Questions and Replies

Reply:

a) (i) (ii) (iii) and (iv) R56 commences just outside of Pietermaritzburg and navigate the eastern region of the KZN province. It consists of various sections of roads which are Main road P5; P416; N2; P609 and traverse the towns of Richmond, Ixopo, Umzimkhulu and Kokstad respectively, R56 then further extends outside the border of the KwaZulu Natal province to Matatiele.

The KwaZulu Natal Department of Transport embarked on an exercise to do Condition Assessment for the Province for the total paved network of approximately 7650 kilometres consisting of provincial and district roads.

Upon completion of the exercise, it was found that 66% of the entire network was not in a good condition. A priority list was deduced based on the severity of defects on the roads and using the limited available funding, rehabilitation measures were implemented.

Route 56 has always been a high priority as it forms part of a link between the provinces of KwaZulu Natal, Eastern Cape and the country of Lesotho and over the years the KZN Department of Transport has done rehabilitation work to ensure safe transition and will continue to plan for maintenance activities accordingly.

b) Whilst 32 kilometers of P609 which is the nearest section of road from the KZN province region to the Eastern Cape boarder, towards Matatiele, it can be confirmed that the rehabilitation plans are only envisaged to commence during the 2020-21 financial year. With the current condition of the road being deemed as poor due to defects related to functionality, the structural capacity of the road is however relevantly sound and poses no risk to the design life of the road or any other unanticipated catastrophic failures. However, holding maintenance measures in a form of patching and pothole repairs where necessary will be conducted on an ongoing basis to ensure safe driving conditions.

Reply:

(a) This information is provided in tables 1.1 to 3.9 attached.

(b) The inspections were performed by the South African Bureau of Standards (SABS) in their capacity as the Inspectorate for Testing Stations.

(c) Due to the volume of data, the findings were summarised and listed in tables 1.1 to 3.9 attached under the columns “Recommendations” and “Comments”.

(d) (i) and (ii) This information is provided in tables 1.1 to 3.9 attached.

(e) (i) and (ii) Vehicle Testing Stations are inspected in accordance with the prescripts of the National Road Traffic Act (93 of 1996) and the Regulations together with the South African National Standards (SANS) referred to in the Act namely SANS 10216:2017 titled Evaluation of Vehicle Test Stations and SANS 10047:2009 titled Testing of motor vehicles for roadworthiness.

(f) (i) This information is provided in tables 1.1 to 3.9 attached.

(ii) Upon conclusion of each inspection the SABS leaves detailed findings with the Management Representative of the vehicle testing station or a suitable person in the absence of the management representative. The vehicle testing station is requested by the SABS to supply proof of evidence that they have applied corrective and preventative action to address the findings as raised during each inspection. In the event that the Inspectorate received no corrective or preventative action, or where such corrective or preventative action is not acceptable, the Inspectorate makes a suitable recommendation to the respective Province. A TS4 recommendation can be regarded as a warning that findings can lead to suspension. A TS5 recommendation is a recommendation for suspension. The final decision to suspend or close the Vehicle Testing Station and any corrective action rests upon the MEC of the Province.

Reply:

a) Two times;

b) 12 October 2017 and 16 October 2017;

c) Issues around Operating Licenses, System challenges, Legislation challenges, Taxi Recapitalisation Programme, Taxi Empowerment and Law Enforcement Challenges were raised as part of the discussion;

d) Refer to (c) above;

e) That the Department and NTA will continue to engage formally and informally on critical issues that affect the taxi industry and also rope in provinces where necessary; and

f) (i) Engagement will be ongoing.

(ii) Engagement will be ongoing.

Reply:

(a) (i) It was not the role of the Department to conduct any investigation. The reprieve was to allow the operators to procure and ensure that they comply with the provisions of the Act.

   (ii) Not applicable, falls away

(b) The Department is going to ensure that the provisions of legislation is complied with because the industry was given time to ensure that they comply with the requirements of the prescribed legislation.

Reply:

With regard to the Gauteng Local Division of the High Court of South Africa case 08744/2016 between a certain person (Rudolph Gerhardus steyn) and the Road Accident Fund, (a) the date of payment to the plaintiff is unknown, and (b) the payment has not yet been made because the amount of damages due to the claimant must still be agreed between the parties or ordered by the court, consequently payment is not yet due.

Reply:

Department

(1)(a) The Department has not used the KPMG services in the recent part.

(b) Not applicable

(c)(d)(e)(f) Not applicable

(2) Not applicable

Airports Company South Africa SOC Limited (ACSA)

(1)(a) ACSA confirms that it has conducted and completed a review of its relationship with KPMG in light of market developments

(b) Contracts awarded and scope of work for each were identified and reviewed.

(c) Business unit management (users) and Finance were responsible for the reviews.

(d) The reviews have been completed.

(f) Review focused on determining the nature of work contracted for - ACSA confirms that KPMG are on a non-statutory panel and that KPMG are not used to undertake assurance work.

2. No irregular activity or action identified.

Air Traffic and Navigation Services SOC Limited (ATNS)

(1)(a) KPMG is currently managing ATNS’s fraud hotline. Their role is limited to logging of calls only. The responsibility to investigate calls as logged is mandated to the ATNS Internal Audit department. ATNS reviews the relationship with its service providers annually or as and when contracts are due for renewal.

(b) N/A

(c) N/A

(d) N/A

(e) N/A

(2) N/A

Cross-Border Road Transport Agency

The Cross-Border Road Transport does not have any work relationship with KPMG. Therefore, (1) Not applicable;

(2) not applicable.

Road Accident Fund

(1) (a) The Road Accident Fund (RAF) finalised an internal review into the work of KPMG and did not identify any quality concerns, but the Board intends to meet with KPMG on 23 November 2017 to discuss the parties’ continued relationship in light of the reputational risk that exists for the RAF, questions (b), (c), (d), (e) and (f) are not applicable since no further reviews are planned, at this time;

(2) the internal review and standard supply chain management contract review processes performed by the RAF did not uncover any irregular activity or action on the part of KPMG, but should any such irregular activity or action come to light in future the RAF’s actions will be informed by the nature of the particular irregular activity or action; the specific contractual agreements in place; and, the law as it pertains to the particular irregular activity or action.

Road Traffic Infringement Agency

(1) (a) The review is scheduled for 22 December 2017

(b) The review will be in the form of an assessment of the deliverables, validity and quality thereof, in relation to the specifications for managing the anti-Fraud and Corruption Hotline.

(c) Legal and Risk Management units in the Agency

(d) 3 months from start to completion

(e) With effect from December 2015 when they were appointed.

(f) Review the terms of the contract for manning the anti-Fraud and Corruption Hotline.

