x Clear demonstration of preventative controls that detect compliance risks timeously Allocation criteria x All municipalities benefit from the allocations to augment their own resources in support of implementation of the financial management reforms x Priority is given to municipalities: o with challenges/shortcomings in processes, procedures and systems to effectively implement the MFMA, as identified in the Financial Management Capability Maturity assessment o with poor audit outcomes Reasons not incorporated in equitable share x Grant provides direct support to municipalities to develop financial management and technical capacity for the implementation of the MFMA, its regulations and associated financial reforms Past performance 2024/25 audited financial outcomes x R582 million was allocated and transferred to 257 municipalities x R578 million was spent by municipalities 2024/25 service delivery performance x 257 municipalities submitted FMG support plans x 2 802 graduate finance interns were serving on the internship programme in municipalities as at 30 June 2025 x 4069 interns have been permanently appointed since 2000 in municipalities x 4367 officials received statements of results for attaining the minimum competencies x 257 municipalities are budgeting and transacting using the municipal standard charts of accounts Projected life x This grant ongoing subject to review 243 Local Government Financial Management Grant MTEF allocations x 2026/27: R614 million; 2027/28: R638 million; and 2028/29: R658 million Payment schedule x Transfers are made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Management, monitoring, and reporting on the programme x Transfer funds to municipalities in terms of the 2026 DoRA x Participate in the review of the municipal capacity support system during 2026 Responsibilities of municipalities x Submit support plans which are consistent with the conditions of the grant x Submit reports consistent with the reporting requirements in the 2026 DoRA x Undertake an assessment of the requisite skills and training needs in the Budget and treasury office, internal audit units in full-time employment, to enable the municipality to perform the functions required in the MFMA x Develop consultancy reduction plans on all financial management disciplines where consultants are appointed to perform such functions Process for approval of 2027/28 support plans x The programme is based on the FMG support plans which municipalities must submit to the National Treasury before the start of the municipal financial year 244 Neighbourhood Development Partnership Grant Transferring department x National Treasury (Vote 8) Grant schedule x Schedule 5, Part B Strategic goal x Eradicating spatial inequality towards the creation and development of more inclusive, liveable, sustainable urban built environment, resilient, productive, efficient, and integrated towns, intermediate cities and rural towns (rural regional service centres) Grant purpose x To plan, catalyse, and invest in targeted locations to attract and sustain third party capital investments aimed at spatial transformation, that will improve the quality of life, and access to opportunities for residents in South Africa’s targeted locations, under-served neighbourhoods, townships and rural towns in metro and non-metro municipalities x To support the targeted municipalities to develop a pipeline of investment ready capital programmes and projects through establishing and institutionalising an effective and efficient system of programme and project preparation as well as facilitate long term programmes/ projects that will attract private investment and assist non-metro municipalities to enhance revenues Outcome statements x Spatially integrated intermediate cities, towns and rural areas x Diversity of public and private capital investments leveraged into targeted locations x Improved ratio of Neighbourhood Development Partnership Grant (NDPG) to third-party capital investment into strategic locations x Improved municipal capacity to support infrastructure investment planning, prioritisation, and ability to drive long-term spatial transformation x Strengthened and effective system of programme and project preparation in non-metro municipalities x Improved social cohesion and strengthened social safety net Outputs x Targeted locations with catalytic projects, defined as either: o urban hub precincts with secondary linkages and rural regional service centres o catalytic programmes within integration zones o built environment upgrade projects in urban townships and rural towns o leveraged third-party capital investment into targeted locations x The production and dissemination of toolkits, guidance and/or good practice notes and supporting knowledge sharing events x Enhanced municipal strategic competencies in investment targeting, implementation, and urban management x Effective and transparent system for project approvals (clearly defined authorising environment) in the non-metro municipalities x Increased investment in programme and project preparation by the non-metro municipalities x Number of credible pipeline of projects developed by non-metro municipalities x Number of feasibility studies/strategies completed by non-metro municipalities Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Output indicators x Inputs x Key activities Conditions x Compliance with the aims and objectives outlined in the investment plans between the municipality and the transferring officer x Submission of cash flow schedules with budgets and timeframes for capital grant (project) implementation as requested by the transferring officer x Programme execution is dependent on a sequential and formal acceptance/approval by the transferring officer of NDPG-related municipal plans or deliverables x Municipalities must commit to forging partnerships with businesses, investors, communities, national and provincial government, and state-owned entities in order to leverage the third-party capital investment required to ensure long-term and sustainable outcomes for each precinct x Eligibility is restricted to non-metro municipalities which have committed to co- financing contributions x Transfers will be based on good performance in line with the work plans and approved projects submitted to National Treasury x Funds can only be spent on direct operating costs for programme and project preparation activities x Non-metro municipalities must commit to forging partnerships with businesses, investors, communities, national and provincial government and state-owned entities in order to leverage the third-party capital investment required to ensure long-term and sustainable outcomes Allocation criteria x The grant funds the following activities in targeted locations that are defined as urban hubs and regional service centres: o a llocations are determined via a pipeline of prioritised projects that have been identified through the planning process, in targeted locations. Funding allocation will be subject to submissions of business plans for approval by the NDPP for the planning and the development of catalytic programmes and projects o a llocations are focused on municipalities whose circumstances align with the NDPG’s criteria, these include higher population densities, diverse nature of economic activity, concentrations of poverty, inefficient spatial-historical development, improved connectivity and mobility (in particular through improved public transport networks) 245 Neighbourhood Development Partnership Grant o technical assistance allocations support planning and professional programme management costs for programmes and projects in targeted locations in order to attract and sustain third party capital investments based on the NDPG’s allocation criteria o rural towns are selected according to population or population growth, lo cation, economic potential and/or growth and governance and financial health o final allocations will be based on performance Reasons not incorporated in equitable share x This grant has a strong focus on catalytic nodal and linkage investment in targeted township locations that is not the focus of the equitable share x The grant provides funding to intermediate city municipalities to enhance the performance of their urban built environment programmes by supporting programme and project preparation. It reflects commitments contained in the National Development Plan to streamline funding for urban public investments to support the restructuring of the urban built environment Projected life x This grant is slated for a phased conclusion by 2028/29 MTEF allocations x 2026/27: R428 million; 2027/28: R263 million and 2028/29: R66 million Payment schedule x Transfers are made in accordance with a payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Funds catalytic projects in targeted locations that are defined either as urban hubs, integration zones, catalytic programmes or as built environment upgrade projects in urban and rural towns, including: o notifying all municipalities of their allocation status o reporting in terms of the 2026 Division of Revenue Act (DoRA) o determining grant allocations for the Medium-Term Expenditure Framework period o governing the acceptance or approval milestones of NDPG- related municipal plans or deliverables o monitoring, managing and evaluating financial and non-financial performance o overseeing and enforcing the conditions of this grant o p roducing and disseminating toolkits, guidance and good practice notes that strengthen competencies and capabilities in investment targeting, implementation and urban management Responsibilities of municipalities x Compile and submit monthly and quarterly expenditure and progress reports in line with NDPG requirements and as stipulated in the 2026 DoRA x Submit a cash flow schedule and work plan of activities with budgets and timeframes for grant planning and implementation as requested by the transferring officer x Provide adequate human resources capacity for the successful coordination and implementation of NDPG projects x Coordinate the development of related municipal plans or deliverables and ensure that they are aligned with the grant objectives against which performance will be assessed x Manage and monitor capital grant planning and implementation ensuring sound financial management and value for money x Maintain accurate and up to date grant and performance information as specified in NDPG management information formats and systems x Engage stakeholders to develop partnerships that leverage funding into the targeted locations x Enter and manage partnerships agreements to ensure that the desired project deliverables and objectives are met x Collect and provide evidence of funding leveraged into each precinct x Mainstream and reflect the NDPG development strategies and plans across the municipality, i.e., through the municipal: o Spatial Development Frameworks and capital i nvestment frameworks (as a chapter in the municipal Spatial Development Framework) o Integrated Development Plans Process for approval of 202 7/28 business plans x Submission of NDPG related municipal plans and/or deliverables within defined timeframes for the completion of projects currently in implementation x Plans and/or deliverables for these active projects must include an indication of: o the ability to attract and report on third-party funding leveraged o the quality of performance and progress reporting o t he level of NDPG alignment across all municipal development strategies and plans including coordination, targeting, and prioritisation with other related capital projects as reflected through municipal spatial development frameworks and capital investment frameworks o activities relating to the establishment and institutionalisation of programme and project preparation timeously on an annual basis x Municipalities must submit close-out project and programme preparation work plans for review and approval, annually by July 246 Urban Development Financing Grant Transferring department x National Treasury (Vote 08) Grant schedule x Schedule 4, Part B Strategic goal x To increase investment in resilient infrastructure and spatially targeted urban development in metropolitan municipalities x To eradicate spatial inequalities for sustainable and efficient urban services and spaces that grows the economy and contributes towards financially sustainable metropolitan municipalities Grant purpose x To promote spatially transformed cities with financially sustainable trading services that are able to meet their service delivery mandates x To support metropolitan municipalities with resilient infrastructure investment, including programme and project preparation to enable them to leverage additional concessionary and commercial loan finance to enhance sustainable infrastructure investment Outcome statements x To operate as a performance-based finance incentive grant for metros to achieve the following outcomes: o improved financial sustainability, investment in new and existing infrastructure, efficiencies, and service delivery from trading services o s trengthened and effective system of programme and project preparation in the metropolitan municipalities o improved municipal capacity to support infrastructure investment planning and prioritisation that supports long-term spatially transformed and integrated cities o improved social cohesion and strengthened social safety net o i ncreased leveraging of private sector investment in municipal infrastructure and urban development (specifically in strategic targeted nodes), as well as increased diversity of public and private capital investments leveraged into targeted locations Outputs x Increased annual investment by the Metro in renewal (rehabilitation and/or replacement) and expansion in municipal bulk, and distribution infrastructure for the three trading services x Timebound operating investments to improve performance and management capacity of the three trading services x The production and dissemination of toolkits, guidance and/or good practice notes and supporting knowledge sharing events x Enhanced municipal strategic competencies in investment targeting, implementation, and urban management x Urban networks anchored by spatially targeted nodes, supported by robust investment plans and well- coordinated intergovernmental project pipelines. x Increased number of credible catalytic programmes and projects that have successfully undergone the project preparation process. The prioritised projects in spatially targeted nodes should be prepared with the objective of implementation through a funding mix that includes alternative funding streams Outcome(s) of government that th is grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plans The following will be contained in the grant guideline documents: x Outcome indicators x Output indicators x Inputs x Key activities Conditions x Access to the metro trading services programme and eligibility for the grant is based on achieving the required audit outcomes and compliance with the submission requirements for Metro trading service turnaround strategies, Institutional reform roadmap, relevant versions of the business and investment plans and Performance Improvement Action Plans including the commitment to or achievement of the 8 minimum commitments where relevant x The grant is disbursed based on metro achievement of KPIs and targets in Performance Improvement Action Plans for each trading service verified by an Independent Verification Agent (IVA) as per the process set out in the Programme Operations Manual x Subsequent annual allocations will be adjusted subject to progress against the KPIs/targets set in the Performance Improvement Action Plans x A maximum of 10 per cent of the funds allocated for trading service investment can be spent on direct operating costs as per the programmes in the Performance Improvement Action Plans x Compliance with the aims and objectives outlined in the investment plans between the municipality and the transferring officer x The grant funds the following activities in targeted locations: o planning and the development of catalytic programmes and projects o the development of built environment upgrade projects in townships and key nodes x Transfers for project preparation support will be based on performance in line with the work plans and approved projects submitted to National Treasury x Metropolitan municipalities must commit to forging partnerships with businesses, investors, communities, national and provincial government and state-owned entities in order to leverage the third-party capital investments required to ensure long-term and sustainable outcomes and investing their own revenues x An amount of R54 million and R575 mil in 2026/27 is ring-fenced for the implementation of the Non- Revenue Water project in eThekwini Metropolitan and the alternative Waste Treatment Technology City of Johannesburg Municipalities through the Budget Facility for Infrastructure (BFI), and may only be used for the respective purposes of the project approved 247 Urban Development Financing Grant x Should there be cost variations of more than 10 per cent on a Budget Facility for Infrastructure funded project, the relevant municipality is required to inform the National Treasury and the transferring officer within 30 days of confirming the cost variations Allocation criteria x This grant will be disbursed based on the progressive achievement of clearly defined milestones linked to: o improvements in governance and accountability o financial performance, and o service delivery performance x For Metro Trading Services Financing, allocations will comprise of: o incentive allocations for eligible metros for each trading service from 2026/27 taking into account population and poverty as variable weights in the allocation formula o allocation may be adjusted according to annual verification of metro performance against targets in the Performance Improvement Action Plans x For Neighbourhood Development, allocations will comprise of the capital grant project support allocations determined via a pipeline of prioritised projects that have been identified through the planning process, in targeted locations. Funding allocation will be subject to submissions of business plans for approval by the NDPP x For Programme and Project Preparation Support, allocations will comprise of the current project preparation allocations for the completion of approved projects and programmes. The rest of MTEF allocations after 2026/27 should be allocated towards the Metro trading services infrastructure investments x The BFI allocations ring-fenced in this grant are application-based Reasons not incorporated in equitable share x The grant provides funding to the metropolitan municipalities to enhance the performance of their urban built environment programmes by supporting programme and project preparation and it has a strong focus on catalytic nodal and linkage investment in targeted township locations that is not the focus of the equitable share x This is a supplementary capital infrastructure grant to incentivise financially sustainable metropolitan trading services that can sustain their long-term capital investment requirements, hence conditions, objectives and distribution criteria (including financial sustainability) are different to those of the equitable share Past performance 2024/25 audited financial outcomes x Not applicable 2024/25 service delivery performance x Not applicable Projected life x This grant continues until 2031/32, subject to review MTEF allocations x 2026/27: R9 billion; 2027/28: R10 billion; and 2028/29: R12.6 billion Payment schedule x Transfers will be made in accordance with a payment schedule approved by National Treasury based on cash flow submissions Responsibilities of the transferring officer and receiving officer Responsibilities of the National Treasury x Fund plans and catalytic projects in targeted locations that are defined either as urban hubs or integration zones in metropolitan municipalities, and develop Performance Improvement Action Plans and progress reporting templates for metros x Fund eligible business plans for each sector as per metro achievement of KPIs and targets in Performance Improvement Action Plans for each trading service x Notifying all municipalities of their allocation status, both directly and via the Division of Revenue Act ( DoRA) x Provide operational guidelines, facilitate peer learning and provide capacity support through the Cities Support Programme and the Neighbourhood Development Partnership Programme Responsibilities of municipalities x Prepare credible business plans/priority programmes and projects to National treasury x Compile and submit monthly and quarterly expenditure and progress reports in line with the requirements and as stipulated in the 2026 DoRA and as may be specified by the National Treasury x Submit a cash flow schedule with budgets and timeframes for technical assistance and/or capital grant implementation as may be requested by the transferring officer x Municipalities must confirm within the work plan that a financing plan with associated co-funding agreements will be in place prior to implementation of the capital project, unless an exemption to co- funding requirements has been approved by National Treasury x Must prepare and submit Council approved Performance Improvement Action Plans documents that are both aspirational and realistic, with clear targets as well as a budget and funding (incl. the grant and other sources) for the proposed activities x Submit a signed letter by a municipal manager or a delegated authorised person as an attachment progress report x Mainstream and reflect the spatial targeting and urban network strategies across the municipality, i.e. through the municipal: o Spatial Development Frameworks and capital investment frameworks (as a chapter in the municipal Spatial Development Framework) o Integrated Development Plans Process for approval of 2027/28 business plans Municipalities x Submission of NDPP related municipal plans and/or deliverables within the timeframes defined in each municipality’s own work plans in relation to priority catalytic projects /programmes funded under the NDPP window x Plans and/or deliverables must include an indication of: o the ability to attract and report on third-party funding leveraged 248 Urban Development Financing Grant o the quality of performance and progress reporting; and o the level of NDPP alignment across all municipal development strategies and plans including coordination, targeting, and prioritisation with other related capital projects as reflected through municipal spatial development frameworks and capital investment frameworks x Submit Council-approved Performance Improvement Action Plans timeously x Submit progress reports timeously x Uploading of the relevant evidence of performance against minimum commitments and performance indicators by 15 th August 2026 and 30 September 2026 for verification by the IVA Transferring Officer x Issue approval letters for which transfers/disbursements for each trade service will/are made against x Guidelines with allocation splits to be sent in advance before the commencement of each municipal financial year x Compile and submit monthly and quarterly expenditure and progress reports in line with the requirements and as stipulated in the 2026 DoRA 249 Smart Meters Grant Transferring department x National Treasury (Vote 8) Grant schedule x Schedule 6, Part B Strategic goal x To achieve financial sustainability and improved management in municipal electricity/water services, and generate pre-service cash Grant purpose x To enable municipalities to implement bi-directional smart metering systems and smart solutions Outcome statements x Enhanced oversight of revenue and financial management controls for greater accountability x Optimised cash generation and cashflow through the implementation of prepayment systems for electricity/water service x Streamlined operations in electricity/water distribution and revenue generation for increased efficiency x Sustainable electricity/water operations for long-term viability x Cost-efficient trading services that reflect accurate pricing to ensure self-sustainability Outputs x Number of smart bi-directional meters and smart solutions for water (smart IoT Water Meters Ultrasonic and Mechanical Water Meters with remote management capabilities and Automated Meter Readers (AMR’s), Positive Displacement Meters, Smart Leak Detectors, Velocity Meters, Single Jet Meters, Multi-Jet Meters, Turbine Meters, Electromagnetic Meters), and electricity (one and three phase Electrical Meters, LPU CT Meters, Check Meters for Eskom Intake, Zonal Meters and Statistical Meters) installed on behalf of the municipality x Number of bulk meters for water and electricity installed on behalf of the municipality x Reduction of technical distribution losses pertaining to the municipal electricity/water function x Percentage and Rand value improvement in revenue collection vs the baseline (collection prior to implementation) Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Output indicators x Key activities x Inputs (resources) Conditions x By April 2026, municipalities must submit to the National Treasury: o council-approved smart meter business plans in the prescribed format with all required information; and o signed contracts (including annexures) within 10 working days of the National Treasury's request. The accounting officers of municipalities must reprioritise an existing technical services resource in the municipality to fulfil the meter implementation-and-monitoring function of overseeing and managing all the metering systems in the municipality (electricity and water meters) x In the third year of implementation, participating municipalities must gradually adjust tariffs to reflect the costs of smart meter maintenance and related grid systems x Municipalities must prioritise revenue collection improvements resulting from the installation x Funds may only be used in accordance with approved project plans. Council and National Treasury must give written approval for any amendments to the plans prior to implementation x Municipalities must enforce credit control and reporting, including in Municipal Standard Chart of Accounts (mSCOA) and as required by National Treasury, for a minimum of five years after benefiting from the grant and in alignment with municipal debt relief programme Allocation criteria x In the 2026/27 financial year, the grant will prioritise municipalities in the debt relief programme x Of the municipalities who have applied, preference will be given to those with: o council-approved business plans (per customer category and ward) o high potential for revenue generation/protection o high potential reduced electricity/water loss o viable and feasible projects o integrated meter implementation/monitoring with staff capabilities Reasons not incorporated in equitable share x This is a specific purpose grant with conditions, objectives and allocation criteria different from that of the equitable share Past performance 2024/25 audited financial outcomes x Not applicable 2024/25 service delivery performance x Not applicable Projected life x This grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R796 million; and 2027/28: R828 million and 2028/29: R853 million Payment schedule x Payments are made in accordance with a payment schedule approved by National Treasury after verification of work performed Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Appoint the service providers in terms of the RT29 transversal tender to implement the smart solution x Agree with municipalities on outputs and targets x Continuously monitor implementation and provide support to municipalities x Verify reports from the appointed service providers and municipalities x Enter into an MoU with benefiting municipalities regarding roles and responsibilities, synchronisation of the systems, ownership, funding arrangements, and operation and maintenance of proposed smart solution prior to the commencement of implementation 250 Smart Meters Grant x Ensure that suitable agreements in terms of operation and maintenance plans are in place x Upon receipt of invoices from National Treasury’s contracted service providers, Project Management Unit must verify work done before making payments x Enter into the contract with municipalities and the National Treasury appointed service providers Responsibilities of municipalities x Monitor and ensure that projects are implemented in line with what is reflected in the Integrated Development Plans (IDPs) and approved business and project implementation plan of the municipality x Once a project is completed, ensure adherence to operations and maintenance plans and/or any other requirements agreed to as part of the funding agreement contained in the MoU, and ensure the sustainability of the solution x Abide by National Treasury’s planning and coordination for smart meter systems and related infrastruc ture x The municipality must make a facility available for the back-office monitoring x Municipalities must pro-actively, parallel undertake public consultation process(es) for their business plans in ward(s) and for the customer category(s) earmarked in their applications as part of their IDP consultation processes x Track the saving emanating from the initiative in line with reporting requirements set by National Treasury x Accurately report grant management and submit service provider milestones, invoices, and reports to National Treasury x Establish/maintain meter implementation and monitoring function within two months of approval x Operate smart meters and system according to contract/license conditions x Undertake public consultation for business plans in relevant ward(s) and customer category(s) Process for approval of 2027/28 business plans x Application forms will be sent to municipalities, and all received applications and business plan proposals (with council resolution support) will be evaluated and finalised by 31 March 2026 251 PUBLIC WORKS AND INFRASTRUCTURE GRANT Expanded Public Works Programme Integrated Grant for Municipalities Transferring department x Public Works and Infrastructure (Vote 13) Grant schedule x Schedule 5, Part B Strategic goal x To provide Expanded Public Works Programme (EPWP) incentive funding to expand job creation efforts where labour-intensive delivery methods can be maximised Grant purpose x To incentivise municipalities to expand work creation efforts through the use of labour-intensive delivery methods in the following identified focus areas, in compliance with the EPWP guidelines: o road maintenance including but not limited to block paving and pothole patching o maintenance of buildings o low traffic volume roads and rural roads o basic services infrastructure, including water and sanitation reticulation (excluding bulk infrastructure) o other economic and social infrastructure o tourism and cultural industries o waste management and cleaning services o parks and beautification o sustainable land-based livelihoods o energy including but not limited to retro-fitting and solar o home community based care services o early childhood development services o community nutrition programme o community safety programme o sports programme o other social services programmes Outcome statements x Contribute towards increased levels of employment x Improved opportunities for sustainable work through experience, learning gained and skills development Outputs x Number of Full-Time Equivalents (FTEs) to be created through the grant x Number of people employed, trained and receiving income through the EPWP in the social, infrastructure and environment and culture sectors x Number of days worked per work opportunity created Outcome(s) of government that this grant primarily contributes to x Outcome 1: Increased employment and work opportunities x Outcome 16: Improved service delivery at local government Details contained in the business plan x The programme is implemented through municipalities using EPWP integrated agreements and project lists that specify the number of FTEs, work opportunities to be created, and participants to be trained Conditions x EPWP projects must comply with the project selection criteria determined in the EPWP grant manual, the EPWP guidelines set by the Department of Public Works and Infrastructure (DPWI), the EPWP Ministerial Determination, the EPWP Recruitment Guidelines and the National Minimum Wage Act of 2018 including applicable gazettes x Municipalities must register all EPWP projects on the DPWI’s EPWP reporting system x Project data reports must be loaded and updated on the EPWP reporting system every month. The system closes 15 days after the end of every quarter in order for progress to be assessed x Municipalities must maintain participants and payroll records as specified in the audit requirements in the EPWP grant manual and the Ministerial Determination x The EPWP grant cannot be used to fund the costs of permanent municipal personnel, however, a maximum of 5 per cent of the grant can be used to fund contract-based capacity required to manage data capturing and on-site management costs related to the use of labour-intensive methods x The EPWP grant can only be utilised for EPWP purposes, for projects only approved in each municipality's project list x To receive the first tranche of the allocation, eligible municipalities must submit signed EPWP integrated grant agreement and project list including a training plan by 30 June 2026 x Subsequent grant disbursements are conditional upon: o eligible municipalities reporting EPWP performance on the EPWP reporting system within the required timeframes o compliant reporting on EPWP Integrated Grant-funded projects and training o submitting on a quarterly basis, non-financial reports including the last quarter of the previous financial year o reporting on EPWP Integrated Grant expenditure monthly within the required time frames x Municipalities must implement their approved EPWP project list and meet agreed targets x Municipalities must ensure that EPWP branding is included as part of the project cost in line with the DPWI’s corporate identity manual x Municipalities must ensure that a minimum of 2 per cent and a maximum of 5 per cent of the grant allocation must be used for training of participants Allocation criteria x To be eligible for an EPWP grant allocation in 2026/27, a municipality must have reported at least 13 FTEs in either the infrastructure sector, social sector or environment and culture sector in the 2024/25 financial year. x Allocation criteria include: 252 Expanded Public Works Programme Integrated Grant for Municipalities othe number of FTEs created in the prior 18 months o past performance with regard to labour intensity in the creation of EPWP work opportunities o poverty headcount as a percentage from Community Survey 2016 o rural bias o penalties are applied to municipalities that are non-compliant with the Division of Revenue Act Reasons not incorporated in equitable share x This grant is intended to fund the expansion of labour intensity in specific focus areas as well as to incentivise increased EPWP performance. The grant is based on performance, the potential to expand and the need for EPWP work in key focus areas Past performance 2024/25 audited financial outcomes x The grant had an allocation of R560 million, 257 municipalities were eligible for the grant and 100 per cent of the allocation was transferred to these municipalities. R555 million of the transferred funds was spent by the end of the financial year 2024/25 service delivery performance x 52 046 work opportunities were reported by 257 municipalities and validated on the EPWP system x 23 849FTE jobs were reported by 257 municipalities and validated on the EPWP system x Average duration of the work opportunities created has increased to 105 days Projected life x Grant continues until 2028/29, subject to review MTEF allocations x 2026/27: R586 million; 2027/28: R614 million; and 2028/29: R633 million Payment schedule x Transfers are made in accordance with a payment schedule approved by the National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Determine eligibility and set grant allocations and FTE targets for eligible municipalities x Publish on the EPWP website all documents relevant for municipalities to understand and implement the grant, including a grant manual, the relevant EPWP guidelines, the EPWP Ministerial Determination and the National Minimum Wage Act including applicable gazettes x Support municipalities in the manner agreed to in the grant agreement, to: o identify suitable EPWP projects and develop EPWP project lists in accordance with the EPWP project selection criteria o apply the EPWP project selection criteria and EPWP guidelines to project design o report using the EPWP reporting system project implementation information including project outputs and expenditure x Monitor the performance and spending of municipalities according to the signed incentive agreement and assess progress towards their implementation of the EPWP project list x Disburse the grant to eligible municipalities that comply with the DoRA requirements x Report to the National Treasury progress against FTE targets and spending against the grant allocation within 45 days after end of each quarter x Conduct data quality assessments on a continuous basis, to support good governance and identify areas for administrative improvement x Manage the EPWP coordinating structures in collaboration with provincial coordinating departments to support implementation, identify blockages and facilitate innovative solutions x Conduct site visits to verify existence of the projects and identify where support is needed Responsibilities of the eligible municipalities x Develop an EPWP project list and sign the standard funding agreement with DPWI by 30 June 2026, agreeing to comply with the conditions of the grant before receiving any grant disbursement x Agree on the areas requiring technical support from DPWI upon signing the grant agreement x Ensure that reporting is done within the timelines stipulated in the grant agreement and that compliant information is captured in the EPWP reporting system x Municipalities must maintain participant payroll records as specified in the audit requirements in the EPWP grant manual, and make these available to DPWI for data quality assessment tests x EPWP work opportunity reports must be captured on a monthly basis in order for progress to be assessed x Submit quarterly non-financial reports 30 days after the end of each quarter Process for approval of 202 7/28 business plans x Municipalities must report performance on EPWP projects for the 2025/26 financial year by 15 October 2026 to be eligible for a grant allocation x Municipalities must submit a signed EPWP integrated agreement and project list by 30 June 2027 253 TRANSPORT GRANTS Public Transport Network Grant Transferring department x Trans port (Vote 40) Grant schedule x Schedule 5, Part B Strategic goal x To support the National Land Transport Act (Act No. 5 of 2009) and Public Transport Strategy (PTS) and Action Plan in promoting the provision of accessible, reliable, and affordable integrated municipal public trans port network services Grant purpose x To provide funding for accelerated construction and improvement of public and non-motorised transport infrastructure that forms part of a municipal integrated public transport network x To support the planning, regulation, control, management and operations of fiscally and financially sustainable munici pal public transport network services Outcome statements x Improved public transport network infrastructure and services that function optimally and are safe, convenient, affordable, well managed and maintained x Public transport systems that are accessible to an increasing percentage of the population of urban munici palities and contribute to more spatially efficient urban areas Outputs Network Operations Component x Number of average weekday passenger trips carried on Public Transport Network Grant (PTNG) funded networks x Number and percentage of municipal households within a 500m walk to an integrated public transport network (IPTN) station or stop that has a minimum peak period frequency of 15 minutes or better x Percentage uptime for network operating systems as a proportion of the network’s public operating hours x Passengers per network vehicle per average weekday Network Infrastructure Component x Public transport network infrastructure including dedicated lanes; routes and stops/shelters; stations; depots; signage, audio and visual information displays; control centres and related information technology; fare systems and vehicles if the national Department of Transport (DoT) in consultation with National Treasury approves use of grant funds to purchase vehicles; non-motorised transport (NMT) infrastructure that supports network integration including but not limited to sidewalks, cycleways, cycle storage at stations x Plans and detailed desi gns related to IPTN infrastructure and operations Outcome(s) of government that this grant primarily contributes to x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses IPTN operational and related plans that include financial modelling Conditions x No new phases will be considered during the winding down phase x Projects must still be based on, and form part of, a strategic, municipal wide, long-term IPTN plan and strategy approved by the municipal council x Projects funded by this grant must be based on an operational and business plan, which must include a multi- year financial operational plan approved by the municipal council. This multi-year financial operational plan must cover the full duration of any contracts for each phase funded by the PTNG and include operating and maintenance costs and universal design access plans x Projects must support an integrated multi-modal network approach as defined in the National Land Transport Act (NLTA) and the Public Transport Strategy. Municipalities must manage operations to progressively achieve the standard