Questions and Replies

Reply:

The Minister and the Board met on the 30th June 2016, after lengthy deliberations on the state of PRASA, the Minister announced her decision to second Mr. Letsoalo to PRASA as its Acting GCEO. The Board accepted the secondment.

Subsequent to the meeting of June 30 2016, the Board requested a meeting with the Minister to discuss the details of Mr. Letsoalo’s secondment and appointment as Acting GCEO. The said meeting was scheduled for 5th July 2016, however the Minister did not attend the scheduled meeting and submitted an apology.

At which Board meeting was his (a) salary, perks and conditions, (b) start and termination date and (c) as well as terms of reference and authority concluded and resolved?

The Board at the meeting of the 5th July 2016 then mandated the Chairman of the Board to write a letter of appointment to Mr. Letsoalo. The letter of appointment by the Chairman to Mr. Letsoalo was written and dated 7 July 2016, which contained the terms and conditions of Mr. Letsoalo’s appointment.

 

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) Gauteng Province responded by noting that that five (5) Examiners of vehicles have been de-registered as Authorized Officers for Fraud during the 2016/2017 financial year and are no longer practicing as Examiners of Vehicles in the Gauteng Province due to their registration being cancelled.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) According to information provided by the Free State province, no examiners were arrested or convicted in the 2016 / 17 financial year for fraudulent certification of roadworthiness.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) It was reported to the Department that no examiners of vehicles in the Northern Cape have been convicted of issuing fraudulent certificates of road worthiness during the 2016 / 17 financial year.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) It was reported to the Department that no examiners of vehicles in the Western Cape were convicted of issuing fraudulent certificates of road worthiness in the 2016 / 17 financial year.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

(a) The Eastern Cape Province reported that one examiner was convicted and is still practicing (Case no 217/ 1 /2016 Cradock Magistrate Court). The reason for continuation is that the Department is waiting for the response of the accused. A suspension letter was issued to him and signed by him on 08 May 2017. He was given 21 days to respond and this will end on the 02 June 2017.

(b) See above (a)

(c) See above (b)

Reply:

(a) In terms of section 40 of the National Road Traffic act, 1996 (Act No. 93 of 1996) read with regulation 136 of the National Road traffic Regulations, 2000 it is the competency of the respective MEC’s responsible for transport to either suspend or cancel the registration of a testing station, if a testing station no longer complies with the requirements for registration. In terms of Regulation 137E the Inspectorate of Testing Stations shall evaluate and inspect as prescribed and make recommendations to the MEC in terms of the compliance or non-compliance of vehicle testing stations in the province. This includes but is not limited to the compliance to SANS 10216. It remains the prerogative of the respective MECs to implement the recommendations of the SABS and the reason for different applications of the recommendations is due to the fact that each MEC may choose to implement according to his or her discretion.

(b) The function of the Inspectorate of Testing Stations is currently performed by the South African Bureau of Standards (SABS). The Inspectorate can only make recommendations to the respective MEC and have no powers to enforce such recommendations. It remains the prerogative of the respective MECs to implement the recommendations of the SABS and the reason for different applications of the recommendations or not implementing at all is due to the fact that each MEC may choose to implement according to his or her discretion. All provinces have replied that the recommendations were adhered to.

(c) The Department is communicating concerns regarding noncompliance at the national forums and via provincial information sessions. This happens on a continuous basis. The Department has further included the development of the Anti-Fraud and Corruption Strategy in its Strategic Plan and Annual Performance Plan. The Department is further striving towards publishing the Minimum Requirements for Service Delivery Standard. Both these initiatives strive to address non-compliance at not only testing stations but also Driving Licence Testing Centres and Registering Authorities. All of the mentioned initiatives involves publication in the Gazette and impact studies. The replies to (d), (e) and (f) are dependent on the relevant MECs of each province and are depicted under the applicable provincial heading below.

Eastern Cape:

(d) (i) Upon recommendations by the SABS, Eastern Cape issues a TS4 notice to the contravening vehicle test station in terms of Regulation 136 (1) and (2) NRTA, Act 93 of 1996, and the Promotion of Administrative Justice Act 3 of 2000, requiring the said VTS to report to the MEC in writing within 14 days from the date of the notification, the reason for such failure to comply and details of the measures taken to rectify and prevent such failure. Standards are applied to in terms of the National Road Traffic Act 93/1996

(ii) (iii) The Province follows up with the VTS after the 14 days, and with the SABS to determine if the recommendations have been implemented and findings cleared. If the findings are not cleared, and of a nature that warrants suspension or cancellation, Eastern Cape then issues a TS5 notice to the contravening VTS notifying of the suspension or cancellation of the registration of such VTS, in terms of Regulation 136 NRTA, Act 93 of 1996, and the Promotion of Administrative Justice Act 3 of 2000.

No SABS findings were ignored. All recommendations by the Vehicle Testing Centre were rectified and sent back to SABS.

EC Inspectorate Section is doing a follow up to those recommendations by SABS and most were rectified.

The contravening VTS then has the right to appeal to the Minister of Transport within 21 days of receipt of the notice as per Section 51A NRTA, Act 93 of 1996. If an appeal is lodged with the Minister of Transport within the 21 days, and the Province is notified of such, then the Province waits for the decision of the Minister before implementing the suspension or cancellation.

(e) Inspectorate after the visit SABS should immediately forward copy or Email to the Provincial Inspectorate

(f) Eastern Cape Vehicle Fitness Section

Free State:

(d)The Province has started during the 2014-2015 Financial Year to upgrade and calibrate all the vehicle testing equipment at vehicle testing stations in the province.

(i) (ii)The Province reported that 17 stations were upgraded (i.e. Bloemfontein, Trompsburg, Bethlehem, Harrismith, Parys, Heilbron, Sasolburg, Kroonstad, Welkom, Virginia, Wesselsbron, Marquard, Ladybrand, Ficksburg, Odendaalrus, Thaba-Nchu, and Windburg Testing Stations) by the end of the 2016/17 financial year.

(iii) The province endeavors to continue upgrades in the 2017/18 financial year and will further calibrate the equipment of five more stations i.e. Botshabelo, Phuthaditjhaba, Bultfontein, Viljoenskroon and Petrusburg.