(2) Termination of the contract

Road Traffic Management Corporation

The RTMC has no continuous relationship with KPMG

South African National Roads Agency Limited

(1)&(2) SANRAL’s contractual relationship with KPMG ended on 31 October 2017. KPMG provided tax advisory services to SANRAL from 1 May 2015. The assignments were mostly driven by SARS queries on compliance issues for VAT purposes. The submissions were reviewed by SANRAL and SARS. No further reviews will be conducted.

South African Civil Aviation Authority (SACAA)

The South African Civil Aviation Authority does not do any work with KPMG.

Passenger Rail Agency of South Africa (PRASA)

1. (a) Prasa has no contract with KMPG

(b) Not applicable

(c) Not applicable

(d) Not applicable

(e) Not applicable

(f) Not applicable

Railway Safety Regulator (RSR)

1. (a) The RSR does not have any current contract or work performed for the past three years by KPMG

(b) Not applicable

(c) Not applicable

(d) Not applicable

(e) Not applicable

(f) Not applicable

2. Not applicable

Ports Regulator of South Africa (PRSA)

1. (a) The Ports Regulator currently does not have a business/contractual relationship with KPMG and has not transacted with KPMG in the past, therefore there’s no need to review any working relationship. (b) N/A, (c) N/A, (d) N/A, (e) N/A and (f) N/A.
2. N/A

South Africa Maritime Safety Authority (SAMSA)

(1) The South African Maritime Authority (SAMSA) does not have (nor has it had in the last five years) any business relationship with KPMG.

(2) Given the recent negative publicity around KMPG, it is highly unlikely that SAMSA will be engaging the services of KPMG, not unless all matters pertaining to the negative publicity have been clarified by National Treasury.

Reply:

a) (i) What is the total number of e-toll offices in the country

The e-toll offices are only limited to the GFIP project in Gauteng. The number of GFIP e-toll offices are as follows:

Type of e-toll Customer Service Center	Quantity
Satellite Centers	12
Permanent Kiosks	21
Temporary Kiosks	3

(ii) Where is each office located?

Permanent Kiosks [Customer Service centres]
Westgate Shopping Centre PK16	120 Ontdekkers Road, Horizon, Roodepoort
Maponya Mall PK10	Old Potchefstroom Road, Soweto / 2127 Chris Hani Road, Klipspruit Ext5, Soweto
Southgate Mall - Johannesburg PK17	Cnr Columbine Avenue & Rifle Range Road, Mondeor, Johannesburg
Cresta Mall PK03	Cnr Beyers Naudé Drive & Weltevreden Road, Cresta Ext 4, Randburg
Cedar Square PK06	Cnr Cedar & Willow Roads, Fourways, Sandton
Pepper Square PK18	Cnr North Rand RD and Oosthuizen RD Boksburg
Bonaero Centre PK04	Cnr Atlas & Geldenhuys Road, Bonaero Park, Kempton Park
Lakeside Mall PK19	Tom Jones Street, Benoni
The Glen PK02	Cnr Orpen & Letaba Streets, Oakdene, Johannesburg
Alberton City PK05	Voortrekker Street, CBD, Alberton
Trade Route Mall – Lenasia Pk15	Cnr K43 & Nirvana Roads, Lenasia, 1820
N4 Doornpoort plaza CSC01	N4 Rustenburg highway
N4 Doornpoort plaza CSC02	N4 Rustenburg highway
Kolonnade PK09	Cnr Dr. Van der Merwe & Zambezi Drive, Montana Park, Pretoria
Menlyn Park Shopping Centre PK11	Cnr Atterbury Road & Lois Ave, Menlo Park, Pretoria
Jakaranda Shopping Centre PK08	Corner of Michael Brink & Frates Rd. Rietfontein Pta
Centurion Mall PK01	Heuwel Avenue, CBD, Centurion
Mall @ Reds PK20	Cnr Hendrik Verwoed & Roohuiskraal Drives, Rooihuiskraal Ext 15, Centurion
San Ridge Square Midrand PK13	Cnr New & Lever Roads
Parkview Mall Pk21	Cnr K43 & Nirvana Roads, Lenasia, 1820
Irene Village Mall PK07	Cnr Nellmapius Ave & Van Ryneveld Roads, Irene, Pretoria, 0157
Temporary Kiosks [Customer Service centres]
The Grove Shopping Centre TK23	Cnr. Lynnwood rd & Simon Vermooten rd.
Centurion Lifestyle Centre TK24	Cnr Old Johannesburg and Lenchen Road in Centurion
Killarney Mall TK20	60 Riviera Road, Killarney, Johannesburg
Satellite Centres [Customer Service centres]
SC01 - Rigel	N1 North, off-ramp Rigel Avenue
SC03 - Rivonia	N1 South, off-ramp Rivonia Avenue
SC04A - BP Oasis North	The Oasis, Cnr Beyers Naudé Drive & N1 North Highway
SC04B - BP Oasis South	The Oasis, Cnr Beyers Naudé Drive & N1 South Highway
SC04C - 14th Avenue	Sentinal Avenue, off 14th Avenue, Northcliff, Randburg
SC05 - Golden Highway	N1 South, Goldern highway off ramp, Viking Filling station
SC06 - Kliprivier	N12 West, Kliprevier Off ramp, Ridgeway, Johannesburg South
SC07 - Grey	N3 South, off-ramp Grey Avenue
SC08 - Modderfontein	N3 South off-ramp, Modderfontein Road.
SC09 - Jetpark	N12 East, Jet Park, Boksburg
SC10A - Engen North	Engen Highveld One Stop, R21 North
SC10B - Engen South	Engen Highveld One Stop, R21 South

b) For Incident Management Services:

Central Operating Centre	Shift 1 - 06:00 to 18:00 & Shift 2 - 18:00 to 06:00	25
14th avenue		19
Golden Highway		14
Grey Avenue		17
Jet Park		16
Klip Rivier		13
Modderfontein		20
Route 21		17
Rigel Avenue		21
Rivonia		19

For Customer Services:

The e-toll contractor is compensated in terms of required service levels for customer services as specified in the contract and the managers, supervisors and agents are scheduled and deployed (7 days a week) taking into account the manning levels and 8-hours shifts. The operating hours of these service centers extends beyond normal close of business.