of service defined in the Public Transport Strategy within available resources x Projects should follow an environmental strategy and consider energy efficiency and environmental aspects, such as emission standards; therefore, IPTN vehicle fleet procurement must be zero emissions technology unless exempted by DoT x The first tranche is subject to submission of milestones in terms of the template determined by DoT by 02 June 2026 or within seven working days upon adoption/approval by the municipal council, as part of the annual budget appropriation x Subsequent payments will be conditional on the attainment of previously funded milestones as specified in the grant allocation letter to each municipality from the DoT. Milestones are based on the approved IPTN operational plans of cities and are defined after consultation with municipalities x To prevent fiscal dumping, municipalities must demonstrate that all expenditure in the final years of the grant is aligned with approved milestones and delivers value for money. Expenditure patterns will be closely monitored, and any evidence of rushed or low-quality spending may result in claw-back or withholding of future transfers x All public transport infrastructure and services funded through this grant must ensure that there is provision for the needs of special categories of passengers in line with the requirements of section 11 (1)(c)(xiv) of the NLTA x Allocations for this grant are made to fund the finalisation of ongoing projects that will not expand spending under the grant. Only projects that have or are near to completing implementation and operations will continue to be supported x Implementation of existing network phase(s) is funded through two components, with separate conditions applicable to each component as set out in the allocation criteria section below x Allocations for the Network Operations Component will be determined by DoT once municipalities submit an annual operations plan including financial forecasts for 2026/27 by 02 June 2026 or within seven working days, upon adoption/approval by the municipal council, as a part of the annual budget appropriation, funds from either component can be shifted to the other if approved by DoT and National Treasury x The second tranche is subject to cities submitting, by 31 July 2026, an updated multi-year financial operational plan (approved by council) for the duration of the vehicle operating contract/s pertaining to any phase on which the 2026/27 grant funds will be spent 254 Public Transport Network Grant x All new intelligent transport solutions (ITS) related contracts that will incur grant expenditure must be jointly approved by DoT and National Treasury before grant funds may be spent on them x Project Management costs and Industry Transition related costs (excluding compensation for operating licences) combined, are not to exceed 5 percent of the annual transfers of this grant unless approved by DoT x An amount of R1.8 billion in 2026/27 is allocated to the City of Cape Town, as per the cash flow schedule for the MyCiti Phase 2A project, funded through the Budget Facility for Infrastructure (BFI) and may only be used for that purpose. Should there be cost variations of more than 10 per cent on the BFI funded project, the municipality is required to inform National Treasury and the transferring officer within 30 days of confirming the cost variations x To ensure efficient usage of grant funds, the DoT can instruct that municipalities utilise national transversal appointments for IPTN related items such as professional services, vehicles and information technology including automated fare collection and vehicle tracking, where such contracts exist. For this purpose, up to 5 per cent of a municipality’s allocation shall be ringfenced for payment by the relevant municipality where the transferring officer deems it necessary Network Operations Component x Operating subsidies from this component can fund security, station management, fare collection services, control centre operations, information and marketing, network management, insurance, compensation for the economic rights of existing operators x From the start of operations, IPTN systems must recover all the direct operating costs of contracted vehicle operators from fare revenue, other local funding sources and, if applicable, from any Public Transport Operations Grant contributions. These direct operating costs consist of fuel, labour, operator administration and vehicle maintenance x From the start of operations on a route, the grant can fund a portion of the per kilometre rate to subsidise up to 100 per cent of the capital cost (including interest and related fees) of vehicles purchased by the vehicle operating company x IPTN operational plans and ongoing operations management must target improved farebox cost coverage, through minimising costs and maximising fare revenues. Municipalities operating network services are required to supply detailed operating performance and operating cost and revenue reports quarterly in the formats prescribed by the DoT x Operating subsidies for any new or existing service, line, route, or phase, will only be transferred after a municipality meets the requirements of DoT’s Operational Readiness Framework x Municipalities must enforce rules and by-laws related to the IPTN and regarding usage of dedicated lanes, fare payment, and operator/supplier compliance with contractual provisions x Municipalities are required to establish the specialist capacity to manage and monitor public transport system contracts and operations x Verified data on operator revenue and profitability; and draft agreements based on credible passenger surveys) for the compensation of existing economic rights of affected operators must be submitted to DoT for concurrence before concluding agreements on compensation for economic rights x Municipalities must enforce agreements that only legal operators operate on routes subject to compensation agreements Network Infrastructure Component x The grant can fund all IPTN-related infrastructure, including non-motorised transport, upgrades of existing public transport infrastructure, as well as maintenance of infrastructure and systems x Municipalities must demonstrate in their IPTN operational plans that they have attempted to give maximum priority to public and non-motorised transport while minimising costs through using existing infrastructure, road space and public land x No new infrastructure designed will be approved for any phase that is not under implementation with operations underway or near commencement x IPTN projects must meet the minimum requirements of the South African Bureau of Standards (including Part S of the Building Regulations) x Contracted operators should finance and own vehicles unless a case for the exceptional use of limited infrastructure funding for vehicle procurement is approved by DoT, in consultation with National Treasury. If a pproval is granted, any vehicles purchased with grant funds must remain the property of the municipality Allocation criteria x Allocations are only made to municipalities that submit business plans in line with the above conditions, which demonstrate sufficient capacity to implement and operate any proposed projects, and credibly demonstrate the long-term fiscal and financial sustainability of the proposed projects x 80 per cent of available funds are allocated according to the three public transport demand factors. The three equally weighted demand factors are: o size of population o size of economy o number of public transport users x 20 per cent of available funds are allocated through a base component shared equally between participating municipalities x In 2026/27, the performance incentive component is dormant as none of the cities met all three of the performance indicators outline below o coverage of costs from farebox: fare revenue as a percentage of direct operating costs (fuel, labour, operator administration and vehicle maintenance), which indicates a commitment to reducing operational costs, and is a measure of efficiency. The minimum threshold is 35 per cent o passenger trips: average weekday passenger trips as a percentage of the population. This indicates coverage of the system, in providing the services to residents. The minimum threshold is 1 per cent. The city should be operating for at least two months o skin in the game: city own funding as a percentage of the city’s total property rates used towards funding the IPTN construction and operation. This is a measure of the cities' commitment to the system. The minimum threshold is 2 per cent 255 Public Transport Network Grant x Allocations for the Network Operations Component are based on municipalities’ Annual Operations Plans (to be submitted to DoT by 02 June 2026) which indicate the amount of the 2026/27 total allocation to be used within the rules of this component x Approval of these allocations is specified in the DoT allocation letter to municipalities and is based on the following rules: o DoT approval of the annual operations plan o the annual operations plan must be costed to meet specific operating targets per network phase to be achieved within the 2026/27 financial year to qualify for eligibility into the 2027/28 formula o the network operations component can be used in each phase and sub-phase of the introduction of services to fund up to 70 per cent of indirect operating costs for two years after the municipal financial year in which operations start. Thereafter the grant can fund up to 50 per cent. Non-PTNG sources must cover the remaining costs o compensation for the economic rights of existing operators will no longer be funded from the grant for an y new phase, it will only apply to existing phases that are operational or nearly operational Reasons not incorporated in equitable share x Infrastructure and operational costs associated with the implementation of the Public Transport Strategy and NLTA were not included in munici pal budgets before the introduction of IPTN services Past performance 2024/25 audited financial outcomes x Of the net appropriated and thus gazetted R6.6 billion, R6 billion was transferred to municipalities x Of the transferred amount, R4 billion or 75 per cent was spent 2024/25 service delivery performance: x Cape Town: Annual passenger trips totalled 20.25 million and fare revenue amounted to R347.5 million. The fleet delivered 18.07 million revenue kilometres, equal to 51 632 per bus, with daily passenger boardings per peak bus averaging 375. The system operated with 39 staffed stations and 527 drivers. The fleet comprised 350 buses, including 42 18m articulated buses, 98 12m buses, and 210 9m buses x Johannesburg: Annual passenger trips totalled 4.39 million with fare revenue of R71.5 million. The fleet achieved 76 373 revenue kilometres per bus and daily passenger boardings per peak bus averaged 146. A total of 60 vehicle operating licences were compensated, and 48 staffed stations were operational. The fleet comprised 169 buses, including 51 18m articulated buses and 118 12m buses x Ekurhuleni: Annual passenger trips totalled 3.32 million and fare revenue amounted to R32.5 million. The fleet of 56 12m buses achieved 40 111 revenue kilometres per bus, with daily passenger boardings per peak bus averaging 223. There were 9 staffed stations in service x Tshwane: Annual passenger trips amounted to 1.77 million with fare revenue of R23.2 million. The fleet achieved 1.13 million revenue kilometres, equal to 155 daily passenger boardings per peak bus. A total of 226 vehicle operating licences were compensated, and 12 staffed stations were in service x Rustenburg: Annual passenger trips totalled 1.58 million with fare revenue of R15.1 million. The fleet achieved 2.51 million revenue kilometres, equal to 24 398 per bus, with daily passenger boardings per peak bus averaging 120. A total of 181 vehicle operating licences were compensated, and 3 staffed stations were operational x Polokwane: Annual passenger trips amounted to 1.07 million with fare revenue of R5.4 million. The fleet of 26 12m buses achieved 900 000 revenue kilometres, equal to 34 615 per bus, supported by 1 staffed station x Nelson Mandela Bay: Annual passenger trips amounted to 801 542 with fare revenue of R6.2 million. The fleet included 12 18m articulated buses and 1 12m bus, achieving 522 687 revenue kilometres, equal to 40 207 per bus, with daily passenger boardings per peak bus averaging 298. A total of 200 vehicle operating licences were compensated x George: Annual passenger journeys amounted to 6.16 million with fare revenue of R108.3 million. The fleet of 133 buses (65 12m buses, 33 9m buses, and 35 6m buses) delivered 6.45 million revenue kilometres, e qual to 48 509 per bus. Operations were supported by 1 staffed station Projected life x It is antici pated that 2028/29 will be the be the final year of the grant, subject to review MTEF allocations x 2026/27: R5.7 billion; 2027/28: R4.5 billion; and 2028/29: R3.7 billion Payment schedule x Transfers are made in accordance with an agreed payment schedule approved by the National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Disburse PTNG funds and monitor PTNG expenditure x Monitor IPTN implementation progress and operating performance in line with the NLTA and the public transport strategy x Verify reports from municipalities by conducting at least one site visit per annum x Allocate funds based on stated priorities through an allocation mechanism agreed to by the DoT and National Treasury, in alignment with the winding down of the grant x Review compensation agreements for economic rights to ensure they only cover existing phases that are operational or nearly operational x Review and comment on the network model submitted by each municipality x Evaluate the performance of the grant annually x Maintain the database of operational performance based on the indicators and continue to track, report, and evaluate the performance of the grant based on these measures x Develop cost norms for ITS and include these in the annual PTNG guidelines and requirements circulated to municipalities by DoT x Submit copies of allocation letters and milestones to the National Treasury x Implement internal mechanisms to monitor adherence to grant conditions and manage the disbursements of the grant where there is non-compliance. Measures to address non-compliance include withholding transfers, as provided for in section 17 of the 2026 Division of Revenue Act (DoRA). If matters are still unresolved, this may result in the stopping and reallocation of tranche payments in terms of sections 18 and 19 of the 2026 DoRA 256 Public Transport Network Grant x In consultation with National Treasury, provide targeted technical assistance and capacity-building support to municipalities to facilitate effective transition planning, financial management, contract closure, and stakeholder en gagement during the wind-down period Responsibilities of municipalities x Ensure that projects are implemented in line with approved business plans, reflected in the integrated development plan of the municipality, and are already prioritised with DoT x Ensure that the business plans and the additional plans listed below correctly demonstrate municipal management of the phase out of the grant: o network operational plans, including universal design access plans o business and financial plans (including financial modelling, economic evaluation, and operator transition plans) o institutional network management plans o engineering and architectural preliminary and detailed designs o public transport vehicle and technology plans o marketing and communication plans x Projects funded by this grant must promote the integration of the public transport networks in a municipality, through: o physical integration between different services within a single network o fare integration between different services o marketing integration with unified branding o institutional integration between the services o spatial integration, in conjunction with other grants directed at the built environment x Provide budget proposals for the PTNG funding that: o are based on sound operational and financial plans that cover direct vehicle company operating costs from local sources at a minimum o indicate the intended allocations between the network operations component and network infrastructure component x Each municipality must submit a detailed transition and exit plan as part of its business plan. This plan must outline how PTNG-funded services, assets, and staff will be integrated into municipal budgets or alternative funding streams, and how service continuity for users will be maintained after the grant ends x Establish a dedicated project team to plan, manage and monitor infrastructure development and maintenance, as well as operations with an emphasis on optimising vehicle kilometres through full use of procured Intelligent Transport System tools x Compile and submit data that indicates the efficiency and effectiveness of operational services in the formats and use the indicators defined by the DoT x All assets procured with PTNG funds must remain the property of the municipality and be incorporated into municipal asset registers Process for approval of 2027/28 business plans x Municipalities must submit business plans based on a fiscally and financially sustainable IPTN or an agreed plan to compile this, supported by credible multi-year financial operational plans by 31 July 2026. The plans should include plans for how all municipal owned bus services will be integrated into the 10-year IPTN programme, taking into consideration the winding down of the grant x DoT and National Treasury will jointly evaluate these plans based on pre-determined criteria regarding financial and fiscal sustainability and sufficient capacity for the municipality’s eligibility for an allocation in the 2027/28 financial year x Municipalities that fail to pass the eligibility criteria will be informed by 28 August 2026 and may be asked to resubmit plans 257 Rural Roads Asset Management Systems Grant Transferring department x Transport (Vote 40) Grant schedule x Schedule 5, Part B Strategic goal x Ensure efficient and effective investment in municipal roads through development of road asset management systems (RAMS), collection and analysis of data Grant purpose x To assist district municipalities to set up rural RAMS, and collect road, bridges and traffic data on municipal road networks in line with the Road Infrastructure Strategic Framework for South Africa Outcome statements x Improved data on municipal roads to guide infrastructure maintenance and investments Outputs x Road condition data (paved and unpaved) as per prescribed Technical Methods for Highways (TMH-series) x Traffic data x Data on condition of structures (including bridges and culverts) as per prescribed Technical Methods for Highways (TMH 19 series) x Borrow Pit Management data x Safety assessments data x Prioritised project list for roads to inform Municipal Infrastructure Grant project selection x Number of graduates recruited for data collection purposes Outcome(s) of government that this grant primarily contributes to x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses Road Asset Management Plans (RAMPs)/business plans which contain the following details: o network hierarchy o performance management framework o gap analysis o information systems o lifecycle planning o current and future demand o financial plan o monitoring o reviewing o plans for continual improvements including sharing data with local municipalities Conditions x Transfer of the first tranche is conditional on submission of a council approved business plan by 30 June 2026 x Transfer of the second tranche is conditional on compliance with monthly and quarterly signed report submissions to the national Department of Transport (DoT), and the relevant provincial roads authorities x Road authorities must conduct regular condition assessments for paved and unpaved roads, structure, traffic data and any other road asset data x District municipalities must provide local municipalities with validated information from the condition data collected to enable municipalities to identify and prioritise road maintenance requirements within their own budgets, to improve the condition and extend the lifespan of road infrastructure x For Road Infrastructure Strategic Framework for South Africa Class R1, R2 and R3 roads, data collection requirements are: o visual condition data not older than two years for pavements and five years for bridges o instrumental pavement data for roughness, rut depth and macro texture not older than two years o instrumental pavement data for structural strength not older than five years o traffic data not older than three years x For Road Infrastructure Strategic Framework for South Africa Class R4 and R5 roads, data requirements are: o visual condition data not older than three years for pavements and five years for bridges o instrumental pavement data for roughness, rut depth and macro texture not older than four years on paved roads only o traffic data not older than five years x All road condition data collected must be submitted to the national DoT, and the relevant provincial roads authorities by 31 May 2026 x District municipalities must participate in grant management structures, including attending monthly and/or quarterly Rural Roads Asset Management System (RRAMS) progress as well as national meetings x A maximum of 5 per cent of a municipality’s allocation may be used to cover costs related to RRAMS coordination. This may include expenses incurred for facilitating meetings between districts and local municipalities, as well as attending RRAMS quarterly meetings with the national DoT x District municipalities must appoint an independent assessor to assess a representative sample of all roads assessed to confirm the correctness of the assessments made by the municipality x This framework must be read in conjunction with the RRAMS practice note and DoRA Allocation criteria x Allocations are based on the extent of road network and number of local municipalities within a district municipality Reasons not incorporated in equitable share x This is a specific purpose grant for the provision of systems to collect data on traffic and conditions of municipal roads and structures Past performance 2024/25 audited financial outcomes x Of the R120 million allocated and transferred to municipalities, R95 million (79 per cent) was spent 2024/25 service delivery performance x 9776 kilometres of paved road network and 38 064 kilometres of unpaved road network were assessed x 28 210 structures identified by the programme in the district municipalities receiving the grant x 123 graduates were recruited into the programme Projected life x This grant continues until 2028/29, subject to review 258 Rural Roads Asset Management Systems Grant MTEF allocations x 2026/27: R131 million; 2027/28: R136 million; and 2028/29: R141 million Payment schedule x Transfers are made in accordance with the payment schedule approved by National Treasury Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Monitor the implementation of RAMS together with provincial road authorities x Undertake data integrity checks x Provide guidance on sustainable RAMS operations and standards x Facilitate interaction between local municipalities and district municipalities in using RRAMS outputs as guidance in municipal road infrastructure management x Manage, monitor and report on the programme x Ensure agreement on the RAMP with participating municipalities x Ensure that municipal road authorities conduct regular condition assessments for paved and unpaved roads, structure, traffic data and any other road asset data x Support municipalities with planning and implementation of municipal roads projects in terms of the conditions, standards and specifications applicable to this sector Responsibilities of municipalities x Municipalities must make provision to maintain RAMS after the lifespan of the grant x Data for all rural roads to be updated within their frequency of collection as per Technical Method for Highways (TMH) x Recruit unemployed youth graduates with a qualification in B. Eng. Tech or Advanced Diploma in the civil engineering environment for implementation of the programme and in civil engineering works x Ensure human capacity at municipalities for the operation of RAMS is built x Municipalities investing in roads infrastructure must utilise data from the rural RAMS where available, to identify and prioritise their investment on roads projects, including maintenance x Identify and train municipal officials that will be recipients of skills transfer x Ensure that municipal officials participate actively in all activities funded through this grant x Ensure systems and practices developed through this grant are sustained as part of the operations of the municipality x Technical Director, Service provider, graduates and representatives from the host local municipalities must attend and participate in grant quarterly Rural Roads Asset Management System (RRAMS) progress meetings x Submit updated RAMS data in TMH 18 format by 31 May 2026 x Submit a 10 per cent verification report of the road network assessed by 01 June 2026 Process for approval of 202 7/28 business plans x District municipalities must submit a draft RAMP/business plan and accompanied by a completed TMH22 checklist to DoT by 30 April 2027 x District municipalities must submit the final RAMP/business plan signed off by the accounting officer and accompanied by a completed TMH22 checklist by 30 June 2027 x RAMP must contain the following: o the extent of the road network in the municipality o the proportion of municipal roads with updated data captured on its RAMS o the condition of the network in the municipality o the maintenance and rehabilitation need of the municipal road network o the status of the municipality’s RAMS o status of institutionalisation of RAMS in the district municipality x TMH 22 RAMP guideline can be used as template 259 WATER AND SANITATION GRANTS Regional Bulk Infrastructure Grant Transferring department x Water and Sanitation (Vote 41) Grant schedule x Schedule 5, Part B and Schedule 6, Part B Strategic goal x Facilitate achievement of targets for access to bulk water and sanitation through successful execution and implementation of bulk projects of regional significance Grant purpose x To develop new, refurbish, upgrade and replace ageing bulk water and sanitation infrastructure of regional significance that connects water resources to infrastructure serving extensive areas across municipal boundaries or large regional bulk infrastructure serving numerous communities over a large area within a municipality x To implement bulk infrastructure with a potential of addressing water conservation and water demand management (WC/WDM) projects or facilitate and contribute to the implementation of local WC/WDM projects that will directly impact on bulk infrastructure requirements Outcome statements x Access to water supply enabled through regional bulk infrastructure x Proper wastewater management and disposal enabled through regional wastewater infrastructure Outputs x Number of regional bulk water and sanitation projects phases under construction x Number of projects/project phases completed x Number of households targeted to benefit from bulk water and sanitation supply x Number of municipalities benefitting from bulk water and sanitation projects x Number of job opportunities created through implementation of bulk infrastructure projects x Number of households provided with water and sanitation through local source development Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x This grant uses approved implementation readiness studies (IRS) for new projects and conditional assessment reports for refurbishment projects which include the following: o inception/scoping report o technical feasibility report o preliminary and final detailed designs and cost estimates x Schedule 6, Part B projects are implemented through a memorandum of understanding (MoU) which contains cash flow, implementation milestones and specific funding conditions related to the project Conditions x The Regional Bulk Infrastructure Grant (RBIG) is intended to fund the social component of regional bulk water and sanitation projects approved by the Department of Water and Sanitation (DWS), unless exemptions based on affordability are recommended by DWS and approved by National Treasury x The financing plan with associated co-funding agreements must be in place prior to implementation of the project unless exemption to co-funding requirements has been approved by National Treasury x All sources of funding for the full cost of the project must be outlined in the IRS and the MoU x All identified projects must be referenced to and included in the municipal Integrated Development Plan (IDP) and Water Services Development Plans (WSDP) and show linkages to projects under the Municipal Infrastructure Grant (MIG) and the Water Services Infrastructure Grant (WSIG) x Funds may only be used for disaster interventions based on a business plan approved by DWS x Feasibilities studies must consider the results of the green drop, blue drop and no drop assessments in prioritising projects x Municipalities must demonstrate in their IRS how they plan to manage, operate and maintain the infrastructure over the long term x R1.5 billion in 2026/27 is allocated to the municipalities outlined below, through the Budget Facility for Infrastructure (BFI) and may only be used for the respective purposes of the projects approved: o R579 million for Sol Plaatje Local Municipality for the implementation of the Integrated Bulk Supply System Intervention project o R255 million for Drakenstein Local Municipality for the implementation of the sanitation infrastructure project o R688 million for Polokwane Local Municipality for the implementation of a regional w astewater treatment works project x Should there be cost variations of more than 10 per cent on BFI funded project, the relevant municipality is required to inform the National Treasury and the transferring officer within 30 days of confirming the cost variations x If groundwater is going to be used as a source, the implementation of the project should be done according to the Standard Operating Procedures (SOP) for groundwater resource development for community water supply projects x All legislative requirements for planning, including EIAs, WULAs, Servitude Agreements, WSDP must be met Schedule 5, Part B allocations x Municipalities must spend grant funds in line with the IRS and detailed designs approved by DWS x Municipalities must spend at least 25 per cent of their first transfer and comply with the reporting provisions before the second transfers are made x Municipalities must spend at least 50 per cent of their total RBIG allocations transferred by end of December and comply with the reporting provisions before the third transfer is made x Grant funds must be reflected in the capital budget of the municipality 260 Regional Bulk Infrastructure Grant x All sources of funding for the cost of the project must be clearly outlined in the approved IRS and/or conditional assessment of refurbishment of existing infrastructure Schedule 6, Part B allocations x This grant can be used to build enabling infrastructure required to connect or protect water resources over significant distances with bulk and reticulation systems x The IRS or conditional assessment and MoU must be approved by DWS before project commences x All projects must be implemented and transferred in line with the approved IRS and detailed designs Allocation criteria x Projects are assessed individually, and allocations are made by DWS on a project basis, taking into account the following factors: o demand and availability of water o the overall infrastructure needs o the strategic nature of the project o socio-economic importance of an area o impact of the project x This grant is only allocated to Water Services Authorities (local and district municipalities) Reasons not incorporated in equitable share x Regional bulk projects are closely linked to water resource planning and development, which is a DWS competency x Projects may cross municipal boundaries Past performance 2024/25 audited financial outcome x Direct transfers (Schedule 5, Part B) o R3.6 billion was allocated and transferred to municipalities, and was fully spent x Allocations-in-kind (Schedule 6, Part B) o Of the budget allocation of R3.1 billion, R3 billion (99 per cent) was spent 2024/25 service delivery performance x Tweleve (12) projects and phases were completed: (1) Nelson Mandela Bay Drought Intervention: Upgrade East to West bulk water pipeline Phase 1 of 3 (2) James Kleynhans phase 2 (3) Misgund BWS Phase 1 of 1 (4) Kirkwood BWS Phase 1 of 1(5) Mooihoek BWS Phase 4 of 4 (6) Moutse Phase -12(7) Empuluzi phase 3 of 8, Empuluzi phase 5 of 8, Empuluzi phase 6 of 8 and Empuluzi phase 7 of 8 (8) Msukaligwa Cluster 2 (Phase 1 of 2) and Msukaligwa Cluster 2 (Phase 2 of 2)(9) Eerstehoek Phase 3 of 4 and Eerstehoek Phase 4 of 4 (10) Metsimaholo Deneysville WWTW (11) Welbedacht BWS: Construction of New Bypass Pipeline from Leuiwkop Chamber to Brandkop Reservoir; (12) Calvinia BWS phase 1 of 1 x 102 project phases were under construction Projected life x This grant continues until 2028/29, subject to review MTEF allocations Direct transfers (Schedule 5, Part B): x 2026/27: R3.9 billion; 2027/28: R3.9 billion; and 2028/29: R3.6 billion Allocations-in-kind (Schedule 6, Part B): x 2026/27: R3.2 billion; 2027/28: R3.3 billion; and 2028/29: R3.4 billion Payment schedule x Transfers for Schedule 5, Part B allocations are made in terms of a payment schedule approved by National Treasury x Payments for Schedule 6, Part B allocations are made after verification of work performed Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Ensure every municipality benefiting from a specific project or scheme is invited to participate in the feasibility study, conditional assessment and IRS processes complies to the RBIG Planning Guidelines x Enter into an MoU with WSAs regarding the construction, ownership, funding arrangements, and operation and maintenance of proposed infrastructure prior to the commencement of construction x If required, ensure the necessary authorisations including environmental impact assessment and water use licences are obtained and servitude agreements x Ensure that the land assessment is done prior to project implementation x Provide detailed information on the selection criteria and conditions for the grant (RBIG Programme Implementation Framework) x Ensure that suitable agreements in terms of operation and maintenance are in place x Issue project funding approval letters to benefiting municipalities x Ensure that implementing agents submit monthly financial and quarterly non-financial reports on stipulated dates x Upon receipt of invoices from DWS’s contracted implementing agents for Schedule 6, Part B projects, verify work done before making payments x Ensure implementation of groundwater development projects comply to the groundwater SOP development document Responsibilities of water services authorities x Ensure that projects are appropriately linked to the municipality’s IDP and WSDP for projects funded through the MIG and the WSIG x Once a project is completed, ensure adherence to operations and maintenance plans and/or any other requirements agreed to as part of the funding agreement contained in the MoU, and ensure the sustainability of infrastructure x Ensure integration of planning, funding, timing and implementation of bulk and reticulation projects x Ensure provision of reticulation services and/or reticulation infrastructure to connect to the bulk infrastructure funded through this grant x Municipalities to promote the inclusion of adopted innovative solution(s) in water and sanitation infrastructure project(s) development and management 261 Regional Bulk Infrastructure Grant x Ensure that business plans of projects where groundwater is being used as a source comply to the requirements stipulated in the Groundwater Development SOP of DWS Process for approval of 202 7/28 business plans x All proposed projects which comply with the RBIG criteria must be registered and listed in DWS’s bulk master plans x At regional level, a coordination committee of key stakeholders to assist with planning of regional bulk projects and the assessment of the IRS and feasibility studies must be in place x Pre-feasibility studies must assess potential for WC/WDM interventions x IRS and feasibility studies will be evaluated and approved by the transferring officer x Based on the outcome of the IRS, DWS will nominate the implementing agent for the construction phase of Schedule 6, Part B projects and designate the owner of the infrastructure. National Treasury and benefitting municipalities will be informed of the decisions x Projects requiring co-funding exemptions to be submitted to DWS by 31 July 2026 and DWS to make recommendations to the National Treasury by 02 September 2026 262 Water Services Infrastructure Grant Transferring department x Water and Sanitation (Vote 41) Grant schedule x Schedule 5, Part B and Schedule 6, Part B Strategic goal x To provide water and sanitation services and reduce backlogs Grant purpose x Facilitate the planning and implementation of various water and sanitation projects to accelerate backlog reduction and enhance the sustainability of services especially in rural municipalities x Provide basic and intermittent water and sanitation supply that ensures provision of services to identified and prioritised communities, including spring protection and groundwater development x Support municipalities with refurbishment of water and sanitation infrastructure, including upgrades x Support municipalities in implementing water conservation and water demand management (WC/WDM) projects x Support the close-out of the existing Bucket Eradication Programme intervention in formal residential areas x Su pport drought relief projects in affected municipalities Outcome statements x An increased number of households with access to reliable, safe drinkin g water and sanitation services Outputs x Number of households provided with water and sanitation through: o reticulated water supply o on site sanitation o bucket systems replaced with appropriate sanitation facilities for households identified by the Department of Water and Sanitation (DWS) in the 2015/16 verification process o source identification o water conservation/water demand management provision x Number of Water Services Infrastructure Grant (WSIG) projects under construction x Number of WSIG projects completed x Number of job opportunities created through implementation of water and sanitation projects Outcome(s) of government that this grant primarily contributes to x Outcome 4: Increased infrastructure investment and job creation x Outcome 16: Improved service delivery at local government Details contained in the business plan x Outcome indicators x Project overview x Project costing x Project milestones x Impact declaration x Schedule 6, Part B projects are implemented through a memorandum of understanding (MoU) which contains cash flow projections, implementation milestones and specific funding conditions related to the project Conditions x All project scope funded must be aligned to and not duplicate, any existing or planned projects funded by other conditional grants or municipal own funds x Municipalities must demonstrate in their business plans how they plan to manage, operate and maintain the infrastructure over the long term x The maximum cost for a WSIG project is R120 million and implementation should not be longer than three years x Projects must be aligned to bulk infrastructure and must be at the scheme level x Business plans must consider the results of the green drop, blue drop, and no drop assessments in prioritising projects x If groundwater is going to be used as a source for any specific project, the implementation of the project should be done according to the Standard Operating Procedures (SOP) for g roundwater resource development for community water supply projects Schedule 5, Part B allocations x Municipalities must submit business plans signed-off by their Accounting Officer in line with their Water Services Development Plans (WSDPs) aligned to Integrated Development Plans (IDPs) x DWS must approve the business plans before projects can be implemented x Municipalities must only spend funds in line with approved business plans x Municipalities must spend at least 25 per cent of their first transfer and comply with the reporting provisions before the second transfers are made x Municipalities must spend at least 50 per cent of their total WSIG allocations transferred and comply with the reporting provisions before the third transfer is made x Municipalities must submit monthly financial and quarterly non-financial reports to DWS x Funds must be reflected in the capital budget of the municipality x Grant funds must not be spent on operations and maintenance x The Project Management Unit funded through the Municipal Infrastructure Grant should be utilised to manage the implementation of projects funded through this grant x Funds may only be used for disaster relief interventions based on a plan approved by DWS x 5 per cent of the total project cost may be used for planning for the specific project Schedule 6, Part B allocations x DWS must enter into an MoU with the relevant munici pality before any project is implemented Allocation criteria x Allocations are based on the number of households with water and sanitation backlogs, prioritising the 27 priority district municipalities identified by government Reasons not incorporated in e quitable share x The grant is earmarked for specific projects aimed at providing access to basic water and sanitation services 263 Water Services Infrastructure Grant Past performance 2024/25 audited financial outcomes x Direct transfers (Schedule 5, Part B) o Of the R4 billion allocated and transferred to municipalities, R3.5 