Treasury tabulates SANDF bang for buck

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The Estimates of National Expenditure is again providing annual insight into the workings of the South African National Defence Force. The Vote 19 Defence Document explains that “key defence policy in the short term (one year) “is to prepare, maintain and employ current defence capabilities”.
“In the medium term (three years), policy development is aimed at creating an affordable and sustainable force structure and rightsizing and rejuvenating its human resources. In the long term (10 years), the focus is on attaining the optimal level of competencies, technology and force structure to defend and protect South Africa and its territorial integrity,” the Treasury document avers.
The ENE restates that the “main objective of the Department of Defence is to defend and protect South Africa, its territorial integrity and its people, in accordance with the Constitution and the principles of international law regulating the use of force. The department also continues to provide support to United Nations (UN) and African Union (AU) initiatives aimed at promoting  peace, stability and security in Africa and the Southern African Development Community (SADC).
It states the SANDF`s strategic and operational priorities as
·         A resourced and flexible defence force: The core growth one force concept of ensuring that regular and reserve forces constitute an integrated defence force aims to ensure that the South African National Defence Force is designed to provide a core nucleus of capabilities that can be expanded and developed when required by government. To ensure a defence force that is capable of defending South Africa at any time, 77 400 reserve members will be called up over the MTEF period. Through the two-year military skills development system, the department aims to equip 24 565 young South Africans with basic military skills.
·         Current peace support operations in Africa: The South African National Defence Force, which includes land, air, maritime defence and military health support, is currently deployed in UN and AU peace support operations, mainly in the Democratic Republic of the Congo, Burundi and Sudan. Security, peace and stability in the region and the continent are promoted not only through peace support operations, but also through humanitarian assistance and disaster relief, support for government initiatives, and post-conflict reconstruction and training. The South African National Defence Force prepares capabilities annually to support these operations, by ensuring the deployment and support of an average of 3024 members per day over the MTEF period.
·         Internal deployment: For internal deployment, the South African National Defence Force is prepared to support other government departments in five operations over the MTEF period, in terms of border security, safety and security, disaster aid and relief, search and rescue, and the 2010 FIFA World Cup. Twenty-four joint, interdepartmental and multinational military exercises are planned to take place over the MTEF period. “These exercises are critical for force readiness.”
The ENE also gives a breakdown of objectives, yardsticks and spending priorities for each service: 
SA Army
The SA Army must in the coming year “defend and protect South Africa and its territory by”:
·         providing 3 infantry battalions a year for external deployment, 1 air landed battalion and 2 multi-role battalions in reserve, and 4 battalions involved in exercises
·         exercising 1 tank regiment and 1 armoured car regiment a year
·         exercising 1 composite artillery regiment and 1 light (parachute) artillery battery, and having 1 light artillery battery in reserve a year
·         exercising 1 air defence artillery regiment and 1 light (parachute) air defence artillery battery, and having 1 light air defence artillery battery in reserve a year
·         providing 3 engineer squadrons for external deployment, 1 composite engineer squadron for internal deployment and 1 composite engineer squadron for internal reserve, and exercising 1 light (parachute) engineer squadron a year
·         providing 2 signal regiments a year for external deployment, internal reserve and involvement in exercises.
“Over the MTEF period, Landward Defence spending will provide for forces for internal and external deployments according to government requirements, as confirmed by the department`s strategic guidelines. The South African Army will continue to prepare its forces to comply with military strategic objectives, and facilitate individual formal training to ensure career progress. Assets will be maintained and managed within budget to support deployments and force preparation. The South African Army will renew its capabilities according to government imperatives and national strategic objectives.”
The ENE states the Landward Defence programme accounts for an average of 27.7% of the department`s total expenditure, which increases from R5.6 billion in 2005/06 to R10 billion in 2011/12 at an average annual rate of 10.1%. This is mainly due to additional funding for:
·         increasing the number of military skills development system members;
·         financing the increased maintenance requirements of the South African Army`s ageing operational vehicle fleet;
·         initiating landward defence equipment renewal projects;
·         procuring critical ammunition; and
·         establishing a works regiment.
The projected 31% increase (the exact figures are in the ENE document on the Treasury website) in the Engineering Capability subprogramme in 2009/10 is due to the delivery milestones of the recovery vehicle and minefield breeching programmes.