The number of persons currently employed to provide these services on the GFIP project are:

Employee Category	Quantity
Area Managers	7
Supervisors	84
Operators	259

A summary of the current deployment of persons is provided below:

CSC	Operating Hours and Manning levels
	Weekday Trading Hours (Monday - Thursday)	Friday Trading Hours	Saturday Trading Hours	Sunday Trading Hours	Public Holiday Trading Hours
	Trading Hours	Manning Levels	Trading Hours	Manning Levels	Trading Hours	Manning Levels	Trading Hours	Manning Levels	Trading Hours	Manning Levels
PK19 - Lakeside Mall	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 14:00	3	09:00 - 14:00	3
PK09 - Kolonnade	09:00 - 19:00	3	09:00 - 19:00	3	09:00 - 18:00	3	09:00 - 16:00	3	09:00 - 17:00	3
PK16 - Westgate	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 14:00	3	09:00 - 14:00	3
SC06 - Kliprivier	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	5
	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5		5
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		5
SC10a - R21 Engen North	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	4
	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4		4
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		4
PK10 - Maponya Mall	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 17:00	3
PK11 - Menlyn Park	09:00 - 19:00	3	09.00 - 21:00	3	09:00 - 19:00	3	09:00 - 17:00	3	09:00 - 17:00	3
SC01 - Rigel	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	6
	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6		6
	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3		6
PK07 - Irene Village Mall	09:00 - 19:00	3	09:00 - 20:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 17:00	3
PK14 - Pepper Square	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 17:00	3	09:00 - 14:00	3	09:00 - 14:00	3
PK02 - The Glen	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 16:00	3	09:00 - 16:00	3
SC08 - Modderfontein	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	6
	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6		6
	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3		6
PK05 - Alberton City	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 14:00	3	09:00 - 14:00	3
PK03 - Cresta Mall	09:00 - 18:00	3	09:00 - 19:00	3	09:00 - 18:00	3	09:00 - 15:00	3	09:00 - 15:00	3
SC07 - Grey Avenue	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	6
	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6		6
	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3		6
PK08 - Jakaranda	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 15:00	3	09:00 - 14:00	3	09:00 - 14:00	3
SC03 - Rivonia	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	6
	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6	08:00 - 17:00	6		6
	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3	17:00 - 22:00	3		6
SC10b - R21 Engen South	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	4
	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4		4
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		4
PK01 - Centurion Mall	09:00 - 19:00	3	09:00 - 20:00	3	08:00 - 18:00	3	09:00 - 17:00	3	09:00 - 17:00	3
TK24 - Centurion Lifestyle	09:00 - 18:00	2	09:00 - 18:00	2	08:30 - 15:00	2	09:00 - 13:00	2	09:00 - 13:00	2
PK15 - Trade Route Mall	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 15:00	3	09:00 - 15:00	3
TK30 - Parkview	09:00 - 19:00	2	09:00 - 20:00	2	09:00 - 19:00	2	09:00 - 17:00	2	09:00 - 19:00	2
TK23 - The Grove	09:00 - 18:00	2	09:00 - 18:00	2	09:00 - 17:00	2	09:00 - 17:00	2	09:00 - 17:00	2
SC09 - Jetpark	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	5
	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5		5
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		5
TK09 - Mall @ Reds	09:00 - 18:00	2	09:00 - 18:00	2	08:00 - 17:00	2	09:00 - 14:00	2	09:00 - 16:00	2
Doornpoort West	10:00 - 18:00	2	10:00 - 18:00	2	10:00 - 18:00	2	10:00 - 18:00	2	10:00 - 18:00	2
PK04 - Bonaero Centre	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 14:00	3	09:00 - 14:00	3
PK17 - Southgate Mall	09:00 - 18:00	3	09:00 - 19:00	3	09:00 - 18:00	3	09:00 - 15:00	3	09:00 - 15:00	3
PK13 - San Ridge Square	09:00 - 18:00	3	09:00 - 18:00	3	08:30 - 17:00	3	09:00 - 13:00	3	09:00 - 14:00	3
SC04a - BP Oasis North	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	4
	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4		4
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		4
14th Avenue	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	5
	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5		5
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		5
SC04b - BP Oasis South	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	4
	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4	08:00 - 18:00	4		4
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		4
TK20 - Killarney Mall	09:00 - 18:00	2	09:00 - 18:00	2	09:00 - 17:00	2	09:00 - 15:00	2	09:00 - 15:00	2
Doornpoort East	07:00 - 15:00	2	07:00 - 15:00	2	07:00 - 15:00	2	07:00 - 15:00	2	07:00 - 15:00	2
SC05 - Golden Highway	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	06:00 - 08:00	3	08:00 - 17:00	5
	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5	08:00 - 18:00	5		5
	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3	18:00 - 22:00	3		5
PK06 - Cedar Square	09:00 - 18:00	3	09:00 - 18:00	3	09:00 - 17:00	3	09:00 - 15:00	3	09:00 - 15:00	3

c) For Incident Management Services at the SANRAL Customer Service Centers:

ORS Operations Manager	The ORS Operations Manager is responsible for the overseeing of the day to day operations. The incumbent will be responsible for the reporting of incidents, KPI’s related to operations as well as liaise with all other stakeholders within the ORS environment.
ORS Fleet Manager	The ORS Fleet Manager is responsible for the overseeing of the day to day operations. The incumbent will be responsible for the reporting of incidents, KPI’s related to operations as well as liaise with all other stakeholders within the ORS environment.
ORS Area Manager	The ORS Area Manager is responsible for the day to day Management of his/her area of work i.e. he/she has to manage the shift change, manage and report to ON ROAD incidents in the required time frames, to manage safety and additional services at the ON ROAD incident and to ensure post incident data is transferred according to SOP
ORS Q & A Training Officer	To provide a professional Training and Development service to all TETI ORS staff and ensure that the best talent with the appropriate skills is available as well as to ensure an environment and culture that supports high performance.
ORS Administrator	To provide a general administrative and logistical service for the overall efficient running of the On-Road Services. Provide a supporting role to the On-Road Services Management (Fleet and Operations) in the general day-to-day operational requirements.
H-TRU Driver	To respond to incidents as dispatched by the TMC within a required time and to remove any heavy vehicles from where it causes danger or obstruction to a ‘safer’ place on the side of the freeway
L-TRU Driver	To respond to incidents as dispatched by the TMC within a required time and to remove any light vehicles from where it causes danger or obstruction to a ‘safer’ place on the side of the freeway
IRU Driver / TSO	The TSO is responsible for the Incident Response Unit (IRU) and the crew consisting of two flagmen and a BLS medic as well as all equipment and documentation of the vehicle. To respond to incidents in the required time frame, to provide on scene safety, keep in constant communication with the TMC, cooperate and assist other services on scene, collect all relevant information on scene and complete the required documentations, supervise and oversee the IRU crew.
Basic Life Support Technician	To provide first line basic medical support to injured motorists on incident scenes and to assist the MRU/MMRU paramedic and/or another qualified medical staff on scene where required. Where there is no patients or assistance to other medical staff required to provide scene safety as a flagman.
Flagman	To provide scene safety by setting up the closure and to provide traffic control by performing flagman duties according to prescribed procedures

For Customer Services:

Area Managers	Implement, manage and monitor customer service outlet/centre operational activities to achieve performance objectives. Management, coaching and training of customer service outlet/Centre supervisor personnel to drive quality customer service and e-toll account management services.
Supervisors	The Supervisor is responsible for the daily management of a customer service outlet to ensure availability and quality of customer services to Road Users for account registration, queries and claims and account payments against TCH / VPC e-toll accounts.
Operators	Provide availability and quality customer service to walk-in customers; providing customers with product and service information. Perform all system related tasks: Enter new customer information into system; Update existing customer information; Identify and escalate priority issues; Manage and resolve customer complaints; Register road users on CRM; Handle customer complaints and queries; Process cash and card transactions and Assist road users to navigate the website and installing tags in road user’s vehicles.

d) What were the monthly running costs of each office in the past three financial years

The compensation for services are not made on a center by center basis, but on the collective number of shifts manned and other related costs such as municipal fees, maintenance costs and rental costs. A reconciliation of the monthly running costs will comprise unbundling of payment items. The figures below reflect the overall costs related to the customer services provided at customer service centers:

2015/2016 = R 88 694 744,98 (total for the year)

2016/2017 = R 95 227 072,15 (total for the year

2017/2018 = R 50 451 413,56 (year to date)

e) What income has been generated by each office in the past three financial years

As part of customer services provided, road users do make top-ups at these centers or pay their invoices. For the different financial years, the following collective road user payments were received at these centers:

	Revenue (Financial year)
	2014/2015	2015/2016	2016/2017	2017/2018
April	19 915 658	13 004 920	20 619 986	21 129 261
May	22 741 000	15 357 006	20 385 130	20 479 538
June	22 142 500	15 947 121	19 324 436	21 107 051
July	20 500 489	16 793 255	20 045 998	22 156 294
August	19 802 208	15 253 531	18 994 527	20 739 284
September	17 267 399	13 571 803	18 851 062	21 097 535
October	15 881 764	14 252 734	19 418 923	21 107 265
November	13 925 891	13 288 272	19 007 095	5 046 731
December	12 606 423	18 809 217	23 022 078
January	12 170 534	18 142 352	17 021 558
February	12 560 086	16 397 786	16 082 784
March	13 315 478	19 937 292	21 214 187
Total	R 202 829 431	R 190 755 287	R 233 987 766	R 152 862 959

f) How was the income generated by each office?

The income stated in e) above is based on the payments received from road users who made top-ups or opted to settle their accounts at an office, as opposed to any of the on-line electronic payment options available.

Reply:

Department

REPLY

1. (a) of and (ii) each entity reporting to him, (b) what criteria were used when granting the specified increases in each grade of employee in each case and (c) who authorised the increases in each specified financial year;

(a) What salary, remuneration or benefit increases have been granted in each salary grade to employees in (i) his department in each of the past three financial years:

PAST THREE FINANCIAL YEARS	LOWER LEVEL EMPLOYEES - SALARY LEVELS 1 TO 10	MIDDEL MANAGEMENT – SALARY LEVEL 11 & 12	SMS MEMBERS – SALARY LEVEL 13 - 16
2015-04-01	7%	7%	5.5%
2016-04-01	7,6%	7,6%	Wef 2016/01/01: Level 13: 4% Level 14 & 15: 2,5% Level 16: 2%
2017-04-01	7,3%	7,3%	5.5%

(b) The salary increases of employees who are employed by the State and fall within the registered scope of the Public Service Co-ordinating Bargaining Council (PSCBC) are determined by National Treasury based on the average projected CPI and approved by the Minister for Public Service and Administration.

(c) 

Section 3 (5)(a) of the Public Service Act, 1994, as amended, (Act) prescribed that subject to the Labour Relations Act and any collective agreement, the Minister for Public Service and Administration may make determinations regarding any conditions of service of employees generally or categories of employees, including determinations regarding a salary scale for all employees or salary scales for particular categories of employees and allowances for particular categories of employees.

Furthermore, in terms of section (6) (a) of the Act, any provision of a collective agreement contemplated in subsection (4), concluded on or after the commencement of the Public Service Amendment Act, 2007, shall, in respect of conditions of service of employees appointed in terms of the Act, be deemed to be a determination made by the Minister for Public Service and Administration.

(2)

(a)

(i) A service bonus/13th cheque of 100% of an employees’ gross monthly basic salary is paid to employees on salary levels 1 to 10. In the case of MMS or SMS members (salary level 11 and above), the 13th cheque may be structured from the flexible portion of their all-inclusive remuneration package.

(ii) Performance incentives (bonus)

PAST THREE FINANCIAL YEARS	LOWER LEVEL EMPLOYEES - SALARY LEVELS 1 TO 10	MIDDEL MANAGEMENT – SALARY LEVEL 11 & 12	SMS MEMBERS – SALARY LEVEL 13 - 16
2015-04-01
2016-04-01
2017-04-01

b)

Service bonus/13th cheque

In terms of PSCBC Resolution 3 of 1999 “an employee shall receive a service bonus if she or he

(a) has a permanent contract or a fixed-term contract lasting at least three months, unless the contract specifies otherwise, and

(b) in the year ending on her or his bonus date, does not resign or undergo discharge due to misconduct.”

(c)

Service bonus/13th cheque

As indicated in paragraph 1 (b) and (c) above, the Minister for Public Service and Administration determines the conditions of service of employees appointed in terms of the Act.

Airports Company South Africa SOC Limited (ACSA)

1. (a) Salary increase for employees including Executives; and

Housing subsidy for only Basic salaries employees on A to C Band.

(i) Airports Company South Africa SoE

(ii) Salary Increase

Remuneration Increases	Grades	% Increase
2015 Financial Year	SOL 1 to 3 (Unionized)	8%
	SOL 3 to 5	7.5%
	SOL 6	6.5%
	SOL 7 and 8	6%
2016 Financial Year	A3 to C3 (Unionized)	8.5%
	C4 to D5	7.5%
	E1 to E3 Executives	6.5%
		6.5%
2017 Financial Year	A3 to C3 (Unionized)	8.1%
	C4 to D5	7.5%
	E1 to E3 Executives	7%

• housing subsidy for only Basic salaries employees on A to C Band

• 2015 Financial Year – No increase
• 2016 Financial Year – No Increase
• 2017 Financial Year – All housing subsidy was increase to R1,500 taxable

(b) what criteria were used when granting the specified increases in each grade of employee in each case and

2015, 2016 and 2017 increases are based on:

• Projected inflation i.e. CPI as determined by stats SA (CPI refers to the Annual Percentage Change in the Consumer Price Index, excluding interest rates on mortgage bonds);
• Internal equity;
• External market movement;
• Supporting variables such performance;
• Company Affordability

• Employee category:
  • Unionised employees – Wage agreement based on wage negotiations
  • Non-Unionised employees – Performance based increase.

(c) who authorised the increases in each specified financial year;

• All increases are approved by the Airports Company South Africa Board.