billion (88 per cent) was spent x Allocations-in-kind (Schedule 6, Part B): o R1.1 million was allocated and fully spent 2024/25 service delivery performance x 199 678 households served x 808 jobs created Projected life x This grant continues until 2028/29, subject to review MTEF allocations Direct transfers (Schedule 5, Part B): x 2026/27: R4.4 billion; 2027/28: R4.6 billion; and 2028/29: R4.7 billion Allocations-in-kind (Schedule 6, Part B): x 2026/27: R1.3 billion; 2027/28: R1.4 billion; and 2028/29: R1.4 billion Payment schedule x For Schedule 5, Part B, transfers are made in accordance with a payment schedule approved by National Treasury x For Schedule 6, Part B, payments are made to contracted implementing agents (including water boards and private service providers) after verification of work performed Responsibilities of the transferring officer and receiving officer Responsibilities of the national department x Evaluate and approve the business plans for each project before funds can be transferred x Ensure that the conditions of the grant and approved business plans are adhered to x Ensure that the results of the green drop, blue drop and no drop assessments are considered in the planning and prioritisation of projects x For Schedule 6B allocations, ensure that implementing agents submit monthly financial and quarterly non- financial reports x Ensure alignment of WSIG projects with projects approved in the MIG implementation plans x In cases where DWS appoints a contractor, the contract between DWS and the appointed contractor must be signed before the project can commence x All drought-related plans and expenditure must be shared with the National Disaster Management Centre x Submit a water services capacity building plan for municipalities to National Treasury by 26 June 2026 x Ensure implementation of groundwater development projects comply to the groundwater SOP development document Responsibilities of water services authorities x Compile and submit signed-off business plans for each project aligned to the WSIG framework and SOP (for the relevant financial year) x Sustainably operate and maintain funded water and sanitation projects over their lifetime x Ensure integrated planning for all projects funded through the different grants and programmes x Municipalities must submit a technical report for each project to the regional office x Ensure adequate participation and involvement of the public in each project x Ensure that, if available, the results of the green drop, blue drop and no drop assessments are considered in the planning and prioritisation of projects x Manage project implementation in line with the business plan x Submit monthly, quarterly and annual progress reports in the format prescribed by DWS x Comply with all the funding conditions agreed to in the business plan and MoU x Municipalities to promote the inclusion of adopted innovative solution(s) in water and sanitation infrastructure project(s) development and management x Ensure that business plans of projects where groundwater is being used as a source comply to the re quirements stipulated in the Groundwater Development SOP Process for approval of 2027/28 business plans x Municipalities must submit a technical report for each project to the regional office by 1 July 2026 x Regional offices must assess and approve technical reports by 17 August 2026 x Municipalities must prepare business plans based on the approved technical reports x Business plans for allocations: o business plans must be submitted by 30 October 2026 o business plans must be approved by 02 February 2027 x Munici palities must submit implementation plans by 27 May 2027 264 ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDU LE 7, PART B): CURRENT GRANTS (National and Municipal Financial Years) 265 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) EASTERN CAPEA BUF Buffalo City 9 500 10 000 10 000 1 200 1 400 1 600 4 024 - - 14 724 11 400 11 600 A NMA Nelson Mandela Bay 8 500 9 000 9 000 1 200 1 400 1 600 2 929 - - 12 629 10 400 10 600 B EC101 Dr Beyers Naude - - - 3 000 3 100 3 100 1 398 - - 4 398 3 100 3 100 B EC102 Blue Crane Route - - - 2 600 2 700 2 800 1 369 - - 3 969 2 700 2 800 B EC104 Makana - - - 4 000 4 000 4 000 1 365 - - 5 365 4 000 4 000 B EC105 Ndlambe - - - 2 700 2 800 2 900 1 593 - - 4 293 2 800 2 900 B EC106 Sundays River Valley - - - 3 800 3 800 3 800 1 484 - - 5 284 3 800 3 800 B EC108 Kouga - - - 1 917 2 201 2 429 2 006 - - 3 923 2 201 2 429 B EC109 Kou-Kamma - - - 2 600 2 700 2 800 1 559 - - 4 159 2 700 2 800 C DC10 Sarah Baartman District Municipality - - - 1 200 1 300 1 400 1 306 - - 2 506 1 300 1 400 Total: Sarah Baartman Municipalities - - - 21 817 22 601 23 229 12 080 - - 33 897 22 601 23 229 B EC121 Mbhashe - - - 2 100 2 200 2 300 2 425 - - 4 525 2 200 2 300 B EC122 Mnquma - - - 2 200 2 300 2 300 2 010 - - 4 210 2 300 2 300 B EC123 Great Kei - - - 2 600 2 700 2 800 1 351 - - 3 951 2 700 2 800 B EC124 Amahlathi - - - 2 400 2 500 2 600 1 949 - - 4 349 2 500 2 600 B EC126 Ngqushwa - - - 3 000 3 100 3 100 1 661 - - 4 661 3 100 3 100 B EC129 Raymond Mhlaba - - - 2 900 3 000 3 000 2 116 - - 5 016 3 000 3 000 C DC12 Amathole District Municipality - - - 2 700 2 800 2 900 2 016 - - 4 716 2 800 2 900 Total: Amathole Municipalities - - - 17 900 18 600 19 000 13 528 - - 31 428 18 600 19 000 B EC131 Inxuba Yethemba - - - 3 000 3 100 3 100 2 248 - - 5 248 3 100 3 100 B EC135 Intsika Yethu - - - 2 300 2 400 2 500 2 243 - - 4 543 2 400 2 500 B EC136 Emalahleni - - - 3 000 3 100 3 100 1 803 - - 4 803 3 100 3 100 B EC137 Dr. A.B. Xuma - - - 2 100 2 200 2 300 2 124 - - 4 224 2 200 2 300 B EC138 Sakhisizwe - - - 3 000 3 100 3 100 1 634 - - 4 634 3 100 3 100 B EC139 Enoch Mgijima - - - 3 000 3 100 3 100 2 949 - - 5 949 3 100 3 100 C DC13 Chris Hani District Municipality - - - 2 500 2 600 2 700 2 394 - - 4 894 2 600 2 700 Total: Chris Hani Municipalities - - - 18 900 19 600 19 900 15 395 - - 34 295 19 600 19 900 B EC141 Elundini - - - 2 000 2 100 2 200 2 320 - - 4 320 2 100 2 200 B EC142 Senqu - - - 2 000 2 100 2 200 2 218 - - 4 218 2 100 2 200 B EC145 Walter Sisulu - - - 2 400 2 500 2 600 2 171 - - 4 571 2 500 2 600 C DC14 Joe Gqabi District Municipality - - - 2 000 2 100 2 200 2 401 - - 4 401 2 100 2 200 Total: Joe Gqabi Municipalities - - - 8 400 8 800 9 200 9 110 - - 17 510 8 800 9 200 B EC153 Ngquza Hill - - - 3 000 3 100 3 100 1 824 - - 4 824 3 100 3 100 B EC154 Port St Johns - - - 2 700 2 800 2 900 1 842 - - 4 542 2 800 2 900 B EC155 Nyandeni - - - 2 000 2 100 2 200 1 838 - - 3 838 2 100 2 200 B EC156 Mhlontlo - - - 2 500 2 600 2 700 2 025 - - 4 525 2 600 2 700 B EC157 King Sabata Dalindyebo 5 000 5 000 6 000 3 000 3 100 3 100 2 676 - - 10 676 8 100 9 100 C DC15 O.R. Tambo District Municipality - - - 2 200 2 300 2 400 5 059 - - 7 259 2 300 2 400 Total: O.R. Tambo Municipalities 5 000 5 000 6 000 15 400 16 000 16 400 15 264 - - 35 664 21 000 22 400 B EC441 Matatiele - - - 2 000 2 200 2 300 2 988 - - 4 988 2 200 2 300 B EC442 Umzimvubu - - - 2 000 2 100 2 200 2 625 - - 4 625 2 100 2 200 B EC443 Winnie Madikizela-Mandela - - - 2 300 2 400 2 500 2 944 - - 5 244 2 400 2 500 B EC444 Ntabankulu - - - 2 900 3 000 3 000 2 673 - - 5 573 3 000 3 000 C DC44 Alfred Nzo District Municipality 5 500 6 000 6 000 2 200 2 300 2 400 3 023 - - 10 723 8 300 8 400 Total: Alfred Nzo Municipalities 5 500 6 000 6 000 11 40 0 12 000 12 400 14 253 - - 31 153 18 000 18 400 Total: Eastern Cape Municipalities 28 500 30 000 31 000 96 217 100 401 103 329 86 583 - - 211 300 130 401 134 329 SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality 266 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality FREE STATEA MAN Mangaung - - - 2 200 2 300 2 400 2 158 - - 4 358 2 300 2 400 B FS161 Letsemeng - - - 3 000 3 100 3 100 1 320 - - 4 320 3 100 3 100 B FS162 Kopanong - - - 2 500 2 600 2 700 1 348 - - 3 848 2 600 2 700 B FS163 Mohokare - - - 3 000 3 100 3 100 1 269 - - 4 269 3 100 3 100 B FS164 New Municipality - - - - - - - - - - - - C DC16 Xhariep District Municipality - - - 2 000 2 100 2 200 1 344 - - 3 344 2 100 2 200 Total: Xhariep Municipalities - - - 10 500 10 900 11 100 5 281 - - 15 781 10 900 11 100 B FS181 Masilonyana - - - 2 700 2 800 2 900 1 500 - - 4 200 2 800 2 900 B FS182 Tokologo - - - 3 000 3 100 3 100 1 372 - - 4 372 3 100 3 100 B FS183 Tswelopele - - - 2 300 2 400 2 500 1 601 - - 3 901 2 400 2 500 B FS184 Matjhabeng - - - 3 000 3 100 3 100 2 306 - - 5 306 3 100 3 100 B FS185 Nala - - - 3 000 3 100 3 100 1 391 - - 4 391 3 100 3 100 C DC18 Lejweleputswa District Municipality - - - 1 200 1 400 1 600 - - - 1 200 1 400 1 600 Total: Lejweleputswa Municipalities - - - 15 200 15 900 16 300 8 170 - - 23 370 15 900 16 300 B FS191 Setsoto - - - 2 200 2 300 2 400 2 003 - - 4 203 2 300 2 400 B FS192 Dihlabeng - - - 2 800 2 900 2 900 1 791 - - 4 591 2 900 2 900 B FS193 Nketoana - - - 2 900 3 000 3 000 1 728 - - 4 628 3 000 3 000 B FS194 Maluti-a-Phofung - - - 3 000 3 100 3 100 2 289 - - 5 289 3 100 3 100 B FS195 Phumelela - - - 2 600 2 600 2 700 1 487 - - 4 087 2 600 2 700 B FS196 Mantsopa - - - 3 000 3 100 3 100 1 453 - - 4 453 3 100 3 100 C DC19 Thabo Mofutsanyana District Municipality - - - 2 500 2 600 2 700 1 879 - - 4 379 2 600 2 700 Total: Thabo Mofutsanyana Municipalities - - - 19 000 19 600 19 900 12 630 - - 31 630 19 600 19 900 B FS201 Moqhaka - - - 2 500 2 600 2 700 1 421 - - 3 921 2 600 2 700 B FS203 Ngwathe - - - 3 000 3 100 3 100 2 622 - - 5 622 3 100 3 100 B FS204 Metsimaholo - - - 2 800 2 900 2 900 1 594 - - 4 394 2 900 2 900 B FS205 Mafube - - - 3 000 3 100 3 100 1 329 - - 4 329 3 100 3 100 C DC20 Fezile Dabi District Municipality - - - 1 600 1 800 2 000 1 347 - - 2 947 1 800 2 000 Total: Fezile Dabi Municipalities - - - 12 900 13 500 13 800 8 313 - - 21 213 13 500 13 800 Total: Free State Municipalities - - - 59 800 62 200 63 500 36 552 - - 96 352 62 200 63 500 GAUTENGA EKU City of Ekurhuleni - - - 1 200 1 500 1 700 15 269 - - 16 469 1 500 1 700 A JHB City of Johannesburg 6 000 6 000 6 000 1 200 1 400 1 600 5 361 - - 12 561 7 400 7 600 A TSH City of Tshwane - - - 2 200 2 300 2 400 12 798 - - 14 998 2 300 2 400 B GT421 Emfuleni - - - 2 200 2 300 2 400 3 891 - - 6 091 2 300 2 400 B GT422 Midvaal - - - 2 200 2 300 2 400 2 177 - - 4 377 2 300 2 400 B GT423 Lesedi - - - 2 200 2 300 2 400 1 423 - - 3 623 2 300 2 400 C DC42 Sedibeng District Municipality - - - 1 700 1 900 2 100 1 739 - - 3 439 1 900 2 100 Total: Sedibeng Municipalities - - - 8 300 8 800 9 300 9 230 - - 17 530 8 800 9 300 B GT481 Mogale City - - - 2 100 2 200 2 300 1 640 - - 3 740 2 200 2 300 B GT484 Merafong City - - - 2 900 3 000 3 000 1 749 - - 4 649 3 000 3 000 B GT485 Rand West City - - - 2 200 2 300 2 400 2 284 - - 4 484 2 300 2 400 C DC48 West Rand District Municipality - - - 1 500 1 600 1 800 1 452 - - 2 952 1 600 1 800 Total: West Rand Municipalities - - - 8 700 9 100 9 500 7 125 - - 15 825 9 100 9 500 Total: Gauteng Municipalities 6 000 6 000 6 000 21 600 23 100 24 500 49 783 - - 77 383 29 100 30 500 267 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality KWAZULU-NATALA ETH eThekwini 27 000 27 429 34 000 1 200 1 300 1 500 7 490 - - 35 690 28 729 35 500 B KZN212 uMdoni - - - 2 200 2 300 2 400 1 664 - - 3 864 2 300 2 400 B KZN213 uMzumbe - - - 2 100 2 200 2 300 1 509 - - 3 609 2 200 2 300 B KZN214 uMuziwabantu - - - 2 200 2 300 2 400 1 588 - - 3 788 2 300 2 400 B KZN216 Ray Nkonyeni - - - 2 200 2 300 2 400 2 434 - - 4 634 2 300 2 400 C DC21 Ugu District Municipality - - - 2 200 2 300 2 400 3 019 - - 5 219 2 300 2 400 Total: Ugu Municipalities - - - 10 900 11 400 11 900 10 214 - - 21 114 11 400 11 900 B KZN221 uMshwathi - - - 2 200 2 300 2 400 1 774 - - 3 974 2 300 2 400 B KZN222 uMngeni - - - 2 100 2 200 2 300 1 745 - - 3 845 2 200 2 300 B KZN223 Mpofana - - - 3 000 3 100 3 100 1 459 - - 4 459 3 100 3 100 B KZN224 iMpendle - - - 2 600 2 700 2 800 1 582 - - 4 182 2 700 2 800 B KZN225 Msunduzi - - - 2 200 2 300 2 400 2 096 - - 4 296 2 300 2 400 B KZN226 Mkhambathini - - - 3 000 3 100 3 100 2 126 - - 5 126 3 100 3 100 B KZN227 Richmond - - - 2 200 2 300 2 400 1 966 - - 4 166 2 300 2 400 C DC22 uMgungundlovu District Municipa lity - - - 1 200 1 300 1 500 1 832 - - 3 032 1 300 1 500 Total: uMgungundlovu Municipalities - - - 18 500 19 300 20 000 14 580 - - 33 080 19 300 20 000 B KZN235 Okhahlamba - - - 2 100 2 200 2 300 2 018 - - 4 118 2 200 2 300 B KZN237 iNkosi Langalibalele - - - 3 500 3 600 3 600 1 647 - - 5 147 3 600 3 600 B KZN238 Alfred Duma 4 000 5 500 5 000 2 200 2 300 2 400 3 111 - - 9 311 7 800 7 400 C DC23 uThukela District Municipality - - - 2 200 2 300 2 400 2 187 - - 4 387 2 300 2 400 Total: uThukela Municipalities 4 000 5 500 5 000 10 000 10 400 10 700 8 963 - - 22 963 15 900 15 700 B KZN241 eNdumeni - - - 2 200 2 300 2 400 1 545 - - 3 745 2 300 2 400 B KZN242 Nquthu - - - 2 100 2 200 2 300 1 698 - - 3 798 2 200 2 300 B KZN244 uMsinga - - - 2 100 2 200 2 300 1 960 - - 4 060 2 200 2 300 B KZN245 uMvoti - - - 2 700 2 800 2 900 2 166 - - 4 866 2 800 2 900 C DC24 uMzinyathi District Municipality - - - 3 000 3 100 3 100 4 969 - - 7 969 3 100 3 100 Total: uMzinyathi Municipalities - - - 12 100 12 600 13 000 12 338 - - 24 438 12 600 13 000 B KZN252 Newcastle - - - 2 100 2 200 2 300 2 168 - - 4 268 2 200 2 300 B KZN253 eMadlangeni - - - 3 000 3 100 3 100 1 371 - - 4 371 3 100 3 100 B KZN254 Dannhauser - - - 2 200 2 300 2 400 1 709 - - 3 909 2 300 2 400 C DC25 Amajuba District Municipality - - - 3 800 3 800 3 800 1 835 - - 5 635 3 800 3 800 Total: Amajuba Municipalities - - - 11 100 11 400 11 600 7 083 - - 18 183 11 400 11 600 B KZN261 eDumbe - - - 3 000 3 100 3 100 1 507 - - 4 507 3 100 3 100 B KZN262 uPhongolo - - - 3 000 3 100 3 100 1 984 - - 4 984 3 100 3 100 B KZN263 AbaQulusi - - - 3 000 3 100 3 100 2 929 - - 5 929 3 100 3 100 B KZN265 Nongoma - - - 2 200 2 300 2 400 2 159 - - 4 359 2 300 2 400 B KZN266 Ulundi - - - 2 200 2 300 2 400 2 983 - - 5 183 2 300 2 400 C DC26 Zululand District Municipality - - - 1 500 1 600 1 800 5 379 - - 6 879 1 600 1 800 Total: Zululand Municipalities - - - 14 900 15 500 15 900 16 941 - - 31 841 15 500 15 900 B KZN271 uMhlabuyalingana - - - 2 200 2 300 2 400 2 081 - - 4 281 2 300 2 400 B KZN272 Jozini - - - 3 000 3 000 3 000 2 549 - - 5 549 3 000 3 000 B KZN275 Inkosi uMtubatuba - - - 2 200 2 300 2 400 1 884 - - 4 084 2 300 2 400 B KZN276 Big Five Hlabisa - - - 2 800 2 900 2 900 1 752 - - 4 552 2 900 2 900 C DC27 uMkhanyakude District Municipality - - - 3 100 3 100 3 100 3 991 - - 7 091 3 100 3 100 Total: uMkhanyakude Municipalities - - - 13 300 13 600 13 800 12 257 - - 25 557 13 600 13 800 B KZN281 uMfolozi - - - 2 000 2 100 2 200 2 264 - - 4 264 2 100 2 200 B KZN282 uMhlathuze - - - 2 600 2 700 2 800 3 342 - - 5 942 2 700 2 800 B KZN284 uMlalazi - - - 2 000 2 100 2 200 2 567 - - 4 567 2 100 2 200 B KZN285 Mthonjaneni - - - 2 800 2 900 2 900 1 959 - - 4 759 2 900 2 900 B KZN286 Nkandla - - - 2 600 2 700 2 800 2 749 - - 5 349 2 700 2 800 C DC28 King Cetshwayo District Municipality - - - 1 400 1 500 1 700 4 537 - - 5 937 1 500 1 700 Total: King Cetshwayo Municipalities - - - 13 400 14 000 14 600 17 418 - - 30 818 14 000 14 600 B KZN291 Mandeni - - - 2 000 2 100 2 200 1 524 - - 3 524 2 100 2 200 B KZN292 KwaDukuza - - - 2 000 2 100 2 200 1 823 - - 3 823 2 100 2 200 B KZN293 Ndwedwe - - - 3 000 3 100 3 100 2 156 - - 5 156 3 100 3 100 B KZN294 Maphumulo - - - 2 000 2 100 2 200 1 946 - - 3 946 2 100 2 200 C DC29 iLembe District Municipality - - - 1 200 1 300 1 500 3 301 - - 4 501 1 300 1 500 Total: iLembe Municipalities - - - 10 200 10 700 11 200 10 750 - - 20 950 10 700 11 200 B KZN433 Greater Kokstad - - - 2 000 2 100 2 200 1 792 - - 3 792 2 100 2 200 B KZN434 Johannes Phumani Phungula - - - 2 100 2 200 2 300 1 690 - - 3 790 2 200 2 300 B KZN435 uMzimkhulu - - - 2 000 2 100 2 200 2 616 - - 4 616 2 100 2 200 B KZN436 Dr Nkosazana Dlamini Zuma - - - 2 100 2 200 2 300 1 811 - - 3 911 2 200 2 300 C DC43 Harry Gwala District Municipality - - - 1 400 1 500 1 700 3 007 - - 4 407 1 500 1 700 Total: Harry Gwala Municipalities - - - 9 600 10 100 10 700 10 916 - - 20 516 10 100 10 700 Total: KwaZulu-Natal Municipalities 31 000 32 929 39 000 125 200 130 300 134 900 128 950 - - 285 150 163 229 173 900 268 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality LIMPOPOB LIM331 Greater Giyani - - - 2 500 2 600 2 700 3 366 - - 5 866 2 600 2 700 B LIM332 Greater Letaba - - - 2 100 2 200 2 300 2 597 - - 4 697 2 200 2 300 B LIM333 Greater Tzaneen - - - 2 100 2 200 2 300 5 211 - - 7 311 2 200 2 300 B LIM334 Ba-Phalaborwa - - - 3 000 3 100 3 100 1 675 - - 4 675 3 100 3 100 B LIM335 Maruleng - - - 2 000 2 200 2 300 1 519 - - 3 519 2 200 2 300 C DC33 Mopani District Municipality - - - 3 000 3 000 3 000 5 929 - - 8 929 3 000 3 000 Total: Mopani Municipalities - - - 14 700 15 300 15 700 20 297 - - 34 997 15 300 15 700 B LIM341 Musina - - - 3 000 3 100 3 100 1 928 - - 4 928 3 100 3 100 B LIM343 Thulamela 5 000 5 500 5 000 2 000 2 100 2 300 4 521 - - 11 521 7 600 7 300 B LIM344 Makhado - - - 2 100 2 200 2 300 3 346 - - 5 446 2 200 2 300 B LIM345 Collins Chabane - - - 2 600 2 700 2 800 1 979 - - 4 579 2 700 2 800 C DC34 Vhembe District Municipality 5 255 5 500 5 000 3 000 3 100 3 100 3 365 - - 11 620 8 600 8 100 Total: Vhembe Municipalities 10 255 11 000 10 000 12 700 13 200 13 600 15 139 - - 38 094 24 200 23 600 B LIM351 Blouberg - - - 2 500 2 600 2 700 1 616 - - 4 116 2 600 2 700 B LIM353 Molemole - - - 2 300 2 400 2 500 1 401 - - 3 701 2 400 2 500 B LIM354 Polokwane 18 000 18 000 16 000 2 500 2 600 2 700 5 254 - - 25 754 20 600 18 700 B LIM355 Lepele-Nkumpi - - - 2 100 2 200 2 300 2 107 - - 4 207 2 200 2 300 C DC35 Capricorn District Municipality - - - 1 200 1 400 1 600 2 754 - - 3 954 1 400 1 600 Total: Capricorn Municipalities 18 000 18 000 16 000 10 600 11 200 11 800 13 132 - - 41 732 29 200 27 800 B LIM361 Thabazimbi - - - 3 000 3 000 3 000 1 309 - - 4 309 3 000 3 000 B LIM362 Lephalale - - - 2 000 2 200 2 200 1 461 - - 3 461 2 200 2 200 B LIM366 Bela-Bela - - - 2 000 2 100 2 200 1 632 - - 3 632 2 100 2 200 B LIM367 Mogalakwena - - - 3 500 3 500 3 500 1 740 - - 5 240 3 500 3 500 B LIM368 Modimolle-Mookgophong - - - 2 600 2 700 2 800 1 899 - - 4 499 2 700 2 800 C DC36 Waterberg District Municipality - - - 1 200 1 400 1 600 - - - 1 200 1 400 1 600 Total: Waterberg Municipalities - - - 14 300 14 900 15 300 8 041 - - 22 341 14 900 15 300 B LIM471 Ephraim Mogale - - - 3 000 3 000 3 000 1 584 - - 4 584 3 000 3 000 B LIM472 Elias Motsoaledi - - - 2 800 2 900 2 900 2 771 - - 5 571 2 900 2 900 B LIM473 Makhuduthamaga - - - 2 000 2 200 2 300 2 590 - - 4 590 2 200 2 300 B LIM476 Fetakgomo Tubatse - - - 2 600 2 700 2 800 3 168 - - 5 768 2 700 2 800 C DC47 Sekhukhune District Municipa lity - - - 2 500 2 600 2 700 8 044 - - 10 544 2 600 2 700 Total: Sekhukhune Municipalities - - - 12 900 13 400 13 700 18 157 - - 31 057 13 400 13 700 Total: Limpopo Municipalities 28 255 29 000 26 000 65 20 0 68 000 70 100 74 766 - - 168 221 97 000 96 100 MPUMALANGAB MP301 Chief Albert Luthuli - - - 2 100 2 200 2 300 3 101 - - 5 201 2 200 2 300 B MP302 Msukaligwa - - - 3 800 3 800 3 800 2 738 - - 6 538 3 800 3 800 B MP303 Mkhondo - - - 3 000 3 100 3 100 2 251 - - 5 251 3 100 3 100 B MP304 Dr Pixley ka Isaka Seme - - - 2 500 2 600 2 700 1 903 - - 4 403 2 600 2 700 B MP305 Lekwa - - - 2 800 2 900 2 900 1 530 - - 4 330 2 900 2 900 B MP306 Dipaleseng - - - 2 800 2 900 2 900 1 453 - - 4 253 2 900 2 900 B MP307 Govan Mbeki 24 000 24 000 24 000 3 500 3 500 3 500 2 859 - - 30 359 27 500 27 500 C DC30 Gert Sibande District Municipality 14 000 14 000 14 000 1 300 1 500 1 700 1 852 - - 17 152 15 500 15 700 Total: Gert Sibande Municipalities 38 000 38 000 38 000 21 800 22 500 22 900 17 687 - - 77 487 60 500 60 900 B MP311 Victor Khanye - - - 2 000 2 100 2 200 2 134 - - 4 134 2 100 2 200 B MP312 Emalahleni - - - 3 000 3 000 3 000 4 057 - - 7 057 3 000 3 000 B MP313 Steve Tshwete - - - 2 000 2 100 2 200 2 989 - - 4 989 2 100 2 200 B MP314 Emakhazeni - - - 4 000 4 000 4 000 1 926 - - 5 926 4 000 4 000 B MP315 Thembisile Hani - - - 2 000 2 100 2 200 2 679 - - 4 679 2 100 2 200 B MP316 Dr JS Moroka - - - 2 500 2 600 2 700 2 492 - - 4 992 2 600 2 700 C DC31 Nkangala District Municipality - - - 1 200 1 400 1 600 2 510 - - 3 710 1 400 1 600 Total: Nkangala Municipalities - - - 16 700 17 300 17 900 18 787 - - 35 487 17 300 17 900 B MP321 Thaba Chweu - - - 3 000 3 100 3 100 2 210 - - 5 210 3 100 3 100 B MP324 Nkomazi - - - 2 000 2 200 2 300 4 500 - - 6 500 2 200 2 300 B MP325 Bushbuckridge - - - 2 600 2 700 2 800 3 588 - - 6 188 2 700 2 800 B MP326 City of Mbombela - - - 2 600 2 700 2 800 5 254 - - 7 854 2 700 2 800 C DC32 Ehlanzeni District Municipality 3 000 4 000 4 500 1 200 1 400 1 600 1 933 - - 6 133 5 400 6 100 Total: Ehlanzeni Municipalities 3 000 4 000 4 500 11 400 12 100 12 600 17 485 - - 31 885 16 100 17 100 Total: Mpumalanga Municipalities 41 000 42 000 42 500 49 900 51 900 53 400 53 959 - - 144 859 93 900 95 900 269 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality NORTHERN CAPEB NC061 Richtersveld - - - 2 600 2 700 2 700 1 340 - - 3 940 2 700 2 700 B NC062 Nama Khoi - - - 3 000 3 100 3 100 1 708 - - 4 708 3 100 3 100 B NC064 Kamiesberg - - - 3 000 3 000 3 000 - - - 3 000 3 000 3 000 B NC065 Hantam - - - 2 100 2 200 2 300 1 319 - - 3 419 2 200 2 300 B NC066 Karoo Hoogland - - - 2 600 2 700 2 700 - - - 2 600 2 700 2 700 B NC067 Khâi-Ma - - - 2 900 2 900 2 900 - - - 2 900 2 900 2 900 C DC6 Namakwa District Municipality - - - 2 100 2 200 2 300 1 317 - - 3 417 2 200 2 300 Total: Namakwa Municipalities - - - 18 300 18 800 19 000 5 684 - - 23 984 18 800 19 000 B NC071 Ubuntu - - - 2 900 3 000 3 000 1 320 - - 4 220 3 000 3 000 B NC072 Umsobomvu - - - 2 100 2 200 2 200 1 338 - - 3 438 2 200 2 200 B NC073 Emthanjeni - - - 2 000 2 100 2 100 1 242 - - 3 242 2 100 2 100 B NC074 Kareeberg - - - 2 800 2 900 3 000 1 278 - - 4 078 2 900 3 000 B NC075 Renosterberg - - - 3 000 3 100 3 100 1 255 - - 4 255 3 100 3 100 B NC076 Thembelihle - - - 3 000 3 000 3 000 - - - 3 000 3 000 3 000 B NC077 Siyathemba - - - 2 600 2 600 2 700 1 292 - - 3 892 2 600 2 700 B NC078 Siyancuma - - - 2 600 2 600 2 700 1 354 - - 3 954 2 600 2 700 C DC7 Pixley Ka Seme District Municipality - - - 2 000 2 100 2 200 1 275 - - 3 275 2 100 2 200 Total: Pixley Ka Seme Municipalities - - - 23 000 23 600 24 000 10 354 - - 33 354 23 600 24 000 B NC082 !Kai !Garib - - - 3 400 3 400 3 400 1 334 - - 4 734 3 400 3 400 B NC084 !Kheis - - - 3 000 3 100 3 100 - - - 3 000 3 100 3 100 B NC085 Tsantsabane - - - 3 000 3 100 3 100 1 239 - - 4 239 3 100 3 100 B NC086 Kgatelopele - - - 2 700 2 700 2 800 1 335 - - 4 035 2 700 2 800 B NC087 Dawid Kruiper - - - 3 000 3 100 3 100 1 292 - - 4 292 3 100 3 100 C DC8 Z.F. Mgcawu District Municipality - - - 1 300 1 400 1 600 1 274 - - 2 574 1 400 1 600 Total: Z.F. Mgcawu Municipalities - - - 16 400 16 800 17 100 6 474 - - 22 874 16 800 17 100 B NC091 Sol Plaatjie 5 000 5 500 5 500 2 000 2 100 2 200 3 409 - - 10 409 7 600 7 700 B NC092 Dikgatlong - - - 3 000 3 100 3 100 1 399 - - 4 399 3 100 3 100 B NC093 Magareng - - - 3 000 3 100 3 100 1 350 - - 4 350 3 100 3 100 B NC094 Phokwane - - - 2 800 2 800 2 900 1 268 - - 4 068 2 800 2 900 C DC9 Frances Baard District Municipality - - - 1 200 1 300 1 500 1 352 - - 2 552 1 300 1 500 Total: Frances Baard Municipalities 5 000 5 500 5 500 12 000 12 400 12 800 8 778 - - 25 778 17 900 18 300 B NC451 Joe Morolong - - - 3 000 3 000 3 000 1 446 - - 4 446 3 000 3 000 B NC452 Ga-Segonyana - - - 3 000 3 000 3 000 1 420 - - 4 420 3 000 3 000 B NC453 Gamagara - - - 2 100 2 200 2 200 1 463 - - 3 563 2 200 2 200 C DC45 John Taolo Gaetsewe District Municipality 5 000 5 500 5 000 1 200 1 300 1 500 1 306 - - 7 506 6 800 6 500 Total: John Taolo Gaetsewe Municipalities 5 000 5 500 5 00 0 9 300 9 500 9 700 5 635 - - 19 935 15 000 14 700 Total: Northern Cape Municipalities 10 000 11 000 10 500 79 000 81 100 82 600 36 925 - - 125 925 92 100 93 100 NORTH WESTB NW371 Moretele - - - 2 900 2 900 3 000 2 485 - - 5 385 2 900 3 000 B NW372 Madibeng - - - 2 900 3 000 3 000 4 155 - - 7 055 3 000 3 000 B NW373 Rustenburg - - - 2 000 2 100 2 200 2 964 - - 4 964 2 100 2 200 B NW374 Kgetlengrivier - - - 3 000 3 000 3 000 1 489 - - 4 489 3 000 3 000 B NW375 Moses Kotane - - - 2 100 2 200 2 300 1 700 - - 3 800 2 200 2 300 C DC37 Bojanala Platinum District Municipality - - - 2 000 2 100 2 200 1 839 - - 3 839 2 100 2 200 Total: Bojanala Platinum Municipalities - - - 14 900 15 300 15 700 14 632 - - 29 532 15 300 15 700 B NW381 Ratlou - - - 3 000 3 000 3 000 1 674 - - 4 674 3 000 3 000 B NW382 Tswaing - - - 3 000 3 100 3 100 1 538 - - 4 538 3 100 3 100 B NW383 Mafikeng 3 000 4 000 4 500 3 000 3 100 3 100 1 776 - - 7 776 7 100 7 600 B NW384 Ditsobotla - - - 2 600 2 600 2 700 1 301 - - 3 901 2 600 2 700 B NW385 Ramotshere Moiloa - - - 2 400 2 500 2 600 1 915 - - 4 315 2 500 2 600 C DC38 Ngaka Modiri Molema District Municipality - - - 3 000 3 000 3 000 3 445 - - 6 445 3 000 3 000 Total: Ngaka Modiri Molema Municipalities 3 000 4 000 4 500 17 000 17 300 17 500 11 649 - - 31 649 21 300 22 000 B NW392 Naledi - - - 2 800 2 900 3 000 2 628 - - 5 428 2 900 3 000 B NW393 Mamusa - - - 3 000 3 000 3 000 1 456 - - 4 456 3 000 3 000 B NW394 Greater Taung - - - 3 000 3 100 3 100 2 006 - - 5 006 3 100 3 100 B NW396 Lekwa-Teemane - - - 3 000 3 000 3 000 1 522 - - 4 522 3 000 3 000 B NW397 Kagisano-Molopo - - - 3 000 3 000 3 000 2 227 - - 5 227 3 000 3 000 C DC39 Dr Ruth Segomotsi Mompati District Municipality - - - 3 600 3 700 3 700 1 692 - - 5 292 3 700 3 700 Total: Dr Ruth Segomotsi Mompati Municipalities - - - 18 400 18 700 18 800 11 531 - - 29 931 18 700 18 800 B NW403 City of Matlosana - - - 3 000 3 000 3 000 1 999 - - 4 999 3 000 3 000 B NW404 Maquassi Hills - - - 3 600 3 600 3 600 1 444 - - 5 044 3 600 3 600 B NW405 JB Marks - - - 3 000 3 100 3 100 1 882 - - 4 882 3 100 3 100 C DC40 Dr Kenneth Kaunda District Municipality - - - 1 200 1 300 1 500 1 568 - - 2 768 1 300 1 500 Total: Dr Kenneth Kaunda Municipalities - - - 10 800 11 000 11 200 6 893 - - 17 693 11 000 11 200 Total: North West Municipalities 3 000 4 000 4 500 61 100 62 300 63 200 44 705 - - 108 805 66 300 67 700 270 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) SUB-TOTAL: CURRENT 1 National and Municipal Financial Year ANNEXURE W4 SPECIFIC PURPOSE ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 5, PART B AND SCHEDULE 7, PART B): CURRENT GRANTS Expanded Public Works Programme Integrated Grant for Municipalities National and Municipal Financial Year Infrastructure Skills Development Grant National and Municipal Financial Year Local Government Financial Management Grant National and Municipal Financial Year Category Municipality WESTERN CAPEA CPT City of Cape Town 26 000 26 000 27 000 1 200 1 300 1 500 20 547 - - 47 747 27 300 28 500 B WC011 Matzikama - - - 2 100 2 200 2 300 1 601 - - 3 701 2 200 2 300 B WC012 Cederberg - - - 2 100 2 200 2 300 1 452 - - 3 552 2 200 2 300 B WC013 Bergrivier - - - 2 000 2 100 2 200 1 656 - - 3 656 2 100 2 200 B WC014 Saldanha Bay - - - 1 900 2 000 2 100 1 513 - - 3 413 2 000 2 100 B WC015 Swartland - - - 1 800 1 900 2 000 2 121 - - 3 921 1 900 2 000 C DC1 West Coast District Municipality - - - 1 200 1 300 1 500 1 605 - - 2 805 1 300 1 500 Total: West Coast Municipalities - - - 11 100 11 700 12 400 9 948 - - 21 048 11 700 12 400 B WC022 Witzenberg - - - 1 800 1 900 2 000 1 976 - - 3 776 1 900 2 000 B WC023 Drakenstein - - - 1 800 2 000 2 100 2 925 - - 4 725 2 000 2 100 B WC024 Stellenbosch - - - 1 800 1 900 2 000 2 731 - - 4 531 1 900 2 000 B WC025 Breede Valley - - - 1 800 1 900 2 000 2 662 - - 4 462 1 900 2 000 B WC026 Langeberg - - - 1 800 1 900 2 000 2 267 - - 4 067 1 900 2 000 C DC2 Cape Winelands District Municipality - - - 1 200 1 300 1 500 1 524 - - 2 724 1 300 1 500 Total: Cape Winelands Municipalities - - - 10 200 10 900 11 600 14 085 - - 24 285 10 900 11 600 B WC031 Theewaterskloof - - - 2 000 2 100 2 200 1 912 - - 3 912 2 100 2 200 B WC032 Overstrand - - - 1 900 2 100 2 200 2 062 - - 3 962 2 100 2 200 B WC033 Cape Agulhas - - - 1 900 2 000 2 100 1 655 - - 3 555 2 000 2 100 B WC034 Swellendam - - - 2 000 2 100 2 200 1 456 - - 3 456 2 100 2 200 C DC3 Overberg District Municipality - - - 1 200 1 300 1 500 1 534 - - 2 734 1 300 1 500 Total: Overberg Municipalities - - - 9 000 9 600 10 200 8 619 - - 17 619 9 600 10 200 B WC041 Kannaland - - - 2 900 3 000 3 100 1 343 - - 4 243 3 000 3 100 B WC042 Hessequa - - - 1 900 2 000 2 100 1 378 - - 3 278 2 000 2 100 B WC043 Mossel Bay - - - 1 900 2 000 2 100 3 211 - - 5 111 2 000 2 100 B WC044 George 6 000 6 000 6 238 2 000 2 100 2 200 2 312 - - 10 312 8 100 8 438 B WC045 Oudtshoorn - - - 2 800 2 900 3 000 1 874 - - 4 674 2 900 3 000 B WC047 Bitou - - - 2 000 2 100 2 200 1 469 - - 3 469 2 100 2 200 B WC048 Knysna - - - 2 000 2 100 2 200 1 350 - - 3 350 2 100 2 200 C DC4 Garden Route District Municipality - - - 1 200 1 300 1 500 1 774 - - 2 974 1 300 1 500 Total: Garden Route Municipalities 6 000 6 000 6 238 16 700 17 500 18 400 14 711 - - 37 411 23 500 24 638 B WC051 Laingsburg - - - 2 000 2 100 2 200 1 387 - - 3 387 2 100 2 200 B WC052 Prince Albert - - - 2 000 2 100 2 200 1 246 - - 3 246 2 100 2 200 B WC053 Beaufort West - - - 2 100 2 200 2 300 1 478 - - 3 578 2 200 2 300 C DC5 Central Karoo District Municipality - - - 1 200 1 300 1 500 1 350 - - 2 550 1 300 1 500 Total: Central Karoo Municipalities - - - 7 300 7 700 8 200 5 461 - - 12 761 7 700 8 200 Total: Western Cape Municipalities 32 000 32 000 33 238 55 500 58 700 62 300 73 371 - - 160 871 90 700 95 538 - - - - - - - 613 761 632 836 411 020 1 041 183 1 073 542 National Total 179 755 186 929 192 738 613 517 638 001 657 829 5 85 594 613 761 632 836 1 789 886 1 866 113 1 924 109 1. Includes unallocated amounts for the Municipal Disaster Respons e Grant (MDRG). The MDRG is allocated R411 million in 2026/27 , R427 million in 2027/28 and R441 million in 2028/29 Unallocated 271 ANNEXURE W5 INFRASTRUCTURE GRANT ALLOC ATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AN D SCHEDULE 5, PART B) (National and Municipal Financial Years) 272 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) EASTERN CAPEA BUF Buffalo City - - - - - - - - - - - - - - - A NMA Nelson Mandela Bay - - - 7 000 8 000 8 000 - - - 91 589 - - - - - B EC101 Dr Beyers Naude 24 743 27 081 27 824 8 095 12 462 10 000 - - - - - - 35 000 36 750 38 400 B EC102 Blue Crane Route 26 053 18 126 18 568 9 415 7 316 10 113 - - - - - - 16 000 16 800 17 554 B EC104 Makana 30 193 32 239 33 156 1 214 8 101 8 467 - - - - - - 25 000 - - B EC105 Ndlambe 33 754 36 222 37 273 13 959 7 316 7 647 - - - - - - 25 000 26 250 27 429 B EC106 Sundays River Valley 36 245 33 693 34 658 4 335 11 316 7 647 - - - - - - 24 000 25 200 24 331 B EC108 Kouga 38 619 42 602 43 867 5 780 7 900 8 257 - - - - - - 13 196 9 344 9 764 B EC109 Kou-Kamma 18 063 19 610 20 102 13 201 8 161 4 349 - - - - - - 18 000 15 750 14 457 C DC10 Sarah Baartman District Municipality - - - - - - 2 732 2 841 2 929 - - - - - - Total: Sarah Baartman Municipalities 207 670 209 573 215 448 55 999 62 572 56 480 2 73 2 2 841 2 929 - - - 156 196 130 094 131 935 B EC121 Mbhashe 75 105 83 409 86 047 10 756 13 588 14 000 - - - - - - - - - B EC122 Mnquma 78 462 87 164 89 929 7 550 13 407 8 000 - - - - - - - - - B EC123 Great Kei 12 980 13 926 14 226 4 335 6 854 7 164 - - - - - - - - - B EC124 Amahlathi 34 514 38 010 39 121 24 474 11 790 8 142 - - - - - - - - - B EC126 Ngqushwa 29 181 29 961 30 801 4 439 12 101 8 467 - - - - - - - - - B EC129 Raymond Mhlaba 48 676 53 849 55 493 13 402 8 101 12 467 - - - - - - - - - C DC12 Amathole District Municipality 498 955 579 301 598 628 - - - 3 584 3 727 3 843 - - - 110 000 115 500 116 686 Total: Amathole Municipalities 777 873 885 620 914 245 64 956 65 841 58 240 3 58 4 3 727 3 843 - - - 110 000 115 500 116 686 B EC131 Inxuba Yethemba 19 193 20 875 21 409 11 877 10 583 8 000 - - - - - - - - - B EC135 Intsika Yethu 53 468 59 209 61 034 5 789 11 497 9 000 - - - - - - - - - B EC136 Emalahleni 41 368 45 676 47 045 7 330 15 678 10 000 - - - - - - - - - B EC137 Dr. A.B. Xuma 57 056 52 801 54 409 7 562 13 588 14 202 - - - - - - - - - B EC138 Sakhisizwe 33 012 23 825 24 458 7 474 7 316 11 647 - - - - - - - - - B EC139 Enoch Mgijima 67 699 75 126 77 486 15 000 8 362 12 740 - - - - - - - - - C DC13 Chris Hani District Municipality 347 575 388 153 401 047 - - - 3 939 4 096 4 223 - 263 079 274 891 75 000 91 905 9 6 032 Total: Chris Hani Municipalities 619 371 665 665 686 888 55 032 67 024 65 589 3 93 9 4 096 4 223 - 263 079 274 891 75 000 91 905 9 6 032 B EC141 Elundini 48 290 53 418 55 047 16 843 20 904 15 000 - - - - - - - - - B EC142 Senqu 47 698 52 756 54 363 - 5 206 5 442 - - - - - - - - - B EC145 Walter Sisulu 32 047 24 830 25 497 9 570 12 744 9 139 - - - - - - - - - C DC14 Joe Gqabi District Municipality 189 095 210 901 217 830 - - - 2 666 2 772 2 858 80 000 203 00 0 242 115 57 000 59 850 62 537 Total: Joe Gqabi Municipalities 317 130 341 905 352 737 26 413 38 854 29 581 2 66 6 2 772 2 858 80 000 203 000 242 115 57 000 59 85 0 62 537 B EC153 Ngquza Hill 73 702 75 586 77 962 6 739 8 885 9 287 - - - - - - - - - B EC154 Port St Johns 42 410 46 841 48 249 7 137 18 814 19 664 - - - - - - - - - B EC155 Nyandeni 76 189 84 621 87 301 35 931 9 347 9 769 - - - - - - - - - B EC156 Mhlontlo 55 040 60 967 62 851 24 580 10 906 11 399 - - - - - - - - - B EC157 King Sabata Dalindyebo 109 510 120 951 124 853 9 199 19 580 16 284 - - - - - - - - - C DC15 O.R. Tambo District Municipality 764 549 854 518 883 107 - - - 3 583 3 726 3 842 121 701 - - 85 000 102 375 106 971 Total: O.R. Tambo Municipalities 1 121 400 1 243 484 1 284 323 83 586 67 532 66 403 3 583 3 726 3 842 121 701 - - 85 000 102 375 106 971 B EC441 Matatiele 70 746 68 113 70 237 29 967 20 904 21 849 - - - - - - - - - B EC442 Umzimvubu 57 796 64 050 66 037 8 439 18 814 19 664 - - - - - - - - - B EC443 Winnie Madikizela-Mandela 60 278 66 825 68 906 9 932 15 678 16 387 - - - - - - - - - B EC444 Ntabankulu 33 256 36 603 37 666 15 631 13 087 13 679 - - - - - - - - - C DC44 Alfred Nzo District Municipality 453 610 506 748 523 633 - - - 2 794 2 906 2 996 - - - 95 000 99 750 104 229 Total: Alfred Nzo Municipalities 675 686 742 339 766 479 63 969 68 483 71 579 2 79 4 2 906 2 996 - - - 95 000 99 750 104 229 Total: Eastern Cape Municipalities 3 719 130 4 088 586 4 220 120 356 955 378 306 355 872 19 298 20 068 20 691 293 290 466 079 517 006 578 196 599 474 618 390 National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 273 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 FREE STATEA MAN Mangaung - - - - 5 000 6 000 - - - - - - - - - B FS161 Letsemeng 10 697 22 082 22 657 4 000 5 226 5 462 - - - - - - 23 000 23 250 24 294 B FS162 Kopanong 24 635 26 961 27 700 600 5 226 5 462 - - - - - - 22 393 21 513 22 479 B FS163 Mohokare 11 846 23 296 23 912 100 3 136 3 278 - - - - - - 21 000 22 050 23 040 B FS164 New Municipality - - - - - - - - - - - - - - - C DC16 Xhariep District Municipality - - - - - - 2 621 2 726 2 811 - - - - - - Total: Xhariep Municipalities 47 178 72 339 74 269 4 700 13 588 14 202 2 621 2 726 2 811 - - - 66 393 66 813 69 813 B FS181 Masilonyana 25 924 30 886 31 757 4 007 5 226 5 462 - - - - - - 24 288 25 502 26 647 B FS182 Tokologo 19 455 21 167 21 711 - 5 226 5 462 - - - 100 000 103 693 108 349 26 740 22 077 22 068 B FS183 Tswelopele 25 063 21 187 21 732 3 000 5 568 6 639 - - - - - - 22 110 23 216 23 258 B FS184 Matjhabeng 79 743 165 363 170 760 12 412 20 904 15 000 - - - - - - 23 000 28 350 29 623 B FS185 Nala 35 941 39 606 40 770 4 000 3 658 3 823 - - - - - - 22 660 25 893 27 056 C DC18 Lejweleputswa District Municipality - - - - 5 000 4 000 2 783 2 894 2 984 - - - - - - Total: Lejweleputswa Municipalities 186 126 278 209 286 730 23 419 45 582 40 386 2 78 3 2 894 2 984 100 000 103 693 108 349 118 798 125 038 128 652 B FS191 Setsoto 57 934 64 204 66 197 4 750 4 986 5 211 - - - 230 509 112 596 103 489 25 890 24 285 25 375 B FS192 Dihlabeng 33 570 52 323 53 915 8 938 3 658 3 823 - - - 200 000 103 694 128 350 25 000 23 350 24 398 B FS193 Nketoana 24 888 33 526 34 486 - 4 181 4 370 - - - - - - 21 389 22 458 23 466 B FS194 Maluti-a-Phofung 202 076 225 420 232 838 6 000 3 136 3 278 - - - - - - 64 000 47 750 47 894 B FS195 Phumelela 15 462 27 447 28 202 8 327 5 870 1 956 - - - - - - 19 552 22 516 23 527 B FS196 Mantsopa 23 857 26 091 26 800 4 000 3 116 3 257 - - - - - - 13 000 12 650 13 218 C DC19 Thabo Mofutsanyana District Municipality - - - 5 000 6 000 5 000 2 934 3 051 3 146 - - - - - - Total: Thabo Mofutsanyana Municipalities 357 787 429 011 442 438 37 015 30 947 26 895 2 93 4 3 051 3 146 430 509 216 290 231 839 168 831 153 009 157 878 B FS201 Moqhaka 27 423 54 801 56 477 - 5 226 5 462 - - - - - - 15 268 16 160 16 886 B FS203 Ngwathe 32 172 57 087 58 840 7 633 20 904 15 000 - - - 106 112 180 000 167 233 12 000 12 600 13 166 B FS204 Metsimaholo 40 298 60 762 62 639 10 000 10 452 10 924 - - - - - - 19 000 22 350 23 354 B FS205 Mafube 22 912 29 492 30 316 - 7 316 7 647 - - - - - - - 19 050 19 905 C DC20 Fezile Dabi District Municipality - - - 24 906 - - 2 669 2 775 2 861 - - - - - - Total: Fezile Dabi Municipalities 122 805 202 142 208 272 42 539 43 898 39 033 2 66 9 2 775 2 861 106 112 180 000 167 233 46 268 70 1 60 73 311 Total: Free State Municipalities 713 896 981 701 1 011 709 107 673 139 015 126 516 11 007 11 446 11 802 636 621 499 983 507 421 400 29 0 415 020 429 654 GAUTENGA EKU City of Ekurhuleni - - - 8 000 8 000 8 000 - - - - - - - - - A JHB City of Johannesburg - - - 8 000 8 000 8 000 - - - - - - - - - A TSH City of Tshwane - - - - - 8 000 - - - - - - - - - B GT421 Emfuleni 160 704 237 007 244 814 11 970 18 633 19 294 - - - - - - - - - B GT422 Midvaal 39 426 42 462 43 722 13 858 21 768 21 571 - - - - - - 48 403 65 000 70 000 B GT423 Lesedi 32 063 35 269 36 287 58 575 20 904 25 496 - - - - - - 39 148 40 000 19 714 C DC42 Sedibeng District Municipality - - - 5 000 - 4 000 2 971 3 090 3 186 - - - - - - Total: Sedibeng Municipalities 232 193 314 738 324 823 89 403 61 305 70 361 2 97 1 3 090 3 186 - - - 87 551 105 000 89 714 B GT481 Mogale City - - - - 14 633 15 294 - - - - - - 60 000 67 728 69 516 B GT484 Merafong City 81 840 90 942 93 834 6 005 16 723 21 479 - - - - - - 30 000 30 000 35 000 B GT485 Rand West City 112 915 125 697 129 759 29 510 30 311 35 682 - - - - - - 64 194 74 074 75 000 C DC48 West Rand District Municipality - - - - - - 3 164 3 290 3 392 - - - - - - Total: West Rand Municipalities 194 755 216 639 223 593 35 515 61 667 72 455 3 16 4 3 290 3 392 - - - 154 194 171 802 179 516 Total: Gauteng Municipalities 426 948 531 377 548 416 140 918 138 972 166 816 6 135 6 380 6 578 - - - 241 745 276 802 269 230 274 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 KWAZULU-NATALA ETH eThekwini - - - 8 000 8 000 8 000 - - - - - - - - - B KZN212 uMdoni 37 762 41 643 42 876 900 7 316 7 647 - - - - - - - - - B KZN213 uMzumbe 42 067 46 458 47 853 459 9 407 9 832 - - - - - - - - - B KZN214 uMuziwabantu 28 388 31 159 32 039 553 6 185 6 465 - - - - - - - - - B KZN216 Ray Nkonyeni - - - 13 104 12 316 11 647 - - - - - - - - - C DC21 Ugu District Municipality 291 423 325 349 336 130 - - - 3 248 3 378 3 483 - - - 129 000 155 500 100 686 Total: Ugu Municipalities 399 640 444 609 458 898 15 016 35 224 35 591 3 24 8 3 378 3 483 - - - 129 000 155 500 100 686 B KZN221 uMshwathi 33 813 37 225 38 310 6 531 6 271 6 554 - - - - - - - - - B KZN222 uMngeni 46 676 30 770 31 637 22 000 15 678 16 387 - - - - - - - - - B KZN223 Mpofana 13 977 15 041 15 378 - - - - - - - - - - - - B KZN224 iMpendle 22 696 14 580 14 902 - - - - - - - - - - - - B KZN225 Msunduzi 245 849 274 378 283 443 8 860 10 271 6 554 - - - - - - 80 000 84 000 87 772 B KZN226 Mkhambathini 28 439 20 794 21 325 9 412 7 848 11 203 - - - - - - - - - B KZN227 Richmond 22 142 24 173 24 818 1 632 6 487 6 780 - - - - - - - - - C DC22 uMgungundlovu District Municipa lity 122 881 136 844 141 281 - 16 542 13 108 3 087 3 210 3 310 - - - 110 000 100 500 100 461 Total: uMgungundlovu Municipalities 536 473 553 805 571 094 48 435 63 097 60 586 3 08 7 3 210 3 310 - - - 190 000 184 500 188 233 B KZN235 Okhahlamba 34 714 38 234 39 352 7 430 11 497 12 017 - - - - - - - - - B KZN237 iNkosi Langalibalele 55 975 51 592 53 160 16 575 14 452 14 924 - - - - - - - - - B KZN238 Alfred Duma - - - 10 442 7 316 11 647 - - - - - - - - - C DC23 uThukela District Municipality 222 036 247 744 255 914 - - - 3 036 3 157 3 255 - - - - - - Total: uThukela Municipalities 312 725 337 570 348 426 34 447 33 265 38 588 3 03 6 3 157 3 255 - - - - - - B KZN241 eNdumeni 18 045 19 591 20 082 10 473 5 226 5 462 - - - - - - - - - B KZN242 Nquthu 38 403 42 360 43 617 17 700 15 678 16 387 - - - - - - - - - B KZN244 uMsinga 46 332 51 227 52 783 7 927 16 723 17 479 - - - - - - - - - B KZN245 uMvoti 36 636 40 383 41 574 3 424 7 316 10 647 - - - - - - - - - C DC24 uMzinyathi District Municipality 227 067 253 371 261 729 - - - 2 781 2 892 2 982 - - - 100 000 119 679 93 183 Total: uMzinyathi Municipalities 366 483 406 932 419 785 39 524 44 943 49 975 2 78 1 2 892 2 982 - - - 100 000 119 679 93 183 B KZN252 Newcastle 139 684 155 638 160 707 19 475 21 700 23 210 - - - - - - 80 000 80 000 84 715 B KZN253 eMadlangeni 12 867 11 193 11 402 - - - - - - - - - - - - B KZN254 Dannhauser 26 378 28 910 29 715 - 6 927 6 059 - - - - - - - - - C DC25 Amajuba District Municipality 48 869 54 065 55 716 28 156 5 260 9 499 2 692 2 799 2 886 - - - 82 221 105 000 108 615 Total: Amajuba Municipalities 227 798 249 806 257 540 47 631 33 887 38 768 2 69 2 2 799 2 886 - - - 162 221 185 000 193 330 B KZN261 eDumbe 30 958 23 612 24 238 8 140 10 452 10 924 - - - - - - - - - B KZN262 uPhongolo 34 722 38 243 39 361 6 471 6 271 6 554 - - - - - - - - - B KZN263 AbaQulusi 46 008 50 865 52 409 20 013 11 362 12 740 - - - - - - - - - B KZN265 Nongoma 39 259 43 317 44 606 3 208 5 226 5 462 - - - - - - - - - B KZN266 Ulundi 38 031 41 943 43 187 6 464 6 271 6 554 - - - - - - - - - C DC26 Zululand District Municipality 272 515 304 202 314 271 - 4 000 3 000 2 884 2 999 3 092 370 085 308 278 372 120 115 000 150 000 135 388 Total: Zululand Municipalities 461 493 502 182 518 072 44 296 43 582 45 234 2 88 4 2 999 3 092 370 085 308 278 372 120 115 000 150 000 135 388 B KZN271 uMhlabuyalingana 43 139 47 657 49 092 10 348 10 452 10 924 - - - - - - - - - B KZN272 Jozini 46 304 51 197 52 751 - - - - - - - - - - - - B KZN275 Inkosi