The 22.2% increase in the Artillery Capability subprogramme in 2010/11 is due to the delivery milestones of the G6 mobile cannon upgrade programme (Project Muhali) and the light artillery capability programme (LEO, Project Musuku).
The projected increase of 24.3% in the Support Capability subprogramme in 2010/11 is due to the migration of the signal formation and the Wonderboom and Garrison support bases from the command and management information systems and logistics divisions back to the South African Army.
The decreases of 37.9% and 36.4% in the Armour Capability and Artillery Capability subprogrammes in 2008/09 are because the main battle tank upgrade programme (Project Atolasa) and the artillery target location and fire control systems (Project Klooster) were finalised in 2007/08. The projected 39.4% decrease in the Air Defence Artillery Capability subprogramme is due to the finalisation of the new generation, man portable, ground to air missile programme in 2010/11 (GBADS I, Project Guardian).
The Operational Intelligence subprogramme peaks over 2008/09 and 2009/10 due to the acquisition of a mobile intelligence processing system (Project Cytoon). The projected 24.3% increase in the Support Capability subprogramme in 2010/11 is due to the development and acquisition of a mass field feeding system (field kitchen, Project Teamster) and an operational supply product support system (Project Vistula).
The increases of 15.4% in 2007/08 and 35.2% in 2009/10 in the General Training Capability subprogramme are due to increased provisions for the military skills development system and the establishment of a works regiment.
The substantial increase of 238.4% in the Strategic Direction subprogramme in 2009/10 is for two annual military exercises, Seboka (military skills development system integration) and Young Eagle (military skills development system airborne). The average annual increase of 8.6% in payments for capital assets between 2005/06 and 2011/12 is due to the replacement of obsolete vehicles, diesel engines, hand tool sets, parachutes and small craft, as well as the South African Army`s efforts to improve its technical service capability.
SA Air Force
The SAAF must defend and protect South Africa and its airspace by providing:
·         4 helicopter squadrons and 1 combat support squadron a year
·         3 medium transport squadrons, 1 maritime and transport squadron, 1 light transport squadron and
·         9 reserve squadrons at the required readiness levels a year
·         1 air combat squadron a year
·         a 24-hour air command and control capability.
Over the MTEF period, Air Defence spending will focus on creating and restoring capacity and capabilities to supply prepared forces and support these forces once deployed. To create air systems capacity, the spending focus is on integrating new systems to ensure sustainability. To ensure the sustainability of human resources, the spending focus is on developing and maintaining skills and retaining scarce skills.
The Air Defence programme accounts for an average 29.7% of the department`s total expenditure, and increases from R7.9 billion in 2005/06 to R9.4 billion in 2011/12 at an average annual rate of 2.9 per cent. The projected decrease of 13.5% in total spending in 2010/11 is due to production and delivery milestones in the strategic airlift capability (Airbus A400M, Project Continent) and light fighter aircraft procurement project (Project Ukhozi), which peaks in 2009/10. This also explains the sharp decrease of 52.6% in the Air Combat Capability subprogramme in 2010/11.
The Helicopter Capability subprogramme declined at an average annual rate of 4.2% between 2005/06, from R1.4 billion to R1.2 billion. It is expected to decline further at an average annual rate of 10.9% over the medium term to reach R844.3 million in 2011/12. These decreases are due to the finalisation of the maritime helicopter (Project Maulstic) and light utility helicopter projects (Project Flange) in 2009/10 and 2010/11.
The average annual increases over the medium term of 32.3% in the Training Capability subprogramme, 8.1% in the Command and Control Capability subprogramme, and 51.8% in the Operational Support and Intelligence Capability subprogramme are due to the upgrade of the Pilatus PC7 Mk11 Astra trainer aircraft and radar and ground navigation systems, and the replacement of fire fighting vehicles.
SA Navy
The SAN must defend and protect South Africa and its maritime zones by providing:
·         a surface combat capability of 4 frigates, 1 combat support vessel, 3 offshore patrol vessels, 3 inshore patrol vessels and a maritime reaction squadron in each annual operational cycle
·         a sub-surface combat capability of 3 submarines in each annual operational cycle
·         2 mine countermeasures systems in each annual operational cycle to ensure safe access to South African harbours, and where mine clearance may be required
·         an ongoing hydrographic survey capability to ensure safe navigation in charting areas and to meet an international obligation.