(2) (a) what bonuses have been given in each grade of employee in the past three financial years,

• For FY 2014/15, 2015/16 and 2016/17 all bonuses are based on Company and individual performance:

Categories	ACSA Patterson Grades	Paterson Broad Band	ACSA On-target Percentages as a % of TGP Sliding Scale	2014/15	2015/16	2016/17
CEO CFO COO Top Executives	E4 – F3	F3	35% - 50%	R120 million	R154 million	R164 million
		FL
		EU
General Management		EL
Group Managers	E1 – E3	EL	14% - 35%
Senior Management	D4 - D5	DU
Middle Management	D1- D3	DL
Professionals	C4- C5	CU
General Employees (IBU)	A3 to C3	A to CL	8.33%

(b)

• • • Unqualified audit report;
    • The Company must be deemed financially profitable, where financial profitability is determined by the Company’s profit/loss after tax;
    • The total Bonus Pool size is calculated based on 3% of EBITDA which is dependent on the level of predetermined objectives being met.
    • Seventy five percent (75%) achievement level of the set pre-determined objectives is set a trigger for performance bonus payments;

(c)

• All bonuses are approved by Airports Company South Africa Board.

Air Traffic and Navigation Services SOC Limited (ATNS)

2015/16 FY	2016/17 FY	2017/18 FY	Notes
6.1%	4.6%	6.1%	The remuneration increase is CPI related for both Bargaining Unit and Non-Bargaining Unit Employees,

(b)

- Annual increases are linked to the employee’s performance score, employee’s placement in terms of their grade level of the position and years of experience.

- These principles are based on the collective salary agreements for the Bargaining Unit employees and Remuneration policy for Non-Bargaining Unit employees.

(c)

- ATNS Board

(2) (a) what bonuses have been given in each grade of employee in the past three financial years,

- Only performance related bonuses have been paid to employees within the last three financial years, which the Board approves annually.

(b)

- The criteria used is a combination of the company’s performance and individual employees level of performance throughout the year of assessment.

- The trigger for the organisation’s performance is a combination of set “qualifiers and modifiers for the bonus pool.

- The individual employee’s percentage is linked to the employee’s annual salary and grade level of the position.

(c)

- ATNS Board

South African Civil Aviation Authority (SACAA)

(1)(i) N/A (1)(a)(ii) The South African Civil Aviation Authority granted the following salary increases that were applied across the entire organisation to all eligible employees in line with the organsiationa’s remuneration policy:

• 2015/16 – 7.1%
• 2016/17 – 7.8%
• 2017/18 – 7.7%

(1)(b) The National Treasury Guidelines were applied across the organisation. (c) The SACAA Board approved all the salary increases.

(2)(a) Performance based bonuses were paid to all eligible employees in line with company’s Remuneration Policy. (b) Performance bonuses were based on the performance of the organisation, individual employee performance, affordability and Board approval as per the company’s remuneration policy (c) The SACAA Board approved the payment of all perfomance bonuses as per the organisation’s Remuneration Policy.

RTIA

1. (a) (ii) All salary increases that took place for the past three financial years were in accordance with DPSA cost of living adjustments indicated in the PSCBC Multi-year resolution. See lbelow table link salary increases that took place;

http://pmg-assets.s3-website-eu-west-1.amazonaws.com/RNW3414Remuneration.pdf

1. The salary increases were in line with PSCBC Resolutions for Salary Levels 1-12 were as follows:

• Year 2015=7%
• Year 2016=7.6
• Year 2017=7.3%

The salary increases for SMS members, Levels 13-16 were as follows:

• Year 2015=5.5% level 13-16
• Year 2016=4% level 13, 2.5% level 14 and 2.0% level 16
• Year 2017=5.5%

(c) The Minister of Public Service and Administration determined/approved the adjustments for members employed in terms of the Public Service. The adjustments are determined in terms of Section 3(5)(a) of the Public Service Act,1994, as amended read with the Public Service Regulations (Chapter 4, Part 4, Section B 1).

(2) (a) The bonuses in each grade of employee in the past three financial years are provided in the Table link below.

http://pmg-assets.s3-website-eu-west-1.amazonaws.com/RNW3414BONUSES.pdf

(b) The criteria for granting bonuses is provided in the Table below.

Year	Criteria
2015	Ex-gratia bonuses
2016	In line with the approved Performance Management Framework
2017	In line with the approved Performance Management Framework

(c) The bonuses were authorized by the Board of the Agency.

C-BRTA

1. (a)(ii) The annual cost of living salary adjustments for the Cross-Border Road Transport Agency in the past three years were as follows:

• 2014/15: 7.9%
• 2015/16: 5.9%
• 2016/17: 8.0%

In addition to the salary adjustments, in 2015/16 financial year, a collective agreement was concluded with POPCRU to regulate working hours for Road Transport Inspectorate and payment of overtime. The overtime was paid based on the threshold from the National Treasury.

(b) The Annual Cost of Living Adjustments or salary increases are determined using the criteria of the market benchmark as well as the Consumer Price Index (CPI), which is a determinant of consumer inflation. The annual cost of living adjustments was based on the negotiated agreement with the Labour Union, which was applicable across the board.

(c) The Executive Committee, evaluates the rationale against the feasibility of granting the annual cost of living adjustments against the CPI of the time, which is a factor of consumer inflation; and makes recommendations to the Human Resources and Remuneration Committee, which makes further inputs and recommend to the C-BRTA Board for approval.

2.(a) The performance bonuses awarded in the C-BRTA were only for 2015/16 financial year and granted to deserving employees and in line with the Performance Management policy. The basis of the Performance Bonuses was to encourage employees of the C-BRTA to continue to perform optimally towards the achievement of the Agency’s mandate. Performance Bonuses are a sole discretion of the C-BRTA Board, which determines the feasibility of awarding such based on audited performance results and financial standing of the Agency.

(b) Each employee was assessed against the signed Performance Agreements and as per the C-BRTA Performance Management Policy approved in 2014. The bonus awards were allocated on an average of 13.81% between the ranges 3,5 -5.0 rating across the board, with the exception of Executive Management who were not part of the scheme as approved by the C-BRTA Board. The allocation was on the following basis:

The Board resolved to pay performance bonuses for the financial year 2015/16 to:

• All eligible employees who had obtained a final performance score of 3.5 and above as provided in the Performance Management Policy.
• Eligible employees who were in the employ of the Agency at the end of the financial year of 2015/16.

No performance bonuses were approved for financial year 2016/17 yet.

(c) It is the sole discretion of the C-BRTA Board to authorise the payment of performance bonuses as and when it is reasonably feasible and financially viable to do such based on the overall audited performance of the Agency against the set Annual Performance Plan (APP).