uMtubatuba 39 108 43 148 44 432 - - - - - - - - - - - - B KZN276 Big Five Hlabisa 25 858 28 328 29 113 7 000 7 902 8 259 - - - - - - - - - C DC27 uMkhanyakude District Municipality 259 029 289 119 298 680 12 225 22 300 22 127 3 20 1 3 329 3 432 - - - - - 120 686 Total: uMkhanyakude Municipalities 413 438 459 449 474 068 29 573 40 654 41 310 3 20 1 3 329 3 432 - - - - - 120 686 B KZN281 uMfolozi 34 391 35 267 36 285 11 078 9 525 9 956 - - - - - - - - - B KZN282 uMhlathuze - - - 11 244 5 442 10 688 - - - - - - 80 000 71 869 87 772 B KZN284 uMlalazi 50 116 55 460 57 159 5 035 5 442 5 688 - - - - - - - - - B KZN285 Mthonjaneni 27 213 23 591 24 217 11 254 6 512 6 806 - - - - - - - - - B KZN286 Nkandla 37 056 30 432 31 288 5 871 13 525 9 956 - - - - - - - - - C DC28 King Cetshwayo District Municipality 206 261 230 101 237 676 - - - 3 085 3 208 3 308 179 356 308 2 78 322 119 105 000 90 750 110 172 Total: King Cetshwayo Municipalities 355 037 374 851 386 625 44 482 40 446 43 094 3 08 5 3 208 3 308 179 356 308 278 322 119 185 000 162 619 197 944 B KZN291 Mandeni 43 741 48 330 49 788 - 9 521 9 951 - - - - - - - - - B KZN292 KwaDukuza 64 615 71 677 73 920 12 469 9 766 10 207 - - - - - - - - - B KZN293 Ndwedwe 36 628 40 374 41 564 3 385 8 164 8 533 - - - - - - - - - B KZN294 Maphumulo 27 080 29 695 30 526 6 131 9 766 10 207 - - - - - - - - - C DC29 iLembe District Municipality 232 564 259 519 268 084 - - - 2 771 2 882 2 972 - - - 120 000 125 750 120 723 Total: iLembe Municipalities 404 628 449 595 463 882 21 985 37 217 38 898 2 77 1 2 882 2 972 - - - 120 000 125 750 120 723 B KZN433 Greater Kokstad 20 740 22 604 23 197 20 500 6 512 6 806 - - - - - - - - - B KZN434 Johannes Phumani Phungula 32 946 36 256 37 308 680 7 316 7 647 - - - - - - - - - B KZN435 uMzimkhulu 53 926 59 721 61 563 13 271 5 226 5 462 - - - - - - - - - B KZN436 Dr Nkosazana Dlamini Zuma 33 242 36 587 37 650 1 880 5 226 5 462 - - - - - - - - - C DC43 Harry Gwala District Municipality 242 150 270 240 279 166 - - - 2 715 2 823 2 911 - - - 115 000 150 750 136 172 Total: Harry Gwala Municipalities 383 004 425 408 438 884 36 331 24 280 25 377 2 71 5 2 823 2 911 - - - 115 000 150 750 136 172 Total: KwaZulu-Natal Municipalities 3 860 719 4 204 207 4 337 274 369 720 404 595 425 421 29 500 30 677 31 631 549 441 616 556 694 239 1 116 221 1 233 798 1 286 345 275 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 LIMPOPOB LIM331 Greater Giyani 83 454 84 410 87 083 12 900 23 859 20 757 - - - - - - - - - B LIM332 Greater Letaba 73 565 80 019 82 544 12 002 9 407 13 832 - - - - - - - - - B LIM333 Greater Tzaneen 118 817 132 299 136 583 28 141 13 407 13 832 - - - - - - - - - B LIM334 Ba-Phalaborwa 39 493 43 578 44 877 1 800 12 362 8 740 - - - - - - - - - B LIM335 Maruleng 32 807 36 101 37 148 22 654 - - - - - - - - - - - C DC33 Mopani District Municipality 551 161 615 854 636 411 - - - 2 691 2 798 2 886 - - - - - - Total: Mopani Municipalities 899 297 992 261 1 024 646 77 497 59 035 57 161 2 6 91 2 798 2 886 - - - - - - B LIM341 Musina 35 649 39 279 40 433 9 000 9 766 10 207 - - - - - - - - - B LIM343 Thulamela 125 347 139 602 144 131 12 000 17 021 13 610 - - - - - - - - - B LIM344 Makhado 112 837 125 610 129 669 8 392 10 452 10 924 - - - - - - - - - B LIM345 Collins Chabane 112 528 114 843 118 540 13 827 13 929 14 378 - - - - - - - - - C DC34 Vhembe District Municipality 624 561 697 948 721 268 - - - 2 745 2 855 2 944 - - - 108 737 89 874 93 909 Total: Vhembe Municipalities 1 010 922 1 117 282 1 154 041 43 219 51 168 49 119 2 745 2 855 2 944 - - - 108 737 89 874 93 909 B LIM351 Blouberg 55 189 61 134 63 023 15 855 16 723 17 479 - - - - - - - - - B LIM353 Molemole 48 098 47 992 49 439 7 000 7 316 7 647 - - - - - - - - - B LIM354 Polokwane - - - 5 000 16 542 18 109 - - - 688 100 869 600 560 800 100 022 95 396 99 679 B LIM355 Lepele-Nkumpi 67 582 74 994 77 350 3 729 7 316 7 647 - - - - - - - - - C DC35 Capricorn District Municipality 279 548 312 068 322 402 - - - 2 955 3 073 3 168 - - - 110 022 148 773 155 453 Total: Capricorn Municipalities 450 417 496 188 512 214 31 584 47 897 50 882 2 95 5 3 073 3 168 688 100 869 600 560 800 210 044 244 169 255 132 B LIM361 Thabazimbi 22 618 44 332 45 656 26 140 16 723 17 479 - - - - - - - - - B LIM362 Lephalale 53 205 58 915 60 730 8 000 15 719 12 249 - - - - - - - - - B LIM366 Bela-Bela 31 180 34 281 35 266 9 000 13 452 15 924 - - - - - - 81 044 91 973 96 103 B LIM367 Mogalakwena 193 178 215 468 222 551 30 500 9 512 11 806 - - - - - - 88 022 81 923 85 601 B LIM368 Modimolle-Mookgophong 47 006 51 981 53 563 5 000 11 497 12 017 - - - - - - - - - C DC36 Waterberg District Municipality - - - - - - 2 601 2 705 2 789 - - - - - - Total: Waterberg Municipalities 347 187 404 977 417 766 78 640 66 903 69 475 2 60 1 2 705 2 789 - - - 169 066 173 896 181 704 B LIM471 Ephraim Mogale 41 267 45 563 46 928 15 000 - - - - - - - - - - - B LIM472 Elias Motsoaledi 68 650 76 190 78 586 18 430 9 209 5 445 - - - - - - - - - B LIM473 Makhuduthamaga 77 818 86 443 89 184 1 136 14 975 15 652 - - - - - - - - - B LIM476 Fetakgomo Tubatse 106 199 118 186 121 995 867 28 386 29 669 - - - - - - - - - C DC47 Sekhukhune District Municipa lity 413 050 643 984 665 488 - - - 2 795 2 906 2 996 - - - - - - Total: Sekhukhune Municipalities 706 984 970 366 1 002 181 35 433 52 570 50 766 2 7 95 2 906 2 996 - - - - - - Total: Limpopo Municipalities 3 414 807 3 981 074 4 110 848 266 373 277 573 277 403 13 787 14 337 14 783 688 100 869 600 560 800 487 847 507 939 530 745 MPUMALANGAB MP301 Chief Albert Luthuli 116 158 118 904 122 737 10 435 8 362 8 740 - - - 220 887 235 167 245 726 100 140 89 897 65 703 B MP302 Msukaligwa 73 686 71 400 73 635 18 100 10 803 7 110 - - - 280 000 150 000 206 735 59 850 52 343 54 693 B MP303 Mkhondo 104 925 106 340 109 750 19 907 11 316 7 647 - - - - - - 10 000 10 000 10 449 B MP304 Dr Pixley ka Isaka Seme 31 876 35 059 36 071 486 8 844 9 244 - - - - - - 54 479 41 453 43 314 B MP305 Lekwa 25 698 38 605 39 736 10 942 14 205 14 666 - - - - - - - - - B MP306 Dipaleseng 16 355 24 300 24 949 398 10 205 10 666 - - - - - - - - - B MP307 Govan Mbeki 71 861 79 781 82 298 35 748 17 768 22 571 - - - - - - - - - C DC30 Gert Sibande District Municipality 13 045 - - - - - 2 823 2 936 3 027 - - - - - - Total: Gert Sibande Municipalities 453 604 474 389 489 176 96 016 81 503 80 644 2 82 3 2 936 3 027 500 887 385 167 452 461 224 469 193 693 174 159 B MP311 Victor Khanye 29 948 32 903 33 842 2 088 10 108 10 565 - - - - - - - - - B MP312 Emalahleni 148 190 165 150 170 540 7 640 29 000 34 496 - - - 50 000 - - 37 365 43 983 45 958 B MP313 Steve Tshwete - - - 13 629 10 205 10 666 - - - - 70 000 73 143 - - - B MP314 Emakhazeni 27 198 23 574 24 199 14 330 14 642 14 666 - - - - - - 39 501 42 126 44 017 B MP315 Thembisile Hani 159 065 170 123 175 680 16 258 4 000 4 000 - - - - - - 80 482 74 006 77 329 B MP316 Dr JS Moroka 158 449 171 414 177 014 10 355 - - - - - - - - 20 000 - - C DC31 Nkangala District Municipality - - - 4 000 5 000 5 000 2 659 2 765 2 851 - - - - - - Total: Nkangala Municipalities 522 850 563 164 581 275 68 300 72 955 79 393 2 65 9 2 765 2 851 50 000 70 000 73 143 177 348 160 11 5 167 304 B MP321 Thaba Chweu 57 986 64 262 66 257 17 135 8 164 8 533 - - - - 30 000 31 347 60 607 63 357 66 202 B MP324 Nkomazi 277 267 309 517 319 765 776 5 226 5 463 - - - - 30 600 31 974 40 380 42 399 44 303 B MP325 Bushbuckridge 460 339 514 274 531 413 8 940 13 407 9 832 - - - - 40 000 41 796 46 439 47 683 49 824 B MP326 City of Mbombela 411 878 460 072 475 387 26 824 29 000 33 403 - - - - - - - - - C DC32 Ehlanzeni District Municipality - - - - - - 2 868 2 982 3 075 - - - - - - Total: Ehlanzeni Municipalities 1 207 470 1 348 125 1 392 822 53 675 55 797 57 231 2 868 2 982 3 075 - 100 600 105 117 147 426 153 439 160 329 Total: Mpumalanga Municipalities 2 183 924 2 385 678 2 463 273 217 991 210 255 217 268 8 350 8 683 8 953 550 887 555 767 630 721 549 243 507 247 501 792 276 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 NORTHERN CAPEB NC061 Richtersveld 7 943 8 291 8 402 - 1 246 1 302 - - - - - - - 19 102 19 960 B NC062 Nama Khoi 16 171 18 506 18 960 3 000 5 371 1 433 - - - - - - 20 000 26 250 27 429 B NC064 Kamiesberg 8 221 8 603 8 724 - 1 121 1 172 - - - - - - - - - B NC065 Hantam 11 009 11 720 11 946 - 3 646 3 811 - - - - - - 8 356 20 324 21 237 B NC066 Karoo Hoogland 18 216 9 360 9 507 - 1 776 1 856 - - - - - - - - - B NC067 Khâi-Ma 8 493 8 907 9 038 3 500 1 994 2 084 - - - - - - 27 000 - - C DC6 Namakwa District Municipality - - - - - - 3 541 3 682 3 796 - - - - - - Total: Namakwa Municipalities 70 053 65 387 66 577 6 500 15 154 11 658 3 541 3 682 3 796 - - - 55 356 65 676 68 626 B NC071 Ubuntu 11 262 12 003 12 239 - 6 909 4 086 - - - - - - 22 000 - - B NC072 Umsobomvu 13 196 14 167 14 475 1 400 1 246 1 302 - - - - - - 7 000 15 000 15 674 B NC073 Emthanjeni 7 876 15 115 15 456 - 2 613 2 731 - - - - - - 34 000 11 750 12 278 B NC074 Kareeberg 18 137 9 272 9 415 537 2 613 2 731 - - - - - - - 10 000 10 449 B NC075 Renosterberg 8 133 8 504 8 622 - 1 371 1 433 - - - - - - 16 000 - - B NC076 Thembelihle 19 864 11 203 11 412 13 840 1 309 4 368 - - - - - - 7 000 15 000 15 674 B NC077 Siyathemba 11 094 11 816 12 045 3 000 3 427 3 582 - - - - - - - - - B NC078 Siyancuma 19 479 21 193 21 738 5 190 5 226 5 462 - - - - - - 17 143 13 350 13 949 C DC7 Pixley Ka Seme District Municipality - - - - - - 3 672 3 818 3 937 - - - - - - Total: Pixley Ka Seme Municipalities 109 041 103 273 105 402 23 967 24 714 25 695 3 67 2 3 818 3 937 - - - 103 143 65 100 68 024 B NC082 !Kai !Garib 14 191 29 385 30 205 16 425 5 983 6 253 - - - - - - 6 000 - - B NC084 !Kheis 12 072 12 910 13 176 - 1 121 1 172 - - - - - - 13 000 - - B NC085 Tsantsabane 18 096 19 648 20 141 4 840 7 316 7 647 - - - - - - 12 000 - - B NC086 Kgatelopele 18 181 9 321 9 466 - 2 090 2 184 - - - - - - - - - B NC087 Dawid Kruiper 30 233 33 222 34 172 16 096 5 920 10 188 - - - - - - 20 000 21 000 21 943 C DC8 Z.F. Mgcawu District Municipality - - - - - - 3 497 3 637 3 750 - - - - - - Total: Z.F. Mgcawu Municipalities 92 773 104 486 107 160 37 361 22 430 27 444 3 497 3 637 3 750 - - - 51 000 21 000 21 943 B NC091 Sol Plaatjie - - - 25 521 14 633 15 294 - - - 579 000 490 000 254 000 5 000 - - B NC092 Dikgatlong 23 204 25 360 26 045 7 200 5 297 5 536 - - - - - - 7 857 - - B NC093 Magareng 12 743 13 661 13 952 - 934 977 - - - - - - 14 192 21 000 21 943 B NC094 Phokwane 17 869 34 719 35 719 10 750 8 362 8 740 - - - - - - 33 000 47 250 49 372 C DC9 Frances Baard District Municipality - - - 5 000 5 000 5 000 3 074 3 197 3 296 - - - - - - Total: Frances Baard Municipalities 53 816 73 740 75 716 48 471 34 226 35 547 3 074 3 197 3 296 579 000 490 000 254 000 60 049 68 250 71 315 B NC451 Joe Morolong 73 026 81 084 83 644 - 1 247 1 303 - - - - - - 31 000 63 500 66 351 B NC452 Ga-Segonyana 64 846 71 935 74 188 15 527 14 000 15 294 - - - - - - 30 000 55 500 57 992 B NC453 Gamagara 14 606 14 702 15 028 5 600 12 542 13 109 - - - - - - 25 000 29 400 30 720 C DC45 John Taolo Gaetsewe District Municipality - - - - - - 2 419 2 516 2 594 - - - - - - Total: John Taolo Gaetsewe Municipalities 152 478 167 721 172 860 21 127 27 789 29 706 2 41 9 2 516 2 594 - - - 86 000 148 400 155 063 Total: Northern Cape Municipalities 478 161 514 607 527 715 137 426 124 313 130 050 1 6 203 16 850 17 373 579 000 490 000 254 000 355 548 368 426 384 971 NORTH WESTB NW371 Moretele 150 631 157 460 162 590 4 000 - - - - - - - - 8 460 48 944 51 142 B NW372 Madibeng 348 220 388 875 401 794 28 411 19 859 24 757 - - - - - - - - - B NW373 Rustenburg 292 024 326 022 336 826 4 000 20 000 25 127 - - - - - - 70 138 50 300 52 558 B NW374 Kgetlengrivier 31 061 34 148 35 128 7 833 - 3 000 - - - - - - - - - B NW375 Moses Kotane 184 446 205 702 212 456 - - - - - - - - - 52 243 56 350 58 880 C DC37 Bojanala Platinum District Municipality - - - - - - 2 884 2 999 3 092 - - - - - - Total: Bojanala Platinum Municipalities 1 006 382 1 112 207 1 148 794 44 244 39 859 52 884 2 884 2 999 3 092 - - - 130 841 155 594 162 580 B NW381 Ratlou 36 104 39 788 40 959 - - - - - - - - - - - - B NW382 Tswaing 35 954 39 620 40 785 - 4 704 4 917 - - - - - - - - - B NW383 Mafikeng 104 756 85 308 88 011 4 000 5 000 6 000 - - - - - - - - - B NW384 Ditsobotla 45 242 50 009 51 523 - 3 116 3 257 - - - - - - - - - B NW385 Ramotshere Moiloa 55 322 50 862 52 405 913 4 986 5 212 - - - - - - - - - C DC38 Ngaka Modiri Molema District Municipality 363 275 405 712 419 198 - - - 3 098 3 222 3 322 - - - - - - Total: Ngaka Modiri Molema Municipalities 640 653 671 299 692 881 4 913 17 806 19 386 3 098 3 222 3 322 - - - - - - B NW392 Naledi 20 301 22 113 22 689 17 769 12 542 13 109 - - - - - - - - - B NW393 Mamusa 18 654 20 271 20 785 9 400 11 335 14 847 - - - - - - - - - B NW394 Greater Taung 59 316 65 750 67 794 - - - - - - - - - - - - B NW396 Lekwa-Teemane 17 512 18 994 19 465 764 - - - - - - - - - - - B NW397 Kagisano-Molopo 36 955 40 740 41 943 - 4 000 4 000 - - - - - - - - - C DC39 Dr Ruth Segomotsi Mompati District Municipality 167 323 186 550 192 660 - - - 2 982 3 101 3 197 379 407 366 7 32 484 815 135 587 131 100 136 986 Total: Dr Ruth Segomotsi Mompati Municipalities 320 061 354 418 365 336 27 933 27 877 31 956 2 98 2 3 101 3 197 379 407 366 732 484 815 135 587 131 100 136 986 B NW403 City of Matlosana 109 658 122 055 125 994 24 337 10 975 15 471 - - - - - - 74 000 76 950 80 405 B NW404 Maquassi Hills 34 158 37 612 38 709 4 300 - - - - - - - - 83 000 74 950 78 315 B NW405 JB Marks 82 537 91 722 94 640 15 645 13 588 18 202 - - - - - - 65 815 68 856 71 948 C DC40 Dr Kenneth Kaunda District Municipality - - - 4 000 4 000 - 3 001 3 121 3 218 - - - - - - Total: Dr Kenneth Kaunda Municipalities 226 353 251 389 259 343 48 282 28 563 33 673 3 00 1 3 121 3 218 - - - 222 815 220 756 230 668 Total: North West Municipalities 2 193 449 2 389 313 2 466 354 125 372 114 105 137 899 11 965 12 443 12 829 379 407 366 732 484 815 489 243 507 450 530 234 277 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/ 28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipal Infrastructure Grant Integrated National Electrification Programme (Municipal) Grant Rural Roads Asset Management Systems Grant Regional Bulk Infrastructure Grant Category Municipality Water Services Infrastructure Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 1 OF 2 ANNEXURE W5 WESTERN CAPEA CPT City of Cape Town - - - 7 000 8 000 8 070 - - - - - - - - - B WC011 Matzikama 37 564 27 873 28 643 14 960 12 020 16 563 - - - - - - 30 000 19 744 15 000 B WC012 Cederberg 18 441 20 033 20 539 2 440 5 173 5 407 - - - - - - 12 000 28 306 25 585 B WC013 Bergrivier 26 389 18 502 18 956 8 459 7 116 7 257 - - - - - - - - - B WC014 Saldanha Bay 23 342 25 514 26 205 - 9 347 9 769 - - - - - - - - - B WC015 Swartland 25 680 28 129 28 907 44 137 21 811 22 797 - - - - - - - - - C DC1 West Coast District Municipality - - - - - - 3 087 3 210 3 310 - - - - - - Total: West Coast Municipalities 131 416 120 051 123 250 69 996 55 467 61 793 3 08 7 3 210 3 310 - - - 42 000 48 050 40 585 B WC022 Witzenberg 27 062 29 675 30 506 3 000 4 624 652 - - - - - - - 17 000 10 000 B WC023 Drakenstein - - - 21 985 12 463 13 026 - - - 225 000 - - - - - B WC024 Stellenbosch - - - - 10 392 10 862 - - - - - - - - - B WC025 Breede Valley 42 142 46 542 47 940 - 18 310 19 138 - - - - - - 30 000 7 000 - B WC026 Langeberg 26 470 29 013 29 821 2 620 3 658 3 823 - - - - - - - - - C DC2 Cape Winelands District Municipality - - - - - - 3 280 3 411 3 517 - - - - - - Total: Cape Winelands Municipalities 95 674 105 230 108 267 27 605 49 447 47 501 3 280 3 411 3 517 225 000 - - 30 000 24 000 10 000 B WC031 Theewaterskloof 36 686 35 228 36 245 700 6 271 6 554 - - - - - - - - - B WC032 Overstrand 26 568 29 122 29 934 30 139 9 983 13 434 - - - - - - 26 242 - 3 000 B WC033 Cape Agulhas 12 585 13 483 13 769 - 2 090 2 184 - - - - - - - 12 000 12 000 B WC034 Swellendam 13 728 14 762 15 090 4 500 7 136 6 278 - - - - - - 7 000 - 3 574 C DC3 Overberg District Municipality - - - - - - 3 232 3 361 3 465 - - - - - - Total: Overberg Municipalities 89 567 92 595 95 038 35 339 25 480 28 450 3 232 3 361 3 465 - - - 33 242 12 000 18 574 B WC041 Kannaland 11 632 12 417 12 667 - 760 765 - - - - - - 8 000 14 000 48 400 B WC042 Hessequa 25 275 17 255 17 668 - 7 136 7 278 - - - - - - - - - B WC043 Mossel Bay 38 407 31 943 32 850 10 950 5 226 5 462 - - - - - - - - - B WC044 George - - - 4 018 4 181 4 370 - - - - - - - - - B WC045 Oudtshoorn 26 035 28 527 29 319 5 516 9 226 8 462 - - - - - - - - - B WC047 Bitou 33 375 26 315 27 033 6 930 5 226 5 421 - - - - - - - 10 000 8 584 B WC048 Knysna 30 098 33 071 34 015 8 300 9 407 9 832 - - - - - - - - - C DC4 Garden Route District Municipality - - - - - - 2 958 3 076 3 172 - - - - - - Total: Garden Route Municipalities 164 822 149 528 153 552 35 714 41 162 41 590 2 95 8 3 076 3 172 - - - 8 000 24 000 56 984 B WC051 Laingsburg 7 052 7 295 7 372 - 3 136 3 278 - - - - - - 14 236 20 000 17 554 B WC052 Prince Albert 8 239 8 623 8 745 4 192 3 136 6 278 - - - - - - 11 000 20 000 11 000 B WC053 Beaufort West 16 393 17 746 18 182 - 5 226 5 463 - - - - - - 32 241 - - C DC5 Central Karoo District Municipality - - - - - - 2 343 2 437 2 513 - - - - - - Total: Central Karoo Municipalities 31 684 33 664 34 299 4 192 11 498 15 019 2 343 2 437 2 513 - - - 57 477 40 000 28 554 Total: Western Cape Municipalities 513 163 501 068 514 406 179 846 191 054 202 423 1 4 900 15 495 15 977 225 000 - - 170 719 148 050 154 697 - 452 000 452 000 - - - - - - - - - - - - National Total 17 504 197 20 029 611 20 652 115 1 902 274 1 978 188 2 03 9 668 131 145 136 379 140 617 3 901 746 3 864 717 3 64 9 002 4 389 052 4 564 206 4 706 058 Unallocated 278 EASTERN CAPEA BUF Buffalo City A NMA Nelson Mandela Bay B EC101 Dr Beyers NaudeB EC102 Blue Crane RouteB EC104 MakanaB EC105 NdlambeB EC106 Sundays River ValleyB EC108 KougaB EC109 Kou-KammaC DC10 Sarah Baartman District Municipality Total: Sarah Baartman MunicipalitiesB EC121 MbhasheB EC122 MnqumaB EC123 Great KeiB EC124 AmahlathiB EC126 NgqushwaB EC129 Raymond MhlabaC DC12 Amathole District Municipality Total: Amathole MunicipalitiesB EC131 Inxuba YethembaB EC135 Intsika YethuB EC136 Emalahleni B EC137 Dr. A.B. XumaB EC138 SakhisizweB EC139 Enoch MgijimaC DC13 Chris Hani District Municipality Total: Chris Hani MunicipalitiesB EC141 ElundiniB EC142 SenquB EC145 Walter SisuluC DC14 Joe Gqabi District Municipality Total: Joe Gqabi MunicipalitiesB EC153 Ngquza HillB EC154 Port St JohnsB EC155 NyandeniB EC156 MhlontloB EC157 King Sabata DalindyeboC DC15 O.R. Tambo District Municipality Total: O.R. Tambo MunicipalitiesB EC441 MatatieleB EC442 UmzimvubuB EC443 Winnie Madikizela-MandelaB EC444 NtabankuluC DC44 Alfred Nzo District Municipality Total: Alfred Nzo MunicipalitiesTotal: Eastern Cape Municipalities Category Municipality 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) ( R'000) (R'000) (R'000) - - - 298 101 344 442 355 147 197 397 175 227 144 509 - - - 588 569 664 883 862 541 - - - 1 084 067 1 184 552 1 362 197 - - - 353 844 408 849 421 556 234 309 207 993 171 530 - - - 650 747 758 123 971 149 211 004 201 025 201 186 1 548 493 1 583 990 1 773 421 - - - - - - - - - - - - - - - - - - 67 838 76 293 76 224 - - - - - - - - - - - - - - - - - - 51 468 42 242 46 235 - - - - - - - - - - - - - - - - - - 56 407 40 340 41 623 - - - - - - - - - - - - - - - - - - 72 713 69 788 72 349 - - - - - - - - - - - - - - - - - - 64 580 70 209 66 636 - - - - - - - - - - - - - - - - - - 57 595 59 846 61 888 - - - - - - - - - - - - - - - - - - 49 264 43 521 38 908 - - - - - - - - - - - - - - - - - - 2 732 2 841 2 929 - - - - - - - - - - - - - - - - - - 422 597 405 080 406 792 - - - - - - - - - - - - - - - - - - 85 861 96 997 100 047 - - - - - - - - - - - - - - - - - - 86 012 100 571 97 929 - - - - - - - - - - - - - - - - - - 17 315 20 780 21 390 - - - - - - - - - - - - - - - - - - 58 988 49 800 47 263 - - - - - - - - - - - - - - - - - - 33 620 42 062 39 268 - - - - - - - - - - - - - - - - - - 62 078 61 950 67 960 - - - - - - - - - - - - - - - - - - 612 539 698 528 719 157 - - - - - - - - - - - - - - - - - - 956 413 1 070 688 1 093 014 - - - - - - - - - - - - - - - - - - 31 070 31 458 29 409 - - - - - - - - - - - - - - - - - - 59 257 70 706 70 034 - - - - - - - - - - - - - - - - - - 48 698 61 354 57 045 - - - - - - - - - - - - - - - - - - 64 618 66 389 68 611 - - - - - - - - - - - - - - - - - - 40 486 31 141 36 105 - - - - - - - - - - - - - - - - - - 82 699 83 488 90 226 - - - - - - - - - - - - - - - - - - 426 514 747 233 776 193 - - - - - - - - - - - - - - - - - - 753 342 1 091 769 1 127 623 - - - - - - - - - - - - - - - - - - 65 133 74 322 70 047 - - - - - - - - - - - - - - - - - - 47 698 57 962 59 805 - - - - - - - - - - - - - - - - - - 41 617 37 574 34 636 - - - - - - - - - - - - - - - - - - 328 761 476 523 525 340 - - - - - - - - - - - - - - - - - - 483 209 646 381 689 828 - - - - - - - - - - - - - - - - - - 80 441 84 471 87 249 - - - - - - - - - - - - - - - - - - 49 547 65 655 67 913 - - - - - - - - - 27 324 27 324 - - - - - - - 139 444 121 292 97 070 - - - - - - - - - - - - - - - - - - 79 620 71 873 74 250 - - - - - - - - - - - - - - - - - - 118 709 140 531 141 137 - - - - - - - - - - - - - - - - - - 974 833 960 619 993 920 - - - - - - - - - 27 324 27 324 - - - - - - - 1 442 594 1 444 441 1 461 539 - - - - - - - - - - - - - - - - - - 100 713 89 017 92 086 - - - - - - - - - - - - - - - - - - 66 235 82 864 85 701 - - - - - - - - - - - - - - - - - - 70 210 82 503 85 293 - - - - - - - - - - - - - - - - - - 48 887 49 690 51 345 - - - - - - - - - - - - - - - - - - 551 404 609 404 630 858 - - - - - - - - - - - - - - - - - - 837 449 913 478 945 283 - - - 651 945 753 291 776 703 431 706 383 220 316 039 27 324 27 324 - 1 239 316 1 423 006 1 833 690 211 00 4 201 025 201 186 7 528 164 8 340 379 8 859 697 National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 279 Category Municipality FREE STATEA MAN Mangaung B FS161 Letsemeng B FS162 Kopanong B FS163 Mohokare B FS164 New Municipality C DC16 Xhariep District Municipality Total: Xhariep MunicipalitiesB FS181 Masilonyana B FS182 Tokologo B FS183 Tswelopele B FS184 Matjhabeng B FS185 Nala C DC18 Lejweleputswa District Municipality Total: Lejweleputswa MunicipalitiesB FS191 Setsoto B FS192 Dihlabeng B FS193 Nketoana B FS194 Maluti-a-Phofung B FS195 Phumelela B FS196 Mantsopa C DC19 Thabo Mofutsanyana District Municipality Total: Thabo Mofutsanyana MunicipalitiesB FS201 Moqhaka B FS203 Ngwathe B FS204 Metsimaholo B FS205 Mafube C DC20 Fezile Dabi District Municipality Total: Fezile Dabi MunicipalitiesTotal: Free State MunicipalitiesGAUTENGA EKU City of Ekurhuleni A JHB City of Johannesburg A TSH City of Tshwane B GT421 EmfuleniB GT422 MidvaalB GT423 LesediC DC42 Sedibeng District Municipality Total: Sedibeng MunicipalitiesB GT481 Mogale CityB GT484 Merafong CityB GT485 Rand West CityC DC48 West Rand District Municipality Total: West Rand MunicipalitiesTotal: Gauteng Municipalities 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) ( R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 - - - 295 454 341 383 351 993 195 644 173 671 143 225 - - - 540 352 610 047 797 588 129 752 122 721 121 974 1 161 202 1 252 822 1 420 780 - - - - - - - - - - - - - - - - - - 37 697 50 558 52 413 - - - - - - - - - - - - - - - - - - 47 628 53 700 55 641 - - - - - - - - - - - - - - - - - - 32 946 48 482 50 230 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 2 621 2 726 2 811 - - - - - - - - - - - - - - - - - - 120 892 155 466 161 095 - - - - - - - - - - - - - - - - - - 54 219 61 614 63 866 - - - - - - - - - - - - - - - - - - 146 195 152 163 157 590 - - - - - - - - - - - - - - - - - - 50 173 49 971 51 629 - - - - - - - - - - - - - - - - - - 115 155 214 617 215 383 - - - - - - - - - - - - - - - - - - 62 601 69 157 71 649 - - - - - - - - - - - - - - - - - - 2 783 7 894 6 984 - - - - - - - - - - - - - - - - - - 431 126 555 416 567 101 - - - - - - - - - - - - - - - - - - 319 083 206 071 200 272 - - - - - - - - - - - - - - - - - - 267 508 183 025 210 486 - - - - - - - - - - - - - - - - - - 46 277 60 165 62 322 - - - - - - - - - - - - - - - - - - 272 076 276 306 284 010 - - - - - - - - - - - - - - - - - - 43 341 55 833 53 685 - - - - - - - - - - - - - - - - - - 40 857 41 857 43 275 - - - - - - - - - - - - - - - - - - 7 934 9 051 8 146 - - - - - - - - - - - - - - - - - - 997 076 832 308 862 196 - - - - - - - - - - - - - - - - - - 42 691 76 187 78 825 - - - - - - - - - - - - - - - - - - 157 917 270 591 254 239 - - - - - - - - - - - - - - - - - - 69 298 93 564 96 917 - - - - - - - - - - - - - - - - - - 22 912 55 858 57 868 - - - - - - - - - - - - - - - - - - 27 575 2 775 2 861 - - - - - - - - - - - - - - - - - - 320 393 498 975 490 710 - - - 295 454 341 383 351 993 195 644 173 671 143 225 - - - 540 352 610 047 797 588 129 752 122 721 121 974 3 030 689 3 294 987 3 501 882 - - - 770 359 890 114 917 777 510 118 452 824 373 442 - - - 1 203 176 1 379 979 1 769 775 458 70 1 437 213 437 563 2 950 354 3 168 130 3 506 557 - - - 723 680 836 178 862 166 1 633 208 695 387 350 814 - - - 2 179 535 2 315 078 2 829 491 685 39 2 652 546 652 224 5 229 815 4 507 189 4 702 695 - - - 627 312 724 829 747 356 415 394 368 740 304 098 - - - 1 131 812 1 247 519 1 575 491 491 83 9 468 812 469 188 2 666 357 2 809 900 3 104 133 - - - - - - - - - - - - - - - - - - 172 674 255 640 264 108 - - - - - - - - - - - - - - - - - - 101 687 129 230 135 293 - - - - - - - - - 21 157 - - - - - - - - 150 943 96 173 81 497 - - - - - - - - - - - - - - - - - - 7 971 3 090 7 186 - - - - - - - - - 21 157 - - - - - - - - 433 275 484 133 488 084 169 752 161 637 166 660 - - - - - - 5 631 - - - - - - - - 235 383 243 998 251 470 - - - - - - - - - - - - - - - - - - 117 845 137 665 150 313 - - - - - - - - - 30 345 30 345 - - - - - - - 236 964 260 427 240 441 - - - - - - - - - 38 192 38 192 - - - - - - - 41 356 41 482 3 392 169 752 161 637 166 660 - - - - - - 74 168 68 537 - - - - - - - 631 548 683 572 645 616 169 752 161 637 166 660 2 121 351 2 451 121 2 527 299 2 558 719 1 516 951 1 028 353 95 325 68 537 - 4 514 523 4 942 576 6 174 757 1 635 9 32 1 558 571 1 558 975 11 911 348 11 652 924 12 447 084 280 Category Municipality KWAZULU-NATALA ETH eThekwini B KZN212 uMdoniB KZN213 uMzumbeB KZN214 uMuziwabantuB KZN216 Ray NkonyeniC DC21 Ugu District Municipality Total: Ugu MunicipalitiesB KZN221 uMshwathiB KZN222 uMngeniB KZN223 MpofanaB KZN224 iMpendleB KZN225 MsunduziB KZN226 MkhambathiniB KZN227 RichmondC DC22 uMgungundlovu District Municipa lity Total: uMgungundlovu MunicipalitiesB KZN235 OkhahlambaB KZN237 iNkosi LangalibaleleB KZN238 Alfred DumaC DC23 uThukela District Municipality Total: uThukela MunicipalitiesB KZN241 eNdumeniB KZN242 NquthuB KZN244 uMsingaB KZN245 uMvotiC DC24 uMzinyathi District Municipality Total: uMzinyathi MunicipalitiesB KZN252 NewcastleB KZN253 eMadlangeniB KZN254 DannhauserC DC25 Amajuba District Municipality Total: Amajuba MunicipalitiesB KZN261 eDumbeB KZN262 uPhongoloB KZN263 AbaQulusiB KZN265 NongomaB KZN266 UlundiC DC26 Zululand District Municipality Total: Zululand MunicipalitiesB KZN271 uMhlabuyalinganaB KZN272 JoziniB KZN275 Inkosi uMtubatubaB KZN276 Big Five HlabisaC DC27 uMkhanyakude District Municipality Total: uMkhanyakude MunicipalitiesB KZN281 uMfoloziB KZN282 uMhlathuzeB KZN284 uMlalaziB KZN285 MthonjaneniB KZN286 NkandlaC DC28 King Cetshwayo District Municipality Total: King Cetshwayo MunicipalitiesB KZN291 MandeniB KZN292 KwaDukuzaB KZN293 NdwedweB KZN294 MaphumuloC DC29 iLembe District Municipality Total: iLembe MunicipalitiesB KZN433 Greater KokstadB KZN434 Johannes Phumani PhungulaB KZN435 uMzimkhuluB KZN436 Dr Nkosazana Dlamini ZumaC DC43 Harry Gwala District Municipality Total: Harry Gwala MunicipalitiesTotal: KwaZulu-Natal Municipalities 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) ( R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 - - - 768 457 887 915 915 511 508 858 451 707 372 520 - - - 1 367 522 1 518 954 1 920 555 525 70 0 500 273 499 829 3 178 537 3 366 849 3 716 415 - - - - - - - - - - - - - - - - - - 38 662 48 959 50 523 - - - - - - - - - - - - - - - - - - 42 526 55 865 57 685 - - - - - - - - - - - - - - - - - - 28 941 37 344 38 504 95 211 84 153 86 768 - - - - - - 10 299 - - - - - - - - 118 614 96 469 98 415 - - - - - - - - - - - - - - - - - - 423 671 484 227 440 299 95 211 84 153 86 768 - - - - - - 10 299 - - - - - - - - 652 414 722 864 685 426 - - - - - - - - - - - - - - - - - - 40 344 43 496 44 864 - - - - - - - - - - - - - - - - - - 68 676 46 448 48 024 - - - - - - - - - - - - - - - - - - 13 977 15 041 15 378 - - - - - - - - - - - - - - - - - - 22 696 14 580 14 902 - - - - - - - - - 39 940 39 890 - - - - 20 000 20 000 20 000 394 649 42 8 539 397 769 - - - - - - - - - - - - - - - - - - 37 851 28 642 32 528 - - - - - - - - - - - - - - - - - - 23 774 30 660 31 598 - - - - - - - - - - - - - - - - - - 235 968 257 096 258 160 - - - - - - - - - 39 940 39 890 - - - - 20 000 20 000 20 000 837 935 86 4 502 843 223 - - - - - - - - - - - - - - - - - - 42 144 49 731 51 369 - - - - - - - - - - - - - - - - - - 72 550 66 044 68 084 107 023 85 427 88 082 - - - - - - - - - - - - - - - 117 465 92 743 99 729 - - - - - - - - - - - - - - - - - - 225 072 250 901 259 169 107 023 85 427 88 082 - - - - - - - - - - - - - - - 457 231 459 419 478 351 - - - - - - - - - - - - - - - - - - 28 518 24 817 25 544 - - - - - - - - - - - - - - - - - - 56 103 58 038 60 004 - - - - - - - - - - - - - - - - - - 54 259 67 950 70 262 - - - - - - - - - - - - - - - - - - 40 060 47 699 52 221 - - - - - - - - - - - - - - - - - - 329 848 375 942 357 894 - - - - - - - - - - - - - - - - - - 508 788 574 446 565 925 - - - - - - - - - 15 000 2 747 - - - - - - - 254 159 260 085 268 632 - - - - - - - - - - - - - - - - - - 12 867 11 193 11 402 - - - - - - - - - - - - - - - - - - 26 378 35 837 35 774 - - - - - - - - - - - - - - - - - - 161 938 167 124 176 716 - - - - - - - - - 15 000 2 747 - - - - - - - 455 342 474 239 492 524 - - - - - - - - - - - - - - - - - - 39 098 34 064 35 162 - - - - - - - - - - - - - - - - - - 41 193 44 514 45 915 - - - - - - - - - - - - - - - - - - 66 021 62 227 65 149 - - - - - - - - - - - - - - - - - - 42 467 48 543 50 068 - - - - - - - - - - - - - - - - - - 44 495 48 214 49 741 - - - - - - - - - - - - - - - - - - 760 484 769 479 827 871 - - - - - - - - - - - - - - - - - - 993 758 1 007 041 1 073 906 - - - - - - - - - - - - - - - - - - 53 487 58 109 60 016 - - - - - - - - - - - - - - - - - - 46 304 51 197 52 751 - - - - - - - - - - - - - - - - - - 39 108 43 148 44 432 - - - - - - - - - - - - - - - - - - 32 858 36 230 37 372 - - - - - - - - - - - - - - - - - - 274 455 314 748 444 925 - - - - - - - - - - - - - - - - - - 446 212 503 432 639 496 - - - - - - - - - - - - - - - - - - 45 469 44 792 46 241 163 107 147 321 151 899 - - - - - - - - - - - - - - - 254 351 224 632 250 359 - - - - - - - - - - - - - - - - - - 55 151 60 902 62 847 - - - - - - - - - - - - - - - - - - 38 467 30 103 31 023 - - - - - - - - - - - - - - - - - - 42 927 43 957 41 244 - - - - - - - - - - - - - - - - - - 493 702 632 337 673 275 163 107 147 321 151 899 - - - - - - - - - - - - - - - 930 067 1 036 723 1 104 989 - - - - - - - - - - - - - - - - - - 43 741 57 851 59 739 - - - - - - - - - - - - - - - - - - 77 084 81 443 84 127 - - - - - - - - - - - - - - - - - - 40 013 48 538 50 097 - - - - - - - - - - - - - - - - - - 33 211 39 461 40 733 - - - - - - - - - - - - - - - - - - 355 335 388 151 391 779 - - - - - - - - - - - - - - - - - - 549 384 615 444 626 475 - - - - - - - - - - - - - - - - - - 41 240 29 116 30 003 - - - - - - - - - - - - - - - - - - 33 626 43 572 44 955 - - - - - - - - - - - - - - - - - - 67 197 64 947 67 025 - - - - - - - - - - - - - - - - - - 35 122 41 813 43 112 - - - - - - - - - - - - - - - - - - 359 865 423 813 418 249 - - - - - - - - - - - - - - - - - - 537 050 603 261 603 344 365 341 316 901 326 749 768 457 887 915 915 511 5 08 858 451 707 372 520 65 239 42 637 - 1 367 522 1 518 954 1 920 555 545 70 0 520 273 519 829 9 546 718 10 228 220 10 830 074 281 Category Municipality LIMPOPOB LIM331 Greater GiyaniB LIM332 Greater LetabaB LIM333 Greater TzaneenB LIM334 Ba-PhalaborwaB LIM335 MarulengC DC33 Mopani District Municipality Total: Mopani MunicipalitiesB LIM341 MusinaB LIM343 ThulamelaB LIM344 MakhadoB LIM345 Collins ChabaneC DC34 Vhembe District Municipality Total: Vhembe MunicipalitiesB LIM351 BloubergB LIM353 MolemoleB LIM354 PolokwaneB LIM355 Lepele-NkumpiC DC35 Capricorn District Municipality Total: Capricorn MunicipalitiesB LIM361 ThabazimbiB LIM362 LephalaleB LIM366 Bela-BelaB LIM367 MogalakwenaB LIM368 Modimolle-MookgophongC DC36 Waterberg District Municipality Total: Waterberg MunicipalitiesB LIM471 Ephraim MogaleB LIM472 Elias MotsoalediB LIM473 MakhuduthamagaB LIM476 Fetakgomo TubatseC DC47 Sekhukhune District Municipa lity Total: Sekhukhune MunicipalitiesTotal: Limpopo MunicipalitiesMPUMALANGAB MP301 Chief Albert LuthuliB MP302 MsukaligwaB MP303 MkhondoB MP304 Dr Pixley ka Isaka SemeB MP305 LekwaB MP306 DipalesengB MP307 Govan MbekiC DC30 Gert Sibande District Municipality Total: Gert Sibande MunicipalitiesB MP311 Victor KhanyeB MP312 EmalahleniB MP313 Steve TshweteB MP314 EmakhazeniB MP315 Thembisile HaniB MP316 Dr JS MorokaC DC31 Nkangala District Municipality Total: Nkangala MunicipalitiesB MP321 Thaba ChweuB MP324 NkomaziB MP325 BushbuckridgeB MP326 City of MbombelaC DC32 Ehlanzeni District Municipality Total: Ehlanzeni MunicipalitiesTotal: Mpumalanga Municipalities 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R '000) (R'000) (R'000) ( R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 - - - - - - - - - - - - - - - - - - 96 354 108 269 107 840 - - - - - - - - - - - - - - - - - - 85 567 89 426 96 376 - - - - - - - - - - - - - - - - - - 146 958 145 706 150 415 - - - - - - - - - - - - - - - - - - 41 293 55 940 53 617 - - - - - - - - - - - - - - - - - - 55 461 36 101 37 148 - - - - - - - - - - - - - - - - - - 553 852 618 652 639 297 - - - - - - - - - - - - - - - - - - 979 485 1 054 094 1 084 693 - - - - - - - - - - - - - - - - - - 44 649 49 045 50 640 - - - - - - - - - 11 548 - - - - - - - - 148 895 156 623 157 741 - - - - - - - - - - - - - - - - - - 121 229 136 062 140 593 - - - - - - - - - - - - - - - - - - 126 355 128 772 132 918 - - - - - - - - - - - - - - - - - - 736 043 790 677 818 121 - - - - - - - - - 11 548 - - - - - - - - 1 177 171 1 261 179 1 300 013 - - - - - - - - - - - - - - - - - - 71 044 77 857 80 502 - - - - - - - - - - - - - - - - - - 55 098 55 308 57 086 473 592 470 067 484 676 - - - - - - 18 857 12 000 6 000 - - - 134 173 127 763 127 866 1 419 744 1 591 368 1 297 130 - - - - - - - - - - - - - - - - - - 71 311 82 310 84 997 - - - - - - - - - - - - - - - - - - 392 525 463 914 481 023 473 592 470 067 484 676 - - - - - - 18 857 12 000 6 000 - - - 134 173 127 763 127 866 2 009 722 2 270 757 2 000 738 - - - - - - - - - - - - - - - - - - 48 758 61 055 63 135 - - - - - - - - - - - - - - - - - - 61 205 74 634 72 979 - - - - - - - - - - - - - - - - - - 121 224 139 706 147 293 - - - - - - - - - - - - - - - - - - 311 700 306 903 319 958 - - - - - - - - - - - - - - - - - - 52 006 63 478 65 580 - - - - - - - - - - - - - - - - - - 2 601 2 705 2 789 - - - - - - - - - - - - - - - - - - 597 494 648 481 671 734 - - - - - - - - - - - - - - - - - - 56 267 45 563 46 928 - - - - - - - - - - - - - - - - - - 87 080 85 399 84 031 - - - - - - - - - - - - - - - - - - 78 954 101 418 104 836 - - - - - - - - - - - - - - - - - - 107 066 146 572 151 664 - - - - - - - - - - - - - - - - - - 415 845 646 890 668 484 - - - - - - - - - - - - - - - - - - 745 212 1 025 842 1 055 943 473 592 470 067 484 676 - - - - - - 30 405 12 000 6 000 - - - 134 173 127 763 127 866 5 509 084 6 260 353 6 113 121 - - - - - - - - - - - - - - - - - - 447 620 452 330 442 906 - - - - - - - - - - - - - - - - - - 431 636 284 546 342 173 - - - - - - - - - - - - - - - - - - 134 832 127 656 127 846 - - - - - - - - - - - - - - - - - - 86 841 85 356 88 629 - - - - - - - - - - - - - - - - - - 36 640 52 810 54 402 - - - - - - - - - - - - - - - - - - 16 753 34 505 35 615 - - - - - - - - - - - - - - - - - - 107 609 97 549 104 869 - - - - - - - - - - - - - - - - - - 15 868 2 936 3 027 - - - - - - - - - - - - - - - - - - 1 277 799 1 137 688 1 199 467 - - - - - - - - - - - - - - - - - - 32 036 43 011 44 407 - - - - - - - - - 5 000 5 000 5 000 - - - - - - 248 195 243 133 255 994 75 762 67 640 69 742 - - - - - - - - - - - - - - - 89 391 147 845 153 551 - - - - - - - - - - - - - - - - - - 81 029 80 342 82 882 - - - - - - - - - - - - - - - - - - 255 805 248 129 257 009 - - - - - - - - - - - - - - - - - - 188 804 171 414 177 014 - - - - - - - - - - - - - - - - - - 6 659 7 765 7 851 75 762 67 640 69 742 - - - - - - 5 000 5 000 5 000 - - - - - - 901 919 941 639 978 708 - - - - - - - - - - - - - - - - - - 135 728 165 783 172 339 - - - - - - - - - - - - - - - - - - 318 423 387 742 401 505 - - - - - - - - - - - - - - - - - - 515 718 615 364 632 865 - - - - - - - - - 34 350 34 350 - - - - - - - 473 052 523 422 508 790 - - - - - - - - - - - - - - - - - - 2 868 2 982 3 075 - - - - - - - - - 34 350 34 350 - - - - - - - 1 445 789 1 695 293 1 718 574 75 762 67 640 69 742 - - - - - - 39 350 39 350 5 000 - - - - - - 3 625 507 3 774 620 3 896 749 282 Category Municipality NORTHERN CAPEB NC061 RichtersveldB NC062 Nama KhoiB NC064 KamiesbergB NC065 HantamB NC066 Karoo HooglandB NC067 Khâi-MaC DC6 Namakwa District Municipality Total: Namakwa MunicipalitiesB NC071 UbuntuB NC072 UmsobomvuB NC073 EmthanjeniB NC074 KareebergB NC075 RenosterbergB NC076 ThembelihleB NC077 SiyathembaB NC078 SiyancumaC DC7 Pixley Ka Seme District Municipality Total: Pixley Ka Seme MunicipalitiesB NC082 !Kai !GaribB NC084 !KheisB NC085 TsantsabaneB NC086 KgatelopeleB NC087 Dawid KruiperC DC8 Z.F. Mgcawu District Municipality Total: Z.F. Mgcawu MunicipalitiesB NC091 Sol PlaatjieB NC092 DikgatlongB NC093 MagarengB NC094 PhokwaneC DC9 Frances Baard District Municipality Total: Frances Baard MunicipalitiesB NC451 Joe MorolongB NC452 Ga-SegonyanaB NC453 GamagaraC DC45 John Taolo Gaetsewe District Municipality Total: John Taolo Gaetsewe MunicipalitiesTotal: Northern Cape MunicipalitiesNORTH WESTB NW371 MoreteleB NW372 MadibengB NW373 RustenburgB NW374 KgetlengrivierB NW375 Moses KotaneC DC37 Bojanala Platinum District Municipality Total: Bojanala Platinum MunicipalitiesB NW381 RatlouB NW382 TswaingB NW383 MafikengB NW384 DitsobotlaB NW385 Ramotshere MoiloaC DC38 Ngaka Modiri Molema District Municipality Total: Ngaka Modiri Molema MunicipalitiesB NW392 NalediB NW393 MamusaB NW394 Greater TaungB NW396 Lekwa-TeemaneB NW397 Kagisano-MolopoC DC39 Dr Ruth Segomotsi Mompati District Municipality Total: Dr Ruth Segomotsi Mompati MunicipalitiesB NW403 City of MatlosanaB NW404 Maquassi HillsB NW405 JB MarksC DC40 Dr Kenneth Kaunda District Municipality Total: Dr Kenneth Kaunda MunicipalitiesTotal: North West Municipalities 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R '000) (R'000) (R'000) ( R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 - - - - - - - - - - - - - - - - - - 7 943 28 639 29 664 - - - - - - - - - - - - - - - - - - 39 171 50 127 47 822 - - - - - - - - - - - - - - - - - - 8 221 9 724 9 896 - - - - - - - - - - - - - - - - - - 19 365 35 690 36 994 - - - - - - - - - - - - - - - - - - 18 216 11 136 11 363 - - - - - - - - - - - - - - - - - - 38 993 10 901 11 122 - - - - - - - - - - - - - - - - - - 3 541 3 682 3 796 - - - - - - - - - - - - - - - - - - 135 450 149 899 150 657 - - - - - - - - - - - - - - - - - - 33 262 18 912 16 325 - - - - - - - - - - - - - - - - - - 21 596 30 413 31 451 - - - - - - - - - - - - - - - - - - 41 876 29 478 30 465 - - - - - - - - - - - - - - - - - - 18 674 21 885 22 595 - - - - - - - - - - - - - - - - - - 24 133 9 875 10 055 - - - - - - - - - - - - - - - - - - 40 704 27 512 31 454 - - - - - - - - - - - - - - - - - - 14 094 15 243 15 627 - - - - - - - - - - - - - - - - - - 41 812 39 769 41 149 - - - - - - - - - - - - - - - - - - 3 672 3 818 3 937 - - - - - - - - - - - - - - - - - - 239 823 196 905 203 058 - - - - - - - - - - - - - - - - - - 36 616 35 368 36 458 - - - - - - - - - - - - - - - - - - 25 072 14 031 14 348 - - - - - - - - - - - - - - - - - - 34 936 26 964 27 788 - - - - - - - - - - - - - - - - - - 18 181 11 411 11 650 - - - - - - - - - 31 922 - - - - - - - - 98 251 60 142 66 303 - - - - - - - - - - - - - - - - - - 3 497 3 637 3 750 - - - - - - - - - 31 922 - - - - - - - - 216 553 151 553 160 297 90 121 67 748 69 854 - - - - - - - - - - - - - - - 699 642 572 381 339 148 - - - - - - - - - - - - - - - - - - 38 261 30 657 31 581 - - - - - - - - - - - - - - - - - - 26 935 35 595 36 872 - - - - - - - - - - - - - - - - - - 61 619 90 331 93 831 - - - - - - - - - - - - - - - - - - 8 074 8 197 8 296 90 121 67 748 69 854 - - - - - - - - - - - - - - - 834 531 737 161 509 728 - - - - - - - - - - - - - - - - - - 104 026 145 831 151 298 - - - - - - - - - 8 224 - - - - - - - - 118 597 141 435 147 474 - - - - - - - - - - - - - - - - - - 45 206 56 644 58 857 - - - - - - - - - - - - - - - - - - 2 419 2 516 2 594 - - - - - - - - - 8 224 - - - - - - - - 270 248 346 426 360 223 90 121 67 748 69 854 - - - - - - 40 146 - - - - - - - - 1 696 605 1 581 944 1 383 963 - - - - - - - - - - - - - - - - - - 163 091 206 404 213 732 - - - - - - - - - - - - - - - - - - 376 631 408 734 426 551 - - - - - - - - - 11 545 11 545 - - - - 159 488 151 903 152 024 537 195 559 770 566 535 - - - - - - - - - - - - - - - - - - 38 894 34 148 38 128 - - - - - - - - - - - - - - - - - - 236 689 262 052 271 336 - - - - - - - - - - - - - - - - - - 2 884 2 999 3 092 - - - - - - - - - 11 545 11 545 - - - - 159 488 151 903 152 024 1 355 384 1 474 107 1 519 374 - - - - - - - - - - - - - - - - - - 36 104 39 788 40 959 - - - - - - - - - - - - - - - - - - 35 954 44 324 45 702 - - - - - - - - - 15 624 20 000 20 000 - - - - - - 124 380 110 308 114 011 - - - - - - - - - - - - - - - - - - 45 242 53 125 54 780 - - - - - - - - - - - - - - - - - - 56 235 55 848 57 617 - - - - - - - - - - - - - - - - - - 366 373 408 934 422 520 - - - - - - - - - 15 624 20 000 20 000 - - - - - - 664 288 712 327 735 589 - - - - - - - - - - - - - - - - - - 38 070 34 655 35 798 - - - - - - - - - - - - - - - - - - 28 054 31 606 35 632 - - - - - - - - - - - - - - - - - - 59 316 65 750 67 794 - - - - - - - - - - - - - - - - - - 18 276 18 994 19 465 - - - - - - - - - - - - - - - - - - 36 