Over the MTEF period, Maritime Defence spending will focus on the preparation and maintenance of the approved force structure elements (deployable assets) and the associated force structure (supporting elements), including the associated human resources at the required readiness levels, to meet maritime defence commitments in a sustained manner. It will also focus on finalising all activities for the full acceptance and integration of the strategic defence package frigates, helicopters and submarines. The South African Navy will continue to develop naval capabilities for government peace support operations and engagements in Africa.
The Maritime Defence programme accounts for an average 8.1% of the department`s total expenditure.
Programme expenditure decreases from R3 billion in 2005/06 to R2.1 billion in 2011/12, at an average annual rate of 5.5%, mainly due to the commissioning of the frigates (Project Sitron) and submarines (Project Wills) in the first half of the seven-year period. This also explains the decreases of 19.8% in 2006/07, 31.9%in 2007/08 and 58.9% in 2008/09 in the Maritime Combat Capability subprogramme.
The increase of 114.7 %in the Maritime Logistics Support Capability subprogramme between 2006/07
and 2007/08 was because items with a logistical function under the Maritime Combat Capability subprogramme were shifted to the Maritime Logistics Support Capability subprogramme.
The projected 22% increase in the Maritime Direction subprogramme in 2011/12 is based on the South African Navy`s staffing targets over the MTEF period to recruit Public Service Act (1994) personnel for combat, technical, diving and submarines functions.
Transfers and subsidies took up an average of 51.3% of programme expenditure between 2005/06 and
2008/09 due to the procurement of the frigates and submarines as part of the strategic defence procurement programme. The projected average annual increase of 57.8% in payments for capital assets over the medium term makes provision for investment in the sea mine detection capability for use during the 2010 FIFA World Cup and the upgrade of existing training facilities at SAS SALDANHA to cater for the increased military skills development system intake.
SA Military Health Service
The SAMHS must over the next year provide prepared and supported health capabilities and services by providing:
·         a health support capability of 5 medical battalion groups per year, including 1 specialist medical battalion group, for deployed and contingency forces
·         a military health service which provides a comprehensive multidisciplinary health service to a projected patient population of 230 000 members per year.
Over the MTEF period, Military Health Support spending will focus on contributing to force preparation to improve the readiness of the South African National Defence Force. Health is an imperative for government, and the South African Military Health Service is mandated to act as the health service provider for soldiers and their dependants, as well as approved clientele such as principals, VIPs and other dignitaries, and vulnerable groups such as military veterans.
Over the MTEF period, the health service will direct spending towards improving health care services. Projects will focus on improving operational support capabilities, and tertiary, specialist and geographic or base orientated capabilities. The training capability will be improved to ensure competency in health care human resources. The service will develop its disaster management capability and its capability to assist in a national crisis.
The Military Health Support programme accounts for an average 7.6 %of the department`s total budget. Spending increases from R1.6 billion in 2005/06 to R2.8 billion in 2011/12, at an average annual rate of
10.2 per cent. This is mainly due to the higher than average increase in the remuneration of health professionals, the rollout of antiretrovirals, and increased military skills development system intakes.
The projected average annual increase of 25.8% in the Mobile Military Health Support Subprogramme and 16.1% in the Military Health Product Support Capability subprogramme over the MTEF period is due to the start of the defence against chemical and biological warfare project (Project Mutchkin), the planned building of a new military health depot, and the improvement and maintenance of the health informatics system.
The increase of 30.2% in the Military Health Training Capability subprogramme between 2008/09 and
2009/10 is due to the provision of additional funding for the military skills development system. The projected increase of 53.3% in the Base Support Capability subprogramme in 2011/12 is for the planned reactivation of military health technical support capabilities through regular and reserve members.
The provision for the defence against chemical and biological warfare project is included in the projected average annual increase of 56% in transfers and subsidies over the medium term. The average annual increases of 9.1% and 9.4% in compensation of employees and goods and services over the medium term are due to additional allocations for the military skills development system and the procurement of medical consumables.
Defence Intelligence
Although the detail of the output of Defence Intelligence is classified (and not available to the public) the ENE states that over the MTEF period Defence Intelligence spending will focus on the provision of strategic and operation intelligence and counterintelligence to support ministry and department activities, and government.