(e) The Inspectorate for Vehicle Testing Stations will follow up on the progress reported by the province.

(f) Provincial Monitoring Unit

Gauteng Province:

(d) (i) Upon recommendations by the SABS, Gauteng issues a TS4 notice to the contravening vehicle test station in terms of Regulation 136 (1) and (2) NRTA, Act 93 of 1996, and the Promotion of Administrative Justice Act 3 of 2000, requiring the said VTS to report to the MEC in writing within 14 days from the date of the notification, the reason for such failure to comply and details of the measures taken to rectify and prevent such failure.

(ii) The Province follows up with the VTS after the 14 days, and with the SABS to determine if the recommendations have been implemented and findings cleared. If the findings are not cleared, and of a nature that warrants suspension or cancellation, Gauteng then issues a TS5 notice to the contravening VTS notifying of the suspension or cancellation of the registration of such VTS, in terms of Regulation 136 NRTA, Act 93 of 1996, and the Promotion of Administrative Justice Act 3 of 2000. The contravening VTS then has the right to appeal to the Minister of Transport within 21 days of receipt of the notice as per Section 51A NRTA, Act 93 of 1996. If an appeal is lodged with the Minister of Transport within the 21 days, and the Province is notified of such, then the Province implements the decision to suspend or cancel the VTS in question on approval by the Minister

(iii) Addressed in (ii) above

(e)Addressed in (d) above

(f) Gauteng: Vehicle Fitness Section

KwaZulu-Natal:

The KwaZulu-Natal Province abides by the prescripts of SANS 10216. The Inspectorate of testing stations, SABS conducts yearly inspections at KwaZulu-Natal Vehicle Testing Stations and provides recommendations in respect of the findings in terms of SANS codes 10216 and deviations are addressed accordingly.

KZN does adhere to the recommendations made by the SABS. Upon receipt of TS4, TS5 recommendations from SABS, notices of intention to cancel or suspend or suspension/cancellation notices, signed by the HOD, are forwarded to the vehicle testing stations. Responses are followed up.

(c) Notices are sent to the vehicle testing stations, responses are dealt with, and SABS is consulted with regarding the responses.

(d) What are the:

(i) The recommendation is received from SABS. The notice is prepared for the HOD’s signature. On receipt of the signed notice, the notice is hand delivered and from the date of delivery, the testing station is given 14 days to respond.

(ii) The KwaZulu-Natal Department of Transport issued twelve (12) TS4 notices on recommendation from SABS, and 1 TS5 notice is in the process of being served. The representations in respect of the TS4 notices are in the process of being reviewed by SABS/Administration, and

(iii) The proprietor is given 14 days to respond.

(e) Monitor and pend for response, follow up on responses.

(f) The KwaZulu-Natal Department of Transport

Limpopo:

(d) The province is having number of compliance inspections conducted as one of the indicators in the Annual Performance Plan.

(i) Each and every institution is monitored every six months.

(ii) Compliance reports are received from National Inspectorate, follow-ups are made on implementation of the recommendations.

(iii) Monthly reports are received from the Departmental Inspectors and reports are being made to the respective institutions.

(e)(f) The National Inspectorate of Vehicle Testing Stations makes regular follow ups to ensure that these dates are met.

Mpumalanga:

(d) (i) (ii) (iii) Once the testing station report has been received, TS4 is issued to the affected testing station and a response is expected within 14 days. The testing station is given 30 days to put corrective measures.

(e) A follow up inspection is conducted to confirm the corrective measures.

(f) The Senior Manager responsible for Transport Administration and Licensing in the province.

North West:

d) The Provincial monitoring unit conducts follow up inspections to ensure the implementation and monitoring of the recommendations as communicated with the stations.

(i) Stations are given 30 days to respond to the recommendations made by the SA Bureau of Standards.

(ii) Non-compliant stations at the time of the inspection, have implemented all recommendations and now operating effectively. Furthermore, the Provincial Inspectorate conducts unannounced inspections to independently confirm that short comings are addressed accordingly.

(iii.) The provincial deadline for the implementation of the recommendations are linked to the SA Bureau of Standards Inspectorate deadline of 30 days.

e) Provincial monitoring unit conducts regular announced and unannounced visits to the Vehicle Testing Stations to ensure strict adherence to the deadlines, and where slow implementation is experienced, immediate intervention is sought with relevant authorities.

f) The Provincial monitoring unit is mandated with the responsibility of ensuring that all recommendations and deadlines thereto are strictly adhered to by relevant stations.

Northern Cape:

(d) Follow up letters are submitted to the respective Testing Stations in line with the findings and recommendations of the South African Bureau of Standards where TS4/ TS5 notices were issued.

Follow up visits are conducted to determine whether corrective interventions were taken or not. In the case where no corrective actions are taken the Testing Stations are suspended from operation i.e., De Aar, Victoria West, Kathu, Prieska etc.

Regular follow up visits and hosting of information sessions to ensure a common understanding in respect of the interpretation and application of relevant policies governing the Vehicle Testing Station environment.

(i) Quarterly

(ii) Follow up visits are done on Quarterly basis to ensure implementation plans are adhere to.

(iii) Testing Stations are given 14 (fourteen) days to comply in terms of Regulation 136 of the National Road Traffic Act, (Act. 93 of 1996).

(e) Regular follow ups in writing, telephonically and meetings with Municipal Managers/ Testing Station Proprietors.

(f) The Provincial Monitoring Unit.

Western Cape:

(d) Findings raised in reports that are provided to the Department are formally brought to the attention of the VTSs and followed up until rectified:

(i) as soon as the report is received with feedback due to the Department within 21 days (ii) milestones and corrected finding

(iii) reported immediately for a response within 21 days,

(e) The Section Vehicle Regulation and Standards Unit and the Compliance Monitoring Unit do follow up inspections.

(f) The Section Vehicle Regulation and Standards Unit and the Compliance Monitoring Unit

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

1. It was reported to the Department that no examiners of vehicles in KwaZulu-Natal who have been convicted of issuing fraudulent certificates of road worthiness during the 2016 / 17 financial year are still practicing.