955 44 740 45 943 - - - - - - - - - - - - - - - - - - 685 299 687 483 817 658 - - - - - - - - - - - - - - - - - - 865 970 883 228 1 022 290 - - - - - - - - - 44 295 10 000 5 000 - - - - - - 252 290 219 980 226 870 - - - - - - - - - - - - - - - - - - 121 458 112 562 117 024 - - - - - - - - - 21 273 21 273 21 273 - - - - - - 185 270 195 439 206 063 - - - - - - - - - - - - - - - - - - 7 001 7 121 3 218 - - - - - - - - - 65 568 31 273 26 273 - - - - - - 566 019 535 102 553 175 - - - - - - - - - 92 737 62 818 46 273 - - - 159 488 151 903 152 024 3 451 661 3 604 764 3 830 428 283 Category Municipality WESTERN CAPEA CPT City of Cape Town B WC011 MatzikamaB WC012 CederbergB WC013 BergrivierB WC014 Saldanha BayB WC015 SwartlandC DC1 West Coast District Municipality Total: West Coast MunicipalitiesB WC022 WitzenbergB WC023 DrakensteinB WC024 StellenboschB WC025 Breede ValleyB WC026 LangebergC DC2 Cape Winelands District Municipality Total: Cape Winelands MunicipalitiesB WC031 TheewaterskloofB WC032 OverstrandB WC033 Cape AgulhasB WC034 SwellendamC DC3 Overberg District Municipality Total: Overberg MunicipalitiesB WC041 KannalandB WC042 HessequaB WC043 Mossel BayB WC044 GeorgeB WC045 OudtshoornB WC047 BitouB WC048 KnysnaC DC4 Garden Route District Municipality Total: Garden Route MunicipalitiesB WC051 LaingsburgB WC052 Prince AlbertB WC053 Beaufort WestC DC5 Central Karoo District Municipality Total: Central Karoo MunicipalitiesTotal: Western Cape MunicipalitiesNational TotalUnallocated 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/ 27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2 026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) (R '000) (R'000) (R'000) (R'000) (R'000) (R'000) ( R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year SUB-TOTAL: INFRASTRUCTURE National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Urban Development Financing Grant National and Municipal Financial Year Integrated Urban Development Grant Urban Settlements Development Grant Informal Settlements Upgrading Partnership Grant: Municipalities National and Municipal Financial Year Neighbourhood Development Partnership Grant Public Transport Network Grant INFRASTRUCTURE GRANT ALLOCATIONS TO MUNICIPALITIES (SCHEDULE 4, PART B AND SCHEDULE 5, PART B) 2 OF 2 ANNEXURE W5 - - - 580 109 670 288 691 120 384 137 340 994 281 215 - - - 1 362 645 1 483 164 1 919 109 2 710 5 07 1 275 498 509 906 5 044 398 3 777 944 3 409 420 - - - - - - - - - - - - - - - - - - 82 524 59 637 60 206 - - - - - - - - - - - - - - - - - - 32 881 53 512 51 531 - - - - - - - - - - - - - - - - - - 34 848 25 618 26 213 - - - - - - - - - - - - - - - - - - 23 342 34 861 35 974 - - - - - - - - - - - - - - - - - - 69 817 49 940 51 704 - - - - - - - - - - - - - - - - - - 3 087 3 210 3 310 - - - - - - - - - - - - - - - - - - 246 499 226 778 228 938 - - - - - - - - - - - - - - - - - - 30 062 51 299 41 158 66 889 47 304 48 774 - - - - - - 12 000 - - - - - - - - 325 874 59 767 61 800 64 181 48 193 49 691 - - - - - - - - - - - - - - - 64 181 58 585 60 553 - - - - - - - - - - - - - - - - - - 72 142 71 852 67 078 - - - - - - - - - 10 000 10 000 9 125 - - - - - - 39 090 42 671 42 769 - - - - - - - - - - - - - - - - - - 3 280 3 411 3 517 131 070 95 497 98 465 - - - - - - 22 000 10 000 9 125 - - - - - - 534 629 287 585 276 875 - - - - - - - - - - - - - - - - - - 37 386 41 499 42 799 - - - - - - - - - - - - - - - - - - 82 949 39 105 46 368 - - - - - - - - - - - - - - - - - - 12 585 27 573 27 953 - - - - - - - - - - - - - - - - - - 25 228 21 898 24 942 - - - - - - - - - - - - - - - - - - 3 232 3 361 3 465 - - - - - - - - - - - - - - - - - - 161 380 133 436 145 527 - - - - - - - - - - - - - - - - - - 19 632 27 177 61 832 - - - - - - - - - - - - - - - - - - 25 275 24 391 24 946 - - - - - - - - - - - - - - - - - - 49 357 37 169 38 312 73 551 54 228 55 913 - - - - - - 5 430 - - - - - 184 884 177 668 180 361 267 883 236 077 240 644 - - - - - - - - - - - - - - - - - - 31 551 37 753 37 781 - - - - - - - - - - - - - - - - - - 40 305 41 541 41 038 - - - - - - - - - 10 000 - - - - - - - - 48 398 42 478 43 847 - - - - - - - - - - - - - - - - - - 2 958 3 076 3 172 73 551 54 228 55 913 - - - - - - 15 430 - - - - - 184 884 177 668 180 361 485 359 449 662 491 572 - - - - - - - - - - - - - - - - - - 21 288 30 431 28 204 - - - - - - - - - - - - - - - - - - 23 431 31 759 26 023 - - - - - - - - - - - - - - - - - - 48 634 22 972 23 645 - - - - - - - - - - - - - - - - - - 2 343 2 437 2 513 - - - - - - - - - - - - - - - - - - 95 696 87 599 80 385 204 621 149 725 154 378 580 109 670 288 691 120 3 84 137 340 994 281 215 37 430 10 000 9 125 1 362 645 1 483 164 1 919 109 2 895 391 1 453 166 690 267 6 567 9 61 4 963 004 4 632 717 - 200 585 206 821 - - - - - - - - - - - - - 374 380 374 680 - 1 026 965 1 033 501 1 379 189 1 434 303 1 478 880 4 417 316 5 103 998 5 262 6 26 4 079 065 2 866 543 2 141 352 427 956 262 666 66 39 8 9 024 358 9 977 747 12 645 699 5 711 440 4 509 802 3 74 6 801 52 867 738 54 728 160 56 529 216 284 ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) (National and Municipal Financial Years) 285 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) EASTERN CAPEA BUF Buffalo City - - - 49 085 40 042 76 487 - - - - - - - - - 49 085 40 042 76 487 A NMA Nelson Mandela Bay - - - - - - - - - - - - - - - - - - B EC101 Dr Beyers Naude - - - 281 9 156 7 203 - - - - - - - - - 281 9 156 7 203 B EC102 Blue Crane Route - - - - - - - - - - - - - - - - - - B EC104 Makana - - - 12 075 12 060 8 549 - - - 70 028 100 000 68 180 22 000 47 000 48 457 104 103 159 060 125 186 B EC105 Ndlambe - - - 9 026 6 023 8 881 - - - 33 000 - - - - - 42 026 6 023 8 881 B EC106 Sundays River Valley - - - 11 628 6 269 11 815 - - - 8 000 2 000 - - - - 19 628 8 269 11 815 B EC108 Kouga - - - 362 6 047 10 246 - - - - - - - - - 362 6 047 10 246 B EC109 Kou-Kamma - - - 362 7 013 10 578 - - - - - - 23 000 - - 23 362 7 013 10 578 C DC10 Sarah Baartman District Municipality - - - - - - - - - - - - - - - - - - Total: Sarah Baartman Municipalities - - - 33 734 46 568 57 272 - - - 111 028 102 000 68 180 45 000 4 7 000 48 457 189 762 195 568 173 909 B EC121 Mbhashe - - - 27 349 52 568 26 543 - - - - - - - - - 27 349 52 568 26 543 B EC122 Mnquma - - - 11 628 18 851 16 779 - - - - - - - - - 11 628 18 851 16 779 B EC123 Great Kei - - - 362 11 578 13 283 - - - - - - - - - 362 11 578 13 283 B EC124 Amahlathi - - - 41 695 12 645 16 755 - - - - - - - - - 41 695 12 645 16 755 B EC126 Ngqushwa - - - 362 14 025 7 677 - - - - - - - - - 362 14 025 7 677 B EC129 Raymond Mhlaba - - - 16 765 24 470 47 340 50 000 - - - - - - - - 66 765 24 470 47 340 C DC12 Amathole District Municipality 19 524 - - - - - - - - 90 401 129 571 66 563 - - - 109 925 129 571 66 563 Total: Amathole Municipalities 19 524 - - 98 161 134 137 128 377 50 000 - - 90 401 129 571 66 563 - - - 258 086 263 708 194 940 B EC131 Inxuba Yethemba - - - - - - - - - - - - - - - - - - B EC135 Intsika Yethu - - - 15 818 34 670 25 180 - - - - - - - - - 15 818 34 670 25 180 B EC136 Emalahleni - - - 424 16 644 11 031 - - - - - - - - - 424 16 644 11 031 B EC137 Dr. A.B. Xuma - - - 423 10 648 12 259 - - - - - - - - - 423 10 648 12 259 B EC138 Sakhisizwe - - - 10 143 16 341 13 671 - - - - - - - - - 10 143 16 341 13 671 B EC139 Enoch Mgijima - - - 28 618 14 835 21 693 15 000 - - - - - - - - 43 618 14 835 21 693 C DC13 Chris Hani District Municipality - - - - - - - - - - - - - - - - - - Total: Chris Hani Municipalities - - - 55 426 93 138 83 834 15 000 - - - - - - - - 70 426 93 138 83 834 B EC141 Elundini - - - 9 902 38 199 40 187 - - - - - - - - - 9 902 38 199 40 187 B EC142 Senqu - - - 8 654 7 698 13 587 - - - - - - - - - 8 654 7 698 13 587 B EC145 Walter Sisulu - - - 386 - - - - - - - - - - - 386 - - C DC14 Joe Gqabi District Municipality - - - - - - - - - - - - - - - - - - Total: Joe Gqabi Municipalities - - - 18 942 45 897 53 774 - - - - - - - - - 18 942 45 897 53 774 B EC153 Ngquza Hill - - - 16 953 26 206 25 906 - - - - - - - - - 16 953 26 206 25 906 B EC154 Port St Johns - - - 423 15 358 16 159 - - - - - - - - - 423 15 358 16 159 B EC155 Nyandeni - - - 21 481 53 204 31 595 - - - - - - - - - 21 481 53 204 31 595 B EC156 Mhlontlo - - - 12 994 14 196 16 348 - - - - - - - - - 12 994 14 196 16 348 B EC157 King Sabata Dalindyebo - - - 56 692 43 874 24 795 - - - - - - - - - 56 692 43 874 24 795 C DC15 O.R. Tambo District Municipality - - - - - - - - - - - - - - - - - - Total: O.R. Tambo Municipalities - - - 108 543 152 838 114 803 - - - - - - - - - 108 543 152 838 114 803 B EC441 Matatiele - - - 17 448 18 113 23 790 - - - - - - - - - 17 448 18 113 23 790 B EC442 Umzimvubu - - - 24 693 29 408 28 906 - - - - - - - - - 24 693 29 408 28 906 B EC443 Winnie Madikizela-Mandela - - - 33 750 42 623 38 070 - - - - - - - - - 33 750 42 623 38 070 B EC444 Ntabankulu - - - 423 9 573 12 410 - - - - - - - - - 423 9 573 12 410 C DC44 Alfred Nzo District Municipality - - - - - - - - - 100 000 116 429 224 045 - - - 100 000 116 429 224 045 Total: Alfred Nzo Municipalities - - - 76 314 99 717 103 176 - - - 100 000 116 429 224 045 - - - 176 314 216 146 327 221 Total: Eastern Cape Municipalities 19 524 - - 440 205 612 337 617 723 65 000 - - 301 429 348 000 358 788 45 000 47 000 48 457 871 158 1 007 337 1 024 968 National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category 286 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category FREE STATEA MAN Mangaung - - - 634 1 237 948 - - - - - - - - - 634 1 237 948 B FS161 Letsemeng 9 576 - - 81 82 82 - - - - - - - - - 9 657 82 82 B FS162 Kopanong - - - 697 515 4 331 - - - - - - 8 000 6 500 6 382 8 697 7 015 10 713 B FS163 Mohokare 9 513 - - 33 33 32 - - - 23 580 4 000 - 5 000 6 500 6 382 38 126 10 533 6 414 B FS164 New Municipality - - - - - - - - - - - - - - - - - - C DC16 Xhariep District Municipality - - - - - - - - - - - - - - - - - - Total: Xhariep Municipalities 19 089 - - 811 630 4 445 - - - 23 580 4 000 - 13 000 13 000 12 764 56 480 17 630 17 209 B FS181 Masilonyana 11 538 - - 33 33 33 - - - 13 000 54 915 57 381 - - - 24 571 54 948 57 414 B FS182 Tokologo - - - 33 214 3 317 - - - 20 760 - - - - - 20 793 214 3 317 B FS183 Tswelopele - - - 65 65 65 - - - - - - - - - 65 65 65 B FS184 Matjhabeng 68 637 - - 10 630 8 180 6 363 100 000 - - 265 499 259 832 272 642 - - - 444 766 268 012 279 005 B FS185 Nala - - - 49 49 49 - - - - - - - - - 49 49 49 C DC18 Lejweleputswa District Municipality - - - - - - - - - - - - - - - - - - Total: Lejweleputswa Municipalities 80 175 - - 10 810 8 541 9 827 100 000 - - 299 259 314 747 330 023 - - - 490 244 323 288 339 850 B FS191 Setsoto - - - 731 6 116 6 003 - - - - - - 39 833 31 650 4 500 40 564 37 7 66 10 503 B FS192 Dihlabeng 23 059 - - 82 2 352 19 329 20 000 - - 30 000 - - - - - 73 141 2 352 19 329 B FS193 Nketoana 14 934 - - 4 676 6 118 2 722 - - - 86 570 162 599 176 169 - - - 106 180 168 717 178 891 B FS194 Maluti-a-Phofung - - - 9 158 548 65 100 000 - - 124 989 209 064 217 309 - 6 000 6 486 234 147 215 612 223 860 B FS195 Phumelela 9 608 - - 2 784 196 196 - - - - - - - - - 12 392 196 196 B FS196 Mantsopa - - - 3 493 114 114 - - - 14 500 - - - - - 17 993 114 114 C DC19 Thabo Mofutsanyana District Municipality - - - - - - - - - - - - - - - - - - Total: Thabo Mofutsanyana Municipalities 47 601 - - 20 924 15 444 28 429 120 000 - - 256 059 371 663 393 478 39 833 37 650 10 986 484 417 424 757 432 893 B FS201 Moqhaka 22 104 - - 5 314 756 9 692 - - - 42 040 - - - - - 69 458 756 9 692 B FS203 Ngwathe 19 398 - - 33 33 33 - - - - - - - - - 19 431 33 33 B FS204 Metsimaholo 23 876 - - 33 33 33 - - - - - - - - - 23 909 33 33 B FS205 Mafube 13 303 - - 33 33 33 - - - 74 762 33 500 32 914 15 000 10 600 11 359 103 098 44 133 44 306 C DC20 Fezile Dabi District Municipality - - - - - - - - - - - - - - - - - - Total: Fezile Dabi Municipalities 78 681 - - 5 413 855 9 791 - - - 116 802 33 500 32 914 15 000 10 600 11 359 215 896 44 955 54 064 Total: Free State Municipalities 225 546 - - 38 592 26 707 53 440 220 000 - - 695 700 723 910 756 415 67 833 61 250 35 109 1 247 671 811 867 844 964 GAUTENGA EKU City of Ekurhuleni - - - 28 543 39 280 24 433 - - - - - - - - - 28 543 39 280 24 433 A JHB City of Johannesburg - - - 10 512 449 5 806 - - - - - - - - - 10 512 449 5 806 A TSH City of Tshwane - - - 9 975 8 408 53 578 - - - - - - - - - 9 975 8 408 53 578 BGT421Emfuleni 51 732 - - 19 963 16 603 4 160 - - - 601 221 602 122 662 888 - - - 672 916 618 725 667 048 B GT422 Midvaal - - - - - - - - - 45 000 - - - - - 45 000 - - B GT423 Lesedi - - - - - - - - - - - - - - - - - - C DC42 Sedibeng District Municipality - - - - - - - - - - - - - - - - - - Total: Sedibeng Municipalities 51 732 - - 19 963 16 603 4 160 - - - 646 221 602 122 662 888 - - - 717 916 618 725 667 048 B GT481 Mogale City - - - 10 266 20 349 8 370 - - - - - - - - - 10 266 20 349 8 370 B GT484 Merafong City - - - 825 123 3 731 - - - - - - - - - 825 123 3 731 B GT485 Rand West City - - - 1 187 123 - - - - 100 000 147 250 109 715 - - - 101 187 147 373 109 715 C DC48 West Rand District Municipality - - - - - - - - - - - - - - - - - - Total: West Rand Municipalities - - - 12 278 20 595 12 101 - - - 100 000 147 250 109 715 - - - 112 278 167 845 121 816 Total: Gauteng Municipalities 51 732 - - 81 271 85 335 100 078 - - - 746 221 749 372 772 603 - - - 879 224 834 707 872 681 287 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category KWAZULU-NATALA ETH eThekwini - - - 23 411 30 024 9 775 - - - - - - - - - 23 411 30 024 9 775 B KZN212 uMdoni - - - 22 200 9 711 41 114 - - - - - - - - - 22 200 9 711 41 114 B KZN213 uMzumbe - - - 3 916 - - - - - - - - - - - 3 916 - - B KZN214 uMuziwabantu - - - 15 337 - - - - - - - - - - - 15 337 - - B KZN216 Ray Nkonyeni - - - 35 876 4 150 16 622 - - - - - - - - - 35 876 4 150 16 622 C DC21 Ugu District Municipality - - - - - - - - - - - - - - - - - - Total: Ugu Municipalities - - - 77 329 13 861 57 736 - - - - - - - - - 77 329 13 861 57 736 B KZN221 uMshwathi - - - - 31 837 2 204 - - - - - - - - - - 31 837 2 204 B KZN222 uMngeni - - - 2 375 9 200 - - - - - - - - - - 2 375 9 200 - B KZN223 Mpofana - - - 12 097 - - - - - - - - - - - 12 097 - - B KZN224 iMpendle - - - - - - - - - - - - - - - - - - B KZN225 Msunduzi - - - 11 553 26 977 28 738 100 000 - - - - - - - - 111 553 26 977 28 738 B KZN226 Mkhambathini - - - - - - - - - - - - - - - - - - B KZN227 Richmond - - - 9 092 29 518 - - - - - - - - - - 9 092 29 518 - C DC22 uMgungundlovu District Municipa lity - - - - - - - - - - - - - - - - - - Total: uMgungundlovu Municipalities - - - 35 117 97 532 30 942 100 000 - - - - - - - - 135 117 97 532 30 942 B KZN235 Okhahlamba - - - 1 953 47 091 14 032 - - - - - - - - - 1 953 47 091 14 032 B KZN237 iNkosi Langalibalele - - - 21 906 25 997 7 768 - - - - - - - - - 21 906 25 997 7 768 B KZN238 Alfred Duma - - - 15 000 14 424 9 157 - - - - - - - - - 15 000 14 424 9 157 C DC23 uThukela District Municipality - - - - - - - - - - - - 103 800 223 651 482 669 103 800 223 651 482 669 Total: uThukela Municipalities - - - 38 859 87 512 30 957 - - - - - - 103 800 223 651 482 669 142 659 311 163 513 626 B KZN241 eNdumeni - - - - 1 000 1 250 - - - - - - - - - - 1 000 1 250 B KZN242 Nquthu - - - - - 2 099 - - - - - - - - - - - 2 099 B KZN244 uMsinga - - - - 4 200 1 500 - - - - - - - - - - 4 200 1 500 B KZN245 uMvoti - - - 1 961 10 573 500 - - - - - - - - - 1 961 10 573 500 C DC24 uMzinyathi District Municipality - - - - - - - - - - - - - - - - - - Total: uMzinyathi Municipalities - - - 1 961 15 773 5 349 - - - - - - - - - 1 961 15 773 5 349 B KZN252 Newcastle - - - 2 190 52 576 101 249 - - - - - - - - - 2 190 52 576 101 249 B KZN253 eMadlangeni - - - - 1 700 2 050 - - - - - - - - - - 1 700 2 050 B KZN254 Dannhauser - - - 138 4 980 7 568 - - - - - - - - - 138 4 980 7 568 C DC25 Amajuba District Municipality - - - - - - - - - - - - - - - - - - Total: Amajuba Municipalities - - - 2 328 59 256 110 867 - - - - - - - - - 2 328 59 256 110 867 B KZN261 eDumbe - - - 363 23 190 17 466 - - - - - - - - - 363 23 190 17 466 B KZN262 uPhongolo - - - - 600 11 416 - - - - - - - - - - 600 11 416 B KZN263 AbaQulusi - - - 2 807 8 180 50 984 - - - - - - - - - 2 807 8 180 50 984 B KZN265 Nongoma - - - 6 338 400 11 099 - - - - - - - - - 6 338 400 11 099 B KZN266 Ulundi - - - 1 550 4 958 40 982 60 000 - - - - - - - - 61 550 4 958 40 982 C DC26 Zululand District Municipality - - - - - - - - - - - - - - - - - - Total: Zululand Municipalities - - - 11 058 37 328 131 947 60 000 - - - - - - - - 71 058 37 328 131 947 B KZN271 uMhlabuyalingana - - - 37 266 42 725 20 400 - - - - - - - - - 37 266 42 725 20 400 B KZN272 Jozini - - - 12 610 7 797 41 384 - - - - - - - - - 12 610 7 797 41 384 B KZN275 Inkosi uMtubatuba - - - 1 022 23 503 26 575 - - - - - - - - - 1 022 23 503 26 575 B KZN276 Big Five Hlabisa - - - 331 4 605 34 953 - - - - - - - - - 331 4 605 34 953 C DC27 uMkhanyakude District Municipality - - - - - - - - - - - - 346 930 237 981 - 346 930 237 981 - Total: uMkhanyakude Municipalities - - - 51 229 78 630 123 312 - - - - - - 346 930 237 981 - 398 159 316 611 123 312 B KZN281 uMfolozi - - - 24 687 28 158 28 154 - - - - - - - - - 24 687 28 158 28 154 B KZN282 uMhlathuze - - - 33 828 16 689 26 231 - - - - - - - - - 33 828 16 689 26 231 B KZN284 uMlalazi - - - 23 833 57 699 17 490 - - - - - - - - - 23 833 57 699 17 490 B KZN285 Mthonjaneni - - - 10 363 6 188 2 845 - - - - - - - - - 10 363 6 188 2 845 B KZN286 Nkandla - - - 7 100 600 1 050 - - - - - - - - - 7 100 600 1 050 C DC28 King Cetshwayo District Municipality - - - - - - - - - - - - - - - - - - Total: King Cetshwayo Municipalities - - - 99 811 109 334 75 770 - - - - - - - - - 99 811 109 334 75 770 B KZN291 Mandeni - - - - 600 15 552 - - - - - - - - - - 600 15 552 B KZN292 KwaDukuza - - - - 600 750 - - - - - - - - - - 600 750 B KZN293 Ndwedwe - - - - - 1 000 - - - - - - - - - - - 1 000 B KZN294 Maphumulo - - - 1 875 25 898 13 164 - - - - - - - - - 1 875 25 898 13 164 C DC29 iLembe District Municipality - - - - - - - - - - - - - - - - - - Total: iLembe Municipalities - - - 1 875 27 098 30 466 - - - - - - - - - 1 875 27 098 30 466 B KZN433 Greater Kokstad - - - 10 124 - - - - - - - - - - - 10 124 - - B KZN434 Johannes Phumani Phungula - - - 4 964 6 034 4 319 - - - - - - - - - 4 964 6 034 4 319 B KZN435 uMzimkhulu - - - 2 333 33 794 - - - - - - - - - - 2 333 33 794 - B KZN436 Dr Nkosazana Dlamini Zuma - - - 7 259 6 760 13 327 - - - - - - - - - 7 259 6 760 13 327 C DC43 Harry Gwala District Municipality - - - - - - - - - - - - - - - - - - Total: Harry Gwala Municipalities - - - 24 680 46 588 17 646 - - - - - - - - - 24 680 46 588 17 646 Total: KwaZulu-Natal Municipalities - - - 367 658 602 936 624 767 160 000 - - - - - 450 730 461 632 482 669 978 388 1 064 568 1 107 436 288 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category LIMPOPOB LIM331 Greater Giyani - - - 6 534 14 920 17 991 - - - - - - - - - 6 534 14 920 17 991 B LIM332 Greater Letaba - - - 3 925 6 802 9 933 - - - - - - - - - 3 925 6 802 9 933 B LIM333 Greater Tzaneen - - - 13 333 33 664 9 326 - - - - - - - - - 13 333 33 664 9 326 B LIM334 Ba-Phalaborwa - - - 1 068 27 136 8 957 - - - - - - - - - 1 068 27 136 8 957 B LIM335 Maruleng - - - 3 782 7 586 14 849 - - - - - - - - - 3 782 7 586 14 849 C DC33 Mopani District Municipality - - - - - - - - - 501 474 531 861 566 099 170 416 182 703 190 906 671 890 714 564 757 005 Total: Mopani Municipalities - - - 28 642 90 108 61 056 - - - 501 474 531 861 566 099 170 416 182 703 190 906 700 532 804 672 818 061 B LIM341 Musina - - - 8 635 4 854 10 131 - - - - - - - - - 8 635 4 854 10 131 B LIM343 Thulamela - - - 9 108 30 975 17 359 - - - - - - - - - 9 108 30 975 17 359 B LIM344 Makhado - - - 3 429 9 844 11 739 - - - - - - - - - 3 429 9 844 11 739 B LIM345 Collins Chabane - - - 19 674 12 092 14 611 - - - - - - - - - 19 674 12 092 14 611 C DC34 Vhembe District Municipality - - - - - - - - - 181 429 265 000 267 285 - - - 181 429 265 000 267 285 Total: Vhembe Municipalities - - - 40 846 57 765 53 840 - - - 181 429 265 000 267 285 - - - 222 275 322 765 321 125 B LIM351 Blouberg - - - 8 177 6 160 19 549 - - - - - - - - - 8 177 6 160 19 549 B LIM353 Molemole - - - 8 529 10 249 12 338 - - - - - - - - - 8 529 10 249 12 338 B LIM354 Polokwane - - - 3 845 60 386 67 248 - - - - - - - - - 3 845 60 386 67 248 B LIM355 Lepele-Nkumpi - - - 21 442 8 533 11 637 - - - - - - - - - 21 442 8 533 11 637 C DC35 Capricorn District Municipality - - - - - - - - - - - - - - - - - - Total: Capricorn Municipalities - - - 41 993 85 328 110 772 - - - - - - - - - 41 993 85 328 110 772 B LIM361 Thabazimbi 17 549 - - 1 634 4 137 8 041 35 000 - - - - - 65 065 68 818 71 908 119 248 72 955 79 949 B LIM362 Lephalale - - - 1 294 8 988 9 133 - - - - - - 77 611 71 991 75 224 78 905 80 979 84 357 B LIM366 Bela-Bela - - - 1 368 4 674 7 985 - - - - - - - - - 1 368 4 674 7 985 B LIM367 Mogalakwena - - - 13 572 18 300 13 495 - - - - - - - - - 13 572 18 300 13 495 B LIM368 Modimolle-Mookgophong - - - - 2 490 6 931 - - - - - - 68 052 113 454 118 549 68 052 1 15 944 125 480 C DC36 Waterberg District Municipality - - - - - - - - - 30 000 - - - - - 30 000 - - Total: Waterberg Municipalities 17 549 - - 17 868 38 589 45 585 35 000 - - 30 000 - - 210 728 254 263 265 681 311 145 292 852 311 266 B LIM471 Ephraim Mogale - - - 18 238 8 965 10 336 - - - - - - - - - 18 238 8 965 10 336 B LIM472 Elias Motsoaledi - - - 15 749 10 838 14 338 - - - - - - - - - 15 749 10 838 14 338 B LIM473 Makhuduthamaga - - - 15 104 12 980 12 483 - - - - - - - - - 15 104 12 980 12 483 B LIM476 Fetakgomo Tubatse - - - 4 357 33 153 29 316 - - - - - - - - - 4 357 33 153 29 316 C DC47 Sekhukhune District Municipa lity 163 262 - - - - - - - - 69 819 - - 63 220 66 882 69 884 296 301 66 882 69 884 Total: Sekhukhune Municipalities 163 262 - - 53 448 65 936 66 473 - - - 69 819 - - 63 220 66 882 69 884 349 749 13 2 818 136 357 Total: Limpopo Municipalities 180 811 - - 182 797 337 726 337 726 35 000 - - 782 722 796 861 833 384 444 364 503 848 526 471 1 625 694 1 638 435 1 697 581 MPUMALANGAB MP301 Chief Albert Luthuli - - - 6 547 9 004 9 039 - - - - - - - - - 6 547 9 004 9 039 B MP302 Msukaligwa - - - 5 176 3 963 3 691 - - - - - - - - - 5 176 3 963 3 691 B MP303 Mkhondo - - - 3 393 14 539 16 558 - - - 70 000 30 110 - 35 000 35 769 37 375 108 393 80 418 53 933 B MP304 Dr Pixley ka Isaka Seme - - - 2 641 3 642 5 519 - - - - - - - - - 2 641 3 642 5 519 B MP305 Lekwa 9 348 - - - 845 1 635 45 000 - - 10 000 64 272 67 157 35 000 34 608 36 162 99 348 99 725 104 954 B MP306 Dipaleseng 5 901 - - 425 423 1 165 - - - - 31 200 32 601 17 000 16 500 32 914 23 326 48 123 66 680 B MP307 Govan Mbeki - - - 262 845 2 098 95 869 - - 4 598 10 400 10 867 - - - 100 729 11 245 12 965 C DC30 Gert Sibande District Municipality - - - - - - - - - - - - - - - - - - Total: Gert Sibande Municipalities 15 249 - - 18 444 33 261 39 705 140 869 - - 84 598 135 982 110 625 87 000 8 6 877 106 451 346 160 256 120 256 781 B MP311 Victor Khanye - - - 550 1 585 1 122 - - - - - - 25 000 15 000 - 25 550 16 585 1 122 B MP312 Emalahleni - - - 240 - 904 - - - - - - - - - 240 - 904 B MP313 Steve Tshwete - - - 878 127 1 571 - - - - - - - - - 878 127 1 571 B MP314 Emakhazeni - - - 568 2 658 963 - - - - - - - - - 568 2 658 963 B MP315 Thembisile Hani - - - 36 047 33 726 34 241 - - - 220 000 138 000 198 452 - - - 256 047 171 726 232 693 B MP316 Dr JS Moroka - - - 6 231 107 074 7 306 - - - - 10 400 10 867 - - - 6 231 117 474 18 173 C DC31 Nkangala District Municipality - - - - - - - - - - - - - - - - - - Total: Nkangala Municipalities - - - 44 514 145 170 46 107 - - - 220 000 148 400 209 319 25 000 15 000 - 289 514 308 570 255 426 B MP321 Thaba Chweu - - - 6 353 2 648 1 165 - - - - - - - - - 6 353 2 648 1 165 B MP324 Nkomazi - - - 13 794 11 549 28 775 - - - 81 040 100 000 50 000 - - - 94 834 111 549 78 775 B MP325 Bushbuckridge - - - 18 678 44 790 30 362 - - - - - - - - - 18 678 44 790 30 362 B MP326 City of Mbombela - - - 34 018 93 745 184 099 95 000 - - - - - 20 526 21 000 21 943 149 544 11 4 745 206 042 C DC32 Ehlanzeni District Municipality - - - - - - - - - - - - - - - - - - Total: Ehlanzeni Municipalities - - - 72 843 152 732 244 401 95 000 - - 81 040 100 000 50 000 20 526 21 000 21 943 269 409 273 732 316 344 Total: Mpumalanga Municipalities 15 249 - - 135 801 331 163 330 213 235 869 - - 385 638 384 382 369 944 132 526 122 877 128 394 905 083 838 422 828 551 289 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category NORTHERN CAPEB NC061 Richtersveld - - - - - - - - - - - - - - - - - - B NC062 Nama Khoi 10 222 - - - - - - - - - - - - - - 10 222 - - B NC064 Kamiesberg - - - - - - - - - - - - - - - - - - B NC065 Hantam - - - - - - - - - - - - - - - - - - B NC066 Karoo Hoogland - - - - 1 856 - - - - - - - - - - - 1 856 - B NC067 Khâi-Ma - - - 300 5 490 10 455 - - - - - - - - - 300 5 490 10 455 C DC6 Namakwa District Municipality - - - - - - - - - - - - - - - - - - Total: Namakwa Municipalities 10 222 - - 300 7 346 10 455 - - - - - - - - - 10 522 7 346 10 455 B NC071 Ubuntu - - - - - - - - - - - - - - - - - - B NC072 Umsobomvu - - - - - - - - - - - - - - - - - - B NC073 Emthanjeni 6 168 - - - - - - - - - - - - - - 6 168 - - B NC074 Kareeberg - - - - - - - - - - - - - - - - - - B NC075 Renosterberg - - - - 181 6 038 - - - - - - - - - - 181 6 038 B NC076 Thembelihle - - - - - - 21 000 - - - - - - - - 21 000 - - B NC077 Siyathemba - - - - - - - - - - - - - - - - - - B NC078 Siyancuma - - - - - - - - - - - - - - - - - - C DC7 Pixley Ka Seme District Municipality - - - - - - - - - - - - - - - - - - Total: Pixley Ka Seme Municipalities 6 168 - - - 181 6 038 21 000 - - - - - - - - 27 168 181 6 038 B NC082 !Kai !Garib 12 611 - - - 175 1 811 - - - - - - - - - 12 611 175 1 811 B NC084 !Kheis - - - - - - - - - - - - - - - - - - B NC085 Tsantsabane - - - - - - - - - - - - - - - - - - B NC086 Kgatelopele - - - - - - - - - - - - - - - - - - B NC087 Dawid Kruiper - - - 121 23 717 - 45 000 - - 90 000 69 300 73 592 - - - 135 121 93 017 73 592 C DC8 Z.F. Mgcawu District Municipality - - - - - - - - - - - - - - - - - - Total: Z.F. Mgcawu Municipalities 12 611 - - 121 23 892 1 811 45 000 - - 90 000 69 300 73 592 - - - 147 732 93 192 75 403 B NC091 Sol Plaatjie - - - 16 491 7 646 - - - - - - - - - - 16 491 7 646 - B NC092 Dikgatlong - - - - - 3 290 - - - - - - 14 500 4 050 - 14 500 4 050 3 290 B NC093 Magareng - - - 5 253 7 776 - - - - 15 000 - - - - - 20 253 7 776 - B NC094 Phokwane 13 703 - - - - - - - - - - - - - - 13 703 - - C DC9 Frances Baard District Municipality - - - - - - - - - - - - - - - - - - Total: Frances Baard Municipalities 13 703 - - 21 744 15 422 3 290 - - - 15 000 - - 14 500 4 050 - 64 947 19 472 3 290 B NC451 Joe Morolong - - - - 10 317 42 927 - - - - - - - - - - 10 317 42 927 B NC452 Ga-Segonyana - - - 19 399 9 649 13 766 - - - - - - - - - 19 399 9 649 13 766 B NC453 Gamagara - - - - 142 - - - - - 10 700 10 000 - - - - 10 842 10 000 C DC45 John Taolo Gaetsewe District Municipality - - - - - - - - - - - - - - - - - - Total: John Taolo Gaetsewe Municipalities - - - 19 399 20 108 56 693 - - - - 10 700 10 000 - - - 19 399 30 808 66 693 Total: Northern Cape Municipalities 42 704 - - 41 564 66 949 78 287 66 000 - - 105 000 80 000 83 592 14 500 4 050 - 269 768 150 999 161 879 NORTH WESTB NW371 Moretele - - - 5 217 10 022 21 743 - - - - 75 152 78 526 - - - 5 217 85 174 100 269 B NW372 Madibeng - - - 32 318 82 770 80 767 - - - 58 112 29 236 30 549 17 000 17 850 22 942 107 430 129 856 134 258 B NW373 Rustenburg - - - 38 131 - 4 368 - - - - - - - - - 38 131 - 4 368 B NW374 Kgetlengrivier - - - 450 3 140 2 418 - - - - - - 20 000 21 000 31 943 20 450 24 140 34 361 B NW375 Moses Kotane - - - 12 895 137 783 62 529 - - - - - - - - - 12 895 137 783 62 529 C DC37 Bojanala Platinum District Municipality - - - - - - - - - - - - - - - - - - Total: Bojanala Platinum Municipalities - - - 89 011 233 715 171 825 - - - 58 112 104 388 109 075 37 000 3 8 850 54 885 184 123 376 953 335 785 B NW381 Ratlou - - - 3 679 - 2 053 - - - - - - - - - 3 679 - 2 053 B NW382 Tswaing - - - 10 760 1 268 4 060 - - - - - - - - - 10 760 1 268 4 060 B NW383 Mafikeng - - - 32 440 27 091 17 486 - - - - - - - - - 32 440 27 091 17 486 B NW384 Ditsobotla - - - 16 621 19 605 37 977 - - - - - - - - - 16 621 19 605 37 977 B NW385 Ramotshere Moiloa - - - 20 954 2 222 5 757 - - - - - - - - - 20 954 2 222 5 757 C DC38 Ngaka Modiri Molema District Municipality - - - - - - - - - 140 000 64 480 67 375 142 378 1 48 072 154 719 282 378 212 552 222 094 Total: Ngaka Modiri Molema Municipalities - - - 84 454 50 186 67 333 - - - 140 000 64 480 67 375 142 378 1 48 072 154 719 366 832 262 738 289 427 B NW392 Naledi - - - 558 413 5 977 - - - - - - - - - 558 413 5 977 B NW393 Mamusa - - - 470 - 2 315 - - - - - - - - - 470 - 2 315 B NW394 Greater Taung - - - 8 316 11 770 16 814 - - - - - - - - - 8 316 11 770 16 814 B NW396 Lekwa-Teemane - - - 455 - - - - - - - - - - - 455 - - B NW397 Kagisano-Molopo - - - 8 794 8 848 29 208 - - - - - - - - - 8 794 8 848 29 208 C DC39 Dr Ruth Segomotsi Mompati District Municipality - - - - - - - - - - - - - - - - - - Total: Dr Ruth Segomotsi Mompati Municipalities - - - 18 593 21 031 54 314 - - - - - - - - - 18 593 21 031 54 314 B NW403 City of Matlosana - - - 1 537 - 4 386 - - - - - - - - - 1 537 - 4 386 B NW404 Maquassi Hills - - - 360 - 2 418 - - - - - - - - - 360 - 2 418 B NW405 JB Marks - - - 462 - 2 418 - - - - 74 880 78 242 - - - 462 74 880 80 660 C DC40 Dr Kenneth Kaunda District Municipality - - - - - - - - - - - - - - - - - - Total: Dr Kenneth Kaunda Municipalities - - - 2 359 - 9 222 - - - - 74 880 78 242 - - - 2 359 74 880 87 464 Total: North West Municipalities - - - 194 417 304 932 302 694 - - - 198 112 243 748 254 692 179 378 186 922 209 604 571 907 735 602 766 990 290 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year Municipality ANNEXURE W6 ALLOCATIONS-IN-KIND TO MUNICIPALITIES (SCHEDULE 6, PART B) Municipal Infrastructure Grant Integrated National Electrification Programme (Eskom) Grant Smart Meters Grant Regional Bulk Infrastructure Grant Water Servi ces Infrastructure Grant SUB-TOTAL: INDIRECT National and Municipal Financial Year Category WESTERN CAPEA CPT City of Cape Town - - - 58 906 81 785 75 776 - - - - - - - - - 58 906 81 785 75 776 B WC011 Matzikama - - - - - - - - - - - - - - - - - - B WC012 Cederberg - - - 8 689 659 6 612 14 000 - - - 16 843 17 599 - - - 22 689 17 502 24 211 B WC013 Bergrivier - - - - - - - - - - - - - - - - - - B WC014 Saldanha Bay - - - 8 033 966 - - - - - - - - - - 8 033 966 - B WC015 Swartland - - - - - - - - - - - - - - - - - - C DC1 West Coast District Municipality - - - - - - - - - - - - - - - - - - Total: West Coast Municipalities - - - 16 722 1 625 6 612 14 000 - - - 16 843 17 599 - - - 30 722 18 468 24 211 B WC022 Witzenberg - - - 284 1 854 12 238 - - - - - - - - - 284 1 854 12 238 B WC023 Drakenstein - - - - - - - - - - - - - - - - - - B WC024 Stellenbosch - - - 848 262 - - - - - - - - - - 848 262 - B WC025 Breede Valley - - - 13 186 - - - - - - - - - - - 13 186 - - B WC026 Langeberg - - - - - - - - - - - - - - - - - - C DC2 Cape Winelands District Municipality - - - - - - - - - - - - - - - - - - Total: Cape Winelands Municipalities - - - 14 318 2 116 12 238 - - - - - - - - - 14 318 2 116 12 238 B WC031 Theewaterskloof - - - 18 371 10 415 162 - - - - - - - - - 18 371 10 415 162 B WC032 Overstrand - - - - - - - - - - - - - - - - - - B WC033 Cape Agulhas - - - - - - - - - - - - - - - - - - B WC034 Swellendam - - - - - - - - - - - - - - - - - - C DC3 Overberg District Municipality - - - - - - - - - - - - - - - - - - Total: Overberg Municipalities - - - 18 371 10 415 162 - - - - - - - - - 18 371 10 415 162 B WC041 Kannaland - - - - - - - - - - - - - - - - - - B WC042 Hessequa - - - 374 - - - - - - - - - - - 374 - - B WC043 Mossel Bay - - - - - - - - - - - - - - - - - - B WC044 George - - - - - - - - - - - - - - - - - - B WC045 Oudtshoorn - - - 217 65 - - - - - - - - - - 217 65 - B WC047 Bitou - - - 1 498 8 402 9 620 - - - - - - - - - 1 498 8 402 9 620 B WC048 Knysna - - - - - - - - - - - - - - - - - - C DC4 Garden Route District Municipality - - - - - - - - - - - - - - - - - - Total: Garden Route Municipalities - - - 2 089 8 467 9 620 - - - - - - - - - 2 089 8 467 9 620 B WC051 Laingsburg - - - - - - - - - - - - - - - - - - B WC052 Prince Albert - - - - - - - - - - - - - - - - - - B WC053 Beaufort West - - - - - - - - - - - - - - - - - - C DC5 Central Karoo District Municipality - - - - - - - - - - - - - - - - - - Total: Central Karoo Municipalities - - - - - - - - - - - - - - - - - - Total: Western Cape Municipalities - - - 110 406 104 408 104 408 14 000 - - - 16 843 17 599 - - - 124 406 121 251 122 007 - - - - - - - 827 630 853 352 - - - - - - - 827 630 853 352 National Total 535 566 - - 1 592 711 2 472 493 2 549 336 795 869 827 630 853 352 3 214 822 3 343 116 3 447 017 1 334 331 1 387 579 1 430 704 7 473 299 8 030 818 8 280 409 Unallocated 291 ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALL OCATIONS TO MUNICPALITIES (National and Municipal Financial Years) 292 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) EASTERN CAPE A BUF Buffalo City 1 363 341 1 432 070 1 462 480 2 511 217 2 668 064 2 912 764 A NMA Nelson Mandela Bay 1 740 504 1 841 721 1 867 588 3 301 626 3 436 111 3 651 609 B EC101 Dr Beyers Naude 130 306 134 705 139 662 202 823 223 254 226 189 B EC102 Blue Crane Route 74 969 76 953 80 313 130 406 121 895 129 348 B EC104 Makana 139 159 143 934 149 155 305 034 347 334 319 964 B EC105 Ndlambe 146 218 151 062 156 720 265 250 229 673 240 850 B EC106 Sundays River Valley 126 877 131 509 136 005 216 369 213 787 218 256 B EC108 Kouga 212 694 222 318 228 081 274 574 290 412 302 644 B EC109 Kou-Kamma 74 323 76 965 79 656 151 108 130 199 131 942 CDC10 Sarah Baartman District Municipality 114 938 117 389 123 067 120 176 121 530 127 396 Total: Sarah Baartman Municipalities 1 019 484 1 054 835 1 092 659 1 665 740 1 678 084 1 696 589 B EC121 Mbhashe 317 595 314 403 337 969 435 330 466 168 466 859 B EC122 Mnquma 330 798 327 421 352 019 432 648 449 143 469 027 B EC123 Great Kei 54 214 53 838 57 721 75 842 88 896 95 194 B EC124 Amahlathi 134 325 132 977 142 970 239 357 197 922 209 588 B EC126 Ngqushwa 104 969 103 962 111 735 143 612 163 149 161 780 B EC129 Raymond Mhlaba 219 561 217 164 233 674 353 420 306 584 351 974 CDC12 Amathole District Municipality 1 271 415 1 339 255 1 370 912 1 998 595 2 170 154 2 159 532 Total: Amathole Municipalities 2 432 877 2 489 020 2 607 000 3 678 804 3 842 016 3 913 954 B EC131 Inxuba Yethemba 59 478 60 395 63 217 95 796 94 953 95 726 B EC135 Intsika Yethu 202 328 200 328 215 325 281 946 308 104 313 039 B EC136 Emalahleni 157 016 155 384 167 119 210 941 236 482 238 295 B EC137 Dr. A.B. Xuma 188 551 186 714 200 667 257 816 265 951 283 837 B EC138 Sakhisizwe 86 575 85 827 92 156 141 838 136 409 145 032 B EC139 Enoch Mgijima 242 955 243 232 258 293 375 221 344 655 373 312 CDC13 Chris Hani District Municipality 822 193 866 120 888 028 1 253 601 1 615 953 1 666 921 Total: Chris Hani Municipalities 1 759 096 1 798 000 1 884 805 2 617 159 3 002 507 3 116 162 B EC141 Elundini 196 347 195 004 208 918 275 702 309 625 321 352 B EC142 Senqu 192 058 190 570 204 367 252 628 258 330 279 959 B EC145 Walter Sisulu 83 456 84 724 88 696 130 030 124 798 125 932 CDC14 Joe Gqabi District Municipality 419 740 441 606 453 308 752 902 920 229 980 848 Total: Joe Gqabi Municipalities 891 601 911 904 955 289 1 411 262 1 612 982 1 708 091 B EC153 Ngquza Hill 336 935 333 692 358 535 439 153 447 469 474 790 B EC154 Port St Johns 198 786 197 104 211 537 253 298 280 917 298 509 B EC155 Nyandeni 339 681 336 660 361 441 504 444 513 256 492 306 B EC156 Mhlontlo 233 431 230 814 248 440 330 570 319 483 341 738 B EC157 King Sabata Dalindyebo 461 270 462 420 490 350 647 347 654 925 665 382 CDC15 O.R. Tambo District Municipality 1 337 290 1 410 805 1 445 092 2 319 382 2 373 724 2 441 412 Total: O.R. Tambo Municipalities 2 907 393 2 971 495 3 115 395 4 494 194 4 589 774 4 714 137 B EC441 Matatiele 312 797 310 405 332 811 435 946 419 735 450 987 B EC442 Umzimvubu 281 659 278 914 299 728 377 212 393 286 416 535 B EC443 Winnie Madikizela-Mandela 350 052 346 992 372 471 459 256 474 518 498 334 B EC444 Ntabankulu 159 907 158 033 170 214 214 790 220 296 236 969 CDC44 Alfred Nzo District Municipality 872 031 919 468 942 293 1 534 158 1 653 601 1 805 596 Total: Alfred Nzo Municipalities 1 976 446 2 013 812 2 117 517 3 021 362 3 161 436 3 408 421 Total: Eastern Cape Municipalities 14 090 742 14 512 857 15 102 733 22 701 364 23 990 974 25 121 727 National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES 293 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES FREE STATE A MAN Mangaung 1 272 720 1 346 734 1 365 649 2 438 914 2 603 093 2 789 777 B FS161 Letsemeng 96 491 99 682 103 411 148 165 153 422 159 006 B FS162 Kopanong 125 588 129 705 134 600 185 761 193 020 203 654 B FS163 Mohokare 104 848 107 724 112 342 180 189 169 839 172 086 B FS164 New Municipality - - - - - - C DC16 Xhariep District Municipality 53 059 53 658 56 754 59 024 58 484 61 765 Total: Xhariep Municipalities 379 986 390 769 407 107 573 139 574 765 596 511 B FS181 Masilonyana 176 843 181 475 189 501 259 833 300 837 313 681 B FS182 Tokologo 83 224 85 249 89 152 254 584 240 726 253 159 B FS183 Tswelopele 107 845 110 487 115 539 161 984 162 923 169 733 B FS184 Matjhabeng 813 898 852 537 873 022 1 379 125 1 338 266 1 370 510 B FS185 Nala 172 716 177 632 185 092 239 757 249 938 259 890 C DC18 Lejweleputswa District Municipality 158 406 161 807 169 600 162 389 171 101 178 184 Total: Lejweleputswa Municipalities 1 512 932 1 569 187 1 621 906 2 457 672 2 463 791 2 545 157 B FS191 Setsoto 284 175 292 909 304 590 648 025 539 046 517 765 B FS192 Dihlabeng 269 775 281 275 289 320 615 015 469 552 522 035 B FS193 Nketoana 147 809 152 428 158 415 304 894 384 310 402 628 B FS194 Maluti-a-Phofung 895 917 919 678 960 344 1 407 429 1 414 696 1 471 314 B FS195 Phumelela 111 975 115 146 119 986 171 795 173 775 176 567 B FS196 Mantsopa 124 190 127 927 133 089 187 493 172 998 179 578 C DC19 Thabo Mofutsanyana District Municipality 141 686 143 366 151 571 153 999 155 017 162 417 Total: Thabo Mofutsanyana Municipalities 1 975 527 2 032 729 2 117 315 3 488 650 3 309 394 3 432 304 B FS201 Moqhaka 323 918 336 430 347 341 439 988 415 973 438 558 B FS203 Ngwathe 296 619 306 101 317 991 479 589 579 825 575 363 B FS204 Metsimaholo 329 025 345 005 352 936 426 626 441 502 452 786 B FS205 Mafube 144 344 148 587 154 688 274 683 251 678 259 962 C DC20 Fezile Dabi District Municipality 189 592 196 383 203 217 220 114 200 958 208 078 Total: Fezile Dabi Municipalities 1 283 498 1 332 506 1 376 173 1 841 000 1 889 936 1 934 747 Total: Free State Municipalities 6 424 663 6 671 925 6 888 150 10 799 375 10 840 979 11 298 496 GAUTENG A EKU City of Ekurhuleni 6 323 571 6 691 310 6 785 292 9 318 937 9 900 220 10 317 982 A JHB City of Johannesburg 8 650 870 9 153 951 9 282 521 13 903 758 13 668 989 13 998 622 A TSH City of Tshwane 4 898 214 5 183 063 5 255 861 7 589 544 8 003 671 8 415 972 B GT421 Emfuleni 1 292 642 1 362 989 1 386 858 2 144 323 2 239 654 2 320 414 B GT422 Midvaal 196 126 207 358 210 400 347 190 338 888 348 093 B GT423 Lesedi 240 707 251 978 258 146 395 273 350 451 342 043 CDC42 Sedibeng District Municipality 330 371 341 897 354 076 341 781 346 887 363 362 Total: Sedibeng Municipalities 2 059 846 2 164 222 2 209 480 3 228 567 3 275 880 3 373 912 B GT481 Mogale City 740 129 783 170 794 170 989 518 1 049 717 1 056 310 B GT484 Merafong City 344 823 363 318 369 945 468 142 504 106 526 989 B GT485 Rand West City 525 600 553 468 563 883 868 235 963 568 916 439 CDC48 West Rand District Municipality 257 403 265 005 275 720 301 711 308 087 280 912 Total: West Rand Municipalities 1 867 955 1 964 961 2 003 718 2 627 606 2 825 478 2 780 650 Total: Gauteng Municipalities 23 800 456 25 157 507 25 536 872 36 668 411 37 674 238 38 887 137 294 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES KWAZULU-NATAL A ETH eThekwini 5 516 093 5 836 875 5 918 856 8 753 731 9 262 477 9 680 546 B KZN212 uMdoni 179 468 178 434 190 950 244 194 239 404 284 987 BKZN213uMzumbe 165 070 162 991 175 717 215 121 221 056 235 702 BKZN214uMuziwabantu 120 515 119 626 128 253 168 581 159 270 169 157 B KZN216 Ray Nkonyeni 308 900 311 912 328 230 468 024 414 831 445 667 CDC21 Ugu District Municipality 744 602 784 454 804 162 1 173 492 1 270 981 1 246 861 Total: Ugu Municipalities 1 518 555 1 557 417 1 627 312 2 269 412 2 305 542 2 382 374 BKZN221uMshwathi 139 335 139 384 148 199 183 653 217 017 197 667 B KZN222 uMngeni 113 175 116 505 120 157 188 071 174 353 170 481 B KZN223 Mpofana 49 481 49 786 52 630 80 014 67 927 71 108 BKZN224iMpendle 49 492 49 226 52 695 76 370 66 506 70 397 B KZN225 Msunduzi 925 767 974 653 993 191 1 436 265 1 432 469 1 422 098 B KZN226 Mkhambathini 86 737 86 515 92 288 129 714 118 257 127 916 BKZN227Richmond 97 091 96 915 103 294 134 123 159 393 137 292 CDC22 uMgungundlovu District Municipality 826 344 866 473 890 035 1 065 344 1 124 869 1 149 695 Total: uMgungundlovu Municipalities 2 287 422 2 379 457 2 452 489 3 293 554 3 360 791 3 346 654 BKZN235Okhahlamba 162 727 161 337 173 172 210 942 260 359 240 873 B KZN237 iNkosi Langalibalele 240 742 239 184 256 140 340 345 334 825 335 592 BKZN238Alfred Duma 326 208 327 123 346 766 467 984 442 090 463 052 CDC23 uThukela District Municipality 686 038 723 013 741 003 1 019 297 1 199 865 1 485 241 Total: uThukela Municipalities 1 415 715 1 450 657 1 517 081 2 038 568 2 237 139 2 524 758 B KZN241 eNdumeni 73 722 75 094 78 326 105 985 103 211 107 520 B KZN242 Nquthu 182 897 180 872 194 663 242 798 241 110 259 066 B KZN244 uMsinga 226 596 224 818 241 114 284 915 299 168 315 176 BKZN245uMvoti 185 191 185 178 196 960 232 078 246 250 252 581 CDC24 uMzinyathi District Municipality 580 091 611 258 626 652 917 908 990 300 987 646 Total: uMzinyathi Municipalities 1 248 497 1 277 220 1 337 715 1 783 684 1 880 039 1 921 989 B KZN252 Newcastle 582 810 604 108 624 924 843 427 918 969 997 105 BKZN253eMadlangeni 39 220 39 014 41 759 56 458 55 007 58 311 B KZN254 Dannhauser 116 776 115 446 124 309 147 201 158 563 170 051 CDC25 Amajuba District Municipality 240 133 249 768 258 234 407 706 420 692 438 750 Total: Amajuba Municipalities 978 939 1 008 336 1 049 226 1 454 792 1 553 231 1 664 217 BKZN261eDumbe 101 507 100 634 108 041 145 475 160 988 163 769 B KZN262 uPhongolo 