RAF

(1)(a)(ii) The Road Accident Fund granted the following increases in the Total Employment Cost (TEC) packages of employees:

in the 2016-17 financial year,	in the 2015-16 financial year,	in the 2014-15 financial year,
TASK grade 1 – 13 employees were awarded an 8% increase,	TASK grade 1 – 13 employees were awarded a 7,6% increase,	TASK grade 1 – 13 employees were awarded a 7,4% increase,
TASK grade 14 - 19 employees were awarded a 6,7% increase,	TASK grade 14 - 19 employees were awarded a 6,5% increase,	TASK grade 14 employees were awarded a 6,9% increase,
TASK grade 20 - 25 employees were awarded a 6,2% increase.	TASK grade 20 - 25 employees were awarded a 6% increase.	TASK grade 15 - 25 employees were awarded a 6,4% increase.

(b) The criteria used to grant the increases comprised of external market data, projected inflation and affordability.

(c) The increases in each specified year were authorised by the RAF Board and the RAF’s Remuneration Committee.

(2)(a) The following bonuses have been given for each grade of employee in the past three financial years:

in the 2016-17 financial year,	in the 2015-16 financial year,	in the 2014-15 financial year,
in respect of TASK grade 1 – 13 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 15% of the employee’s TEC,	in respect of TASK grade 1 – 13 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 15% of the employee’s TEC,	in respect of TASK grade 1 – 13 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 15% of the employee’s TEC,
in respect of TASK grade 14 – 16 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 20% of the employee’s TEC,	in respect of TASK grade 14 – 16 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 20% of the employee’s TEC,	in respect of TASK grade 14 – 16 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 20% of the employee’s TEC,
in respect of TASK grade 18 – 20 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 25% of the employee’s TEC,	in respect of TASK grade 18 – 20 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 25% of the employee’s TEC,	in respect of TASK grade 18 – 20 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 25% of the employee’s TEC,
in respect of TASK grade 21 – 24 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 30% of the employee’s TEC, and	in respect of TASK grade 21 – 24 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 30% of the employee’s TEC, and	in respect of TASK grade 21 – 24 employees, a sum calculated based on qualifying employees’ individual performance scores, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contracts of employees, with a maximum threshold of 30% of the employee’s TEC, and
in respect of the TASK grade 25 employee, a sum calculated based on the employee’s individual performance score, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contract of the employee, with a maximum threshold of 50% of the employee’s TEC.	in respect of the TASK grade 25 employee, a sum calculated based on the employee’s individual performance score, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contract of the employee, with a maximum threshold of 50% of the employee’s TEC.	in respect of the TASK grade 25 employee, a sum calculated based on the employee’s individual performance score, as assessed in terms of the RAF’s Performance Management and Development Policy and the individual performance contract of the employee, with a maximum threshold of 50% of the employee’s TEC.

(b) The criteria used in each financial year to grant the bonuses, comprised of organisational and individual performance.

(c) The bonuses in each specified year were authorised by the RAF Board and the RAF’s Remuneration Committee.

SANRAL

Table below provides summary of annual increases during the past three financial years.

(1)(a) (ii)

SANRAL GRADE	Summary of salary increases for the past 3 financial years
	Mar 2015	Mar 2016	Mar 2017
Grade A	12%	10%	8%
Grade B	9.9%	7%	14%
Grade C	9.9%	10%	9%
Grade D	9.9%	7%	7%
Grade EL	9.9%	7%	6.5%
Grade EU	9.95%	7%	7.5%
Grade F	9.93%	7%	9%
Grade G	6.2%	6.9%

1 (b) In accordance with SANRAL Policy on remuneration, each year SANRAL undertakes a salary survey exercise through an independent service provider. Salary adjustments are effective from 1 March, annually.

SANRAL will typically take into account a number of factors in determining annual adjustment to the payroll, per grade. These include:

• Performance appraisal / individual performance
• CPI
• Affordability
• Market comparisons / salary survey

The Salary Survey report contains information on the following areas:

• National salary increase trends
• Medical aid inflation
• Wage settlements within Government and related sectors
• Update of pay scales for the year going forward
• Analysis of movement in pay scales including compa ratio and cost analysis
• Market data for specific roles within SANRAL
• Short-term incentive market data in the National Market and State Owned Enterprises

1 (c) Annual Payroll adjustments are approved by the SANRAL Board.

2 (a)

The South African National Roads Agency SOC Limited
Summary of STIS for past 3 financial years
GRADE	2014/2015	2015/2016	2016/2017
Grade A	R 116 449.00	R 134 867.00	R 132 432.00
Grade B	R 430 421.00	R 483 378.00	R 572 590.00
Grade C	R 2 533 803.00	R 3 398 077.00	R 4 095 971.00
Grade D	R 5 373 268.00	R 6 052 020.00	R 7 008 670.00
Grade E	R 20 571 658.00	R 24 577 091.00	R 30 692 558.00
Grade F	R 4 067 261.00	R 4 468 809.00	R 5 119 188.00
Grade G	R 1 279 953.00	R 1 320 492.00	R 1 266 705.00
TOTAL	R 34 372 813.00	R 40 434 734.00	R 48 888 114.00

2 (b) The SANRAL Short Term Incentive (STI) Policy determines the criteria for bonuses. The criteria include the Annual Performance Plan, signed with the Minister of Transport. The incentive scheme is designed around delivery of SANRAL’s strategic objectives. Actual performance is measured and assessed against specific deliverables contained in the Agreement, and a performance score will be determined. The policy also specifies the minimum criteria for eligibility, based on the SANRAL overall performance as well as individual performance.

2 (c) The STI Policy is approved by the SANRAL Board. The SANRAL performance score, derived from the Annual Performance Plan, is also approved by the Board.

RTMC

(a) For the period effective April 2015, the increases have been as follows:

(i) For the 2015 financial year, the increase was 10% and 6% for managers and non-managers respectively

(ii) For the period effective April 2016, the increase has been 9% across the board

(iii) For the period effective April 2017, the increase has been 8,5% for non-management staff and 6.3% for management

(b) For Non-management this was informed by the bargaining process with Organised Labour taking into account CPIX and other economic factors.

(c) The Board of the RTMC approved all increases post assessment of performance and signing of the labour agreement on increases.

2. (a) (i) For the year ending March 2014, there was no Performance bonus that was paid.

(ii) For the year ending March 2015, the percentage approved was 6% and 3% of Annual Total package. The 6% was for permanent employees and 3 % for employees on Contract.

(iii) For the year ending March 2016, the percentage approved was 7,5% of Annual Total package

(b) The criteria for the payment of bonuses is informed by the overall performance of the organisation, the PMDS policy as well as terms and conditions of each individual employee.

(c) The Board of the RTMC approved the payment of bonuses taking into account the performance of the organisation and the PMDS policy.