1. See above (a)

1. See above (b)

Reply:

(a) Total amount spent on legal fees

(i)

(aa) 2014-2015 (R8,983.177.00)

(bb) 2015-2016 (R9,383.623.00)

(cc) 2016-2017 (R19,911,320.00)

(ii) Since 1 April 2017 (928,574.00)

(b)

(i) details

2014 2015

Tasima

City of Cape Town / Minister of Transport and SANRAL

DOT / Thwala

Prodiba

2015-2016

Tasima

Prodiba

Marine enquiry Kingfisher

City of Cape Town / Minister of Transport and SANRAL

DOT / Vilana

DOT / Thwala

MEC For Transport KZN / Transport Appeal Tribunal

JV Ndorum (Mthatha Airport)

2016-2017

Tasima

Prodiba

Marine enquiry Kingfisher

Marine enquiry Witbank

MEC for Transport KZN / Transport Appeal Tribunal

City of Cape Town / Minister of Transport and SANRAL

DOT / Thwala

DOT/ Vilana

JV Ndorum (Mthatha Airport)

African Harvest / Minister of Transport and ACSA

1 April 2017

Tasima

JV Ndorum ( Mthatha Airport)

(ii) outcomes

Tasima - success

Prodiba – success

Marine enquiry kingfisher – completed

Marine enquiry Witbank – completed

DOT / Vilana - settled)

DOT / Thwala – success

MEC for Transport KZN / Transport Appeal Tribunal - success

City of Cape Town – not succesful

JV Ndorum (Mthatha Airport) – not finalized

African Harvest (not finalized)

(ii) costs of each case

Tasima (R13, 322, 170. 54)

Prodiba (R1, 792, 495.19)

Marine enquiry Kingfisher (R2, 582, 935.33)

Marine enquiry Witbank (R1, 722, 232.54)

DOT / Vilana (R1, 552, 420.00)

DOT / Thwala (R2, 550, 370.93)

MEC for Transport KZN / Transport Appeal Tribunal (R1, 306, 460.93)

City of Cape Town / Minister of Transport and SANRAL (R1, 087, 503.00)

JV Ndorum (Mthatha Airport) (R247, 095.00)

African Harvest (R809 172.00)

Reply:

(aa) 2014-15

ITEM	NAME	DESIGNATION	AIR	CAR HIRE	(a) TRAVEL	(b) ACCOMMODATION
(i)	MS E PETERS	MINISTER	R1 298 747.00	R 667 166.38	R1 965 913.38	R181 172.70
(ii)	MS L CHIKUNGA	DEPUTY MINISTER	No information available	R392 782.61	R392 782.61	R21 345.00
(iii)	MR I MNISI	MEDIA LIAISON OFFICER - MINISTRY	R8 706.17	R17 527.30	R26 233.47	R69 754.38
(iii)	MS N MAPHANGA	PARLIAMENTARY AND MEDIA LIAISON OFFICER - DEPUTY MINISTER	R0.00	R142 222.72	R142 222.72	NO INFO

No information – no record, company insolvent

(bb) 2015-16

ITEM	NAME	DESIGNATION	AIR	CAR HIRE	(a) TRAVEL	(b) ACCOMMODATION
(i)	MS E PETERS	MINISTER	R1 401 868.22	R883 813.53	R 2 285 681.75	R50 760.73
(ii)	MS L CHIKUNGA	DEPUTY MINISTER	R1 008 247.22	R863 496.51	R1 871 743.73	R109 187.69
(iii)	MR I MNISI	MEDIA LIAISON OFFICER - MINISTRY	R104 071.11	R30 607.13	R134 678.24	R52 744.00
(iii)	MS N MAPHANGA	PARLIAMENTARY AND MEDIA LIAISON OFFICER - DEPUTY MINISTER	R219 534.16	R154 047.35	R373 581.51	R124 636.87

(cc) 2016-17

ITEM	NAME	DESIGNATION	AIR	CAR HIRE	(a) TRAVEL	(b) ACCOMMODATION
(i)	MS E PETERS	MINISTER	R750 529.60	R1 047 281.14	R1 797 810.74	R85 616.07
(ii)	MS L CHIKUNGA	DEPUTY MINISTER	R862 245.83	R539 112.08	R1 401 357.91	R152 472.49
(iii)	MR I MNISI	MEDIA LIAISON OFFICER - MINISTRY	R93 865.84	R47 183.02	R141 048.86	R49 622.53
(iii)	MS N MAPHANGA	PARLIAMENTARY AND MEDIA LIAISON OFFICER - DEPUTY MINISTER	R195 974.90	R282 622.46	R478 597.36	R191 802.97

Reply:

(1) Adv Bilikwana is not appointed to the Board of the Road Traffic Infringement Agency;

(2) There was no appointment made and thus no need for his name to be gazetted;

(a) there was no gazetting because he is not a member of the board. His official employment duties are that of a Company Secretary. In the RTIA’s correspondence therefore, his name is listed along with that of board members, expressly indicating that he is the Company/Board Secretary, in line with best practise

Reply:

(i) There are three ongoing investigations at PRASA.

1. The investigations into the irregular and fruitless and wasteful expenditure found by the Auditor-General in the 2014/2015 annual financial statements. This was commissioned by the Board of PRASA in terms of its fiduciary duties flowing from the Public Finance Management Act and led by Werksmans Attorneys.
2. The investigations into contracts of more than R10 million concluded between 2012 and 2015 as per the remedial steps recommended by the Public Protector’s Report in August 2015 that are associated with the entities and transactions that were under investigation in (1) above. These investigations were, by agreement between PRASA, the Office of the Chief Procurement Officer of the National Treasury and the Department of Transport, led by Werksmans Attorneys.
3. The investigations into contracts of more than R10 million concluded between 2012 and 2015 as per the remedial steps recommended by the Public Protector in August 2015. These relate to entities and transactions that were not viewed as related to the entities and transaction under investigation in (1) above. These investigations are led by National Treasury and National Treasury has appointed about 20 entities with forensic investigation capacity to conduct the investigation of these transactions and entities.

(ii) There is no new investigation commissioned by the Board of PRASA.

(iii) For the Financial Years 15/16 and 16/17, R148 million was paid for the investigations, and for the 17/18 Financial Year R14 million has been budgeted.