188 714 187 697 200 777 234 891 235 911 261 208 B KZN263 AbaQulusi 215 845 216 311 229 468 290 602 289 818 348 701 B KZN265 Nongoma 203 083 200 226 216 185 256 247 251 469 279 752 BKZN266Ulundi 208 936 205 725 222 431 320 164 261 197 315 554 CDC26 Zululand District Municipality 749 176 789 763 809 375 1 516 539 1 560 842 1 639 046 Total: Zululand Municipalities 1 667 261 1 700 356 1 786 277 2 763 918 2 760 225 3 008 030 B KZN271 uMhlabuyalingana 236 972 235 258 252 138 332 006 338 392 334 954 BKZN272Jozini 252 286 249 894 268 468 316 749 311 888 365 603 B KZN275 Inkosi uMtubatuba 238 060 235 702 253 339 282 274 304 653 326 746 B KZN276 Big Five Hlabisa 150 676 149 219 160 364 188 417 192 954 235 589 CDC27 uMkhanyakude District Municipality 692 822 730 222 748 558 1 321 298 1 286 051 1 196 583 Total: uMkhanyakude Municipalities 1 570 816 1 600 295 1 682 867 2 440 744 2 433 938 2 459 475 B KZN281 uMfolozi 180 242 178 189 191 843 254 662 253 239 268 438 B KZN282 uMhlathuze 610 321 636 553 654 560 904 442 880 574 933 950 BKZN284uMlalazi 246 839 244 484 262 681 330 390 365 185 345 218 B KZN285 Mthonjaneni 99 291 97 921 105 723 152 880 137 112 142 491 BKZN286Nkandla 121 850 120 305 129 719 177 226 167 562 174 813 CDC28 King Cetshwayo District Municipality 797 598 837 764 859 228 1 297 237 1 471 601 1 534 203 Total: King Cetshwayo Municipalities 2 056 141 2 115 216 2 203 754 3 116 837 3 275 273 3 399 113 BKZN291Mandeni 240 637 239 920 255 964 287 902 300 471 333 455 B KZN292 KwaDukuza 297 020 305 644 315 241 377 927 389 787 402 318 B KZN293 Ndwedwe 198 488 196 613 211 234 243 657 248 251 265 431 BKZN294Maphumulo 116 782 115 735 124 297 155 814 183 194 180 394 CDC29 iLembe District Municipality 883 493 932 330 954 417 1 243 329 1 321 781 1 347 696 Total: iLembe Municipalities 1 736 420 1 790 242 1 861 153 2 308 629 2 443 484 2 529 294 B KZN433 Greater Kokstad 88 189 89 301 93 735 143 345 120 517 125 938 B KZN434 Johannes Phumani Phungula 142 800 141 544 151 974 185 180 193 350 203 548 B KZN435 uMzimkhulu 253 469 251 633 269 690 327 615 352 474 338 915 B KZN436 Dr Nkosazana Dlamini Zuma 166 587 165 256 177 275 212 879 216 029 236 014 CDC43 Harry Gwala District Municipality 548 684 577 955 592 713 912 956 1 003 268 1 012 662 Total: Harry Gwala Municipalities 1 199 729 1 225 689 1 285 387 1 781 975 1 885 638 1 917 077 Total: KwaZulu-Natal Municipalities 21 195 588 21 941 760 22 722 117 32 005 844 33 397 777 34 833 527 295 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES LIMPOPO B LIM331 Greater Giyani 387 823 384 972 412 613 496 577 510 761 541 144 B LIM332 Greater Letaba 377 862 375 393 401 997 472 051 473 821 510 606 B LIM333 Greater Tzaneen 549 512 549 696 584 233 717 114 731 266 746 274 B LIM334 Ba-Phalaborwa 214 272 213 767 227 918 261 308 299 943 293 592 B LIM335 Maruleng 170 372 169 306 181 277 233 134 215 193 235 574 CDC33 Mopani District Municipality 1 508 655 1 593 121 1 630 297 2 743 326 2 929 337 3 029 599 Total: Mopani Municipalities 3 208 496 3 286 255 3 438 335 4 923 510 5 160 321 5 356 789 B LIM341 Musina 232 308 234 015 246 938 290 520 291 014 310 809 B LIM343 Thulamela 616 264 614 891 655 415 785 788 810 089 837 815 B LIM344 Makhado 507 068 506 862 539 128 637 172 654 968 693 760 B LIM345 Collins Chabane 504 619 502 148 536 776 655 227 645 712 687 105 CDC34 Vhembe District Municipality 1 657 833 1 751 354 1 792 116 2 586 925 2 815 631 2 885 622 Total: Vhembe Municipalities 3 518 092 3 609 270 3 770 373 4 955 632 5 217 414 5 415 111 B LIM351 Blouberg 240 123 238 140 255 508 323 460 324 757 358 259 B LIM353 Molemole 183 043 181 583 194 779 250 371 249 540 266 703 B LIM354 Polokwane 1 541 239 1 606 170 1 652 917 2 990 582 3 278 524 3 035 995 B LIM355 Lepele-Nkumpi 326 389 322 989 347 330 423 349 416 032 446 264 CDC35 Capricorn District Municipality 896 736 939 981 966 276 1 293 215 1 405 295 1 448 899 Total: Capricorn Municipalities 3 187 530 3 288 863 3 416 810 5 280 977 5 674 148 5 556 120 B LIM361 Thabazimbi 164 793 173 888 176 778 337 108 310 898 322 862 B LIM362 Lephalale 264 473 275 574 283 624 408 044 433 387 443 160 B LIM366 Bela-Bela 149 236 154 800 159 983 275 460 301 280 317 461 B LIM367 Mogalakwena 637 638 653 125 683 438 968 150 981 828 1 020 391 B LIM368 Modimolle-Mookgophong 167 982 174 579 180 126 292 539 356 701 373 986 CDC36 Waterberg District Municipality 160 896 164 591 172 228 194 697 168 696 176 617 Total: Waterberg Municipalities 1 545 018 1 596 557 1 656 177 2 475 998 2 552 790 2 654 477 B LIM471 Ephraim Mogale 197 603 196 293 210 249 276 692 253 821 270 513 B LIM472 Elias Motsoaledi 367 541 364 204 391 081 475 941 463 341 492 350 B LIM473 Makhuduthamaga 353 718 350 643 376 368 452 366 467 241 495 987 B LIM476 Fetakgomo Tubatse 602 957 598 348 641 359 720 148 780 773 825 139 CDC47 Sekhukhune District Municipality 1 277 711 1 348 559 1 380 713 2 000 401 2 064 931 2 121 781 Total: Sekhukhune Municipalities 2 799 530 2 858 047 2 999 770 3 925 548 4 030 107 4 205 770 Total: Limpopo Municipalities 14 258 666 14 638 992 15 281 465 21 561 665 22 634 780 23 188 267 MPUMALANGA B MP301 Chief Albert Luthuli 462 146 472 704 495 241 921 514 936 238 949 486 B MP302 Msukaligwa 299 205 313 048 320 922 742 555 605 357 670 586 B MP303 Mkhondo 375 180 386 528 402 141 623 656 597 702 587 020 B MP304 Dr Pixley ka Isaka Seme 176 260 180 997 188 881 270 145 272 595 285 729 BMP305Lekwa 198 477 207 650 212 880 338 795 363 085 375 136 B MP306 Dipaleseng 112 377 115 624 120 421 156 709 201 152 225 616 B MP307 Govan Mbeki 523 359 553 795 561 573 762 056 690 089 706 907 CDC30 Gert Sibande District Municipality 358 221 371 605 384 005 391 241 390 041 402 732 Total: Gert Sibande Municipalities 2 505 225 2 601 951 2 686 064 4 206 671 4 056 259 4 203 212 B MP311 Victor Khanye 163 014 169 477 174 773 224 734 231 173 222 502 B MP312 Emalahleni 685 541 725 408 735 597 941 033 971 541 995 495 B MP313 Steve Tshwete 400 090 423 356 429 303 495 348 573 428 586 625 B MP314 Emakhazeni 99 877 103 369 107 050 187 400 190 369 194 895 B MP315 Thembisile Hani 621 226 637 043 665 873 1 137 757 1 058 998 1 157 775 B MP316 Dr JS Moroka 535 672 545 103 573 940 735 699 836 591 771 827 CDC31 Nkangala District Municipality 438 130 453 990 469 607 448 499 463 155 479 058 Total: Nkangala Municipalities 2 943 550 3 057 746 3 156 143 4 170 470 4 325 255 4 408 177 B MP321 Thaba Chweu 243 768 254 346 261 396 391 059 425 877 438 000 B MP324 Nkomazi 882 182 905 900 945 629 1 301 939 1 407 391 1 428 209 B MP325 Bushbuckridge 1 171 265 1 199 901 1 255 413 1 711 849 1 862 755 1 921 440 B MP326 City of Mbombela 1 233 444 1 287 910 1 322 907 1 863 894 1 928 777 2 040 539 CDC32 Ehlanzeni District Municipality 314 251 321 018 336 387 323 252 329 400 345 562 Total: Ehlanzeni Municipalities 3 844 910 3 969 075 4 121 732 5 591 993 5 954 200 6 173 750 Total: Mpumalanga Municipalities 9 293 685 9 628 772 9 963 939 13 969 134 14 335 714 14 785 139 296 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES NORTHERN CAPE B NC061 Richtersveld 28 090 28 849 30 079 39 973 60 188 62 443 B NC062 Nama Khoi 73 887 77 000 79 208 127 988 130 227 130 130 B NC064 Kamiesberg 34 537 34 944 36 955 45 758 47 668 49 851 B NC065 Hantam 39 121 40 665 41 925 61 905 78 555 81 219 B NC066 Karoo Hoogland 36 713 37 754 39 321 57 529 53 446 53 384 B NC067 Khâi-Ma 30 380 31 111 32 528 72 573 50 402 57 005 CDC6 Namakwa District Municipality 61 911 63 678 66 315 68 869 69 560 72 411 Total: Namakwa Municipalities 304 639 314 001 326 331 474 595 490 046 506 443 B NC071 Ubuntu 54 469 55 624 58 328 91 951 77 536 77 653 B NC072 Umsobomvu 77 410 79 406 82 929 102 444 112 019 116 580 B NC073 Emthanjeni 68 137 70 555 73 024 119 423 102 133 105 589 B NC074 Kareeberg 38 491 39 051 41 195 61 243 63 836 66 790 B NC075 Renosterberg 36 985 37 595 39 583 65 373 50 751 58 776 B NC076 Thembelihle 39 399 40 145 42 179 104 103 70 657 76 633 B NC077 Siyathemba 50 738 52 079 54 346 68 724 69 922 72 673 B NC078 Siyancuma 69 816 71 751 74 798 115 582 114 120 118 647 CDC7 Pixley Ka Seme District Municipality 64 541 65 355 69 055 71 488 71 273 75 192 Total: Pixley Ka Seme Municipalities 499 986 511 561 535 437 800 331 732 247 768 533 B NC082 !Kai !Garib 140 648 147 105 150 821 194 609 186 048 192 490 B NC084 !Kheis 37 953 38 598 40 624 66 025 55 729 58 072 B NC085 Tsantsabane 64 383 67 069 69 020 103 558 97 133 99 908 B NC086 Kgatelopele 37 938 39 277 40 650 60 154 53 388 55 100 B NC087 Dawid Kruiper 139 269 146 243 149 352 376 933 302 502 292 347 CDC8 Z.F. Mgcawu District Municipality 86 610 88 654 92 734 92 681 93 691 98 084 Total: Z.F. Mgcawu Municipalities 506 801 526 946 543 201 893 960 788 491 796 001 B NC091 Sol Plaatjie 319 064 336 425 342 319 1 045 606 924 052 689 167 B NC092 Dikgatlong 128 662 131 651 137 842 185 822 169 458 175 813 B NC093 Magareng 66 815 67 920 71 538 118 353 114 391 111 510 B NC094 Phokwane 148 756 152 298 159 383 228 146 245 429 256 114 CDC9 Frances Baard District Municipality 148 071 153 119 158 701 158 697 162 616 168 497 Total: Frances Baard Municipalities 811 368 841 413 869 783 1 736 624 1 615 946 1 401 101 B NC451 Joe Morolong 195 164 198 250 210 571 303 636 357 398 407 796 B NC452 Ga-Segonyana 255 910 262 007 274 227 398 326 416 091 438 467 B NC453 Gamagara 75 260 79 550 80 733 124 029 149 236 151 790 CDC45 John Taolo Gaetsewe District Municipality 114 817 117 631 121 444 124 742 126 947 130 538 Total: John Taolo Gaetsewe Municipalities 641 151 657 438 686 975 950 733 1 049 672 1 128 591 Total: Northern Cape Municipalities 2 763 945 2 851 359 2 961 727 4 856 243 4 676 402 4 600 669 NORTH WEST B NW371 Moretele 484 660 493 863 519 302 658 353 788 341 836 303 B NW372 Madibeng 1 232 260 1 284 945 1 321 575 1 723 376 1 826 535 1 885 384 B NW373 Rustenburg 1 314 907 1 391 373 1 410 916 1 895 197 1 953 243 1 984 019 B NW374 Kgetlengrivier 149 305 154 840 160 056 213 138 216 128 235 545 B NW375 Moses Kotane 623 943 637 567 668 618 877 327 1 039 602 1 004 783 CDC37 Bojanala Platinum District Municipality 427 573 439 208 457 772 434 296 444 307 463 064 Total: Bojanala Platinum Municipalities 4 232 648 4 401 796 4 538 239 5 801 687 6 268 156 6 409 098 B NW381 Ratlou 165 544 164 558 176 141 210 001 207 346 222 153 B NW382 Tswaing 160 230 160 640 170 393 211 482 209 332 223 255 B NW383 Mafikeng 382 777 384 865 406 836 547 373 529 364 545 933 B NW384 Ditsobotla 189 842 192 153 201 702 255 606 267 483 297 159 B NW385 Ramotshere Moiloa 240 282 239 224 255 611 321 786 299 794 321 585 CDC38 Ngaka Modiri Molema District Municipality 1 244 145 1 312 621 1 343 353 1 899 341 1 937 107 1 990 967 Total: Ngaka Modiri Molema Municipalities 2 382 820 2 454 061 2 554 036 3 445 589 3 450 426 3 601 052 B NW392 Naledi 74 733 75 763 79 431 118 789 113 731 124 206 B NW393 Mamusa 75 713 75 842 80 538 108 693 110 448 121 485 B NW394 Greater Taung 249 987 247 600 266 026 322 625 328 220 353 734 B NW396 Lekwa-Teemane 69 755 70 271 74 173 93 008 92 265 96 638 B NW397 Kagisano-Molopo 157 076 155 762 167 159 208 052 212 350 245 310 CDC39 Dr Ruth Segomotsi Mompati District Municipality 564 612 594 195 609 651 1 255 203 1 285 378 1 431 009 Total: Dr Ruth Segomotsi Mompati Municipalities 1 191 876 1 219 433 1 276 978 2 106 370 2 142 392 2 372 382 B NW403 City of Matlosana 717 830 754 060 770 051 976 656 977 040 1 004 307 B NW404 Maquassi Hills 193 688 199 422 207 583 320 550 315 584 330 625 B NW405 JB Marks 462 582 486 787 496 264 653 196 760 206 786 087 CDC40 Dr Kenneth Kaunda District Municipality 231 333 238 735 247 876 241 102 247 156 252 594 Total: Dr Kenneth Kaunda Municipalities 1 605 433 1 679 004 1 721 774 2 191 504 2 299 986 2 373 613 Total: North West Municipalities 9 412 777 9 754 294 10 091 027 13 545 150 14 160 960 14 756 145 297 2026/272027/282028/292026/272027/282028/29 (R'000)(R'000)(R'000)(R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipality National and Municipal Financial Year ANNEXURE W7 EQUITABLE SHARE AND TOTAL ALLOCATIONS TO MUNICPALITIES EQUITABLE SHARE 1 TOTAL ALLOCATIONS TO MUNICIPALITIES WESTERN CAPE A CPT City of Cape Town 4 987 995 5 278 065 5 352 197 10 139 046 9 165 094 8 865 893 B WC011 Matzikama 92 383 97 422 99 096 178 608 159 259 161 602 B WC012 Cederberg 79 368 83 100 85 108 138 490 156 314 163 150 B WC013 Bergrivier 77 595 82 032 83 241 116 099 109 750 111 654 B WC014 Saldanha Bay 157 439 166 306 168 888 192 227 204 133 206 962 B WC015 Swartland 175 682 185 898 188 509 249 420 237 738 242 213 CDC1 West Coast District Municipality 115 135 118 362 123 325 121 027 122 872 128 135 Total: West Coast Municipalities 697 602 733 120 748 167 995 871 990 066 1 013 716 B WC022 Witzenberg 166 475 176 156 178 631 200 597 231 209 234 027 B WC023 Drakenstein 264 583 279 970 283 902 595 182 341 737 347 802 B WC024 Stellenbosch 246 336 260 662 264 323 315 896 321 409 326 876 B WC025 Breede Valley 199 253 210 840 213 801 289 043 284 592 282 879 B WC026 Langeberg 128 629 135 617 137 972 171 786 180 188 182 741 CDC2 Cape Winelands District Municipality 283 998 295 155 304 495 290 002 299 866 309 512 Total: Cape Winelands Municipalities 1 289 274 1 358 400 1 383 124 1 862 506 1 659 001 1 683 837 B WC031 Theewaterskloof 157 971 166 048 169 463 217 640 220 062 214 624 B WC032 Overstrand 188 321 197 595 201 973 275 232 238 800 250 541 B WC033 Cape Agulhas 48 191 50 611 51 676 64 331 80 184 81 729 B WC034 Swellendam 52 038 54 694 55 805 80 722 78 692 82 947 CDC3 Overberg District Municipality 89 652 91 575 95 991 95 618 96 236 100 956 Total: Overberg Municipalities 536 173 560 523 574 908 733 543 713 974 730 797 B WC041 Kannaland 40 072 41 370 42 931 63 947 71 547 107 863 B WC042 Hessequa 71 102 74 840 76 253 100 029 101 231 103 299 B WC043 Mossel Bay 156 156 163 995 167 474 210 624 203 164 207 886 B WC044 George 263 324 278 637 282 551 541 519 522 814 531 633 B WC045 Oudtshoorn 112 882 117 763 121 026 149 324 158 481 161 807 B WC047 Bitou 166 927 173 234 178 958 212 199 225 277 231 816 B WC048 Knysna 144 083 150 573 154 502 195 831 195 151 200 549 CDC4 Garden Route District Municipality 193 449 199 805 207 302 199 381 204 181 211 974 Total: Garden Route Municipalities 1 147 995 1 200 217 1 230 997 1 672 854 1 681 846 1 756 827 B WC051 Laingsburg 23 664 24 188 25 329 48 339 56 719 55 733 B WC052 Prince Albert 31 988 32 858 34 256 58 665 66 717 62 479 B WC053 Beaufort West 95 841 99 310 102 729 148 053 124 482 128 674 CDC5 Central Karoo District Municipality 38 947 39 201 41 662 43 840 42 938 45 675 Total: Central Karoo Municipalities 190 440 195 557 203 976 298 897 290 856 292 561 Total: Western Cape Municipalities 8 849 479 9 325 882 9 493 369 15 702 717 14 500 837 14 343 631 - - - 411 020 2 895 778 2 960 395 National Total 110 090 001 114 483 348 118 041 399 172 220 924 179 108 439 184 775 133 1. Includes equitable share formula allocations, RSC levies replacement and special contribution towards councillor remuneration, but excludes the sharing of the general fuel levy with metropolitan municipalities. (See Appendix W1) Unallocated 298 APPENDIX W1 APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES (National and Municipal Financial Years) (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEES + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPALITY PER SERVICE FOR DIS TRICT MUNICIPALITIES AUTHORISED FOR SERVICES) 299 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) EASTERN CAPEA BUF Buffalo City 1 363 341 1 432 070 1 462 480 - - - - - - - - - - - - - - - 1 363 341 1 432 070 1 462 480 A NMA Nelson Mandela Bay 1 740 504 1 841 721 1 867 588 - - - - - - - - - - - - - - - 1 740 504 1 841 721 1 867 588 B EC101 Dr Beyers Naude 124 390 128 584 133 351 - - - 5 916 6 121 6 311 - - - - - - - - - 130 306 134 705 139 662 B EC102 Blue Crane Route 72 060 73 943 77 210 - - - 2 909 3 010 3 103 - - - - - - - - - 74 969 76 953 80 313 B EC104 Makana 132 472 137 015 142 021 - - - 6 687 6 919 7 134 - - - - - - - - - 139 159 143 934 149 155 B EC105 Ndlambe 141 288 145 961 151 460 - - - 4 930 5 101 5 260 - - - - - - - - - 146 218 151 062 156 720 B EC106 Sundays River Valley 122 933 127 428 131 797 - - - 3 944 4 081 4 208 - - - - - - - - - 126 877 131 509 136 005 B EC108 Kouga 205 299 214 666 220 192 - - - 7 395 7 652 7 889 - - - - - - - - - 212 694 222 318 228 081 B EC109 Kou-Kamma 71 184 73 717 76 307 - - - 3 139 3 248 3 349 - - - - - - - - - 74 323 76 965 79 656 C DC10 Sarah Baartman District Municipality 34 255 33 486 36 556 80 683 83 903 86 511 - - - - - - - - - - - - 114 938 117 389 123 067 Total: Sarah Baartman Municipalities 903 881 934 800 968 894 80 683 83 903 86 511 34 9 20 36 132 37 254 - - - - - - - - - 1 019 484 1 054 835 1 092 659 B EC121 Mbhashe 302 035 298 303 321 369 - - - 15 560 16 100 16 600 128 445 76 813 - 139 342 78 951 - 144 462 77 792 - 317 595 314 403 337 969 B EC122 Mnquma 315 238 311 321 335 419 - - - 15 560 16 100 16 600 133 931 80 093 - 145 293 82 323 - 150 632 81 115 - 330 798 327 421 352 019 B EC123 Great Kei 50 783 50 287 54 060 - - - 3 431 3 551 3 661 17 513 10 473 - 18 999 10 764 - 19 697 10 607 - 54 214 53 838 57 721 B EC124 Amahlathi 126 930 125 325 135 081 - - - 7 395 7 652 7 889 50 305 30 083 - 54 573 30 921 - 56 578 30 467 - 134 325 132 977 142 970 B EC126 Ngqushwa 99 269 98 064 105 653 - - - 5 700 5 898 6 082 37 945 22 692 - 41 164 23 323 - 42 676 22 981 - 104 969 103 962 111 735 B EC129 Raymond Mhlaba 208 438 205 654 221 807 - - - 11 123 11 510 11 867 85 330 51 029 - 92 569 52 449 - 95 971 51 680 - 219 561 217 164 233 674 C DC12 Amathole District Municipality 724 651 770 671 784 657 546 764 568 584 586 255 - - - - - - - - - - - - 1 271 415 1 339 255 1 370 912 Total: Amathole Municipalities 1 827 344 1 859 625 1 958 046 546 764 568 584 586 255 58 769 60 811 62 699 453 468 271 182 - 491 940 278 731 - 510 016 274 641 - 2 432 877 2 489 020 2 607 000 B EC131 Inxuba Yethemba 55 042 55 804 58 484 - - - 4 436 4 591 4 733 31 064 18 577 - 33 700 19 094 - 34 938 18 814 - 59 478 60 395 63 217 B EC135 Intsika Yethu 191 975 189 615 204 279 - - - 10 353 10 713 11 046 79 403 47 484 - 86 139 48 806 - 89 304 48 090 - 202 328 200 328 215 325 B EC136 Emalahleni 148 636 146 713 158 178 - - - 8 380 8 671 8 941 59 444 35 548 - 64 487 36 538 - 66 856 36 002 - 157 016 155 384 167 119 B EC137 Dr. A.B. Xuma 178 318 176 126 189 750 - - - 10 233 10 588 10 917 73 256 43 809 - 79 471 45 028 - 82 391 44 367 - 188 551 186 714 200 667 B EC138 Sakhisizwe 82 354 81 459 87 653 - - - 4 221 4 368 4 503 30 754 18 392 - 33 363 18 904 - 34 589 18 626 - 86 575 85 827 92 156 B EC139 Enoch Mgijima 242 955 243 232 258 293 - - - - - - 124 923 74 706 - 135 521 76 785 - 140 500 75 659 - 242 955 243 232 258 293 C DC13 Chris Hani District Municipality 695 828 734 713 752 537 126 365 131 407 135 491 - - - - - - - - - - - - 822 193 866 120 888 028 Total: Chris Hani Municipalities 1 595 108 1 627 662 1 709 174 126 365 131 407 135 491 37 623 38 931 40 140 398 844 238 516 - 432 681 245 155 - 448 579 241 558 - 1 759 096 1 798 000 1 884 805 B EC141 Elundini 187 967 186 333 199 977 - - - 8 380 8 671 8 941 81 233 48 579 - 88 125 49 931 - 91 363 49 198 - 196 347 195 004 208 918 B EC142 Senqu 183 678 181 899 195 426 - - - 8 380 8 671 8 941 78 122 46 718 - 84 750 48 019 - 87 864 47 314 - 192 058 190 570 204 367 B EC145 Walter Sisulu 77 701 78 769 82 556 - - - 5 755 5 955 6 140 44 520 26 624 - 48 298 27 365 - 50 072 26 964 - 83 456 84 724 88 696 C DC14 Joe Gqabi District Municipality 364 724 384 395 394 319 55 016 57 211 58 989 - - - - - - - - - - - - 419 740 441 606 453 308 Total: Joe Gqabi Municipalities 814 070 831 396 872 278 55 016 57 211 58 989 22 5 15 23 297 24 022 203 876 121 921 - 221 172 125 315 - 229 299 123 476 - 891 601 911 904 955 289 B EC153 Ngquza Hill 321 160 317 369 341 705 - - - 15 775 16 323 16 830 137 857 82 441 - 149 553 84 736 - 155 048 83 492 - 336 935 333 692 358 535 B EC154 Port St Johns 189 142 187 125 201 248 - - - 9 644 9 979 10 289 79 867 47 76 2 - 86 643 49 091 - 89 826 48 371 - 198 786 197 104 211 537 B EC155 Nyandeni 323 906 320 337 344 611 - - - 15 775 16 323 16 830 140 684 84 131 - 152 619 86 473 - 158 227 85 204 - 339 681 336 660 361 441 B EC156 Mhlontlo 220 829 217 774 234 995 - - - 12 602 13 040 13 445 90 457 54 095 - 98 131 55 601 - 101 737 54 785 - 233 431 230 814 248 440 B EC157 King Sabata Dalindyebo 461 270 462 420 490 350 - - - - - - 241 487 144 414 - 261 975 148 434 - 271 601 146 256 - 461 270 462 420 490 350 C DC15 O.R. Tambo District Municipality 1 194 203 1 262 008 1 291 670 143 087 148 797 153 422 - - - - - - - - - - - - 1 337 290 1 410 805 1 445 092 Total: O.R. Tambo Municipalities 2 710 510 2 767 033 2 904 579 143 087 148 797 153 422 53 796 55 665 57 394 690 352 412 843 - 748 921 424 335 - 776 438 418 108 - 2 907 393 2 971 495 3 115 395 B EC441 Matatiele 299 487 296 632 318 610 - - - 13 310 13 773 14 201 131 888 78 872 - 143 078 81 067 - 148 335 79 877 - 312 797 310 405 332 811 B EC442 Umzimvubu 268 071 264 854 285 231 - - - 13 588 14 060 14 497 113 746 68 022 - 123 396 69 915 - 127 930 68 889 - 281 659 278 914 299 728 B EC443 Winnie Madikizela-Mandela 334 277 330 669 355 641 - - - 15 775 16 323 16 830 145 675 87 116 - 158 034 89 541 - 163 841 88 227 - 350 052 346 992 372 471 B EC444 Ntabankulu 149 966 147 747 159 608 - - - 9 941 10 286 10 606 58 629 35 0 61 - 63 603 36 037 - 65 940 35 509 - 159 907 158 033 170 214 C DC44 Alfred Nzo District Municipality 784 583 828 530 848 529 87 448 90 938 93 764 - - - - - - - - - - - - 872 031 919 468 942 293 Total: Alfred Nzo Municipalities 1 836 384 1 868 432 1 967 619 87 448 90 938 93 764 5 2 614 54 442 56 134 449 938 269 071 - 488 111 276 561 - 506 046 272 503 - 1 976 446 2 013 812 2 117 517 Total: Eastern Cape Municipalities 12 791 142 13 162 739 13 710 658 1 039 363 1 080 840 1 11 4 432 260 237 269 278 277 643 2 196 478 1 313 534 - 2 382 824 1 350 096 - 2 470 378 1 330 286 - 14 090 742 14 512 857 15 102 733 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES 300 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES FREE STATEA MAN Mangaung 1 272 720 1 346 734 1 365 649 - - - - - - - - - - - - - - - 1 272 720 1 346 734 1 365 649 B FS161 Letsemeng 93 060 96 131 99 750 - - - 3 431 3 551 3 661 - - - - - - - - - 96 491 99 682 103 411 B FS162 Kopanong 121 110 125 072 129 823 - - - 4 478 4 633 4 777 - - - - - - - - - 125 588 129 705 134 600 B FS163 Mohokare 101 417 104 173 108 681 - - - 3 431 3 551 3 661 - - - - - - - - - 104 848 107 724 112 342 B FS164 New Municipality - - - - - - - - - - - - - - - - - - - - - C DC16 Xhariep District Municipality 23 372 22 804 24 942 26 240 27 287 28 135 3 447 3 567 3 677 - - - - - - - - - 53 059 53 658 56 754 Total: Xhariep Municipalities 338 959 348 180 363 196 26 240 27 287 28 135 14 7 87 15 302 15 776 - - - - - - - - - 379 986 390 769 407 107 B FS181 Masilonyana 172 128 176 596 184 471 - - - 4 715 4 879 5 030 - - - - - - - - - 176 843 181 475 189 501 B FS182 Tokologo 79 793 81 698 85 491 - - - 3 431 3 551 3 661 - - - - - - - - - 83 224 85 249 89 152 B FS183 Tswelopele 103 367 105 854 110 762 - - - 4 478 4 633 4 777 - - - - - - - - - 107 845 110 487 115 539 B FS184 Matjhabeng 813 898 852 537 873 022 - - - - - - - - - - - - - - - 813 898 852 537 873 022 B FS185 Nala 166 800 171 511 178 781 - - - 5 916 6 121 6 311 - - - - - - - - - 172 716 177 632 185 092 C DC18 Lejweleputswa District Municipality 48 288 47 294 51 528 110 118 114 513 118 072 - - - - - - - - - - - - 158 406 161 807 169 600 Total: Lejweleputswa Municipalities 1 384 274 1 435 490 1 484 055 110 118 114 513 118 072 18 540 19 184 19 779 - - - - - - - - - 1 512 932 1 569 187 1 621 906 B FS191 Setsoto 276 010 284 461 295 879 - - - 8 165 8 448 8 711 - - - - - - - - - 284 175 292 909 304 590 B FS192 Dihlabeng 269 775 281 275 289 320 - - - - - - - - - - - - - - - 269 775 281 275 289 320 B FS193 Nketoana 143 373 147 837 153 682 - - - 4 436 4 591 4 733 - - - - - - - - - 147 809 152 428 158 415 B FS194 Maluti-a-Phofung 895 917 919 678 960 344 - - - - - - - - - - - - - - - 895 917 919 678 960 344 B FS195 Phumelela 107 789 110 815 115 520 - - - 4 186 4 331 4 466 - - - - - - - - - 111 975 115 146 119 986 B FS196 Mantsopa 119 754 123 336 128 356 - - - 4 436 4 591 4 733 - - - - - - - - - 124 190 127 927 133 089 C DC19 Thabo Mofutsanyana District Municipality 67 833 66 565 72 383 73 853 76 801 79 188 - - - - - - - - - - - - 141 686 143 366 151 571 Total: Thabo Mofutsanyana Municipalities 1 880 451 1 933 967 2 015 484 73 853 76 801 79 188 2 1 223 21 961 22 643 - - - - - - - - - 1 975 527 2 032 729 2 117 315 B FS201 Moqhaka 323 918 336 430 347 341 - - - - - - - - - - - - - - - 323 918 336 430 347 341 B FS203 Ngwathe 296 619 306 101 317 991 - - - - - - - - - - - - - - - 296 619 306 101 317 991 B FS204 Metsimaholo 329 025 345 005 352 936 - - - - - - - - - - - - - - - 329 025 345 005 352 936 B FS205 Mafube 140 123 144 219 150 185 - - - 4 221 4 368 4 503 - - - - - - - - - 144 344 148 587 154 688 C DC20 Fezile Dabi District Municipality 13 247 13 001 14 135 176 345 183 382 189 082 - - - - - - - - - - - - 189 592 196 383 203 217 Total: Fezile Dabi Municipalities 1 102 932 1 144 756 1 182 588 176 345 183 382 189 082 4 221 4 368 4 503 - - - - - - - - - 1 283 498 1 332 506 1 376 173 Total: Free State Municipalities 5 979 336 6 209 127 6 410 972 386 556 401 983 414 477 58 771 60 815 62 701 - - - - - - - - - 6 424 663 6 671 925 6 888 150 GAUTENGA EKU City of Ekurhuleni 6 323 571 6 691 310 6 785 292 - - - - - - - - - - - - - - - 6 323 571 6 691 310 6 785 292 A JHB City of Johannesburg 8 650 870 9 153 951 9 282 521 - - - - - - - - - - - - - - - 8 650 870 9 153 951 9 282 521 A TSH City of Tshwane 4 898 214 5 183 063 5 255 861 - - - - - - - - - - - - - - - 4 898 214 5 183 063 5 255 861 B GT421 Emfuleni 1 292 642 1 362 989 1 386 858 - - - - - - - - - - - - - - - 1 292 642 1 362 989 1 386 858 B GT422 Midvaal 188 731 199 706 202 511 - - - 7 395 7 652 7 889 - - - - - - - - - 196 126 207 358 210 400 B GT423 Lesedi 234 299 245 347 251 309 - - - 6 408 6 631 6 837 - - - - - - - - - 240 707 251 978 258 146 C DC42 Sedibeng District Municipality 30 010 29 549 32 021 300 361 312 348 322 055 - - - - - - - - - - - - 330 371 341 897 354 076 Total: Sedibeng Municipalities 1 745 682 1 837 591 1 872 699 300 361 312 348 322 055 13 803 14 283 14 726 - - - - - - - - - 2 059 846 2 164 222 2 209 480 B GT481 Mogale City 740 129 783 170 794 170 - - - - - - - - - - - - - - - 740 129 783 170 794 170 B GT484 Merafong City 344 823 363 318 369 945 - - - - - - - - - - - - - - - 344 823 363 318 369 945 B GT485 Rand West City 525 600 553 468 563 883 - - - - - - - - - - - - - - - 525 600 553 468 563 883 C DC48 West Rand District Municipality 51 836 51 235 55 306 205 567 213 770 220 414 - - - - - - - - - - - - 257 403 265 005 275 720 Total: West Rand Municipalities 1 662 388 1 751 191 1 783 304 205 567 213 770 220 414 - - - - - - - - - - - - 1 867 955 1 964 961 2 003 718 Total: Gauteng Municipalities 23 280 725 24 617 106 24 979 677 505 928 526 118 542 4 69 13 803 14 283 14 726 - - - - - - - - - 23 800 456 25 157 507 25 536 872 301 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES KWAZULU-NATALA ETH eThekwini 5 516 093 5 836 875 5 918 856 - - - - - - - - - - - - - - - 5 516 093 5 836 875 5 918 856 B KZN212 uMdoni 170 317 168 965 181 187 - - - 9 151 9 469 9 763 74 969 44 833 - 81 330 46 081 - 84 318 45 405 - 179 468 178 434 190 950 B KZN213 uMzumbe 154 837 152 403 164 800 - - - 10 233 10 588 10 917 59 806 35 765 - 64 880 36 761 - 67 264 36 221 - 165 070 162 991 175 717 B KZN214 uMuziwabantu 115 307 114 238 122 697 - - - 5 208 5 388 5 556 46 736 27 949 - 50 701 28 727 - 52 564 28 306 - 120 515 119 626 128 253 B KZN216 Ray Nkonyeni 308 900 311 912 328 230 - - - - - - 176 133 105 331 - 191 076 108 262 - 198 096 106 674 - 308 900 311 912 328 230 C DC21 Ugu District Municipality 624 289 659 340 675 159 120 313 125 114 129 003 - - - - - - - - - - - - 744 602 784 454 804 162 Total: Ugu Municipalities 1 373 650 1 406 858 1 472 073 120 313 125 114 129 003 24 592 25 445 26 236 357 645 213 878 - 387 987 219 831 - 402 243 216 606 - 1 518 555 1 557 417 1 627 312 B KZN221 uMshwathi 132 648 132 465 141 065 - - - 6 687 6 919 7 134 62 959 37 650 - 68 300 38 698 - 70 810 38 131 - 139 335 139 384 148 199 B KZN222 uMngeni 106 982 110 097 113 550 - - - 6 193 6 408 6 607 73 495 43 951 - 79 730 45 175 - 82 659 44 512 - 113 175 116 505 120 157 B KZN223 Mpofana 46 865 47 079 49 839 - - - 2 616 2 707 2 791 21 542 12 883 - 23 370 13 241 - 24 228 13 047 - 49 481 49 786 52 630 B KZN224 iMpendle 46 666 46 302 49 680 - - - 2 826 2 924 3 015 15 395 9 206 - 16 701 9 463 - 17 314 9 324 - 49 492 49 226 52 695 B KZN225 Msunduzi 925 767 974 653 993 191 - - - - - - - - - - - - - - - 925 767 974 653 993 191 B KZN226 Mkhambathini 83 286 82 944 88 606 - - - 3 451 3 571 3 682 35 123 21 004 - 38 103 21 589 - 39 503 21 272 - 86 737 86 515 92 288 B KZN227 Richmond 93 640 93 344 99 612 - - - 3 451 3 571 3 682 40 589 24 273 - 44 033 24 949 - 45 651 24 583 - 97 091 96 915 103 294 C DC22 uMgungundlovu District Municipa lity 437 538 462 151 473 147 388 806 404 322 416 888 - - - - - - - - - - - - 826 344 866 473 890 035 Total: uMgungundlovu Municipalities 1 873 392 1 949 035 2 008 690 388 806 404 322 416 888 25 224 26 100 26 911 249 102 148 968 - 270 236 153 114 - 280 165 150 867 - 2 287 422 2 379 457 2 452 489 B KZN235 Okhahlamba 155 548 153 908 165 512 - - - 7 179 7 429 7 660 64 250 38 423 - 69 701 39 492 - 72 262 38 913 - 162 727 161 337 173 172 B KZN237 iNkosi Langalibalele 229 126 227 165 243 747 - - - 11 616 12 019 12 393 101 584 60 749 - 110 202 62 440 - 114 252 61 524 - 240 742 239 184 256 140 B KZN238 Alfred Duma 326 208 327 123 346 766 - - - - - - 171 520 102 572 - 186 071 105 427 - 192 908 103 880 - 326 208 327 123 346 766 C DC23 uThukela District Municipality 588 632 621 757 636 599 90 297 93 900 96 819 7 10 9 7 356 7 585 - - - - - - - - - 686 038 723 013 741 003 Total: uThukela Municipalities 1 299 514 1 329 953 1 392 624 90 297 93 900 96 819 2 5 904 26 804 27 638 337 354 201 744 - 365 975 207 359 - 379 422 204 317 - 1 415 715 1 450 657 1 517 081 B KZN241 eNdumeni 70 486 71 746 74 874 - - - 3 236 3 348 3 452 41 870 25 039 - 45 422 25 736 - 47 091 25 358 - 73 722 75 094 78 326 B KZN242 Nquthu 173 746 171 403 184 900 - - - 9 151 9 469 9 763 69 758 41 717 - 75 676 42 878 - 78 457 42 249 - 182 897 180 872 194 663 B KZN244 uMsinga 215 839 213 688 229 638 - - - 10 757 11 130 11 476 92 734 55 456 - 100 601 57 000 - 104 297 56 164 - 226 596 224 818 241 114 B KZN245 uMvoti 178 504 178 259 189 826 - - - 6 687 6 919 7 134 85 374 51 055 - 92 617 52 476 - 96 020 51 706 - 185 191 185 178 196 960 C DC24 uMzinyathi District Municipality 509 279 537 621 550 726 70 812 73 637 75 926 - - - - - - - - - - - - 580 091 611 258 626 652 Total: uMzinyathi Municipalities 1 147 854 1 172 717 1 229 964 70 812 73 637 75 926 2 9 831 30 866 31 825 289 735 173 267 - 314 316 178 090 - 325 865 175 477 - 1 248 497 1 277 220 1 337 715 B KZN252 Newcastle 582 810 604 108 624 924 - - - - - - - - - - - - - - - 582 810 604 108 624 924 B KZN253 eMadlangeni 36 311 36 004 38 656 - - - 2 909 3 010 3 103 12 016 7 186 - 13 035 7 386 - 13 514 7 277 - 39 220 39 014 41 759 B KZN254 Dannhauser 110 583 109 038 117 702 - - - 6 193 6 408 6 607 41 682 24 926 - 45 218 25 620 - 46 879 25 244 - 116 776 115 446 124 309 C DC25 Amajuba District Municipality 115 931 120 610 125 061 124 202 129 158 133 173 - - - - - - - - - - - - 240 133 249 768 258 234 Total: Amajuba Municipalities 845 635 869 760 906 343 124 202 129 158 133 173 9 102 9 418 9 710 53 697 32 112 - 58 253 33 006 - 60 393 32 521 - 978 939 1 008 336 1 049 226 B KZN261 eDumbe 96 792 95 755 103 011 - - - 4 715 4 879 5 030 37 384 22 356 - 40 556 22 979 - 42 046 22 641 - 101 507 100 634 108 041 B KZN262 uPhongolo 181 535 180 268 193 117 - - - 7 179 7 429 7 660 80 005 47 844 - 86 793 49 176 - 89 982 48 455 - 188 714 187 697 200 777 B KZN263 AbaQulusi 215 845 216 311 229 468 - - - - - - 110 921 66 333 - 120 332 68 179 - 124 753 67 179 - 215 845 216 311 229 468 B KZN265 Nongoma 191 960 188 716 204 318 - - - 11 123 11 510 11 867 73 985 44 244 - 80 262 45 476 - 83 211 44 809 - 203 083 200 226 216 185 B KZN266 Ulundi 197 320 193 706 210 038 - - - 11 616 12 019 12 393 74 516 44 562 - 80 838 45 802 - 83 808 45 130 - 208 936 205 725 222 431 C DC26 Zululand District Municipality 657 868 694 811 711 472 91 308 94 952 97 903 - - - - - - - - - - - - 749 176 789 763 809 375 Total: Zululand Municipalities 1 541 320 1 569 567 1 651 424 91 308 94 952 97 903 3 4 633 35 837 36 950 376 811 225 340 - 408 779 231 612 - 423 799 228 214 - 1 667 261 1 700 356 1 786 277 B KZN271 uMhlabuyalingana 227 328 225 279 241 849 - - - 9 644 9 979 10 289 98 993 59 20 0 - 107 391 60 847 - 111 337 59 955 - 236 972 235 258 252 138 B KZN272 Jozini 241 163 238 384 256 601 - - - 11 123 11 510 11 867 101 909 60 944 - 110 555 62 640 - 114 617 61 721 - 252 286 249 894 268 468 B KZN275 Inkosi uMtubatuba 226 937 224 192 241 472 - - - 11 123 11 510 11 867 95 057 56 846 - 103 122 58 428 - 106 911 57 571 - 238 060 235 702 253 339 B KZN276 Big Five Hlabisa 143 581 141 878 152 795 - - - 7 095 7 341 7 569 57 573 34 430 - 62 458 35 388 - 64 753 34 869 - 150 676 149 219 160 364 C DC27 uMkhanyakude District Municipality 620 816 655 342 671 351 72 006 74 880 77 207 - - - - - - - - - - - - 692 822 730 222 748 558 Total: uMkhanyakude Municipalities 1 459 825 1 485 075 1 564 068 72 006 74 880 77 207 3 8 985 40 340 41 592 353 532 211 419 - 383 526 217 304 - 397 618 214 115 - 1 570 816 1 600 295 1 682 867 B KZN281 uMfolozi 171 055 168 683 182 042 - - - 9 187 9 506 9 801 68 000 40 666 - 73 770 41 797 - 76 480 41 184 - 180 242 178 189 191 843 B KZN282 uMhlathuze 610 321 636 553 654 560 - - - - - - - - - - - - - - - 610 321 636 553 654 560 B KZN284 uMlalazi 233 251 230 424 248 184 - - - 13 588 14 060 14 497 98 764 59 063 - 107 143 60 707 - 111 080 59 816 - 246 839 244 484 262 681 B KZN285 Mthonjaneni 92 720 91 122 98 713 - - - 6 571 6 799 7 010 32 296 19 313 - 35 036 19 851 - 36 323 19 560 - 99 291 97 921 105 723 B KZN286 Nkandla 115 163 113 386 122 585 - - - 6 687 6 919 7 134 42 714 25 544 - 46 338 26 255 - 48 040 25 869 - 121 850 120 305 129 719 C DC28 King Cetshwayo District Municipality 399 056 423 318 431 901 398 542 414 446 427 327 - - - - - - - - - - - - 797 598 837 764 859 228 Total: King Cetshwayo Municipalities 1 621 566 1 663 486 1 737 985 398 542 414 446 427 327 36 033 37 284 38 442 241 774 144 585 - 262 285 148 610 - 271 923 146 429 - 2 056 141 2 115 216 2 203 754 B KZN291 Mandeni 231 978 230 961 246 726 - - - 8 659 8 959 9 238 108 016 64 59 5 - 117 180 66 393 - 121 485 65 419 - 240 637 239 920 255 964 B KZN292 KwaDukuza 297 020 305 644 315 241 - - - - - - 206 046 123 219 - 223 527 126 649 - 231 740 124 791 - 297 020 305 644 315 241 B KZN293 Ndwedwe 188 778 186 565 200 874 - - - 9 710 10 048 10 360 78 205 46 7 68 - 84 839 48 070 - 87 957 47 364 - 198 488 196 613 211 234 B KZN294 Maphumulo 111 082 109 837 118 215 - - - 5 700 5 898 6 082 43 670 26 116 - 47 375 26 843 - 49 116 26 449 - 116 782 115 735 124 297 C DC29 iLembe District Municipality 746 405 789 771 807 428 137 088 142 559 146 989 - - - - - - - - - - - - 883 493 932 330 954 417 Total: iLembe Municipalities 1 575 263 1 622 778 1 688 484 137 088 142 559 146 989 24 069 24 905 25 680 435 937 260 698 - 472 921 267 955 - 490 298 264 023 - 1 736 420 1 790 242 1 861 153 B KZN433 Greater Kokstad 83 474 84 422 88 705 - - - 4 715 4 879 5 030 46 223 27 642 - 50 144 28 411 - 51 986 27 994 - 88 189 89 301 93 735 B KZN434 Johannes Phumani Phungula 136 113 134 625 144 840 - - - 6 687 6 919 7 134 55 191 33 005 - 59 874 33 924 - 62 074 33 426 - 142 800 141 544 151 974 B KZN435 uMzimkhulu 242 839 240 633 258 348 - - - 10 630 11 000 11 342 106 251 63 540 - 115 265 65 308 - 119 500 64 350 - 253 469 251 633 269 690 B KZN436 Dr Nkosazana Dlamini Zuma 158 970 157 374 169 148 - - - 7 617 7 882 8 127 66 282 39 638 - 71 906 40 741 - 74 548 40 144 - 166 587 165 256 177 275 C DC43 Harry Gwala District Municipality 483 636 510 311 522 967 65 048 67 644 69 746 - - - - - - - - - - - - 548 684 577 955 592 713 Total: Harry Gwala Municipalities 1 105 032 1 127 365 1 184 008 65 048 67 644 69 746 2 9 649 30 680 31 633 273 947 163 825 - 297 188 168 385 - 308 108 165 915 - 1 199 729 1 225 689 1 285 387 Total: KwaZulu-Natal Municipalities 19 359 144 20 033 469 20 754 519 1 558 422 1 620 612 1 67 0 981 278 022 287 679 296 617 2 969 534 1 775 836 - 3 221 466 1 825 266 - 3 339 834 1 798 483 - 21 195 588 21 941 760 22 722 117 302 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES LIMPOPOB LIM331 Greater Giyani 372 541 369 159 396 309 - - - 15 282 15 813 16 304 166 308 99 455 - 180 418 102 224 - 187 047 100 724 - 387 823 384 972 412 613 B LIM332 Greater Letaba 363 072 360 090 386 218 - - - 14 790 15 303 15 779 163 893 98 011 - 177 798 100 739 - 184 331 99 261 - 377 862 375 393 401 997 B LIM333 Greater Tzaneen 549 512 549 696 584 233 - - - - - - 279 662 167 243 - 303 388 171 898 - 314 536 169 376 - 549 512 549 696 584 233 B LIM334 Ba-Phalaborwa 205 121 204 298 218 155 - - - 9 151 9 469 9 763 96 303 57 591 - 104 473 59 194 - 108 312 58 325 - 214 272 213 767 227 918 B LIM335 Maruleng 163 685 162 387 174 143 - - - 6 687 6 919 7 134 70 378 42 087 - 76 349 43 259 - 79 154 42 624 - 170 372 169 306 181 277 C DC33 Mopani District Municipality 1 328 384 1 405 655 1 437 005 180 271 187 466 193 292 - - - - - - - - - - - - 1 508 655 1 593 121 1 630 297 Total: Mopani Municipalities 2 982 315 3 051 285 3 196 063 180 271 187 466 193 292 45 910 47 504 48 980 776 545 464 388 - 842 426 477 314 - 873 379 470 310 - 3 208 496 3 286 255 3 438 335 B LIM341 Musina 226 392 227 894 240 627 - - - 5 916 6 121 6 311 121 196 72 47 7 - 131 478 74 495 - 136 309 73 402 - 232 308 234 015 246 938 B LIM343 Thulamela 596 267 594 199 634 080 - - - 19 997 20 692 21 335 289 870 17 3 348 - 314 462 178 173 - 326 017 175 558 - 616 264 614 891 655 415 B LIM344 Makhado 507 068 506 862 539 128 - - - - - - 256 124 153 167 - 277 854 157 430 - 288 063 155 120 - 507 068 506 862 539 128 B LIM345 Collins Chabane 487 088 484 008 518 072 - - - 17 531 18 140 18 704 227 200 13 5 870 - 246 476 139 652 - 255 532 137 603 - 504 619 502 148 536 776 C DC34 Vhembe District Municipality 1 540 687 1 629 533 1 666 509 117 146 121 821 125 607 - - - - - - - - - - - - 1 657 833 1 751 354 1 792 116 Total: Vhembe Municipalities 3 357 502 3 442 496 3 598 416 117 146 121 821 125 607 43 444 44 953 46 350 894 390 534 862 - 970 269 549 750 - 1 005 920 541 683 - 3 518 092 3 609 270 3 770 373 B LIM351 Blouberg 229 277 226 918 243 937 - - - 10 846 11 222 11 571 98 506 58 908 - 106 863 60 548 - 110 789 59 659 - 240 123 238 140 255 508 B LIM353 Molemole 175 156 173 422 186 364 - - - 7 887 8 161 8 415 73 889 44 187 - 80 157 45 417 - 83 102 44 750 - 183 043 181 583 194 779 B LIM354 Polokwane 1 541 239 1 606 170 1 652 917 - - - - - - - - - - - - - - - 1 541 239 1 606 170 1 652 917 B LIM355 Lepele-Nkumpi 311 599 307 686 331 551 - - - 14 790 15 303 15 779 131 804 78 821 - 142 987 81 015 - 148 240 79 827 - 326 389 322 989 347 330 C DC35 Capricorn District Municipality 557 522 587 230 602 562 339 214 352 751 363 714 - - - - - - - - - - - - 896 736 939 981 966 276 Total: Capricorn Municipalities 2 814 793 2 901 426 3 017 331 339 214 352 751 363 714 33 523 34 686 35 765 304 199 181 916 - 330 006 186 980 - 342 132 184 236 - 3 187 530 3 288 863 3 416 810 B LIM361 Thabazimbi 159 093 167 990 170 696 - - - 5 700 5 898 6 082 - - - - - - - - - 164 793 173 888 176 778 B LIM362 Lephalale 264 473 275 574 283 624 - - - - - - - - - - - - - - - 264 473 275 574 283 624 B LIM366 Bela-Bela 145 015 150 432 155 480 - - - 4 221 4 368 4 503 - - - - - - - - - 149 236 154 800 159 983 B LIM367 Mogalakwena 637 638 653 125 683 438 - - - - - - - - - - - - - - - 637 638 653 125 683 438 B LIM368 Modimolle-Mookgophong 167 982 174 579 180 126 - - - - - - - - - - - - - - - 167 982 174 579 180 126 C DC36 Waterberg District Municipality 47 745 46 963 50 945 105 610 109 825 113 238 7 54 1 7 803 8 045 - - - - - - - - - 160 896 164 591 172 228 Total: Waterberg Municipalities 1 421 946 1 468 663 1 524 309 105 610 109 825 113 238 17 462 18 069 18 630 - - - - - - - - - 1 545 018 1 596 557 1 656 177 B LIM471 Ephraim Mogale 189 716 188 132 201 834 - - - 7 887 8 161 8 415 82 230 49 175 - 89 206 50 544 - 92 484 49 802 - 197 603 196 293 210 249 B LIM472 Elias Motsoaledi 352 474 348 614 375 006 - - - 15 067 15 590 16 075 152 948 91 465 - 165 923 94 011 - 172 020 92 632 - 367 541 364 204 391 081 B LIM473 Makhuduthamaga 338 436 334 830 360 064 - - - 15 282 15 813 16 304 147 587 88 259 - 160 108 90 716 - 165 990 89 385 - 353 718 350 643 376 368 B LIM476 Fetakgomo Tubatse 602 957 598 348 641 359 - - - - - - 276 515 165 361 - 299 974 169 964 - 310 996 167 470 - 602 957 598 348 641 359 C DC47 Sekhukhune District Municipa lity 1 137 212 1 202 453 1 230 066 140 499 146 106 150 647 - - - - - - - - - - - - 1 277 711 1 348 559 1 380 713 Total: Sekhukhune Municipalities 2 620 795 2 672 377 2 808 329 140 499 146 106 150 647 38 236 39 564 40 794 659 279 394 261 - 715 211 405 235 - 741 491 399 289 - 2 799 530 2 858 047 2 999 770 Total: Limpopo Municipalities 13 197 351 13 536 247 14 144 448 882 740 917 969 946 4 98 178 575 184 776 190 519 2 634 412 1 575 427 - 2 857 913 1 619 279 - 2 962 922 1 595 518 - 14 258 666 14 638 992 15 281 465 MPUMALANGAB MP301 Chief Albert Luthuli 450 037 460 175 482 322 - - - 12 109 12 529 12 919 - - - - - - - - - 462 146 472 704 495 241 B MP302 Msukaligwa 299 205 313 048 320 922 - - - - - - - - - - - - - - - 299 205 313 048 320 922 B MP303 Mkhondo 365 813 376 836 392 148 - - - 9 367 9 692 9 993 - - - - - - - - - 375 180 386 528 402 141 B MP304 Dr Pixley ka Isaka Seme 171 052 175 609 183 325 - - - 5 208 5 388 5 556 - - - - - - - - - 176 260 180 997 188 881 B MP305 Lekwa 198 477 207 650 212 880 - - - - - - - - - - - - - - - 198 477 207 650 212 880 B MP306 Dipaleseng 109 238 112 376 117 072 - - - 3 139 3 248 3 349 - - - - - - - - - 112 377 115 624 120 421 B MP307 Govan Mbeki 523 359 553 795 561 573 - - - - - - - - - - - - - - - 523 359 553 795 561 573 C DC30 Gert Sibande District Municipality 16 998 16 765 18 137 341 223 354 840 365 868 - - - - - - - - - - - - 358 221 371 605 384 005 Total: Gert Sibande Municipalities 2 134 179 2 216 254 2 288 379 341 223 354 840 365 868 29 823 30 857 31 817 - - - - - - - - - 2 505 225 2 601 951 2 686 064 B MP311 Victor Khanye 158 793 165 109 170 270 - - - 4 221 4 368 4 503 - - - - - - - - - 