The Defence Intelligence programme increases from R219.5 million in 2005/06 to an expected R646.8 million in 2011/12, at an average annual rate of 19.7%. The high average increase is due to the planned
investment in and development of a strategic information collection capability in the Operations subprogramme. (Media reports have said this is a military satellite on order from Russia.  
General Support
The logistics establishment must this year provide general support capabilities and services by:
·         ensuring 90 %serviceability of deployed equipment by providing a joint logistic operational support group
·         repairing and maintaining the department`s infrastructure at 33 bases over the next 3 years (12 in 2009/10, 9 in 2010/11 and 12 in 2011/12).
The DoD ICT establishment must provide the department with key information and communication systems by:
·         ensuring that the mainframe service is available 98 %of the time and the wide area network 95 %of the time
·         providing information and communication systems solutions in accordance with the defence enterprise information systems master plan (DEIS MP), as per the programme and project milestones and associated deliverables.
The Military Police Agency must reduce the number of new criminal cases under investigation by the military police by 5% a year by sustaining 1 provost company for deployment, 22 area offices and 22 detachments for investigations and crime prevention, and 2 military correctional facilities.
Over the MTEF period, General Support spending will focus on:
·         facilities management (primarily repair and maintenance and capital works and property management) and managing and maintaining logistic information systems;
·         maintaining and supporting existing information and communication systems (ordered commitments), renewing the department`s information communication systems, and sustaining the division`s core capability, including human resources;
·         providing specialist advice to the department on anti-criminality matters and the protection and security of departmental assets, preparing and providing military police members for operations, and providing military police functions to the department; and
·         providing for the personnel from the United Kingdom Department of Defence who provide services to the South African National Defence Force
The General Support programme comprises an average 10% of the department`s total expenditure. Spending increases from R1.7 billion in 2005/06 to R4 billion in 2011/12, at an average annual rate of 15%. The Joint Logistics Services subprogramme, responsible for the largest portion of expenditure in this programme, is expected to increase at an average annual rate of 12.8% over the MTEF period, mainly due to additional allocations for the repair and maintenance of defence infrastructure and facilities, as well as the upgrading of runways and hardstands at the Air Force Base Waterkloof. These additional allocations also explain the substantial average annual increases in goods and services and payments for capital assets of 18.3% and 22.8% over the seven-year period.
The increase of 9.3% in the Departmental Support subprogramme in 2009/10 is due to additional provisions for public private partnership transactional advisors and for chartering aircraft. The projected increase of 35.6% in the Technology Development subprogramme in 2010/11 is due to investment in the test and evaluation capability, and electronic and missile technology research and development.
Force Employment
The Joint Operations Division must provide and manage defence capabilities, including an operational capability, to conduct operations and joint and multinational military exercises by:
·         providing and employing special operations capability in line with national requirements conducting an average of 12 external peace missions per year in accordance with requirements to promote peace and security
·         conducting 24 joint, interdepartmental and multinational military force preparation exercises over the next 3 years (excluding Special Force exercises)
·         undertaking missions in support of other government departments, and complying with international obligations.
Over the MTEF period, Force Employment spending will focus on strategic and operational direction for the force employment programme. This includes planning and control of joint, interdepartmental and multinational exercises, relating to peace support operations and general military assistance and support to other government departments, as well as the provision of a special forces capability.
Expenditure in the Force Employment programme increases at an average annual rate of 3.5 per cent, rising from R1.6 billion in 2005/06 to an expected R2 billion in 2011/12. The Regional Security subprogramme remains the dominant subprogramme, consuming an average 52.4% of the programme budget. It increases from R751.8 million in 2005/06 to R1.1 billion in 2011/12, mainly due to increased peace support missions in Africa.
The projected average annual increases of 10% in the Operational Direction subprogramme and
6.4% in the Special Operations subprogramme over the MTEF period are due to staffing operational structures, developing and procuring highly specialised equipment and ammunition, providing for fuel, and implementing an incentive scheme to attract and retain Special Forces operators.
Spending in the Support to the People subprogramme decreased at an average annual rate of 25.4% between 2005/06 and 2008/09, and is expected to decrease by a further average annual rate of 0.4% over the medium term due to the planned reduction in support to the South African Police Service.
The average annual increase of 5% in goods and services over the seven-year period is due to the relatively high cost of fuel and rations.