(iv) The timeframes for the conclusion of the investigations is end of July. The Milestones are that reports are submitted to the Board as they are completed. To date the Board has instituted seven court actions and has also forwarded 41 reports to the Directorate of Priority crimes investigations for further criminal investigations and 4 internal disciplinary actions have been instituted against affected employees.

(v) Please see response under (ii).

Reply:

a) The Metrorail commuter service between Crossmoor (Chatsworth) and Durban was suspended from 22 February 2017 due to the general shortage of serviceable rolling stock experienced by the PRASA KZN Region. As at February 2017, only 32 train sets out of the required 57 train sets were in-service, due to major overhaul/upgrade and maintenance program requirements of the ageing fleet. PRASA was also losing 5 coaches on average per month due to vandalism. As a consequence the in-service fleet is under pressure and run more kilometres than usual, with less time to effect day to day maintenance, having an adverse effect on the performance of the fleet. The over extension and poor performance of the available fleet create serious risks in terms of commuter dissatisfaction and overcrowding.

In balancing the available in-service fleet with overall demand across the KZN region, the Chatsworth and Bluff services were suspended in order to make rolling stock available on higher demand corridors in areas where alternative bus services are not viable due to objections from the taxi industry.

b) A replacement bus service was provided by PRASA between Crossmoor and Merebank, making it possible for commuters to connect with trains travelling to and from the South Coast and Umlazi.

c) Although a partial recovery of the KZN Metrorail fleet availability towards the end of March allowed the train service between Durban and Crossmoor to be reinstated, limited spare trains sets still affects service capacity and performance, resulting in frequent cancellations. Buses are arranged on an ad-hoc basis to augment the train service as far as possible.

d) The train service between Durban and Crossmoor was officially reinstated on 30 March 2017. The train service between Durban/Umlazi and Wests (Bluff) remains suspended due to the ongoing shortage of rolling stock. PRASA is in a process of accelerating the return of additional rolling stock (train sets) to improve the fleet availability across all services in the KZN region.

Reply:

(a) The Department has not as yet received the legal fees from its legal team.

(b) Not applicable

(i) The Department has not yet received any taxed costs from the Applicants.

(ii) PRASA did not join legal proceedings, thus there were no legal fees to be paid

Reply:

Department

Department did not procure any services or made any payments to (i) the certain company (name furnished) or (ii) any other public relations firms. The reason is because the department did not have a need to obtain the services of a public relations firm.

(aa) Not applicable

(bb) Not applicable

(cc) Not applicable

(dd) Not applicable

(ee) Not applicable

(ff) Not applicable

Airports Company South Africa SOC Limited (ACSA)

Airports Company South Africa has not procured any services from the company whose name was furnished. Airports Company South Africa utilises the services of FTI Consulting for its public relations.

Air Traffic Navigation and Services (ATNS)

1. According to ATNS records, no services where procured or payments made to Bell Pottinger
2. No service or payments were made to any public relations firms. There has not been any reason to procure services or make payments to public relations firms

(aa) Not applicable

(bb) Not applicable

(cc) Not applicable

(dd) Not applicable

(ee) Not applicable

(ff) Not applicable

South African Civil Aviation Authority (SACAA)

(a) N/A (b)(i)(ii)(aa)(bb)(cc)(dd)(ee)(ff)The South African Civil Aviation Authority (SACAA) procured services from and made payments to a public relations agency called PR Powerhouse. The agency was hired to provide the SACAA with a variety of marketing communications aimed at creating awareness about the organisation, its mandate, and services offered to the public. Examples of outputs include drafting of media statements, setting up media interviews, and related public relations activities. The contract agreement was for a period of six months, ending 31 March 2016. During the contract period, the agency was paid a monthly retainer fee of R54 150, 00 (fifty-four thousand one hundred and fifty rand); amounting to R324 900, 00 (three hundred and twenty-four thousand nine hundred rand). NW1652E

(b) Cross-Border Road Transport Agency (CBRT) has not procured services from nor has it made any payments to (i) Bell Pottinger nor (ii) has it engaged any other public relations firm. The Agency has not established the need to do so.

(aa) – (ff) Not applicable

(b) Road Accident Fund (RAF) did not procure any services from and/or make any payments to (i) Bell Pottinger, but (ii) did procure services from The Brand Leadership Group (Pty) Ltd (“Brand Leadership”), a brand strategy, brand valuation and intellectual property management company, to (aa) provide the RAF with communications, media and public relations services, (bb) at a total contracted cost of R3 102 624, including VAT, over the three year period commencing on 13 January 2014, (cc) the detailed breakdown of such cost is:

Description	Total Cost
Management fee	R2 721 600
Percentage of markup fee for events	Billing principles and terms and conditions
Addition cost	Billing principles and terms and conditions
Total	R2 721 600
Total VAT	R381 024
Total VAT inclusive	R3 102 624

, (dd) of which R 2 879 044.31 has been paid to date, (ee) the purpose of the payment was to compensate Brand Leadership for the contracted services rendered to the RAF, (ff) the detailed breakdown of the payments are set out below:

Date of Payment	Amount	Particulars:
07 April 2014	R7,524.00	Advertisement
09 May 2014	R13 167.00	Brand Management
11 June 2014	R86 184.00	Retainer
19 June 2014	R86 184.00	Retainer
04 September 2014	R86 184.00	Retainer
05 November 2014	R86 184.00	Retainer
12 November 2014	R86 184.00	Retainer
26 February 2015	R86 184.00	Retainer
13 March 2015	R86 184.00	Retainer
17 April 2015	R86 184.00	Retainer
30 April 2015	R86 184.00	Retainer
11 June 2015	R86 184.00	Retainer
01 July 2015	R86 184.00	Retainer
08 September 2015	R86 184.00	Retainer
11 September 2015	R96 159.00	Retainer of R86 184.00 and R9 975.00 for design and artwork
18 November 2015	R99 581.81	Retainer of R86 184.00 and R13 397.81 for road show
20 January 2016	R105 606.75	Retainer of R86 184.00 and design and layout R11 172.75
20 April 2016	R114 114.00	Retainer of R86 184.00, R16 758.00 and R11 172.00 for branding.
22 April 2016	R135 560.25	Retainer of R86 184.00 and design and placement of advert R49 376.25
25 April 2016	R172 368.00	2 X Retainer of R86 184.00
18 May 2016	R172 368.00	2 X Retainer of R86 184.00
20 June 2016	R172 368.00	2 X Retainer of R86 184.00
14 September 2016	R172 368.00	2 X Retainer of R86 184.00
19 September 2016	R182 286.00	Retainer of R86 184.00, advertorial for R87 210.00 and R8892.00 for design and layout for an advert.
19 January 2017	R401 365.50	4 X Retainer of R86 184.00, campaign of R53 437.50 and R3 192.00 for design.
Total	R2 879 044.31

(b) Road Traffic Management Corporations (RTMC) has not procured services from nor has it made any payments to (i) Bell Pottinger nor (ii) has it engaged any other public relations firm. The Agency has not established the need to do so.