163 014 169 477 174 773 B MP312 Emalahleni 685 541 725 408 735 597 - - - - - - - - - - - - - - - 685 541 725 408 735 597 B MP313 Steve Tshwete 400 090 423 356 429 303 - - - - - - - - - - - - - - - 400 090 423 356 429 303 B MP314 Emakhazeni 95 922 99 277 102 830 - - - 3 955 4 092 4 220 - - - - - - - - - 99 877 103 369 107 050 B MP315 Thembisile Hani 621 226 637 043 665 873 - - - - - - - - - - - - - - - 621 226 637 043 665 873 B MP316 Dr JS Moroka 520 390 529 290 557 636 - - - 15 282 15 813 16 304 - - - - - - - - - 535 672 545 103 573 940 C DC31 Nkangala District Municipality 31 455 31 086 33 560 406 675 422 904 436 047 - - - - - - - - - - - - 438 130 453 990 469 607 Total: Nkangala Municipalities 2 513 417 2 610 569 2 695 069 406 675 422 904 436 047 23 458 24 273 25 027 - - - - - - - - - 2 943 550 3 057 746 3 156 143 B MP321 Thaba Chweu 237 081 247 427 254 262 - - - 6 687 6 919 7 134 - - - - - - - - - 243 768 254 346 261 396 B MP324 Nkomazi 882 182 905 900 945 629 - - - - - - - - - - - - - - - 882 182 905 900 945 629 B MP325 Bushbuckridge 1 171 265 1 199 901 1 255 413 - - - - - - - - - - - - - - - 1 171 265 1 199 901 1 255 413 B MP326 City of Mbombela 1 233 444 1 287 910 1 322 907 - - - - - - - - - - - - - - - 1 233 444 1 287 910 1 322 907 C DC32 Ehlanzeni District Municipality 107 058 105 557 114 229 207 193 215 461 222 158 - - - - - - - - - - - - 314 251 321 018 336 387 Total: Ehlanzeni Municipalities 3 631 030 3 746 695 3 892 440 207 193 215 461 222 158 6 687 6 919 7 134 - - - - - - - - - 3 844 910 3 969 075 4 121 732 Total: Mpumalanga Municipalities 8 278 626 8 573 518 8 875 888 955 091 993 205 1 024 073 59 968 62 049 63 978 - - - - - - - - - 9 293 685 9 628 772 9 963 939 303 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES NORTHERN CAPEB NC061 Richtersveld 25 181 25 839 26 976 - - - 2 909 3 010 3 103 - - - - - - - - - 28 090 28 849 30 079 B NC062 Nama Khoi 69 409 72 367 74 431 - - - 4 478 4 633 4 777 - - - - - - - - - 73 887 77 000 79 208 B NC064 Kamiesberg 31 628 31 934 33 852 - - - 2 909 3 010 3 103 - - - - - - - - - 34 537 34 944 36 955 B NC065 Hantam 35 690 37 114 38 264 - - - 3 431 3 551 3 661 - - - - - - - - - 39 121 40 665 41 925 B NC066 Karoo Hoogland 33 574 34 506 35 972 - - - 3 139 3 248 3 349 - - - - - - - - - 36 713 37 754 39 321 B NC067 Khâi-Ma 27 471 28 101 29 425 - - - 2 909 3 010 3 103 - - - - - - - - - 30 380 31 111 32 528 C DC6 Namakwa District Municipality 9 525 9 222 10 167 48 292 50 220 51 780 4 094 4 236 4 368 - - - - - - - - - 61 911 63 678 66 315 Total: Namakwa Municipalities 232 478 239 083 249 087 48 292 50 220 51 780 23 8 69 24 698 25 464 - - - - - - - - - 304 639 314 001 326 331 B NC071 Ubuntu 51 560 52 614 55 225 - - - 2 909 3 010 3 103 - - - - - - - - - 54 469 55 624 58 328 B NC072 Umsobomvu 73 979 75 855 79 268 - - - 3 431 3 551 3 661 - - - - - - - - - 77 410 79 406 82 929 B NC073 Emthanjeni 64 182 66 463 68 804 - - - 3 955 4 092 4 220 - - - - - - - - - 68 137 70 555 73 024 B NC074 Kareeberg 35 582 36 041 38 092 - - - 2 909 3 010 3 103 - - - - - - - - - 38 491 39 051 41 195 B NC075 Renosterberg 34 411 34 931 36 837 - - - 2 574 2 664 2 746 - - - - - - - - - 36 985 37 595 39 583 B NC076 Thembelihle 36 260 36 897 38 830 - - - 3 139 3 248 3 349 - - - - - - - - - 39 399 40 145 42 179 B NC077 Siyathemba 47 829 49 069 51 243 - - - 2 909 3 010 3 103 - - - - - - - - - 50 738 52 079 54 346 B NC078 Siyancuma 66 385 68 200 71 137 - - - 3 431 3 551 3 661 - - - - - - - - - 69 816 71 751 74 798 C DC7 Pixley Ka Seme District Municipality 25 246 24 514 26 945 34 771 36 159 37 283 4 524 4 682 4 827 - - - - - - - - - 64 541 65 355 69 055 Total: Pixley Ka Seme Municipalities 435 434 444 584 466 381 34 771 36 159 37 283 29 7 81 30 818 31 773 - - - - - - - - - 499 986 511 561 535 437 B NC082 !Kai !Garib 135 646 141 930 145 485 - - - 5 002 5 175 5 336 - - - - - - - - - 140 648 147 105 150 821 B NC084 !Kheis 34 814 35 350 37 275 - - - 3 139 3 248 3 349 - - - - - - - - - 37 953 38 598 40 624 B NC085 Tsantsabane 60 952 63 518 65 359 - - - 3 431 3 551 3 661 - - - - - - - - - 64 383 67 069 69 020 B NC086 Kgatelopele 35 029 36 267 37 547 - - - 2 909 3 010 3 103 - - - - - - - - - 37 938 39 277 40 650 B NC087 Dawid Kruiper 131 104 137 795 140 641 - - - 8 165 8 448 8 711 - - - - - - - - - 139 269 146 243 149 352 C DC8 Z.F. Mgcawu District Municipality 20 932 20 380 22 339 60 723 63 147 65 109 4 955 5 127 5 286 - - - - - - - - - 86 610 88 654 92 734 Total: Z.F. Mgcawu Municipalities 418 477 435 240 448 646 60 723 63 147 65 109 27 6 01 28 559 29 446 - - - - - - - - - 506 801 526 946 543 201 B NC091 Sol Plaatjie 319 064 336 425 342 319 - - - - - - - - - - - - - - - 319 064 336 425 342 319 B NC092 Dikgatlong 124 707 127 559 133 622 - - - 3 955 4 092 4 220 - - - - - - - - - 128 662 131 651 137 842 B NC093 Magareng 63 906 64 910 68 435 - - - 2 909 3 010 3 103 - - - - - - - - - 66 815 67 920 71 538 B NC094 Phokwane 144 041 147 419 154 353 - - - 4 715 4 879 5 030 - - - - - - - - - 148 756 152 298 159 383 C DC9 Frances Baard District Municipality 13 068 12 728 13 947 135 003 140 391 144 754 - - - - - - - - - - - - 148 071 153 119 158 701 Total: Frances Baard Municipalities 664 786 689 041 712 676 135 003 140 391 144 754 1 1 579 11 981 12 353 - - - - - - - - - 811 368 841 413 869 783 B NC451 Joe Morolong 186 939 189 739 201 796 - - - 8 225 8 511 8 775 - - 25 726 - - 26 442 - - 26 054 195 164 198 250 210 571 B NC452 Ga-Segonyana 248 731 254 578 266 567 - - - 7 179 7 429 7 660 - - - - - - - - - 255 910 262 007 274 227 B NC453 Gamagara 71 532 75 692 76 755 - - - 3 728 3 858 3 978 - - - - - - - - - 75 260 79 550 80 733 C DC45 John Taolo Gaetsewe District Municipality 47 459 47 611 49 248 62 403 64 893 66 910 4 955 5 127 5 286 - - - - - - - - - 114 817 117 631 121 444 Total: John Taolo Gaetsewe Municipalities 554 661 567 620 594 366 62 403 64 893 66 910 24 0 87 24 925 25 699 - - 25 726 - - 26 442 - - 26 054 641 151 657 438 686 975 Total: Northern Cape Municipalities 2 305 836 2 375 568 2 471 156 341 192 354 810 365 836 116 917 120 981 124 735 - - 25 726 - - 26 442 - - 26 054 2 763 945 2 851 359 2 961 727 NORTH WESTB NW371 Moretele 471 842 480 600 505 627 - - - 12 818 13 263 13 675 - - - - - - - - - 484 660 493 863 519 302 B NW372 Madibeng 1 232 260 1 284 945 1 321 575 - - - - - - - - - - - - - - - 1 232 260 1 284 945 1 321 575 B NW373 Rustenburg 1 314 907 1 391 373 1 410 916 - - - - - - - - - - - - - - - 1 314 907 1 391 373 1 410 916 B NW374 Kgetlengrivier 146 069 151 492 156 604 - - - 3 236 3 348 3 452 - - - - - - - - - 149 305 154 840 160 056 B NW375 Moses Kotane 606 904 619 936 650 440 - - - 17 039 17 631 18 178 - - - - - - - - - 623 943 637 567 668 618 C DC37 Bojanala Platinum District Municipality 112 348 111 481 119 860 300 145 312 123 321 823 1 5 080 15 604 16 089 - - - - - - - - - 427 573 439 208 457 772 Total: Bojanala Platinum Municipalities 3 884 330 4 039 827 4 165 022 300 145 312 123 321 823 48 173 49 846 51 394 - - - - - - - - - 4 232 648 4 401 796 4 538 239 B NW381 Ratlou 158 449 157 217 168 572 - - - 7 095 7 341 7 569 68 150 40 755 - 73 932 41 889 - 76 649 41 275 - 165 544 164 558 176 141 B NW382 Tswaing 153 328 153 498 163 029 - - - 6 902 7 142 7 364 75 932 45 409 - 82 374 46 673 - 85 401 45 988 - 160 230 160 640 170 393 B NW383 Mafikeng 382 777 384 865 406 836 - - - - - - 207 553 124 121 - 225 162 127 576 - 233 435 125 704 - 382 777 384 865 406 836 B NW384 Ditsobotla 189 842 192 153 201 702 - - - - - - 109 810 65 669 - 119 126 67 496 - 123 504 66 506 - 189 842 192 153 201 702 B NW385 Ramotshere Moiloa 231 131 229 755 245 848 - - - 9 151 9 469 9 763 105 423 63 04 5 - 114 367 64 800 - 118 570 63 849 - 240 282 239 224 255 611 C DC38 Ngaka Modiri Molema District Municipality 951 295 1 008 084 1 029 351 292 850 304 537 314 002 - - - - - - - - - - - - 1 244 145 1 312 621 1 343 353 Total: Ngaka Modiri Molema Municipalities 2 066 822 2 125 572 2 215 338 292 850 304 537 314 002 23 148 23 952 24 696 566 870 338 998 - 614 962 348 434 - 637 558 343 322 - 2 382 820 2 454 061 2 554 036 B NW392 Naledi 70 297 71 172 74 698 - - - 4 436 4 591 4 733 39 221 23 455 - 42 548 24 108 - 44 112 23 754 - 74 733 75 763 79 431 B NW393 Mamusa 71 769 71 761 76 330 - - - 3 944 4 081 4 208 32 719 19 566 - 35 495 20 111 - 36 799 19 816 - 75 713 75 842 80 538 B NW394 Greater Taung 238 156 235 358 253 403 - - - 11 831 12 242 12 623 100 579 60 148 - 109 112 61 823 - 113 122 60 915 - 249 987 247 600 266 026 B NW396 Lekwa-Teemane 66 093 66 482 70 266 - - - 3 662 3 789 3 907 32 975 19 720 - 35 772 20 268 - 37 087 19 971 - 69 755 70 271 74 173 B NW397 Kagisano-Molopo 149 897 148 333 159 499 - - - 7 179 7 429 7 660 61 885 37 008 - 67 135 38 038 - 69 602 37 480 - 157 076 155 762 167 159 C DC39 Dr Ruth Segomotsi Mompati District Municipality 472 489 498 430 510 910 85 445 88 855 91 616 6 67 8 6 910 7 125 - - - - - - - - - 564 612 594 195 609 651 Total: Dr Ruth Segomotsi Mompati Municipalities 1 068 701 1 091 536 1 145 106 85 445 88 855 91 616 3 7 730 39 042 40 256 267 378 159 897 - 290 063 164 348 - 300 720 161 936 - 1 191 876 1 219 433 1 276 978 B NW403 City of Matlosana 717 830 754 060 770 051 - - - - - - - - - - - - - - - 717 830 754 060 770 051 B NW404 Maquassi Hills 188 265 193 811 201 797 - - - 5 423 5 611 5 786 - - - - - - - - - 193 688 199 422 207 583 B NW405 JB Marks 462 582 486 787 496 264 - - - - - - - - - - - - - - - 462 582 486 787 496 264 C DC40 Dr Kenneth Kaunda District Municipality 31 990 31 437 34 135 199 343 207 298 213 741 - - - - - - - - - - - - 231 333 238 735 247 876 Total: Dr Kenneth Kaunda Municipalities 1 400 667 1 466 095 1 502 247 199 343 207 298 213 741 5 423 5 611 5 786 - - - - - - - - - 1 605 433 1 679 004 1 721 774 Total: North West Municipalities 8 420 520 8 723 030 9 027 713 877 783 912 813 941 182 114 474 118 451 122 132 834 248 498 896 - 905 025 512 782 - 938 278 505 258 - 9 412 777 9 754 294 10 091 027 304 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 Water Sanitation Refuse Water Sanitation Refuse Water Sanitation Refuse 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R' 000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) 2027/28 R'(000) 2028/29 R'(000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year 2026/27 R'(000) National and Municipal Financial Year APPENDIX W1 (EQUITABLE SHARE FORMULA ALLOCATIONS + RSC LEVIES REPLACEMENT + SPECIAL SUPPORT FOR COUNCILLOR REMUNERATION AND WARD COMMITTEE S + BREAKDOWN OF EQUITABLE SHARE ALLOCATIONS PER LOCAL MUNICIPA LITY PER SERVICE FOR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Equitable Share Formula RSC Levies Replacement Special Support for Councillor Remuneration and Ward Committees APPENDIX TO SCHEDULE 3: EQUITABLE SHARE ALLOCATIONS TO MUNICIPA LITIES BREAKDOWN OF EQUITABLE SHARE FOR DISTRICT MUNICIPALITIES AUTHOR ISED FOR SERVICES Category Municipality TOTAL ALLOCATIONS TO MUNICIPALITIES WESTERN CAPEA CPT City of Cape Town 4 987 995 5 278 065 5 352 197 - - - - - - - - - - - - - - - 4 987 995 5 278 065 5 352 197 B WC011 Matzikama 88 655 93 564 95 118 - - - 3 728 3 858 3 978 - - - - - - - - - 92 383 97 422 99 096 B WC012 Cederberg 76 459 80 090 82 005 - - - 2 909 3 010 3 103 - - - - - - - - - 79 368 83 100 85 108 B WC013 Bergrivier 74 359 78 684 79 789 - - - 3 236 3 348 3 452 - - - - - - - - - 77 595 82 032 83 241 B WC014 Saldanha Bay 150 752 159 387 161 754 - - - 6 687 6 919 7 134 - - - - - - - - - 157 439 166 306 168 888 B WC015 Swartland 175 682 185 898 188 509 - - - - - - - - - - - - - - - 175 682 185 898 188 509 C DC1 West Coast District Municipality 24 232 23 831 25 856 90 903 94 531 97 469 - - - - - - - - - - - - 115 135 118 362 123 325 Total: West Coast Municipalities 590 139 621 454 633 031 90 903 94 531 97 469 16 5 60 17 135 17 667 - - - - - - - - - 697 602 733 120 748 167 B WC022 Witzenberg 166 475 176 156 178 631 - - - - - - - - - - - - - - - 166 475 176 156 178 631 B WC023 Drakenstein 264 583 279 970 283 902 - - - - - - - - - - - - - - - 264 583 279 970 283 902 B WC024 Stellenbosch 246 336 260 662 264 323 - - - - - - - - - - - - - - - 246 336 260 662 264 323 B WC025 Breede Valley 199 253 210 840 213 801 - - - - - - - - - - - - - - - 199 253 210 840 213 801 B WC026 Langeberg 122 929 129 719 131 890 - - - 5 700 5 898 6 082 - - - - - - - - - 128 629 135 617 137 972 C DC2 Cape Winelands District Municipality 3 021 2 965 3 224 280 977 292 190 301 271 - - - - - - - - - - - - 283 998 295 155 304 495 Total: Cape Winelands Municipalities 1 002 597 1 060 312 1 075 771 280 977 292 190 301 271 5 700 5 898 6 082 - - - - - - - - - 1 289 274 1 358 400 1 383 124 B WC031 Theewaterskloof 157 971 166 048 169 463 - - - - - - - - - - - - - - - 157 971 166 048 169 463 B WC032 Overstrand 181 634 190 676 194 839 - - - 6 687 6 919 7 134 - - - - - - - - - 188 321 197 595 201 973 B WC033 Cape Agulhas 45 282 47 601 48 573 - - - 2 909 3 010 3 103 - - - - - - - - - 48 191 50 611 51 676 B WC034 Swellendam 49 129 51 684 52 702 - - - 2 909 3 010 3 103 - - - - - - - - - 52 038 54 694 55 805 C DC3 Overberg District Municipality 26 726 26 138 28 520 62 926 65 437 67 471 - - - - - - - - - - - - 89 652 91 575 95 991 Total: Overberg Municipalities 460 742 482 147 494 097 62 926 65 437 67 471 12 5 05 12 939 13 340 - - - - - - - - - 536 173 560 523 574 908 B WC041 Kannaland 38 210 39 443 40 944 - - - 1 862 1 927 1 987 - - - - - - - - - 40 072 41 370 42 931 B WC042 Hessequa 66 624 70 207 71 476 - - - 4 478 4 633 4 777 - - - - - - - - - 71 102 74 840 76 253 B WC043 Mossel Bay 148 977 156 566 159 814 - - - 7 179 7 429 7 660 - - - - - - - - - 156 156 163 995 167 474 B WC044 George 263 324 278 637 282 551 - - - - - - - - - - - - - - - 263 324 278 637 282 551 B WC045 Oudtshoorn 106 689 111 355 114 419 - - - 6 193 6 408 6 607 - - - - - - - - - 112 882 117 763 121 026 B WC047 Bitou 163 691 169 886 175 506 - - - 3 236 3 348 3 452 - - - - - - - - - 166 927 173 234 178 958 B WC048 Knysna 138 875 145 185 148 946 - - - 5 208 5 388 5 556 - - - - - - - - - 144 083 150 573 154 502 C DC4 Garden Route District Municipality 23 156 22 716 24 709 170 293 177 089 182 593 - - - - - - - - - - - - 193 449 199 805 207 302 Total: Garden Route Municipalities 949 546 993 995 1 018 365 170 293 177 089 182 593 28 156 29 133 30 039 - - - - - - - - - 1 147 995 1 200 217 1 230 997 B WC051 Laingsburg 21 802 22 261 23 342 - - - 1 862 1 927 1 987 - - - - - - - - - 23 664 24 188 25 329 B WC052 Prince Albert 30 126 30 931 32 269 - - - 1 862 1 927 1 987 - - - - - - - - - 31 988 32 858 34 256 B WC053 Beaufort West 92 410 95 759 99 068 - - - 3 431 3 551 3 661 - - - - - - - - - 95 841 99 310 102 729 C DC5 Central Karoo District Municipality 18 353 17 813 19 592 17 359 18 049 18 610 3 235 3 339 3 460 - - - - - - - - - 38 947 39 201 41 662 Total: Central Karoo Municipalities 162 691 166 764 174 271 17 359 18 049 18 610 10 3 90 10 744 11 095 - - - - - - - - - 190 440 195 557 203 976 Total: Western Cape Municipalities 8 153 710 8 602 737 8 747 732 622 458 647 296 667 414 73 311 75 849 78 223 - - - - - - - - - 8 849 479 9 325 882 9 493 369 - - - National Total 101 766 390 105 833 541 109 122 763 7 169 533 7 455 646 7 687 362 1 154 078 1 194 161 1 231 274 8 634 672 5 163 692 25 726 9 367 228 5 307 423 26 442 9 711 412 5 229 546 26 054 110 090 001 114 483 348 118 041 399 Unallocated 305 APPENDIX W2 APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, P ART B: MUNICIPA L INFRASTRUCTURE GRANT (MIG) AND WATER SERVICES INFRASTRUCTURE GRANT (WSIG) (National and Municipal Financial Years) (BREAKDOWN OF MIG AND WSIG ALLOC ATIONS PER LOCAL MUNICIPALITY F OR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) 306 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) EASTERN CAPEB EC121 Mbhashe 191 295 213 954 221 154 20 000 21 000 22 000 - - - B EC122 Mnquma 178 075 199 168 205 871 15 000 17 000 19 000 - - - B EC123 Great Kei 10 882 12 171 12 581 21 000 21 000 21 000 - - - B EC124 Amahlathi 42 776 47 843 49 453 21 000 21 000 19 000 - - - B EC126 Ngqushwa 35 040 39 190 40 509 21 000 21 000 19 000 - - - B EC129 Raymond Mhlaba 55 411 61 975 64 060 12 000 14 500 16 686 - - - Total: Amathole Municipalities 513 479 574 301 593 628 110 000 115 500 116 686 - - - B EC131 Inxuba Yethemba 6 163 6 894 7 126 15 000 20 000 21 000 - - - B EC135 Intsika Yethu 107 759 120 523 124 579 15 000 17 000 18 032 - - - B EC136 Emalahleni 54 306 60 738 62 782 15 000 17 405 19 000 - - - B EC137 Dr. A.B. Xuma 99 752 111 568 115 323 - - - - - - B EC138 Sakhisizwe 24 105 26 961 27 868 15 000 20 000 19 000 - - - B EC139 Enoch Mgijima 50 489 56 469 58 369 15 000 17 500 19 000 - - - Total: Chris Hani Municipalities 342 574 383 153 396 047 75 000 91 905 96 032 - - - B EC141 Elundini 101 240 113 232 117 043 19 000 21 000 22 000 - - - B EC142 Senqu 69 764 78 027 80 653 19 000 19 850 20 537 - - - B EC145 Walter Sisulu 13 091 14 642 15 134 19 000 19 000 20 000 - - - Total: Joe Gqabi Municipalities 184 095 205 901 212 830 57 000 59 850 62 537 - - - B EC153 Ngquza Hill 171 705 192 043 198 506 20 000 24 000 25 000 - - - B EC154 Port St Johns 97 644 109 210 112 885 20 000 24 000 25 000 - - - B EC155 Nyandeni 175 769 196 588 203 204 5 000 6 375 6 971 - - - B EC156 Mhlontlo 110 538 123 631 127 792 20 000 24 000 25 000 - - - B EC157 King Sabata Dalindyebo 203 893 228 045 235 719 20 000 24 000 25 000 - - - Total: O.R. Tambo Municipalities 759 549 849 517 878 106 85 000 102 375 106 971 - - - B EC441 Matatiele 109 213 122 149 126 260 24 000 25 125 26 100 - - - B EC442 Umzimvubu 110 736 123 853 128 021 22 000 23 500 25 129 - - - B EC443 Winnie Madikizela-Mandela 160 542 179 558 185 601 25 000 26 000 26 000 - - - B EC444 Ntabankulu 68 119 76 187 78 751 24 000 25 125 27 000 - - - Total: Alfred Nzo Municipalities 448 610 501 747 518 633 95 000 99 750 104 229 - - - Total: Eastern Cape Municipalities 2 248 307 2 514 619 2 599 244 422 000 469 380 486 455 - - - National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year APPENDIX W2 (BREAKDOWN OF MIG AND WSIG ALLOCATIONS PER LOCAL MUNICIPALITY F OR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Breakdown of MIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Schedule 5, Part B Schedule 6, Part B APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: MUNICIPA L INFRASTRUCTURE GRANT (MIG) AND WATER SERVICES INFRASTRUCTURE GRANT (WSIG) Category Municipality 307 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year APPENDIX W2 (BREAKDOWN OF MIG AND WSIG ALLOCATIONS PER LOCAL MUNICIPALITY F OR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Breakdown of MIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Schedule 5, Part B Schedule 6, Part B APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: MUNICIPA L INFRASTRUCTURE GRANT (MIG) AND WATER SERVICES INFRASTRUCTURE GRANT (WSIG) Category Municipality KWAZULU-NATALB KZN212 uMdoni 52 342 58 541 60 511 29 000 37 250 30 000 - - - B KZN213 uMzumbe 92 952 103 962 107 461 25 000 36 250 30 000 - - - B KZN214 uMuziwabantu 41 671 46 607 48 176 37 000 41 000 20 586 - - - B KZN216 Ray Nkonyeni 99 458 111 239 114 983 38 000 41 000 20 100 - - - Total: Ugu Municipalities 286 423 320 349 331 131 129 000 155 500 100 686 - - - B KZN221 uMshwathi 32 928 36 828 38 067 16 000 15 000 13 461 - - - B KZN222 uMngeni 21 943 24 542 25 368 20 000 16 000 19 000 - - - B KZN223 Mpofana 8 713 9 745 10 073 17 000 17 250 19 000 - - - B KZN224 iMpendle 12 701 14 206 14 684 22 000 20 000 19 000 - - - B KZN226 Mkhambathini 21 448 23 989 24 796 18 000 16 250 15 000 - - - B KZN227 Richmond 20 148 22 534 23 292 17 000 16 000 15 000 - - - Total: uMgungundlovu Municipalities 117 881 131 844 136 280 110 000 100 500 100 461 - - - B KZN235 Okhahlamba 52 268 58 459 60 427 - - - 22 800 106 651 110 000 B KZN237 iNkosi Langalibalele 70 619 78 984 81 642 - - - 25 000 39 000 172 669 B KZN238 Alfred Duma 94 149 105 301 108 845 - - - 56 000 78 000 200 000 Total: uThukela Municipalities 217 036 242 744 250 914 - - - 103 800 223 651 482 669 B KZN241 eNdumeni 10 827 12 109 12 516 10 000 12 300 7 083 - - - B KZN242 Nquthu 57 157 63 927 66 079 10 000 12 379 6 100 - - - B KZN244 uMsinga 94 119 105 267 108 810 40 000 48 000 40 000 - - - B KZN245 uMvoti 59 964 67 067 69 324 40 000 47 000 40 000 - - - Total: uMzinyathi Municipalities 222 067 248 370 256 729 100 000 119 679 93 183 - - - B KZN253 eMadlangeni 12 164 13 605 14 063 40 000 52 500 54 315 - - - B KZN254 Dannhauser 31 705 35 460 36 653 42 221 52 500 54 300 - - - Total: Amajuba Municipalities 43 869 49 065 50 716 82 221 105 000 108 615 - - - 308 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year APPENDIX W2 (BREAKDOWN OF MIG AND WSIG ALLOCATIONS PER LOCAL MUNICIPALITY F OR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Breakdown of MIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Schedule 5, Part B Schedule 6, Part B APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: MUNICIPA L INFRASTRUCTURE GRANT (MIG) AND WATER SERVICES INFRASTRUCTURE GRANT (WSIG) Category Municipality B KZN261 eDumbe 18 606 20 810 21 510 8 000 9 000 10 100 - - - B KZN262 uPhongolo 53 193 59 494 61 496 45 000 62 000 52 000 - - - B KZN263 AbaQulusi 57 201 63 976 66 129 8 500 9 000 10 100 - - - B KZN265 Nongoma 83 242 93 102 96 235 45 000 61 000 53 000 - - - B KZN266 Ulundi 55 274 61 821 63 901 8 500 9 000 10 188 - - - Total: Zululand Municipalities 267 516 299 203 309 271 115 000 150 000 135 388 - - - B KZN271 uMhlabuyalingana 71 270 79 712 82 395 - - 30 100 - - - B KZN272 Jozini 85 393 95 508 98 722 - - 30 200 200 000 205 000 - B KZN275 Inkosi uMtubatuba 64 324 71 943 74 364 - - 30 186 - - - B KZN276 Big Five Hlabisa 33 042 36 956 38 199 - - 30 200 146 930 32 981 - Total: uMkhanyakude Municipalities 254 029 284 119 293 680 - - 120 686 346 930 237 981 - B KZN281 uMfolozi 38 548 43 113 44 564 26 250 25 250 27 000 - - - B KZN284 uMlalazi 87 605 97 982 101 280 26 250 20 550 28 732 - - - B KZN285 Mthonjaneni 33 539 37 511 38 774 27 100 20 350 27 140 - - - B KZN286 Nkandla 41 570 46 493 48 058 25 400 24 600 27 300 - - - Total: King Cetshwayo Municipalities 201 262 225 099 232 676 105 000 90 750 110 172 - - - B KZN291 Mandeni 49 670 55 554 57 424 27 000 29 000 30 123 - - - B KZN292 KwaDukuza 74 660 83 503 86 313 41 000 33 750 30 300 - - - B KZN293 Ndwedwe 51 928 58 078 60 033 25 000 30 000 30 100 - - - B KZN294 Maphumulo 51 306 57 383 59 315 27 000 33 000 30 200 - - - Total: iLembe Municipalities 227 564 254 518 263 085 120 000 125 750 120 723 - - - B KZN433 Greater Kokstad 12 412 13 882 14 349 28 000 39 000 36 000 - - - B KZN434 Johannes Phumani Phungula 55 819 62 430 64 531 29 000 37 000 33 100 - - - B KZN435 uMzimkhulu 114 895 128 505 132 829 29 000 37 000 34 000 - - - B KZN436 Dr Nkosazana Dlamini Zuma 54 024 60 423 62 457 29 000 37 750 33 072 - - - Total: Harry Gwala Municipalities 237 150 265 240 274 166 115 000 150 750 136 172 - - - Total: KwaZulu-Natal Municipalities 2 074 797 2 320 551 2 398 648 876 221 997 929 1 026 086 450 730 461 632 482 669 309 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) National and Municipal Financial Year National and Municipal Financial Year National and Municipal Financial Year APPENDIX W2 (BREAKDOWN OF MIG AND WSIG ALLOCATIONS PER LOCAL MUNICIPALITY F OR DISTRICT MUNICIPALITIES AUTHORISED FOR SERVICES) Breakdown of MIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Breakdown of WSIG allocations for district municipalities authorised for services Schedule 5, Part B Schedule 6, Part B APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: MUNICIPA L INFRASTRUCTURE GRANT (MIG) AND WATER SERVICES INFRASTRUCTURE GRANT (WSIG) Category Municipality LIMPOPOB LIM331 Greater Giyani 136 829 153 037 158 187 - - - 170 416 182 703 190 906 B LIM332 Greater Letaba 108 575 121 435 125 522 - - - - - - B LIM333 Greater Tzaneen 215 622 241 162 249 278 - - - - - - B LIM334 Ba-Phalaborwa 38 725 43 312 44 770 - - - - - - B LIM335 Maruleng 46 411 51 908 53 655 - - - - - - Total: Mopani Municipalities 546 162 610 854 631 412 - - - 170 416 182 703 190 906 B LIM341 Musina 33 556 37 531 38 794 48 000 39 000 41 000 - - - B LIM343 Thulamela 225 825 252 574 261 073 6 317 5 430 5 606 - - - B LIM344 Makhado 192 956 215 812 223 075 6 420 6 444 6 303 - - - B LIM345 Collins Chabane 167 224 187 032 193 326 48 000 39 000 41 000 - - - Total: Vhembe Municipalities 619 561 692 949 716 268 108 737 89 874 93 909 - - - B LIM351 Blouberg 96 844 108 315 111 960 36 674 49 591 51 817 - - - B LIM353 Molemole 64 640 72 296 74 729 36 674 49 591 51 817 - - - B LIM355 Lepele-Nkumpi 113 065 126 457 130 713 36 674 49 591 51 819 - - - Total: Capricorn Municipalities 274 549 307 068 317 402 110 022 148 773 155 453 - - - B LIM471 Ephraim Mogale 56 907 63 647 65 789 - - - 8 220 10 000 15 000 B LIM472 Elias Motsoaledi 136 856 153 067 158 218 - - - 10 000 15 000 20 000 B LIM473 Makhuduthamaga 156 214 174 717 180 597 - - - 25 000 20 000 15 000 B LIM476 Fetakgomo Tubatse 221 336 247 553 255 884 - - - 20 000 21 882 19 884 Total: Sekhukhune Municipalities 571 313 638 984 660 488 - - - 63 220 66 882 69 884 Total: Limpopo Municipalities 2 011 585 2 249 855 2 325 570 218 759 238 647 249 362 233 636 249 585 260 790 NORTH WESTB NW381 Ratlou 58 743 65 701 67 912 - - - - - - B NW382 Tswaing 45 516 50 908 52 621 - - - - - - B NW383 Mafikeng 131 378 146 940 151 885 - - - - - - B NW384 Ditsobotla 54 484 60 937 62 988 - - - - - - B NW385 Ramotshere Moiloa 68 154 76 227 78 792 - - - 142 378 148 072 154 719 Total: Ngaka Modiri Molema Municipalities 358 275 400 713 414 198 - - - 142 378 148 072 154 719 B NW392 Naledi 14 070 15 737 16 266 - - - - - - B NW393 Mamusa 11 978 13 397 13 848 - - - - - - B NW394 Greater Taung 87 050 97 370 100 644 45 250 44 000 46 200 - - - B NW396 Lekwa-Teemane 4 907 5 488 5 673 45 100 43 100 45 340 - - - B NW397 Kagisano-Molopo 44 313 49 562 51 230 45 237 44 000 45 446 - - - Total: Dr Ruth Segomotsi Mompati Municipalities 162 318 181 554 187 661 135 587 131 100 136 986 - - - Total: North West Municipalities 520 593 582 267 601 859 135 587 131 100 136 986 1 42 378 148 072 154 719 National Total 6 855 282 7 667 292 7 925 321 1 652 567 1 837 056 1 898 8 89 826 744 859 289 898 178 310 APPENDIX W3 APPENDIX TO SCHEDULE 5, PART B: MUNICIPAL INF RASTRUCTURE GRANT (National and Municipal Financial Years) RING-FENCED FUNDING FO R SPORT INFRASTRUCTURE - BREAKDOWN PER MU NICIPALITY 311 2026/272027/282028/29 (R'000)(R'000)(R'000) EASTERN CAPE B EC102 Blue Crane Route Upgrading of Victoria Park Phase 3 9 318 - - B EC104 Makana Refurbisment of Transrivier stadium 839 - - B EC105 Ndlambe Construction of Marselle sport field 839 - - B EC106 Sundays River Valley Upgrading of Nomathamsanqa Sport Facility 5 591 - - Total: Sarah Baartman Municipalities 16 585 - - B EC126 Ngqushwa Upgrading of New Creation Sport Facility 1 864 - - Total: Amathole Municipalities 1 864 - - B EC137 Dr. A.B. Xuma Upgrading of Ngcobo Sport Facility 9 318 - - B EC138 Sakhisizwe Construction of Cala Sport field 11 181 - - Total: Chris Hani Municipalities 20 499 - - B EC145 Walter Sisulu Upgrading Burgersdorp Sport Field 9 318 - - Total: Joe Gqabi Municipalities 9 318 - - B EC153 Ngquza HillCompletion of Zone 5 Sport field 5 591 - - B EC157 King Sabata Dalindyebo Constrcution of Zimbane Sport Field 839 - - Total: O.R. Tambo Municipalities 6 429 - - B EC441 MatatieleUpgrading of Mahangwe Sport Facility 9 318 - - Total: Alfred Nzo Municipalities 9 318 - - Total: Eastern Cape Municipalities 64 012 - - BFS181 Masilonyana Refurbishment & upgrading of Masilo Sport Facility in Theunissen 9 318 - - BFS183 TswelopeleUpgrading of the Phahameng Stadium Phase 2 5 591 - - Total: Lejweleputswa Municipalities 14 908 - - BFS192 Dihlabeng Upgrading of Bakenpark Swimming Pool 9 318 - - BFS193 Nketoana Upgrading & refurbishment of Mamafubedu Sports Facility 9 318 - - Total: Thabo Mofutsanyana Municipalities 18 635 - - BFS204 Metsimaholo Construction of Refengkgotso Sports Complex Phase 2 9 318 - - BFS205 Mafube Upgrading of Namahadi-Zomba Sport Ground 9 318 - - Total: Fezile Dabi Municipalities 18 635 - - Total: Free State Municipalities 52 178 - - B GT422 Midvaal Construction of Hockey stadium (Feasibility study) 932 - - Total: Sedibeng Municipalities 932 - - Total: Gauteng Municipalities 932 - - KWAZULU-NATAL B KZN222 uMngeni Construction of National Rowing Center 18 635 - - B KZN224 iMpendle Upgrading of Impendle Sport Field Phase 2-Ward 4 9 131 - - B KZN226 Mkhambathini Construction of Nkanyezini Sportsfield- Ward 3 9 318 - - Total: uMgungundlovu Municipalities 37 084 - - B KZN237 iNkosi Langalibalele Upgrade of Lambert Park Sports Facility 9 318 - - Total: uThukela Municipalities 9 318 - - B KZN253 eMadlangeni Upgrade of Ward 2 sport field 2 329 - - Total: Amajuba Municipalities 2 329 - - B KZN261 eDumbe Rehabilitation of the Regional Sportsfield in eDumbe 9 318 - - Total: Zululand Municipalities 9 318 - - B KZN281 uMfolozi Construction of Ndzalabantu sport field phase 2 2 329 - - B KZN285 Mthonjaneni Upgrade of Mthonjaneni Multi Complex Sports Centre 5 591 - - B KZN286 Nkandla Upgrade of Nkandla Municipal Sport Complex 9 318 - - Total: King Cetshwayo Municipalities 17 238 - - Total: KwaZulu-Natal Municipalities 75 286 - - LIMPOPO B LIM331 Greater Giyani Refurbishment of Gawula Sport Field 7 454 - - B LIM332 Greater Letaba Refurbishment of Mokwakwaila Stadium 1 491 - - Total: Mopani Municipalities 8 945 - - B LIM345 Collins Chabane Construction of Makuleke ward 33 Smart Sport Field 9 318 - - Total: Vhembe Municipalities 9 318 - - B LIM353 Molemole Construction of Morebeng Combi- Courts 4 659 - - Total: Capricorn Municipalities 4 659 - - Total: Limpopo Municipalities 22 921 - - National and Municipal Financial Year CategoryMunicipalityProject APPENDIX W3 RING-FENCED FUNDING FOR SPORT INFRASTRUCTURE - BREAKDOWN PER MUNICIPALITY Ring-fenced Municipal Infrastructure Grant allocations for sport infrastructure APPENDIX TO SCHEDULE 5, PART B: MUNICIPAL INFRASTRUCTURE GRANT 312 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year CategoryMunicipalityProject APPENDIX W3 RING-FENCED FUNDING FOR SPORT INFRASTRUCTURE - BREAKDOWN PER MUNICIPALITY Ring-fenced Municipal Infrastructure Grant allocations for sport infrastructure APPENDIX TO SCHEDULE 5, PART B: MUNICIPAL INFRASTRUCTURE GRANT B MP301 Chief Albert Luthuli Upgrading of Mayflower Sport Field 9 318 - - B MP302 Msukaligwa Lothair - Silindile Sport Field 9 318 - - B MP303 Mkhondo Refurbisment of Amsterdam Sport Facilty 9 318 - - CDC30 Gert Sibande District Municipality Completion of Siyathemba Sport Field 13 045 - - Total: Gert Sibande Municipalities 40 997 - - B MP314 Emakhazeni Construction of sakhelwe Sport Field 5 591 - - B MP315 Thembisile Hani Upgrading of Solomon Mahlangu stadium 6 429 - - B MP316 Dr JS Moroka Upgrading of Nokaneng Sport Field 4 659 - - Total: Nkangala Municipalities 16 678 - - Total: Mpumalanga Municipalities 57 676 - - NORTHERN CAPE B NC062 Nama Khoi Upgrading of Matjieskloof Sport facility 9 318 - - B NC066 Karoo Hoogland Upgrading of the Fraserberg Sports Facility 9 318 - - Total: Namakwa Municipalities 18 635 - - B NC074 Kareeberg Constructionof Sport Facility in Vanwyksvlei 9 318 - - B NC076 Thembelihle Upgrade of the Strydenburg sports facility 9 318 - - Total: Pixley Ka Seme Municipalities 18 635 - - B NC086 Kgatelopele Upgrade & refurbishment of the Kuilsville Sports Facility 9 318 - - Total: Z.F. Mgcawu Municipalities 9 318 - - B NC453 Gamagara Construction of high-performance swimming pool centre in Kathu (Feasibility st 932 - - Total: John Taolo Gaetsewe Municipalities 932 - - - - Total: Northern Cape Municipalities 47 520 - - NORTH WEST B NW371 Moretele The upgrading and refurbishment of Maubane Sports Complex 9 318 Total: Bojanala Platinum Municipalities 9 318 - - B NW383 Mafikeng Mmabatho tennis stadium 27 953 - - B NW385 Ramotshere Moiloa Construction of Motswedi Sport Facility 9 318 - - Total: Ngaka Modiri Molema Municipalities 37 270 - - - - Total: North West Municipalities 46 588 - - WESTERN CAPE B WC011 Matzikama Construction of Doring Bay Sports Facility 12 113 B WC013 Bergrivier Construction of the Pella Park B-field, Porterville 9 318 - - Total: West Coast Municipalities 21 430 - - B WC031 Theewaterskloof Upgrading of the Pineview Sports Facility 4 659 Total: Overberg Municipalities 4 659 - - B WC042 Hessequa Construction of Recreational pool in Theronsville, Albertinia 9 318 - - B WC043 Mossel Bay Kwanonqaba, Barcelona Sport Facility 9 318 - - B WC047 Bitou Construction of Kwanokuthula Sports Facility 9 318 - - Total: Garden Route Municipalities 27 953 - - - - Total: Western Cape Municipalities 54 042 - - - 452 000 452 000 National Total 421 155 452 000 452 000 Unallocated 313 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WOR KS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES (National and Municipal Financial Years) 314 2026/272027/282028/29 (R'000)(R'000)(R'000) EASTERN CAPE A BUF Buffalo City 52 4 024 - - A NMA Nelson Mandela Bay 38 2 929 - - B EC101 Dr Beyers Naude 18 1 398 - - B EC102 Blue Crane Route 18 1 369 - - B EC104 Makana 18 1 365 - - B EC105 Ndlambe 21 1 593 - - B EC106 Sundays River Valley 19 1 484 - - B EC108 Kouga 26 2 006 - - B EC109 Kou-Kamma 20 1 559 - - CDC10 Sarah Baartman District Municipality 17 1 306 - - Total: Sarah Baartman Municipalities 157 12 080 - - B EC121 Mbhashe 32 2 425 - - B EC122 Mnquma 26 2 010 - - B EC123 Great Kei 18 1 351 - - B EC124 Amahlathi 25 1 949 - - B EC126 Ngqushwa 22 1 661 - - B EC129 Raymond Mhlaba 28 2 116 - - CDC12 Amathole District Municipality 26 2 016 - - Total: Amathole Municipalities 177 13 528 - - B EC131 Inxuba Yethemba 29 2 248 - - B EC135 Intsika Yethu 29 2 243 - - B EC136 Emalahleni 23 1 803 - - B EC137 Dr. A.B. Xuma 28 2 124 - - B EC138 Sakhisizwe 21 1 634 - - B EC139 Enoch Mgijima 38 2 949 - - CDC13 Chris Hani District Municipality 31 2 394 - - Total: Chris Hani Municipalities 199 15 395 - - B EC141 Elundini 30 2 320 - - B EC142 Senqu 29 2 218 - - B EC145 Walter Sisulu 28 2 171 - - CDC14 Joe Gqabi District Municipality 31 2 401 - - Total: Joe Gqabi Municipalities 118 9 110 - - B EC153 Ngquza Hill 24 1 824 - - B EC154 Port St Johns 24 1 842 - - B EC155 Nyandeni 24 1 838 - - B EC156 Mhlontlo 26 2 025 - - B EC157 King Sabata Dalindyebo 35 2 676 - - CDC15 O.R. Tambo District Municipality 66 5 059 - - Total: O.R. Tambo Municipalities 199 15 264 - - B EC441 Matatiele 39 2 988 - - B EC442 Umzimvubu 34 2 625 - - B EC443 Winnie Madikizela-Mandela 38 2 944 - - B EC444 Ntabankulu 35 2 673 - - CDC44 Alfred Nzo District Municipality 39 3 023 - - Total: Alfred Nzo Municipalities 185 14 253 - - Total: Eastern Cape Municipalities 1 125 86 583 - - National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality 315 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality FREE STATE A MAN Mangaung 28 2 158 - - B FS161 Letsemeng 17 1 320 - - B FS162 Kopanong 18 1 348 - - B FS163 Mohokare 16 1 269 - - B FS164 New Municipality - - - - C DC16 Xhariep District Municipality 17 1 344 - - Total: Xhariep Municipalities 68 5 281 - - B FS181 Masilonyana 20 1 500 - - B FS182 Tokologo 18 1 372 - - B FS183 Tswelopele 21 1 601 - - B FS184 Matjhabeng 30 2 306 - - B FS185 Nala 18 1 391 - - C DC18 Lejweleputswa District Municipality - - - - Total: Lejweleputswa Municipalities 107 8 170 - - B FS191 Setsoto 26 2 003 - - B FS192 Dihlabeng 23 1 791 - - B FS193 Nketoana 22 1 728 - - B FS194 Maluti-a-Phofung 30 2 289 - - B FS195 Phumelela 19 1 487 - - B FS196 Mantsopa 19 1 453 - - C DC19 Thabo Mofutsanyana District Municipality 24 1 879 - - Total: Thabo Mofutsanyana Municipalities 163 12 630 - - B FS201 Moqhaka 18 1 421 - - B FS203 Ngwathe 34 2 622 - - B FS204 Metsimaholo 21 1 594 - - B FS205 Mafube 17 1 329 - - C DC20 Fezile Dabi District Municipality 18 1 347 - - Total: Fezile Dabi Municipalities 108 8 313 - - Total: Free State Municipalities 474 36 552 - - GAUTENG A EKU City of Ekurhuleni 198 15 269 - - A JHB City of Johannesburg 70 5 361 - - A TSH City of Tshwane 166 12 798 - - B GT421 Emfuleni 51 3 891 - - B GT422 Midvaal 28 2 177 - - B GT423 Lesedi 18 1 423 - - CDC42 Sedibeng District Municipality 23 1 739 - - Total: Sedibeng Municipalities 120 9 230 - - B GT481 Mogale City 21 1 640 - - B GT484 Merafong City 23 1 749 - - B GT485 Rand West City 30 2 284 - - CDC48 West Rand District Municipality 19 1 452 - - Total: West Rand Municipalities 93 7 125 - - Total: Gauteng Municipalities 647 49 783 - - 316 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality KWAZULU-NATAL A ETH eThekwini 97 7 490 - - B KZN212 uMdoni 22 1 664 - - BKZN213uMzumbe 20 1 509 - - BKZN214uMuziwabantu 21 1 588 - - B KZN216 Ray Nkonyeni 32 2 434 - - CDC21 Ugu District Municipality 39 3 019 - - Total: Ugu Municipalities 134 10 214 - - BKZN221uMshwathi 23 1 774 - - B KZN222 uMngeni 23 1 745 - - B KZN223 Mpofana 19 1 459 - - BKZN224iMpendle 21 1 582 - - B KZN225 Msunduzi 27 2 096 - - B KZN226 Mkhambathini 28 2 126 - - BKZN227Richmond 26 1 966 - - CDC22 uMgungundlovu District Municipality 24 1 832 - - Total: uMgungundlovu Municipalities 191 14 580 - - BKZN235Okhahlamba 26 2 018 - - B KZN237 iNkosi Langalibalele 21 1 647 - - BKZN238Alfred Duma 40 3 111 - - CDC23 uThukela District Municipality 28 2 187 - - Total: uThukela Municipalities 115 8 963 - - B KZN241 eNdumeni 20 1 545 - - B KZN242 Nquthu 22 1 698 - - B KZN244 uMsinga 25 1 960 - - BKZN245uMvoti 28 2 166 - - CDC24 uMzinyathi District Municipality 65 4 969 - - Total: uMzinyathi Municipalities 160 12 338 - - BKZN252Newcastle 28 2 168 - - BKZN253eMadlangeni 18 1 371 - - B KZN254 Dannhauser 22 1 709 - - CDC25 Amajuba District Municipality 24 1 835 - - Total: Amajuba Municipalities 92 7 083 - - BKZN261eDumbe 20 1 507 - - B KZN262 uPhongolo 26 1 984 - - B KZN263 AbaQulusi 38 2 929 - - B KZN265 Nongoma 28 2 159 - - BKZN266Ulundi 39 2 983 - - CDC26 Zululand District Municipality 70 5 379 - - Total: Zululand Municipalities 221 16 941 - - B KZN271 uMhlabuyalingana 27 2 081 - - BKZN272Jozini 33 2 549 - - B KZN275 Inkosi uMtubatuba 24 1 884 - - B KZN276 Big Five Hlabisa 23 1 752 - - CDC27 uMkhanyakude District Municipality 52 3 991 - - Total: uMkhanyakude Municipalities 159 12 257 - - B KZN281 uMfolozi 29 2 264 - - B KZN282 uMhlathuze 43 3 342 - - BKZN284uMlalazi 33 2 567 - - B KZN285 Mthonjaneni 25 1 959 - - BKZN286Nkandla 36 2 749 - - CDC28 King Cetshwayo District Municipality 59 4 537 - - Total: King Cetshwayo Municipalities 225 17 418 - - BKZN291Mandeni 20 1 524 - - B KZN292 KwaDukuza 24 1 823 - - B KZN293 Ndwedwe 28 2 156 - - BKZN294Maphumulo 25 1 946 - - CDC29 iLembe District Municipality 43 3 301 - - Total: iLembe Municipalities 140 10 750 - - B KZN433 Greater Kokstad 23 1 792 - - B KZN434 Johannes Phumani Phungula 22 1 690 - - B KZN435 uMzimkhulu 34 2 616 - - B KZN436 Dr Nkosazana Dlamini Zuma 24 1 811 - - CDC43 Harry Gwala District Municipality 39 3 007 - - Total: Harry Gwala Municipalities 142 10 916 - - Total: KwaZulu-Natal Municipalities 1 676 128 950 - - 317 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality LIMPOPO B LIM331 Greater Giyani 44 3 366 - - B LIM332 Greater Letaba 34 2 597 - - B LIM333 Greater Tzaneen 68 5 211 - - B LIM334 Ba-Phalaborwa 22 1 675 - - B LIM335 Maruleng 20 1 519 - - CDC33 Mopani District Municipality 77 5 929 - - Total: Mopani Municipalities 265 20 297 - - B LIM341 Musina 25 1 928 - - B LIM343 Thulamela 59 4 521 - - B LIM344 Makhado 43 3 346 - - B LIM345 Collins Chabane 26 1 979 - - CDC34 Vhembe District Municipality 44 3 365 - - Total: Vhembe Municipalities 197 15 139 - - B LIM351 Blouberg 21 1 616 - - B LIM353 Molemole 18 1 401 - - B LIM354 Polokwane 68 5 254 - - B LIM355 Lepele-Nkumpi 27 2 107 - - CDC35 Capricorn District Municipality 36 2 754 - - Total: Capricorn Municipalities 170 13 132 - - B LIM361 Thabazimbi 17 1 309 - - B LIM362 Lephalale 19 1 461 - - B LIM366 Bela-Bela 21 1 632 - - B LIM367 Mogalakwena 23 1 740 - - B LIM368 Modimolle-Mookgophong 25 1 899 - - CDC36 Waterberg District Municipality - - - - Total: Waterberg Municipalities 105 8 041 - - B LIM471 Ephraim Mogale 21 1 584 - - B LIM472 Elias Motsoaledi 36 2 771 - - B LIM473 Makhuduthamaga 34 2 590 - - B LIM476 Fetakgomo Tubatse 41 3 168 - - CDC47 Sekhukhune District Municipality 105 8 044 - - Total: Sekhukhune Municipalities 237 18 157 - - Total: Limpopo Municipalities 974 74 766 - - MPUMALANGA B MP301 Chief Albert Luthuli 40 3 101 - - B MP302 Msukaligwa 36 2 738 - - B MP303 Mkhondo 29 2 251 - - B MP304 Dr Pixley ka Isaka Seme 25 1 903 - - BMP305Lekwa 20 1 530 - - B MP306 Dipaleseng 19 1 453 - - B MP307 Govan Mbeki 37 2 859 - - CDC30 Gert Sibande District Municipality 24 1 852 - - Total: Gert Sibande Municipalities 230 17 687 - - B MP311 Victor Khanye 28 2 134 - - B MP312 Emalahleni 53 4 057 - - B MP313 Steve Tshwete 39 2 989 - - B MP314 Emakhazeni 25 1 926 - - B MP315 Thembisile Hani 35 2 679 - - B MP316 Dr JS Moroka 32 2 492 - - CDC31 Nkangala District Municipality 33 2 510 - - Total: Nkangala Municipalities 245 18 787 - - B MP321 Thaba Chweu 29 2 210 - - B MP324 Nkomazi 59 4 500 - - B MP325 Bushbuckridge 47 3 588 - - B MP326 City of Mbombela 68 5 254 - - CDC32 Ehlanzeni District Municipality 25 1 933 - - Total: Ehlanzeni Municipalities 228 17 485 - - Total: Mpumalanga Municipalities 703 53 959 - - 318 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality NORTHERN CAPE B NC061 Richtersveld 17 1 340 - - B NC062 Nama Khoi 22 1 708 - - B NC064 Kamiesberg - - - - B NC065 Hantam 17 1 319 - - B NC066 Karoo Hoogland - - - - B NC067 Khâi-Ma - - - - CDC6 Namakwa District Municipality 17 1 317 - - Total: Namakwa Municipalities 73 5 684 - - B NC071 Ubuntu 17 1 320 - - B NC072 Umsobomvu 17 1 338 - - B NC073 Emthanjeni 16 1 242 - - B NC074 Kareeberg 17 1 278 - - B NC075 Renosterberg 16 1 255 - - B NC076 Thembelihle - - - - B NC077 Siyathemba 17 1 292 - - B NC078 Siyancuma 18 1 354 - - CDC7 Pixley Ka Seme District Municipality 17 1 275 - - Total: Pixley Ka Seme Municipalities 135 10 354 - - B NC082 !Kai !Garib 17 1 334 - - B NC084 !Kheis - - - - B NC085 Tsantsabane 16 1 239 - - B NC086 Kgatelopele 17 1 335 - - B NC087 Dawid Kruiper 17 1 292 - - CDC8 Z.F. Mgcawu District Municipality 17 1 274 - - Total: Z.F. Mgcawu Municipalities 84 6 474 - - B NC091 Sol Plaatjie 44 3 409 - - B NC092 Dikgatlong 18 1 399 - - B NC093 Magareng 18 1 350 - - B NC094 Phokwane 16 1 268 - - CDC9 Frances Baard District Municipality 18 1 352 - - Total: Frances Baard Municipalities 114 8 778 - - B NC451 Joe Morolong 19 1 446 - - B NC452 Ga-Segonyana 18 1 420 - - B NC453 Gamagara 19 1 463 - - CDC45 John Taolo Gaetsewe District Municipality 