 

PRASA

a) What salary, remuneration or benefit increases have been granted in each salary grade to employees of

PRASA has awarded the following inflationary Increases for 2014 - 2017

Financial Year	Inflationary Increase for Junior Employees in the Bargaining Unit	Inflationary Increase for Management Employees
2015/16(3 year Wage Agreement)	8.5% for all junior employees above R115, 000. 9.5% for all junior employees less than R115, 000.	6.5% for Assistant Managers and Managers. 5.5% Senior Managers, General Managers and Executives.
2016/17	9% for all junior employees above R125, 000. 10% for all junior employees less than R125, 000	6.2% for Assistant Managers and Managers. 6% Senior Managers, General Managers and Executives.
2017/18	8% Across the Board	6% across the Board

(ii) Each entity reporting to him in each of the past three financial years,

(b) The inflationary increases are paid in accordance to the PRASA Remuneration and Benefits Policy and Government guidelines

(c) The Junior Employees in the Bargaining unit inflationary increases are negotiated with Organized Labour, recommended by Group Exco to the Group Board for ratification.

Ordinarily, the management inflationary increases are recommended by Group Human Capital Management to the Board through the Human Capital and Remuneration Committee or the Board. In the absence of the Board the ratification is sought from the Shareholder.

(2) a) PRASA has not paid any bonuses for the past 3 financial years

• a gain share payment is made to junior employees in the Bargaining unit at PRASA Rail as per the Labour Gain share Bonus Agreement

b) i) The gain share payment for junior employees is made to Regions that have exceeded their Revenue Collection Targets.

ii) The employees are paid in accordance with the time period of their participation within the given Financial Year.

RSR

1. (a) The RSR salary adjustments over the periods are as follows (excluding regrading or individual posts):

PERIOD	JOB GRADE	COST OF LIVING INCREASE %	AVE NOTCH INCREASE %
2015	1 – 8	7.00%	0.00%
	9 – 12	6.50%	0.76%
	13 – 16	6.00%	4.06%
2016	A1 - C2	6.80%	0.00%
	C3 - D1	6.30%	0.31%
	D2 - F1	5.80%	1.31%
2017	A1 - F1	6.00%	1.50%

(b) The above increases are based on annual cost-of living adjustments which are inflation related, and were based on Salary Benchmarking and Salary surveys from the South African market to determine the suitability of its salary increases and the financial impact. The RSR’s Remuneration Philosophy and staff retention is also considered in these determination.

The increases also include individual notch progressions, based on performance in line with the RSR Performance Management Policy.

(c) The RSR Board of Directors approved the financial increases in each financial year

1. The RSR awards annual performance bonuses to all grades of employees who qualify as per the RSR Performance Management Policy. No other bonus types are applicable.
2. The RSR’s short term performance bonuses are awarded to staff members who have performed exceptionally and met the set minimum criteria in respect of qualification for a performance bonus, and is determined based on a rating scale of 1 – 4, whereby those who met a score of 4 and above will be awarded bonuses after performance score moderation is finalized and Board approval has been obtained.
3. The RSR Board of Directors approved the financial increases in each financial year.

Ports Regulator of South Africa

1(a)(ii) The Ports Regulator annually grants all employees a salary increase equivalent to CPI adjustment as per the National Treasury estmates used during the MTEF budget process. The employees below senior management are entitled to all bebenfits which include: medical aid, group life and pension. These benefits are however not available to senior employees in terms of the Regulator concidions of service. This practice has been in place since 2012/13 financial year when the salary bands and benefits were approved by the Minister of Transport in concurrence with the Minister of Finance as required by the National Ports Act.

(b) The increases are implemented at the beginning of each financial year. The salary increases are done as per the National Treasury guide to Departments.

( c) The salary increases are accounted for in the annual budget of the Regulator which is then approved by the Regulator (board) concurrent with the approval of the APP and the Strategic plan. This is done before the start of the financial year so that the implementation of the APP as well as salary increases is done at the same time.

2(a) The conditions of service of the Regulator indicates that all employees below manager level get 10% of annual salary as a bonus while employees from manager to senior managers get 20% of annual salary as a bonus. This practice has been in plac since 2013/14 financial year when the performance mnagement system was developed, approved and implemented

(b) The employees each sign a performance agreement at the beginning of the financial year. The performance agreement will set out expected outputs from each employee based on the deliverables for their specific department. At the end of the financial year, each employee is then assessed against reported performance and scored in accordance with the performance framework which has a sliding scale from 5 to 1. Employees get a bonus if they perform above level 3. A final weighting is done for all KPI’s and final score given to an employee. The final score is then used to calculate the quantum of the bonus earned by the employee.

( c) The performance bonus forms part of the annual budgert that is approved by the Regulator (board). When the bonuses for all employees have been finalised, there’s a review that is performed by a committee to ensuer that there was transparency, fairness and relevance between employees performance and that of the organisation. Once the review is complete the bonuses are then forwaded to the CFO for recommendation to the CEO for final approval before making payemnts to employees. .

South African Maritime Safety Authority (SAMSA)

(1)(a)(ii)

Year	% Increase
2014	6,2%	All staff
2015	5.4%	All staff
2016	5.2%	All staff

 

(1)(b)

CPI + 1%

(1)(c)

2014 – Authorized by the Board of Directors

2015 - Authorized by the Board of Directors

2016 – Authorized by the Board of Directors

(2) (a) what bonuses have been given in each grade of employee in the past three financial years, (b) what criteria were used when granting the specified bonuses in each specified financial year and (c) who authorized the bonuses in each financial year? NW3806E

Response:

(2) (a)

Year	% Increase
2014	0%	All staff
2015	8.5%	All staff
2016	6.2%	All staff except EXCO

(2) (b)

Organisational Performance was the criteria used for granting the bonuses.

(2)(c)

2014 – Board of Directors

2015 – Board of Directors

2016 – Board of Directors

 

Reply:

Yes.

Reply:

1. According to Question 2417, we reported that the “BRT system will be partially operational (kerbside) by the end of September (2017), subject to the finalisation of negotiations with affected taxi operators. Full operations (on trunk route) are scheduled to commence when the infrastructure is fully complete in 2018.”

However, for the system to be fully operational in the City would mean the completion of all its phases, namely Phases 1 – 5. Subsequent phases being Phase 2 to Phase 5 remain unfunded and are subject to an operational plan being approved by the Council and funding approved by the NDOT. Therefore, phase 1 is planned to be fully operational in the year 2020 subject to conclusion of negotiations for final compensation.

(2)

(a) There were no delays encountered thus far in the procurement of services. However, delays were mainly encountered at the beginning of construction due to the following, among others:

• Relocation of services that were in the way and not properly indicated by the service owners, e.g. Telkom, Eskom, etc.
• Difficulties with traffic accommodation and management due to the nature of environment where the project is implemented.
• Community uprisings for various service delivery issues.

(b) There will be a 10-months delay until the appointment of a replacement contractor.

(c) The expected early finish date for the Pedestrian Bridges is 30 June 2018.