(aa) – (ff) Not applicable

(b) Road Traffic Infringement Agency (RTI) has not procured services from nor has it made any payments to (i) Bell Pottinger nor (ii) has it engaged any other public relations firm. The Agency has not established the need to do so.

(aa) – (ff) Not applicable

(b) South African Road Agency Limited (SANRAL) has not procured services from nor has it made any payments to (i) Bell Pottinger nor (ii) has it engaged any other public relations firm. The Agency has not established the need to do so.

(aa) – (ff) Not applicable

South African Maritime Safety Authority (SAMSA)

The South African Maritime Authority (SAMSA) has never done any business nor procured any goods or services from Bell Pottinger or any other public relations firm.

The Authority has its own internal Corporate Affairs department which, among other things, is responsible for stakeholder management and communication.

Ports Regulator of South Africa (PRSA)

(b) The Ports Regulator did not procure any services from and/or made any payments to (i) Bell Pottinger or (ii) any other public relations firm. The reason for not using such services is because the activities of the Ports Regulator so far have not necessitated the use of a public relations firm.

National Railway Safety Regulator (NRSR)

(b)(i) The RSR has not procured any services from and/or made any payments to the company in question, Bell Pottinger.

(b)(ii) The RSR utilised the public relations services of Media Equity South Africa

(aa) The services procured related to the provision of reputation management services for the Regulator

(bb) The total cost of the services is contracted for an amount of R295 000.

(cc) Breakdown for cost relate to the assisting the Regulator to strengthen its relationship with the media and increase awareness of its newsworthy initiatives:

(dd) The Regulator has paid Media Equity SA R95 000 to date.

(ee) For services rendered as per the contract awarded to date

(ff) Detailed breakdown:

• Facilitation of the State of Safety report Launch – R35 000
• Interviews with senior management and staff
• Desktop research and social media analysis
• Securing participation from media houses and ongoing relationship building - R60 000

Passenger Rail Agency of South Africa (PRASA)

          (b) (i) PRASA has never procured services from Bell Pottinger

               (ii) No other PR Agency has been used by PRASA

               (aa) there was no requirement for those services

               (bb) Not applicable

               (cc) Not applicable

               (dd) Not applicable

               (ee) Not applicable

               (ff) Not applicable           

 

Reply:

a) (i) Telkom cut voice services to NaTIS sites on 21 March 2017 because Tasima had not paid.

(ii) There were no adverse effects because the system remained operational as data services were not affected.

b) Voice services were restored on 19 April 2017 after the RTMC had taken over the NaTIS.

c) No owner of a motor vehicle was unable to licence a vehicle due to a planned interruption by Telkom. In the event of an unplanned interruption such as copper theft or other similar incidents, the licensing office logs a call with the provincial helpdesk to obtain a reference number. Through this process, the licensing office is authorised by the provincial helpdesk to backdate the effective date of licensing to prevent any penalties and arrears being payable.

Reply:

a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

 

 

Reply:

(a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

(b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

(c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

(a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

(b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

(c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

(a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

(b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

(c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

(a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

(b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

(c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

1. In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

1. No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

1. An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

(a) In terms of the National Road Traffic Act (Act 93 of 1996), there is no provincial inspectorate of testing stations.

(b) No one has been appointed, however the Road Traffic Management Corporation (RTMC is in the process of appointing a service provider /s to conduct assessment and inspections of driver licensing testing centres and vehicle testing stations.

(c) An open tender, Reference No RTMC BID 05/2007/18 was issued on Friday 19 May 2017 and the closing date is 12 June 2017 at 11:00.

(d), and (e), for reasons stated in (a),(b) and (c) above, the Department only receives copies of the reports on inspections done by the SABS and is not privy to any provincial reports, findings and actions taken by the MEC of the province.

(f), (g), and (h) The Department has started with the process of developing the Anti-fraud and Corruption Strategy that is intended to root out fraud and corruption at the vehicle and driving testing stations; and in terms of the current Departmental Strategic Plan, it is anticipated that the strategy will be approved in March 2019.

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) The Limpopo province reported that there were no examiners convicted of issuing fraudulent certificates of road worthiness in the 2016 / 17 financial year.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) The province of Mpumalanga has reported that there were no examiners that were convicted of issuing fraudulent certificates of road worthiness in the 2016 / 17 financial year.

b) See above (a)

c) See above (b)

Reply:

It is difficult to report on the statistics relating to convictions of examiners due to the prolonged period it takes to finalise a case; and due to the fact that once a case has been opened with the South African Police Service (SAPS), they must conduct investigations and ultimately prepare the docket for the Department of Justice to prosecute. Therefore a case may take much longer than expected to be finalised. This involves arms of government other than the Department of Transport.

a) The North West Department of Transport reported on the following:

Four (4) Examiners had been arrested and charged.

Of the four (4), one (1) examiner resigned during the process,

One (1) examiner was found guilty by the Wolmaranstad Magistrate Court and sentence will be passed on the 9th June 2017.

Two (2) Examiners' case ongoing at the Tlhabane Magistrate Court, but are currently on bail and the hearing postponed to the 8th June 2017 - Case No. 336/02/2017

One (1) Runner and a Clerk arrested with the Examiner above, case also ongoing - Case No. 336/02/2017

The examiner who was found guilty is not currently working as an examiner.

b) See above (a)

c) See above (b)

 

Reply:

a) The Department has defined its e-Transport architecture which is meant to integrate Transport transversal electronic services (e.g. eNaTIS, NLTIS, AARTO, Driving Licence etc) to enable them to be available online to improve citizen convenience, reduce queues and improve efficiency of integrated systems.

b) The expenditure is embedded in the operations of the current electronic services and it will be difficult to isolate because there is no special funding reserved for eTransport. But as cooperate with our agencies there is a focus to expand our services to make them available online. The current resources will be used to achieve the department’s online services.