17 1 306 - - Total: John Taolo Gaetsewe Municipalities 73 5 635 - - Total: Northern Cape Municipalities 479 36 925 - - NORTH WEST B NW371 Moretele 32 2 485 - - B NW372 Madibeng 54 4 155 - - B NW373 Rustenburg 39 2 964 - - B NW374 Kgetlengrivier 19 1 489 - - B NW375 Moses Kotane 22 1 700 - - CDC37 Bojanala Platinum District Municipality 24 1 839 - - Total: Bojanala Platinum Municipalities 190 14 632 - - B NW381 Ratlou 22 1 674 - - B NW382 Tswaing 20 1 538 - - B NW383 Mafikeng 23 1 776 - - B NW384 Ditsobotla 17 1 301 - - B NW385 Ramotshere Moiloa 25 1 915 - - CDC38 Ngaka Modiri Molema District Municipality 45 3 445 - - Total: Ngaka Modiri Molema Municipalities 152 11 649 - - B NW392 Naledi 34 2 628 - - B NW393 Mamusa 19 1 456 - - B NW394 Greater Taung 26 2 006 - - B NW396 Lekwa-Teemane 20 1 522 - - B NW397 Kagisano-Molopo 29 2 227 - - CDC39 Dr Ruth Segomotsi Mompati District Municipality 22 1 692 - - Total: Dr Ruth Segomotsi Mompati Municipalities 150 11 531 - - B NW403 City of Matlosana 26 1 999 - - B NW404 Maquassi Hills 19 1 444 - - B NW405 JB Marks 24 1 882 - - CDC40 Dr Kenneth Kaunda District Municipality 20 1 568 - - Total: Dr Kenneth Kaunda Municipalities 89 6 893 - - Total: North West Municipalities 581 44 705 - - 319 2026/272027/282028/29 (R'000)(R'000)(R'000) National and Municipal Financial Year Expanded Public Works Programme Integrated Grant for Municipalities FTE Target for 2026/27 APPENDIX W4 APPENDIX TO SCHEDULE 5, PART B: TARGETS FOR EXPANDED PUBLIC WORKS PROGRAMME INTEGRATED GRANT FOR MUNICIPALITIES CategoryMunicipality WESTERN CAPE A CPT City of Cape Town 267 20 547 - - B WC011 Matzikama 21 1 601 - - B WC012 Cederberg 19 1 452 - - B WC013 Bergrivier 22 1 656 - - B WC014 Saldanha Bay 20 1 513 - - B WC015 Swartland 28 2 121 - - CDC1 West Coast District Municipality 21 1 605 - - Total: West Coast Municipalities 131 9 948 - - B WC022 Witzenberg 26 1 976 - - B WC023 Drakenstein 38 2 925 - - B WC024 Stellenbosch 36 2 731 - - B WC025 Breede Valley 35 2 662 - - B WC026 Langeberg 29 2 267 - - CDC2 Cape Winelands District Municipality 20 1 524 - - Total: Cape Winelands Municipalities 184 14 085 - - B WC031 Theewaterskloof 25 1 912 - - B WC032 Overstrand 27 2 062 - - B WC033 Cape Agulhas 22 1 655 - - B WC034 Swellendam 19 1 456 - - CDC3 Overberg District Municipality 20 1 534 - - Total: Overberg Municipalities 113 8 619 - - B WC041 Kannaland 17 1 343 - - B WC042 Hessequa 18 1 378 - - B WC043 Mossel Bay 42 3 211 - - B WC044 George 30 2 312 - - B WC045 Oudtshoorn 24 1 874 - - B WC047 Bitou 19 1 469 - - B WC048 Knysna 18 1 350 - - CDC4 Garden Route District Municipality 23 1 774 - - Total: Garden Route Municipalities 191 14 711 - - B WC051 Laingsburg 18 1 387 - - B WC052 Prince Albert 16 1 246 - - B WC053 Beaufort West 19 1 478 - - CDC5 Central Karoo District Municipality 18 1 350 - - Total: Central Karoo Municipalities 71 5 461 - - Total: Western Cape Municipalities 957 73 371 - - - - 613 761 632 836 National Total 7 616 585 594 613 761 632 836 Unallocated 320 APPENDIX W5 APPENDIX TO SCHEDULE 5, PART B AN D SCHEDULE 6, PAR T B: REGIONAL BULK INFRASTRUCTURE GRANT (National and Municipal Financial Years) BREAKDOWN OF REGIONAL BULK INFRA STRUCTURE GRANT ALLOCATIONS PER LOCAL MUNICIPALITY PER PROJECT 321 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) BFI Nelson Mandela Bay - Water Security Programme A NMA Nelson Mandela Bay Metropolitan Municipality Nelson Mandela Bay Metropolitan Municipality 91 589 - - - - - 91 589 - - - - - RS42 James Kleynhans Bulk Water Supply B EC104 Makana Local Municipalit y Makana Local Municipality - - - 70 028 100 000 68 180 RL01 Ndlambe Bulk Water Supply B EC105 Ndlambe Local Municipality Ndlam be Local Municipality - - - 33 000 - - RS02 Sundays River - Paterson Bulk Water Supply B EC106 Sundays River V alley Local Municipa lity Sundays R iver Valley Lo cal Municipality - - - 8 000 2 000 - - - - 111 028 102 000 68 180 RL Sundwana Water Supply C DC12 Amatho le District Municipality Mbhashe Local Municipality - - - - 10 500 10 971 RS Ngqamakhwe Bulk Water Supply (Butterworth Water Transfer Scheme )CDC12 Amathole District Municipa lity Mnquma Loca l Municipality - - - 90 401 119 071 55 592 - - - 90 401 129 571 66 563 RBIG 5B Upgrading of Tsomo Water Treatment Works C DC13 Chris Hani Distric t Municipality Intsika Yethu Local Municipality - 120 000 125 388 - - - RBIG 5B Upgrading ofLubisi Water Treatment Works C DC13 Chris Hani Distric t Municipality Emalahleni Local Municipality 143 079 149 503 - - - - 263 079 274 891 - - - RBIG 5B Lady Grey Bulk Water Supply C DC14 Joe Gqabi District Municipality Senqu Local Municipality - 70 000 73 143 - - - RBIG 5B Sterkspruit Waste Water Treatment Works C DC14 Joe Gqabi Distric t Municipality Senqu Local Municipality 80 000 133 000 168 972 - - - 80 000 203 000 242 115 - - - RBIG 5B O.R. Tambo, Mthatha, King Sabato Dalinyebo Water Supply C DC15 O.R. Tambo District Municipality King Sabata Dalindyebo Loca l Municipality 121 701 - - - - 121 701 - - - - - RS48 Kinira Regional Bulk Water Supply Scheme C DC44 Alfred Nzo District Municipality Matatiele Local Municipality - - - - 10 500 5 481 RS50 Mkemane Regional Bulk Water Supply Scheme C DC44 Alfred Nzo District Municipality Umzimvubu Local Municipality - - - - - 5 481 RBIG 6B Greater Mbizana Regional Bulk Water Supply Scheme C DC44 Alfred Nzo District Municipality Winnie Madikizela-Mandela - - - - - 5 481 RS43 Ntabankulu Bulk Water Supply C DC44 Alfred Nzo District Municipality Ntabankulu Local Municipality - - - 100 000 105 929 207 602 - - - 100 000 116 429 224 045 293 290 466 079 517 006 301 429 348 000 358 788 RBIG 5B Rouxville/Smithfield/Zastron Bulk Water Supply (Mohakare) B FS163 Mohokare Local Municipality Mohokare Local Municipality - - - 23 580 4 000 - - - - 23 580 4 000 - RS52 Masilonyana Bulk Water Supply B FS181 Masilonyana Local Munic ipality Masilonyana Local Municipality - - - 13 000 54 915 57 381 RL24 Tokologo Regional Water Supply 2 B FS182 Tokologo Local Munici pality T okologo Local Municipa lity 100 000 103 693 108 349 20 760 - - RL34 Mathjabeng Bulk Sewer (Welkom) - Ministerial Intervention B F S184 Matjhabeng Local Municipality Matjhabeng Local Municipalit y - - - 265 499 259 832 272 642 Total: Lejweleputswa Municipalities 100 000 103 693 108 349 299 259 314 747 330 023 RBIG 5B Setsoto Bulk Water Supply B FS191 Setsoto Local Municipalit y Setsoto Local Municipality 150 000 102 596 103 489 - - - RBIG 5B Refurbishment of Ficksburg WWTW B FS191 Setsoto Local Munic ipality Setsoto Local Municipality 80 509 10 000 - - - - RL25 Dihlabeng Bulk Water Supply - Phase 3 B FS192 Dihlabeng Local Municipality Dihlabeng Local Municipality 200 000 103 694 128 350 30 000 - - RBIG 5B Lindley Bulk Sewer Services B FS193 Nketoana Local Municipa lity Nketoana Local Municipality - - - 20 570 42 599 44 512 RL12 Nketoana Regional Water Supply B FS193 Nketoana Local Municip ality Nketoana Local Municipality - - - 66 000 120 000 131 657 RS150 Maluti-a-Phofung Local Municipality Intervention B FS194 Malu ti-a-Phofung Local Municipality Maluti-a-Phofung Local Municipal ity - - - 86 989 164 838 171 097 RBIG 6B Refurbishment of Fika-Patso Waste Water Treatment Works B FS194 Maluti-a-Phofung Local Municipality Maluti-a-Phofung Local Municipality - - - 8 000 23 226 24 269 RBIG 5B Construction of the reversal gravity pipeline in Qwaqwa B FS194 Maluti-a-Phofung Local Municipality Maluti-a-Phofung Local Municipality 10 000 - - RS19 Maluti-a-Phofung Bulk Water Supply - Phase 2/4 B FS194 Maluti- a-Phofung Local Municipality Maluti-a-Phofung Local Municipality - - - 20 000 21 000 21 943 RBIG 6B Mantsopa Ladybrand WWTWs B FS196 Mantsopa Local Municipalit y Mantsopa Local Municipality - - - 14 500 - - Total: Thabo Mofutsanyana Municipalities 430 509 216 290 231 839 256 059 371 663 393 478 RBIG 6B Refurbishment of Kroonstad WWTWs Phase 2 B FS201 Moqhaka Lo cal Municipality Moqhaka Local Municipality - - - 42 040 - - RBIG 5B Ngwathe Bulk Water Supply - Phase 2 B FS203 Ngwathe Local M unicipality Ngwathe Local Municipality 106 112 50 000 17 233 - - - RBIG 5B Parys WWTW Upgrade B FS203 Ngwathe Local Municipality Ngwath e Local Municipality 80 000 90 000 - - - RBIG 5B Koppies WTW upgrade B FS203 Ngwathe Local Municipa lity Ngwathe Local Municipality 50 000 60 000 - - - RBIG 6B Frankfort Waste Water Treatment Works Upgrade B FS205 Mafub e Local Municipality Mafube Local Municipality - - - 51 762 31 500 32 914 RBIG 6B Mafube Bulk Water & Sanitation (Cornelia Reservoir & Out fall Sewer) B FS205 Mafube Local Municipality Mafube Local Municipa lity - - - 23 000 2 000 - 106 112 180 000 167 233 116 802 33 500 32 914 636 621 499 983 507 421 695 700 723 910 756 415 Total: Free State MunicipalitiesTotal: Fezile Dabi Municipalities EASTERN CAPE Total: Nelson Mandela Bay Metropolitan MunicipalityTotal Sarah Baartman MunicipalitiesTotal Amathole MunicipalitiesTotal Chris Hani MunicipalitiesTotal: Joe Gqabi MunicipalitiesTotal OR Tambo MunicipalitiesTotal: Alfred Nzo MunicipalitiesTotal: Eastern Cape Municipalities FREE STATE Total: Xhariep Municipalities Project Code Project Name Category Water Services Authority Benefitting Municipality APPENDIX W5 APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: REGIONAL BULK INFRASTRUCTURE GRANT BREAKDOWN OF REGIONAL BULK INFRASTRUCTURE GRANT ALLOCATIONS PER LOCAL MUNICIPALITY PER PROJECT Breakdown of regional bulk infrastructure grant allocations per local municipality per project Schedule 5, Part B Schedule 6, Part B National and Municipal Financial Year National and Municipal Financial Year 322 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) Project Code Project Name Category Water Services Authority Benefitting Municip ality APPENDIX W5 APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: REGIONAL BULK INFRASTRUCTURE GRANT BREAKDOWN OF REGIONAL BULK INFRASTRUCTURE GRANT ALLOCATIONS PER LOCAL MUNICIPALITY PER PROJECT Breakdown of regional bulk infrastructure grant allocations per local municipality per project Schedule 5, Part B Schedule 6, Part B National and Municipal Financial Year National and Municipal Financial Year RBIG 6B Rietspruit Waste Water Treatment Works- 50Ml/day upgrade (Sedib eng RWWTW) B GT421 Emfuleni Local Municipality Emfuleni, Midvaal and City of Johann esberg - - - 180 000 140 000 240 000 RBIG 6B Leeuwkuil Waste Water Treatment Works 15 Ml/day upgrade (Sedibe ng RWWTW) B GT421 Emfuleni Local Municipality Emfuleni, Midvaal and City of Johann esberg - - - 120 000 220 000 120 000 RM05 Sebokeng Waste Water Treatment Works B GT421 Emfuleni Local Munici pality Emfuleni Local Municipality - - - 250 000 180 000 246 384 RL62 Vaal River System Intervention B GT421 Emfuleni Local Municipality Emfuleni Local Municipality - - - 51 221 62 122 56 504 RL04 Meyerton Waste Water Treatment Works B GT422 Midvaal Local Municip ality Midvaal Local Municipality - - - 45 000 - - Total: Sedibeng Municipalities - - - 646 221 602 122 662 888 RM06 Westonaria Regional Bulk Scheme Sanitation (Zuurbekom & Hannes van Niekerk) B GT485 Rand West City Local Municipality Rand West City Local Municipal ity - - - 55 000 100 000 60 343 RS56 Mohlakeng Pump Station and Sewer Outfall B GT485 Rand West City Lo cal Municipality Rand West City Local Municipality - - - 45 000 47 250 49 372 - - - 100 000 147 250 109 715 - - - 746 221 749 372 772 603 RBIG 5B Mandlakazi Bulk Water Supply C DC26 Zululand District Municipality uPhongolo and Nongoma Local Municipalities 370 085 308 278 372 120 - - - 370 085 308 278 372 120 - - - RBIG 5B Greater Mthonjaneni Bulk Water Supply C DC28 King Cetshwayo Distri ct Municipality Mthonjaneni and Nkandla Local Municipalities 179 356 308 278 322 119 - - - 179 356 308 278 322 119 - - - 549 441 616 556 694 239 - - - RBIG 6B Giyani Water Treatment Works Upgrade - Phase 2 (Nsami) C DC33 Mopa ni District Municipality Greater Giyani Local Municipality - - - 85 500 183 583 191 826 RM08 Giyani Water Services C DC33 Mopani District Municipality Greater G iyani Local Municipality - - - 10 181 - - RL29 Mametja Sekororo Bulk Water Supply C DC33 Mopani District Municipa lity Maruleng Local Municipality - - - 176 998 140 278 156 934 RS135 Bambanana Pipeline - Phase 1 C DC33 Mopani District Municipality Ma ruleng Local Municipality - - - 228 795 208 000 217 339 - - - 501 474 531 861 566 099 RBIG 6B Nandoni Water Treatment Works Upgrade C DC34 Vhembe District Munic ipality Makhado Local Municipality - - - 181 429 265 000 267 285 - - - 181 429 265 000 267 285 BFI Polokwane Regional Wastewater Treatment Works B LIM354 Polokwane Local Municipality Polokwane Local Municipality 688 100 869 600 560 800 - - - Total: Capricon Municipalities 688 100 869 600 560 800 - - - RM04 Mogalakwena Bulk Water Supply B LIM367 Waterberg District Municipa lity Mogalakwena Local Municipality - - - 30 000 - - Total: Waterberg Municipalities - - - 30 000 - - RM12 Nebo Bulk Water Supply C DC47 Se khukhune Distric t Municipality Tubatse Local Municipality and - - - 69 819 - - - - - 69 819 - - 688 100 869 600 560 800 782 722 796 861 833 384 Total: Vhembe MunicipalitiesTotal: Sekhukhune MunicipalitiesTotal: Limpopo MunicipalitiesTotal: Mopani Municipalities GAUTENG Total: West Rand MunicipalitiesTotal: Gauteng Municipalities KWAZULU-NATAL Total: Zululand MunicipalitiesTotal: King Cetshwayo MunicipalitiesTotal: KwaZulu-Natal Municipalities LIMPOPO 323 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) Project Code Project Name Category Water Services Authority Benefitting Municip ality APPENDIX W5 APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: REGIONAL BULK INFRASTRUCTURE GRANT BREAKDOWN OF REGIONAL BULK INFRASTRUCTURE GRANT ALLOCATIONS PER LOCAL MUNICIPALITY PER PROJECT Breakdown of regional bulk infrastructure grant allocations per local municipality per project Schedule 5, Part B Schedule 6, Part B National and Municipal Financial Year National and Municipal Financial Year RBIG 5B Empul/Methu/Amster Bulk Water Supply B MP301 Chief Albert Luthuli Local Municipality Chief Albert Luthuli Local Municipality 175 887 79 744 83 325 - - - RBIG 5B Upgrading of Carolina Waste Water Treatment Works B MP301 Chief Al bert Luthuli Local Municipality Chief Albert Luthuli Local Munic ipality 25 000 - - - - - RBIG 5B Chief Albert Luthuli Bulk Water Project B MP301 Chief Albert Luthu li Local Municipality Chief Albert Luthuli Local Municipality 20 000 155 423 162 401 - - - RBIG 5B Msukalingwa Regional Bulk Water Supply - Phase1 B MP302 Msukaligwa Local Municipality Msukaligwa Local Municipality 145 000 100 000 154 490 - - - RBIG 5B Ermelo Waste Water Treatment Works B MP302 Msukaligwa Local Municipality Msukaligwa Local Municipality 135 000 50 000 52 245 - - - RBIG 6B Amsterdam and Sheepmore Bulk Water Scheme B MP303 Mkhondo Local Municipality Mkhondo and Msukaligwa Local Municip ality - - - 70 000 30 110 - RS153 Lekwa Waster Supply (Re-purposing/Operations) B MP305 Lekwa Local Municipality Lekwa Local Municipality - - - 10 000 59 072 61 724 RS155 Lekwa Waste Services B MP305 Lekwa Local Municipality Lekwa Local M unicipality - - - - 5 200 5 433 RL53 Balf/Siyat/Greyl/Willem/Nthor Bulk Water Supply B MP306 Dipaleseng Local Municipality Dipaleseng Local Municipality - - - - 31 200 32 601 RBIG 6B Embalenhle Bulk Sewer and Waste Water Treatment Works Refurbish ment and Upgrading B MP307 Goven Mbeki Local Municipality Goven Mbeki Local Municipality - - - 4 598 10 400 10 867 Total: Gert Sibande Municipalities 500 887 385 167 452 461 84 598 135 982 110 625 RBIG 5B Emalahleni RBWS (Conditional Assessment) B MP312 Emalahleni Local Municipality Emalahleni Local Municipality 50 000 - - - - - RBIG 5B Refurbishment and Upgrading of Boskrans Waste Water Treatment W orks B MP313 Steve Tshwete Local Municipality Steve Tshwete Local Municipalit y 40 000 41 796 - - - RBIG 5B Refurbishment and Upgrading of Kwazamokhule Waste Water Treatme nt Works B MP313 Steve Tshwete Local Municipality Steve Tshwete Local Municipalit y - 30 000 31 347 - - - RL35 Thembisile Water Scheme (Loskop) B MP315 Thembisile Hani Local Mun icipality Thembisile Local Municipality - - - 220 000 138 000 198 452 RL36 Western Highveld (Rust de Winter) Bulk Water Supply Scheme B MP31 6 Dr JS Moroka Local Municipality Dr JS Moroka and Thembisile Hani Local Municipalities - - - - 10 400 10 867 Total: Nkangala Municipalities 50 000 70 000 73 143 220 000 148 400 209 319 RBIG 5B Thaba Chweu Regional Bulk Water Supply (Leroro, Matibidi, Morem ela) B MP321 Thaba Chweu Thaba Chweu - 30 000 31 347 - - - RS37 Driekoppies Upgrading B MP324 Nkomazi Local Municipa lity Nkomazi Local Municipality - - - 81 040 100 000 50 000 RS30 Upgrade of KaMhlutshwa Waste Water Treatment Works (Nyathi) B MP3 24 Nkomazi Local Municipality Nkomazi Local Municipality - 30 600 31 974 - - - RBIG 5B Upgrading of Mkhuhlu Waste Water Treatment Works B MP325 Bushbuck ridge Local Municipality Bushbuckridge Local Municipality - 40 000 41 796 - - - - 100 600 105 117 81 040 100 000 50 000 550 887 555 767 630 721 385 638 384 382 369 944 RS28 Upgrading of Upington /Kameelmont Wasterwater treatment works B N C087 Dawid Kruiper Local Municipallity Dawid Kruiper Local Munici pallity - - - 90 000 69 300 73 592 - - 90 000 69 300 73 592 BFI Sol Plaatjie Local Municipality - Integrated Bulk Supply System Intervention B NC091 Sol Plaatje Local Municipality Sol Plaatje Local Municipality 579 000 490 000 254 000 - - - Warrenton Waste Water Treatment Works B NC093 Magareng Local Munic ipality Magareng Local Municipality - - - 15 000 - - 579 000 490 000 254 000 15 000 - - RBIG6b Kathu Bulk Water Supply: Seshengu Bulk Water Supply and B ulk Storage B NC453 Gamagara Local Municipality Gamagara Local Muni cipality - - - - 10 700 10 000 - - - - 10 700 10 000 579 000 490 000 254 000 105 000 80 000 83 592 MPUMALANGA Total: Ehlanzeni MunicpalitiesTotal: Mpumalanga Municipalities NORTHERN CAPE Total: Z.F. Mgcawu MunicipalitiesTotal: Frances Baard MunicipalitiesTotal: John Taolo Gaetsewe MunicipalitiesTotal: Northern Cape Municipalities 324 2026/27 2027/28 2028/29 2026/27 2027/28 2028/29 (R'000) (R'000) (R'000) (R'000) (R'000) (R'000) Project Code Project Name Category Water Services Authority Benefitting Municip ality APPENDIX W5 APPENDIX TO SCHEDULE 5, PART B AND SCHEDULE 6, PART B: REGIONAL BULK INFRASTRUCTURE GRANT BREAKDOWN OF REGIONAL BULK INFRASTRUCTURE GRANT ALLOCATIONS PER LOCAL MUNICIPALITY PER PROJECT Breakdown of regional bulk infrastructure grant allocations per local municipality per project Schedule 5, Part B Schedule 6, Part B National and Municipal Financial Year National and Municipal Financial Year RL15 Moretele South Bulk Water Supply (Klipdrift) B NW371 Moretele Loca l Municipality Moretele Local Municipality - - - - 75 152 78 526 RL09 Madibeng Bulk Water Supply (Brits) B NW372 Madibeng Local Municipa lity Madibeng Local Municipality - - - 58 112 29 236 30 549 - - - 58 112 104 388 109 075 RS32 Ratlou Bulk Water Supply C DC38 Ngaka Modiri Molema Local Municip ality Ratlou Local Municipality - - - - 10 400 10 867 RL33 Mafikeng South Bulk Water Supply C DC38 Ngaka Modiri Molema Local Municipality Mafikeng Local Municipality - - - 140 000 54 080 56 508 - - - 140 000 64 480 67 375 RBIG 5B Taung/Naledi Bulk Water Supply (Phase 1 to 3) C DC39 Dr Ruth Segomotsi Mompati District Municipality Naledi and Greater Taung Local Municipalities 309 041 - - - - - RBIG 5B Greater Mamusa Bulk Water Supply (Phase 1 to 4) - Bloemhof C DC39 Dr Ruth Segomotsi Mompati District Municipality Mamusa Local Municipality 56 151 - - - - - RBIG 5B Kagisano Molapo Bulk Water Supply C DC39 Dr Ruth Segomotsi Mompati District Municipality Kagisano-Molopo Local Municipa lity 10 336 - - - - - RBIG 5B Tlapeng - Cluster 2 C DC39 Dr Ruth Segomotsi Mompati District Municipality Kagisano-Molopo Local Municipa lity 3 879 - - - - - RBIG 5B Morokweng BWS - Cluster 4 C DC39 Dr Ruth Segomotsi Mompati District Municipality Kagisano-Molopo Local Municipa lity - 126 110 226 338 - - - RBIG 5B Cluster 2: Bulk water upgrading for Ganyesa Cluster C DC39 Dr Ruth Segomotsi Mompati District Municipality Kagisano-Molopo Local Municipa lity - 50 000 49 155 - - - RBIG 5B Cluster 5: Bulk water upgrading for Tlakgameng Cluster C DC39 Dr Ruth Segomotsi Mompati District Municipality Kagisano-Molopo Local Municipa lity - 86 061 95 306 - - - RBIG 5B Refurbishment & Upgrade of Christiana Water Purification Works & Asbestos Reticulation Replacement C DC39 Dr Ruth Segomotsi Mompati District Municipality Lekwa Teemane Local Municipality - 104 561 114 016 - - - 379 407 366 732 484 815 - - - RS35 Potchefstroom Waste Water Treatment Works upgrade (Tlokwe) - Phase 1 to 5 B NW405 JB Marks Local Municipality JB Marks Local Municipality - - - - 74 880 78 242 - - - - 74 880 78 242 Total: North West Municipalities 379 407 366 732 484 815 198 112 243 748 254 692 RS134 Clanwilliam /Lambertsbaai Regional Water Supply and Desali nation B WC014 Cederberg Local Municipality Cederberg Local Munici pality - - - - 16 843 17 599 - - - - 16 843 17 599 BFI Drakenstein Local Municipality - Sanitation Infrastructure P roject B WC023 Drakenstein Local Municipality Drakenstein Local Mun icipality 225 000 - - - - 225 000 - - - - - 225 000 - - - 16 843 17 599 3 901 746 3 864 717 3 649 002 3 214 822 3 343 116 3 447 0 17 Total: Cape Winelands MunicipalitiesTotal: Western Cape Municipalities National Total Total: Bojanala Platinum MunicipalitiesTotal: Ngaka Modiri Molema MunicipalitiesTotal: Dr Ruth Segomotsi Mompati MunicipalitiesTotal: Dr Kenneth Kaunda Municipalities WESTERN CAPE Total: West Coast Municipalities NORTH WEST 325 APPENDIX W6 (National Financial Years) APPENDIX TO SCHEDULE 5, PART A: B REAKDOWN OF THE EARLY CHILDHOO D DEVELOPMENT GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE 326 Basic Education (Vote 16) 2026/272027/282028/29 (R'000)(R'000)(R'000) Early Childhood Development Grant Eastern Cape 684 319 1 006 676 1 015 881 Free State 333 792 522 150 561 822 Gauteng 855 420 1 263 485 1 282 263 KwaZulu-Natal 769 769 1 161 194 1 206 687 Limpopo 743 503 1 125 849 1 170 418 Mpumalanga 368 570 553 011 571 884 Northern Cape 106 410 159 910 169 789 North West 306 527 435 186 424 127 Western Cape 442 363 675 424 714 551 Total 4 610 674 6 902 886 7 117 421 of which: Infrastructure Component Eastern Cape 34 499 36 607 37 761 Free State 17 568 18 543 19 077 Gauteng 48 748 51 809 53 486 KwaZulu-Natal 49 114 52 201 53 891 Limpopo 39 064 41 477 42 799 Mpumalanga 20 298 21 455 22 089 Northern Cape 9 409 9 839 10 073 North West 14 670 15 451 15 878 Western Cape 34 217 36 306 37 450 Total: Infrasructure Component 267 587 283 688 292 504 Subsidy Component Eastern Cape 649 820 970 069 978 120 Free State 316 224 503 607 542 745 Gauteng 806 672 1 211 676 1 228 777 KwaZulu-Natal 720 655 1 108 993 1 152 796 Limpopo 704 439 1 084 372 1 127 619 Mpumalanga 348 272 531 556 549 795 Northern Cape 97 001 150 071 159 716 North West 291 857 419 735 408 249 Western Cape 408 146 639 118 677 101 Total: Subsidy Component 4 343 087 6 619 198 6 824 917 APPENDIX W6 APPENDIX TO SCHEDULE 5, PART A: BREAKDOWN OF THE EARLY CHILDHOOD DEVELOPMENT GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE Early Childhood Development Grant National Financial Year Province/Components 327 APPENDIX W7 (National Financial Years) APPENDIX TO SCHEDULE 5, PART A: B REAKDOWN OF THE DISTRICT HEALT H PROGRAMMES GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE 328 Health (Vote 18) 2026/272027/282028/29 (R'000)(R'000)(R'000) District Health Programmes Grant Eastern Cape 3 243 220 3 379 704 3 489 272 Free State 1 771 382 1 845 856 1 905 648 Gauteng 6 358 455 6 625 748 6 840 368 KwaZulu-Natal 7 785 465 8 112 811 8 375 628 Limpopo 2 650 569 2 761 302 2 850 302 Mpumalanga 2 723 670 2 837 878 2 929 616 Northern Cape 792 268 825 468 852 137 North West 1 972 463 2 055 075 2 121 445 Western Cape 2 251 705 2 346 285 2 422 236 Total 29 549 197 30 790 127 31 786 652 of which: Comprehensive HIV/AIDS Component Eastern Cape 2 976 312 3 102 140 3 203 084 Free State 1 592 494 1 659 826 1 713 837 Gauteng 5 709 937 5 951 339 6 144 998 KwaZulu-Natal 7 010 039 7 306 425 7 544 180 Limpopo 2 088 429 2 176 721 2 247 552 Mpumalanga 2 323 055 2 421 269 2 500 058 Northern Cape 666 199 694 366 716 960 North West 1 641 780 1 711 191 1 766 873 Western Cape 1 990 000 2 074 136 2 141 629 Total 25 998 245 27 097 413 27 979 171 District Health Component Eastern Cape 266 908 277 564 286 188 Free State 178 888 186 030 191 811 Gauteng 648 518 674 409 695 370 KwaZulu-Natal 775 426 806 386 831 448 Limpopo 562 140 584 581 602 750 Mpumalanga 400 615 416 609 429 558 Northern Cape 126 069 131 102 135 177 North West 330 683 343 884 354 572 Western Cape 261 705 272 149 280 607 Total 3 550 952 3 692 714 3 807 481 APPENDIX W7 APPENDIX TO SCHEDULE 5, PART A: BREAKDOWN OF THE DISTRICT HEALTH PROGRAMMES GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE District Health Programmes Grant National Financial Year Province/Components 329 APPENDIX W8 (National Financial Years) APPENDIX TO SCHEDULE 5, PART A: B REAKDOWN OF HUMAN RESOURCES AN D TRAINING GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE 330 Health (Vote 18) 2026/272027/282028/29 (R'000)(R'000)(R'000) Human Resources and Training Grant Eastern Cape 623 758 641 183 663 054 Free State 304 655 318 318 329 175 Gauteng 2 006 712 2 096 702 2 168 228 KwaZulu-Natal 824 774 861 763 891 158 Limpopo 395 971 407 835 421 745 Mpumalanga 299 521 307 989 318 494 Northern Cape 163 702 166 699 172 385 North West 294 646 302 274 312 584 Western Cape 995 246 1 039 877 1 075 352 Unallocated - 31 337 32 406 Total 5 908 985 6 173 977 6 384 581 of which: Statutory Human Resources Component Eastern Cape 321 515 335 933 347 389 Free State 131 946 137 863 142 564 Gauteng 886 257 926 004 957 585 KwaZulu-Natal 436 764 456 352 471 915 Limpopo 226 707 236 875 244 953 Mpumalanga 155 229 162 191 167 722 Northern Cape 49 751 51 983 53 756 North West 141 166 147 497 152 527 Western Cape 402 383 420 429 434 767 Total 2 751 718 2 875 127 2 973 178 Training Component Eastern Cape 302 243 305 250 315 665 Free State 172 709 180 455 186 611 Gauteng 1 120 455 1 170 698 1 210 643 KwaZulu-Natal 388 010 405 411 419 243 Limpopo 169 264 170 960 176 792 Mpumalanga 144 292 145 798 150 772 Northern Cape 113 951 114 716 118 629 North West 153 480 154 777 160 057 Western Cape 592 863 619 448 640 585 Unallocated - 31 337 32 406 Total 3 157 267 3 298 850 3 411 403 APPENDIX W8 APPENDIX TO SCHEDULE 5, PART A: BREAKDOWN OF HUMAN RESOURCES AND TRAINING GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE Human Resources and Training Grant National Financial Year Province/Components 331 APPENDIX W9 (National Financial Years) APPENDIX TO SCHEDULE 5, PART A: B REAKDOWN OF EPWP INTEGRATED GR ANT FOR PROVINCES: TARGETS AND ALLOCATIONS PER PROVINCIAL DEPARTMENTS 332 Province/Provincial Department 2026/27 2027/282028/29 (R'000)(R'000)(R'000) EASTERN CAPE Agriculture 1 230 - - Community Safety 3 234 - - Co-op Governance and Traditional Affairs 3 291 - - Economic Development and Environmental Affairs 2 975 - - Education 35 875 - - Health 12 349 - - Human Settlement 2 887 - - Public Works 9 105 - - Social Development 8 729 - - Sports, Recreation, Arts and Culture 3 080 - - Transport 44 184 - - Total: Eastern Cape 126 939 - - FREE STATE Agriculture and Rural Development 2 020 - - Economic, Small Business Development, Tourism and Environmental Affairs 3 115 - - Education 8 007 - - Health 10 206 - - Human Settlement 2 567 - - Police, Roads and Transport 6 241 - - Public Works and Infrastructure 5 370 - - Social Development 6 289 - - Sports, Arts, Culture and Recreation 3 023 - - Total: Free State 46 838 - - GAUTENG Community Safety 6 833 - - Co-operative Governance and Traditional Affairs 2 325 - - Environment 6 351 - - Health 15 223 - - Human Settlement 3 191 - - Infrastructure Development 12 636 - - Roads and Transport 10 089 - - Social Development 13 769 - - Sports, Arts, Culture and Recreation 3 081 - - Total: Gauteng 80 569 - - KWAZULU-NATAL Agriculture and Rural Development 4 759 - - Community Safety and Liaison 3 976 - - Co-operative Governance and Traditional Affairs 3 549 - - Economic Development, Tourism and Environmental Affairs 6 680 - - Education 20 784 - - Health 27 010 - - Human Settlement 2 168 - - Public Works 4 648 - - Social Development 14 288 - - Sport, Arts and Culture 3 987 - - Transport 58 505 - - Total: KwaZulu-Natal 150 354 - - LIMPOPO Agriculture and Rural Development 4 615 - - Economic Development, Environment and Tourism 2 980 - - Education 16 211 - - Health 22 351 - - Public Works, Roads and Infrastructure 12 090 - - Social Development 4 951 - - Sports, Arts and Culture 3 442 - - Transport and Community Safety 2 351 - - Total: Limpopo 68 991 - - MPUMALANGA Agriculture, Rural Development, Land and Environmental Affairs 5 294 - - Community Safety, Security and Liason 3 859 - - Co-operative Governance, Human Settlements and Traditional Affairs 3 606 - - Culture, Sports and Recreation 2 052 - - Economic Development and Tourism 4 632 - - Education 2 161 - - Health 10 148 - - Public Works, Roads and Transport 5 584 - - Social Development 4 212 - - Total: Mpumalanga 41 548 - - 47 27 60 157 64 45 291 60 186 52 1 955 60 39 761 70 82 40 33 81 39 211 1 047 131 608 89 87 270 28 164 179 30 83 198 41 Expanded Public Works Programme Integrated Grant for Provinces FTE Target for 2026/27 16 42 43 39 466 161 38 40 104 133 113 40 574 118 National Financial Year 1 650 26 APPENDIX W9 28 132 73 55 541 31 898 69 50 62 52 46 APPENDIX TO SCHEDULE 5, PART A: BREAKDOWN OF EPWP INTEGRATED GRANT FOR PROVINCES: TARGETS AND ALLOCATIONS PER PROVINCIAL DEPARTMENTS 351 333 Province/Provincial Department 2026/27 2027/282028/29 (R'000)(R'000)(R'000) Expanded Public Works Programme Integrated Grant for Provinces FTE Target for 2026/27 National Financial Year APPENDIX W9 APPENDIX TO SCHEDULE 5, PART A: BREAKDOWN OF EPWP INTEGRATED GRANT FOR PROVINCES: TARGETS AND ALLOCATIONS PER PROVINCIAL DEPARTMENTS NORTHERN CAPE Co-operative Governance, Human Settlements and Traditional Affairs 3 035 - - Economic Development and Tourism 2 951 - - Education 3 311 - - Health 10 398 - - Roads and Public Works 3 674 - - Social Development 5 457 - - Sport, Arts and Culture 2 608 - - Transport, Safety and Liaison 3 109 - - Total: Northern Cape 34 543 - - NORTH WEST Agriculture and Rural Development 3 428 - - Arts, Culture, Sports and Recreation 3 245 - - Community Safety and Transport Management 3 513 - - Cooperative Governance and Traditional Affairs 2 699 - - Economic Development, Environment, Conservation and Tourism 3 987 - - Education 7 657 - - Health 11 150 - - Public Works and Roads 15 185 - - Social Development 4 582 - - Total: North West 55 446 - - WESTERN CAPE Agriculture 2 656 - - Police Oversight and Community Safety 5 006 - - Cultural Affairs and Sport 5 236 - - Education 8 894 - - Environmental Affairs and Development Planning 3 265 - - Health and Wellness 9 486 - - Infrastructure 5 655 - - Social Development 3 290 - - Total: Western Cape 43 488 - - Unallocated- 681 152 703 119 Grand Total 648 716 681 152 703 119 34 40 448 135 48 71 39 38 43 74 43 566 - 8 435 60 722 35 65 68 45 42 46 35 52 116 42 123 100 145 197 334 APPENDIX W10 (National Financial Years) APPENDIX TO SCHEDULE 6, PART A: B REAKDOWN OF SCHOOL INFRASTRUCT URE BACKLOGS GRA NT: ALLOCATIONS PER PROVINCE 335 Basic Education (Vote 16) 2026/272027/282028/29 (R'000)(R'000)(R'000) School Infrastructure Backlogs Grant Eastern Cape 216 877 - - Free State 30 000 - - Gauteng - - - KwaZulu-Natal 89 655 - - Limpopo 12 500 - - Mpumalanga - - - Northern Cape 98 645 - - North West - - - Western Cape - - - Unallocated Total 447 677 - - APPENDIX W10 APPENDIX TO SCHEDULE 6, PART A: BREAKDOWN OF SCHOOL INFRASTRUCTURE BACKLOGS GRANT: ALLOCATIONS PER PROVINCE School Infrastructure Backlogs Grant National Financial Year Province 336 APPENDIX W11 (National Financial Years) APPENDIX TO SCHEDULE 6, PART A: B REAKDOWN OF NATIONAL HEALTH IN SURANCE INDIRECT GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE 337 Health (Vote 18) 2026/272027/282028/29 (R'000)(R'000)(R'000) National Health Insurance Indirect Grant Eastern Cape 422 172 439 161 452 989 Free State 135 777 141 217 145 637 Gauteng 99 990 103 987 107 230 KwaZulu-Natal 77 409 80 496 82 997 Limpopo 1 162 771 1 143 484 1 178 671 Mpumalanga 207 114 215 431 222 195 Northern Cape 77 409 80 496 82 997 North West 181 050 188 316 194 222 Western Cape 77 409 80 496 82 997 Unallocated 119 218 124 260 128 130 Total 2 560 319 2 597 344 2 678 065 of which: Health Facility Revitalisation Component Eastern Cape 344 763 358 665 369 992 Free State 58 368 60 721 62 640 Gauteng 22 581 23 491 24 233 KwaZulu-Natal - - - Limpopo 1 085 362 1 062 988 1 095 674 Mpumalanga 129 705 134 935 139 198 Northern Cape - - - North West 103 641 107 820 111 225 Western Cape - - - Total 1 744 420 1 748 620 1 802 962 Health Systems Component Eastern Cape 77 409 80 496 82 997 Free State 77 409 80 496 82 997 Gauteng 77 409 80 496 82 997 KwaZulu-Natal 77 409 80 496 82 997 Limpopo 77 409 80 496 82 997 Mpumalanga 77 409 80 496 82 997 Northern Cape 77 409 80 496 82 997 North West 77 409 80 496 82 997 Western Cape 77 409 80 496 82 997 Unallocated 119 218 124 260 128 130 Total 815 899 848 724 875 103 APPENDIX TO SCHEDULE 6, PART A: BREAKDOWN OF NATIONAL HEALTH INSURANCE INDIRECT GRANT: ALLOCATIONS PER GRANT COMPONENT PER PROVINCE National Health Insurance Indirect Grant National Financial Year Province/Components APPENDIX W11 338 APPENDIX W12 (National Financial Years) APPENDIX TO SCHEDULE 4, PART A: B REAKDOWN OF RING-FENCED DISAST ER FUNDING: PER PROVINCE PER GRANT 339 2026/272027/282028/29 (R'000)(R'000)(R'000) Provincial Roads Maintenance Grant Eastern Cape 707 618 - - Free State - - - Gauteng - - - KwaZulu-Natal - - - Limpopo 803 940 - - Mpumalanga - - - Northern Cape - - - North West - - - Western Cape - - - Total 1 511 558 - - APPENDIX W12 APPENDIX TO SCHEDULE 4, PART A: BREAKDOWN OF RING-FENCED DISASTER FUNDING: PER PROVINCE PER GRANT Ring-Fenced Disaster Allocations National Financial Year Province/Grant Name Printed by Creda Communications ISBN 978-1-4850-1069-9 340 --- Document Separator --- REPUBLIC OF SOUTH AFRICA SPECIAL APPROPRIATION (2025/26 FINANCIAL YEAR) BILL (As introduced in the National Assembly (proposed section 77)) (The English text is the offıcial text of the Bill) (MINISTER OFFINANCE) [B 3—2026]ISBN 978-1-4850-1058-6 BILL To appropriate amounts of money for the requirements of the State for the 2025/26 financial year; and to provide for matters connected therewith. B E IT ENACTED by the Parliament of the Republic of South Africa, as follows:— Appropriation of amount of money for expenditure authorised in terms of section 6 of Appropriation Act 1.An amount of R13.519 billion is hereby appropriated from the National Revenue Fund for the 2025/26 financial year for expenditure approved in terms of section 6(1)(c) of the Appropriation Act, 2025 (Act No. 3 of 2025), and attributed to votes and the main division within a vote, and for the purposes that are specified, are set out in Schedule 1 to this Act. Appropriation of amount of money for expenditure for requirements of State 2.(1) An amount of R8.498 billion is hereby appropriated from the National Revenue Fund for the requirements of the State in the 2025/26 financial year and attributed to votes and the main divisions within a vote, and for the purposes that are specified, are set out in Schedule 2 to this Act. (2)(a)Despite the effective date of this Act, the appropriations referred to in subsection (1) and the expenditure thereof, incurred by 31 May 2026, must be regarded as appropriations and expenditure for the 2025/26 financial year. (b)A request for roll-over envisaged in the Public Finance Management Act, 1999 (Act No. 1 of 1999), of any unspent funds of an appropriation in subsection (1) may be submitted on or before 5 June 2026. Application of Appropriation Act 3.The Appropriation Act, 2025, applies to the appropriations envisaged in sections 1 and 2 with the necessary changes. Short title 4.This Act is called the Special Appropriation (2025/26 financial year) Act, 2026. 5 10 15 20 25 R'000R'000R'000R'000R'000R'000R'000 22 081 241** Purpose: 51 116 024 1 116 024 Purpose: 1 116 024 1 116 024 Of which Departmental agencies and account s – Electoral Commission of South Africa: 2026 local government elections 1 116 024 81 800 000 1 800 000 Purpose: 1 800 000 1 800 000 Of which * – Credit Guarantee Vehicle: Contribution to capitalisation 1 800 000 30189 000 189 000 Purpose: 189 000 189 000 Of which Public corporation s – Sentech: Dual illumination costs 189 000 408 333 000 8 333 000 Purpose: 8 333 000 8 333 000 Of which Public corporation s – Development Bank of Southern Africa: Infrastructure Fund * – North Corridor Reinstatement Project 4 937 000 * – Iron Ore Corridor 3 396 000 13 519 265 9 638 024 1 800 000 * Specifically and Exclusively Appropriated ** TOTAL The disaggregation of the vote per main division to be determined by Parliament in terms of the Financial Management of Parliament and Provincial Legislatures Act, 2009 Transpor t Lead the provision of an integrated, sustainable, reliable and safe transport system through planning, developing, coordinating, promoting and implementing transport policies, regulations and strategies. 3 Rail Transport Facilitate and coordinate the development of sustainable rail transport policies, rail economic and safety regulation, and infrastructure development strategies that reduce system costs and improve customer service. Oversee rail public entities and the implementation of integrated rail services. Communications and Digital Technologies Create an enabling environment for inclusive growth in the ICT sector by developing policies and legislation that promote infrastructure investment and socioeconomic development. 5 ICT Infrastructure Development and Support Promote investment in robust, reliable, secure and affordable ICT infrastructure that supports the provision of a multiplicity of applications and services. National Treasur y Support economic growth and development, good governance, social progress and rising living standards through the accountable, economical, efficient, equitable and sustainable management of public finances, the maintenance of macroeconomic and financial sector stability, and the effective financial regulation of the economy. 4 Asset and Liability Managemen t Manage government’s annual funding programme in a manner that ensures prudent cash management and an optimal portfolio of debt and other fiscal obligations. Promote and enforce the prudent financial management of state- owned entities through financial analysis and oversight. Provide institutional support and transfer funds to the Electoral Commission, the Represented Political Parties' Fund and the Border Management Authority. SCHEDULE 1 VoteMain Division Current Payments Transfers and Subsidies Payments for Capital Assets Payments for Financial Assets Compensation of Employees Goods and Services Interest and Rent on Land Parliament Provide the support services required by Parliament to fulfil its constitutional functions, assist political parties represented in Parliament to secure administrative support and service constituents, and provide members of Parliament with the necessary facilities. Home Affairs Efficiently determine and safeguard the identity and status of citizens. Regulate immigration to ensure security, promote development and fulfil South Africa’s international obligations. 4 Institutional Support and Transfers 3 R'000R'000R'000R'000R'000R'000R'000 81 000 000 1 000 000 Purpose: 1 000 000 1 000 000 Of which * – World Bank Group: Purchase of shares in International Finance Corporation 1 000 000 30700 000 700 000 Purpose: 700 000 700 000 Of which Public corporation s – Sentech: Operations 700 000 406 797 546 6 797 546 Purpose: 5 777 546 5 777 546 Of which Departmental agencies and account s – Passenger Rail Agency of South Africa – Rolling stock fleet renewal programme 5 777 546 1 020 000 1 020 000 Of which Public corporation s – Development Bank of Southern Africa: Infrastructure Fund – Durban Container Terminal: Berth 203 – 205 reconstruction, deepening and lengthening 1 020 000 8 497 546 7 497 546 1 000 000 * Specifically and Exclusively Appropriated TOTAL Transport Lead the provision of an integrated, sustainable, reliable and safe transport system through planning, developing, coordinating, promoting and implementing transport policies, regulations and strategies. 3 Rail Transport Facilitate and coordinate the development of sustainable rail transport policies, rail economic and safety regulation, and infrastructure development strategies that reduce system costs and improve customer service. Oversee rail public entities and the implementation of integrated rail services. 6 Maritime Transport Promote a safe, reliable and economically viable maritime transport sector through the development and implementation of policies and strategies, and oversee maritime public entities. Communications and Digital Technologies Create an enabling environment for inclusive growth in the ICT sector by developing policies and legislation that promote infrastructure investment and socioeconomic development. 4 ICT Enterprise and Public Entity Oversight Oversee and manage government’s shareholding interest in ICT public entities and state-owned companies. Facilitate the growth and development of small, medium and micro enterprises in the ICT sector. National Treasur y Support economic growth and development, good governance, social progress and rising living standards through the accountable, economical, efficient, equitable and sustainable management of public finances, the maintenance of macroeconomic and financial sector stability, and the effective financial regulation of the economy. 6 International Financial Relations Manage South Africa’s interests in shaping regional and global policies that advance the economic, financial and development objectives of the country and Africa. SCHEDULE 2 VoteMain Division Current Payments Transfers and Subsidies Payments for Capital Assets Payments for Financial Assets Compensation of Employees Goods and Services Interest and Rent on Land Printed by Creda Communications ISBN 978-1-4850-1058-6 4

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