(3)

(a) The following contractors who were appointed for the construction of BRT stations, were placed in mora and terminated for poor performance.

(i) Mologadi a Nape; and

(ii) Cross Border Developments.

(b) The reasons for the termination were due to poor contractor performance.

(4) Yes, terminated contractors have paid penalties.

(a) The terminated contractors are:

• Mologadi a Nape; and
• Cross Border Developments

(b) The total amount paid by each contractor amounts to:

• Mologadi a Nape: R896 000.00
• Cross Border Developments: R266 000.00

(5)

(a) To date, 104 meetings have taken place between the City and the Taxi Industry. The meetings were held with various structures including the General Industry Technical Forum, KTVR Special Purpose Vehicle, Ekurhuleni Taxi Industry Forum, etc.

(b) The progress made to date includes the following among others:

• Approval of the Business Plan by Council;
• Entering of Parties into a Bus Lease Agreement (KTVR and City of Ekurhuleni) for 8 buses that were procured by the City ;
• Agreement on a Compensation Model;
• Procurement of Buses;
• Establishment of the ETI Project Office;
• Agreement on Interim Compensation;
• Launch of an interim service between Tembisa and Isando on 18 October 2017.

(c) A Special Purpose Vehicle called KTVR (Katlehong, Tembisa, Vosloorus and Reiger Park) was established in 2016 to render the functions of a permanent Vehicle Operating Company.

(d) The City has not yet concluded a 12 year contract as stipulated in the NLTA due to the stage of the system. Once phase 1 has been completed the City will be able to enter into a 12 year contract with the Vehicle Operating Company.

Reply:

a) No further investigations by PRASA have been undertaken. All cases of R10 million and above have been transferred to National Treasury and stil not finalised

b) The investigations have not been finalized as indicated above

c) The National Treasury

d) No financial implication to PRASA as this cases have all been referred to National Treasury

Reply:

(a)The following Entities have missed the deadline submission of Annual reports ;

1. SANRAL

2. SAMSA

3. PRASA

(b) The Accounting Authority of the above three (3) mentioned entities wrote to the Executive Authority in terms of section 65 of the PFMA about the entities failure to submit their Annual report and reason were provided.

(c) Reasons for Extensions

SANRAL;The Finalisation of the Annual Financial Statements and the Audit Report were delayed due to a delay in processing SANRAL’s request to reword its Government Guarantee and consequently the approval from National Treasury was also late. This has resulted in a delay in the issue of the Audit Report by the Auditor General of South Africa (AG)

SAMSA; There was a delay in the finalisation of the audit by the AG.

PRASA; There was a delay in the finalisation of the Annual Financial Statements and the Audit Report due to AG seeking legal opinion on Section 49 (2)(b) of the PFMA to determine if the Acting Group Chief Executive Officer can accept the Audit report as the Accounting Authority in the absence of the board

(d) Entities that were granted extension ;

1. SANRAL

2. SAMSA

3. PRASA

(e) Reasons for Extensions

The request from the three entities were reasonable and in line with the PFMA.

(f) None

(g) Not applicable

(h) What is being done to ensure that in future deadlines are met

SANRAL; The board has undertaken that they will submit request right on time.

SAMSA: Audit Committee steering has been set which comprise of Management, Internal Audit and AG. This committee reports to the Audit Committee of the board.

PRASA; An interim board has been appointed that will ensure that all vacant executive positions will be filled as a matter of urgency and The Executive Authority will be appointing a permanent board in due course.

Reply:

Department

1. No damage
2. Not applicable
3. Not applicable
4. Not applicable

Air Traffic and Navigation Services SOC Limited (ATNS)

1. No damage

1. N/a

1. N/a

1. N/a

Airport Company South Africa (ACSA)

Tabulated below is detailed and estimated cost of damage to our infrastructure during the recent adverse weather.

ORTIA	CTIA	KSIA	Regional
Smoke extraction unit on 4th floor of ACSA office building Ceiling boards and carpets 1 lucabon cladding panel	Eave panel at terminal dislodged and fell with no additional damage	Terminal building roof sheeting in selected area Multi-storey parking building roof sheeting movement Flooding in selected valve chambers	None

(b) Estimated cost of repair/replace/expert inspection and recertification/emergency procurement:

R7, 5million

(c) EAM Division at ACSA with repairs through various service providers, this will also entail condition assert of the integrity of structure and buildings.

(d) Airport Operations back to normal with affected areas isolated/ cordoned off public

South African Civil Aviation Authority (SACAA)

SACAA had no infrastructural damage caused by the natural disaster in October 2017.

Cross-Border Road Transport Agency

(a) The Cross-Border Road Transport Agency has not had any infrastructural damage in October 2017 due to natural disaster.

(b) – (d) Not applicable

Road Accident Fund

(a) No infrastructural damage has been caused by the natural disaster in October 2017 to the infrastructure of the Road Accident Fund, paragraphs (b), (c), and (d) are therefore not applicable

Road Traffic Infringement Agency

1. None
2. Not Applicable
3. Not Applicable

Not Applicable

Road Traffic Management Corporation

(a) No infrastructural damage has been caused by the natural disaster in October 2017 to the infrastructure of the Road Accident Fund, paragraphs (b), (c), and (d) are therefore not applicable

South African National Roads Agency Limited

1. Kwazulu Natal: The visible damages caused to SANRAL road infrastructure during the recent October 2017 floods/storm in KZN are as follows:

• Road signs were blown away,
• Box and pipe Culverts and associated outlets structures were damaged,
• Isolated erosion of road embankment, and
• Damage to storm water channels.

Latent damages to the section of the road that was submerged under water during the storm is not possible to quantify at this early stage.Kwazulu Natal: The quantified visible damage is estimated at R7 470 800.00. This figure is an estimate and the final accurate cost will be known once all the repairs are complete.

1. Kwazulu Natal: Cleaning up of debris on top of structures has been completed and currently still in progress with cleaning of debris underneath structures. The extensive repairs required on culverts and embankments has been assessed for safety by Professional Engineers and was found not to pose any immediate danger or disadvantage to users. The procurement process to repair these structures has commenced as per National Treasury regulations.

Gauteng: SANRAL has received the detailed independent evaluation report with regard to the flooding that occurred on N12 and N3 on 9th November 2016. The procurement processes to implement the recommend major remedial measures has commenced as per National Treasury regulations.

1. Kwazulu Natal: As mentioned above, the damaged infrastructure was assessed by Professional Engineers and confirmed that it poses no immediate danger nor disadvantage to the users. Currently no SANRAL road or structure is still closed for users.

Gauteng: SANRAL is busy on-site with the implementing of the N12 minor remedial measures as was recommend by the independent evaluation report.

Passenger Rail Agency of South Africa (PRASA)

a) The storm of 10 October 2017 caused significant damage to the PRASA infrastructure assets in the region. See collage below of some affected areas.