Reply:

1. SOUTH AFRICAN MARITIME SAFETY AUTHORITY (SAMSA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	Yes	One (1)	Effectively from May 2017 till to date	The CEO Mr Tsietsi Mokhele resigned	The interviews were conducted and recommendation is routed to Minister for approval.	As soon as approval is granted by the Minister.
CFO	No vacancy	N/A	N/A	N/A	N/A	N/A
COO	No vacancy	N/A	N/A	N/A	N/A	N/A
2. ROAD ACCIDENT FUND (RAF)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No COO Position	N/A	N/A	N/A	N/A	N/A
3. SOUTH AFRICAN NATIONAL ROAD AGENCY LIMITED SOC (SANRAL)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A
4. SOUTH AFRICAN CIVIL AVIATION AUTHORITY (SACAA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A
5. PORTS REGULATOR (PR)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No vacancy	N/A	N/A	N/A	N/A	N/A
6. AIRPORTS COMPANY SOUTH AFRICA SOC (ACSA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	Yes	One (1)	Effectively from January 2017 till to date	The CFO Ms Maureen Manyama resigned	The vacancy has been advertised and the shortlisted candidates have been identified for interviews	As soon as the recruitment process is finalized
COO	Yes	One (1)	Effectively from January 2017 till to date.	COO Resigned.	The vacancy is still to be advertised.	As soon as the recruitment process is finalized.
7. AIR TRAFFIC NAVIGATION SYSTEM (ATNS)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A
8. ROAD TRAFFIC INFRINDGEMENT AGENCY (RTIA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A
9. CROSS-BORDER ROAD TRANSPORT AGENCY (C-BRTA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A
10. RAILWAY SAFETY REGULATOR (RSR)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	Yes	One (1)	Effectively from 1 November 2015 till to date.	Redeployed to another function within the organization.	The interviews has been conducted and the successful candidate will commence on the 02nd of May 2017.	02 May 2017.
COO	No vacancy	N/A	N/A	N/A	N/A	N/A
11. PASSENGER RAIL AGENCY OF SOUTH AFRICA (PRASA)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	Yes	Three (3) Mr Nthi Khena from 15 July 2015 to 30 June 2016 Mr Collins Letsoalo from 1 July 2016 to 24 February 2017 Mr Lindikaya Zide from 27 February 2017 to date.	Effectively from July 2015 till to date.	The services of the GCEO were terminated.	The appointment process of the GCEO is currently underway.	The appointment process of the GCEO is anticipated to be finalized in the next six (6) months
CFO	Yes	One (1) Mr Nathi Khena applied in the advertised position of the GCEO.	Effectively from December 2016	The services of the GCFO were terminated	The replacement process of the GCFO will commence in May 2017.	The appointment process of the GCFO is anticipated to be finalized by October 2017.
COO	No vacancy	N/A	N/A	N/A	N/A	N/A
12. ROAD TRAFFIC MANAGEMENT CORPORATION (RTMC)
POSITIONS	VACANCIES YES/NO	NO OF PERSONS ACTED IN THAT POSITION	HOW LONG DOES THE VACANCIES EXISTED	REASONS FOR THE VACANCY	CURRENT STATUS OF THE RECRUITMENT PROCESS	WHEN WILL THE VACANCIES BE FILLED
CEO	No vacancy	N/A	N/A	N/A	N/A	N/A
CFO	No Vacancy	N/A	N/A	N/A	N/A	N/A
COO	No Vacancy	N/A	N/A	N/A	N/A	N/A

Reply:

For the period 1 April 2016 to 31 March 2017, SANRAL had 10 suppliers being owed R318 810.23 in total, with 127 average outstanding days. The total payments for the same period was R19.8 billion. Therefore the total outstanding was less than 0,002% of the total amount paid.

(a)(i)Service Provider	Invoice Number	Invoice Date	a(ii)Reason for non-payment	(b)Settlement date
Waterkloof Farm	VR146/02-15/16A	17/02/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
AL Te Ver Trust	VR404/10-16/17A	10/10/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
M Dzutsu	VR518/12-16/17Q	06/12/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
Ultimate Consumable (Pty) Ltd	INV282312	02/03/2017	Awaiting for the statement before payment is made	Will be done before 14 April 2017
Locksmith	201301535	01/11/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided

(a)(i)Service Provider	Invoice Number	Invoice Date	a(ii)Reason for non-payment	(b)Settlement date
Ethekwini Municipality	883377330019Dec 03608009769Oct	13/12/2016 22/10/25016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
University of Stellenbosch	282585	06/05/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
Express Employment	20160407	04/07/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
Modern Frames	S2318	03/06/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided
ARQ Consulting Engineers	17726	08/11/2016	Payment rejected by the system, the supplier changed the banking details without updating the banking with SANRAL	Depends on correct banking details being provided

(c)(i)(ii)(iii) In order to prevent fraudulent transactions or changes to banking details, SANRAL’s internal control measures requires the supplier to submit changes to banking details on a registration form accompanied by an original bank statement/letter/cancelled cheque, confirming the new account number or correct account number. These suppliers have been notified of the problem. SANRAL will pay as soon as it receives correct bank account numbers in a prescribed format. The suppliers have been informed of the prescribed format for changing banking details

Reply:

a) SAPO debt which has been long outstanding due to a dispute with SAPO over proof of service. The details are as follows:

a(i) Service provider / Invoice holder	Invoice number	Invoice dates	a(ii) Reason for non-payment	b) Settlement date
South African Post office (SAPO)	19034GS3030 8069862335 8069862334 8069880768 8069889842 8069906437 8069917673 8069906423 8069906421 8069906420 8069906422 15050007 8069949634 8069949636 8069949635 8069977529 8069977533 8069988717 8069988723 8069988722 8069988714 8069988720 8069988721 4060019 4060010 10060010 8070019964 8070019966 10060008 8070039169 8070039168 8070039170 8070039171 19060029 8070055661 8070055662 8070055658 8070055667 8070055663 8070055666 8070055665 8070055664	01/04/2015 – 24/06/2015	Dispute with SAPO over service delivery not within legislated timeframes as required by AARTO regulations	Envisaged end of April 2017

 

(c) (i), (ii), (iii) Internal checks and balances to prove service on a monthly basis. Monthly SAPO service reports between SAPO and RTIA. A new SLA is in place to deal with proof of service mechanisms and how each party responds to instances outside of SAPO’s control.

Reply:

Railway Safety Regulator (RSR)

Yes, the Railway Safety Regulator (RSR) had unpaid debts for 30 days and more at 31 March 2017.

a) (i)

Supplier	Amount
21st Century Pay Solutions Group	7,410.00
Armani Office Supplies	7,530.40
Baupa Trading Enteprise	50,200.00
Enovative Technologies Africa	24,582.96
GIBB Engineering & Science	224,093.10
Khula Fleet Solutions	328,885.90
Metrofile	5,677.31
Times Media	37,613.16
Vox Telecommunications (Pty)	111,670.18
Vukile Property Fund Ltd	54,060.71
Work dynamics (pty) Ltd)	79,800.00
YSA Developments Leadership	229,647.81

1,161,171.53

ii) Inadequate cash, Delays In collections of debtors.

b) April 2017

c) (i) To improve cash flow, operators are required to apply for renewal of their permit three months before expiry of their permits. This allows safety assessment to take place before the expiry of the permit. After the assessment has been completed, an invoice is issued to the operator. This process ensures that revenue is generated and collected in time.

(ii) According to (RSR) debtors Management Policy, debtors must be collected within 30 days of issuing an invoice. After operators have been invoiced, regular follow up is made with the debtors to ensure that payment is received.

(iii) Communication with debtors takes place through telephone, email and by sending statement of accounts. This is done to ensure that cash flow of the organisation is improved so that creditors could be paid within 30 days

Reply:

a) The Turnaround Strategy was tabled on 28 &29 November 2016 at a Board Strategy Workshop and it was tabled formally at the Board of Control meeting on the 27th February 2017.

b) The Board supported the Turnaround Strategy and made the following amendments:

    (i) That Management must refine the implementation dates as these were un-realistic.

    (ii) That Management get the assistance of external experts to assist management with the implementation of the Turn Around Strategy

Reply:

1. (a)The toll tariffs were adjusted for Consumer Price Inflation (CPI) effective 3 March 2017. The average of the CPI headline year-on-year rates, for the period November 2015 to October 2016, as published by Statistics-SA, was calculated and applied to the previous year’s tariffs for the tariff adjustment. The average CPI as applicable to the adjustment effective 3 March 2017 was 6.0417%.

This CPI adjustment is to retain the real value of the toll tariffs - there is no increase of the tariffs in real terms.

(b) No other criteria were used.

 

(2) The processes to be followed as directed by the South African National Roads Agency Ltd and National Roads Act, No.7 of 1998 were undertaken by SANRAL. The tariffs were calculated and recommended by SANRAL for approval by the Minister and then published in the Gazette for 14 days following signature by the Director General. The Act directs the processes to be followed for the amendment of toll tariffs as follows:

S 27 (2) clarifies that the amendment of toll tariffs “will become effective only 14 days after a notice to that effect by the Agency has been published in the Gazette”.

S 27 (3) (a) specifies that the amendment “is determined by the Minister on the recommendation of the Agency”.

S (3) (c) specifies that the amendment “must be made known by the head of the Department by notice in the Gazette”.

Further, Clause 5.19 of the applicable Gazette no. 40623 of 16 February 2017 states that: “The tariffs and amounts displayed in this notice may be adjusted by a determination of the Minister annually: Provided that such adjustment shall not exceed the Consumer Price Index calculated for the preceding 12 months”.

 

Reply:

1.(a) None. Board fees are determined by the Minister of Transport on consultation with the Minister of Finance.

(b) Not applicable

(c) Not applicable.

2. (a) Not applicable.

(b) Not applicable.

(c) Not applicable.

 

Reply:

Firstly, the former Minister of Transport, Ms Dipuo Peters met with staff members of PRASA. The staff members shared concerns that emerged from when SARCC became PRASA. The consolidation process of the various passenger rail entities into a single passenger entity, namely PRASA, did not also pay attention to cultivating a specific culture within the new organization. As result, hence the challenges that are now being experienced within PRASA. Secondly, the recruitment process for the Group CEO was compromised through the leaking of information to the public. The former Minister impressed upon the Board Chairperson to consider putting the appointment process on hold in light of the above developments. She emphasised that organisational stability was critical and had to be reached before a new CEO can be appointed. This would enable the incoming new CEO to focus on performance and gearing the organization for delivery.

a) The process to appoint the Group CEO of PRASA was terminated within the context of the above background. The credibility of the recruitment process was compromised.

b) The former Minister together with the Board Chairperson agreed and both took the matter to the Board for discussion and decision making

c) The amount spent on the process was R 1 767 000.00

Reply:

a) (i) and (a) (ii)

SAMSA SUPPLIER INVOICES OLDER THAN 30 DAYS
Supplier Name	Amount Over 30 Days	Comments
1. WorldSport South Africa	R 2 053 332	The amount was the subject of a dispute with the supplier. The supplier has since agreed to payments in 6 monthly instalments following the resolution of a dispute.
2. PNN Ship Suppliers and Logistics	R 1 752 276	Supplier payment is effected upon receiving funding from the Department of Fisheries and Forestry. This occurs at quarterly intervals upon which all outstanding supplier invoices are cleared. The next payment run will occur in April/May 2017.
3. Lloyd's Register EMEA	R 965 000	Supplier payment is done bi-annually. The next payment will be made in June 2017.
4. Microsoft Ireland Operations	R 239 812	Supplier payment is effected upon receiving funding from the Department of Fisheries and Forestry. This occurs at quarterly intervals upon which all outstanding supplier invoices are cleared. The next payment run will occur in April/May 2017.
Supplier Name	Amount Over 30 Days	Comments
5. Only Orange Electrical CC	R 307 865	Supplier payment is effected upon receiving funding from the Department of Fisheries and Forestry. This occurs at quarterly intervals upon which all outstanding supplier invoices are cleared. The next payment run will occur in April/May 2017.
6. Viking Life Saving Equipment	R 160 616	Supplier payment is effected upon receiving funding from the Department of Fisheries and Forestry. This occurs at quarterly intervals upon which all outstanding supplier invoices are cleared. The next payment run will occur in April/May 2017.
TOTAL	R 5 478 901

b) All the invoices will be settled in the current financial year (2017/18). A mentioned above, the main reason for the bulk of the long outstanding invoices is SAMSAs cash flow situation which resulted in delays in supplier payments with some of the suppliers, particularly the major suppliers, agreeing on structured payment plans. The financial situation is improving which will lead to most, if not all, suppliers over 30 days old being brought up to date.

c) A supplier reconciliation is performed for each supplier. Any invoice that is identified as long outstanding, the reasons thereof are obtained from the employee who placed an order with the supplier. In addition, suppliers would often contact finance staff when their invoices miss the payment date. The finance staff would follow up on the reasons and resolve the matter.

Reply:

ATNS has no debt that remained unpaid for more than 30 days. Therefore (a) to (c) with subsections are not applicable.

Reply:

The South African Civil Aviation Authority (SACAA) endeavors to comply with section 38(1)(f) of the Public Finance Management Act, Treasury Regulation 8.2.3 and National Treasury SCM Instruction No 5 of 2016/17 to settle all contractual obligations and pay all debt owing within the prescribed or agreed period, which in this case is thirty (30) days.

a) (i), and (ii) The SACAA is not aware of any valid and authorised debt that has remained unpaid for 30 days or more.

b) Debt is settled within 30 days of a valid and approved invoice being presented to the SACAA’s Finance Department and if all the required supporting documents are submitted.

c) (i), (ii), and (iii) The payment process is governed by a policy on accounts payable that have been approved by the SACAA Board. Payments are done weekly by the SACAA’s Finance Department and a creditor’s age analysis is prepared and reviewed monthly.

NW974E

Reply:

Airports Company South Africa has no debt unpaid for 30 days or more relating to its borrowing programme.

The company also has an accounts payable policy to make payments to suppliers and service providers within 30 days of date of invoice or accrual of debt. Payment occurs on the matching of the original purchase order with the goods / services receipt note and the supplier invoice or recognition of the debt. (a) (i) (ii) It is inevitable that some invoices from suppliers will remain unpaid if differences are identified between the purchase order, goods / services receipt note and the invoice or if disputes are lodged. The company’s accounts payable system reflect that less than 0.8% of monthly ‘debts’ remain unpaid after 30 days based on such circumstances (every month the accumulated unpaid ‘debts’ are less than 0.8% of the monthly ‘debts’). (b) each outstanding ‘debt’ is settled immediately on the resolution of the conditions that gave rise to the non-payment. (c) (i) (ii) (iii) The company utilises an Enterprise Resource Planning (ERP) tool with procurement and accounts payable modules linked to a cash management system that enables the recognition of ‘debts’ when goods / services are delivered as per the International Framework for Reporting Standards (IFRS) to ensure continuous service delivery through payments to suppliers.

Reply:

a) The department does not have any debts that remained unpaid for 30 days or more.

a) (i) N/A

    (ii) N/A

b) N/A

c) (i) Payments to creditors are processed on a daily basis.

(ii) An invoice is received from the supplier; the invoice is certified by the project manager, a payment advice is compiled and approved by the relevant delegated authority; the payment is processed and authorised on the system and the amount is paid.

(iii) The Department implemented a payment tracking system to monitor and track payments.

Reply:

PORTS REGULATOR OF SOUTH AFRICA

The Ports Regulator does not have any debts that have remained unpaid for a period longer than 30 days. The Ports Regulator has a turnaround time of 7 days to pay the invoice, this was further confirmed by the Auditor General in the 2015/16 financial year regularity audit which indicated an average of 8 days for the payment of invoices.

(a) Not applicable as there are no debts unpaid.

(b) Not applicable as there are no debts unpaid.

(c) (I, ii and iii) The Ports Regulator has a system of recording each invoice immediately upon receipt to ensure each tracking, the invoice is then submitted to the respective department for approval before being sent back to finance for payment, the finance section does follow ups if the invoice is not received back from respective department to ensure timeous payment. The invoice after being received back from other departments is then compiled form payment which takes about two days. All these stages are recorded.

Reply:

(1)

a) No one. Neither the Department of Transport nor the South African National Roads Agency Limited gave authority for such activities on the Road reserves.

b) Not applicable, as above (a).

c) Neither the Department of Transport nor the South African National Roads Agency Limited has the details on the dates as there was never any authority given.

(d Not applicable, see (a) (b) (c) above.

(2)

(a) Neither the Department of Transport nor the South African National Roads Agency Limited has the details about anyone charged.

(b) Any illegal activity with National network is enforced in terms of the National Road Traffic Act, SANRAL Act, and Criminal Procedure Act, to mention but three.

Reply:

Department

REPLY

(1)(a)(i) The asset register of the Department of Transport is updated as and when asset transactions occur.

(1)(b) The asset registers of the Department of Transport are updated daily.

(1)(c) & Assets that were unaccounted for in the last three financial years and the values of these

(1)(d) assets are as follows for the Department of Transport, relating to the Electronic National Traffic Information System (eNaTIS):

Asset	Value	Year unaccounted for
eNaTIS Software	229,954,000.00	2014/15	2013/14
eNaTIS Hardware	264,201,000.00	2014/15	2013/14
eNaTIS Hardware	24,987,000.00	2014/15

(2)(a) The reasons why these assets were unaccounted for were because of uncertainty that existed regarding the ownership of the assets in terms of the Modified Cash Standard and the ongoing litigation between the Department and the eNaTIS service provider.

(2)(b) The eNaTIS assets were disclosed in the financial statements for the year ended on 31 March 2016. Currently the Road Traffic Management Corporation and the Department are verifying the assets as per the Constitutional Court judgment of 9 November 2016 that the

(2)(c) Opening balances of asset registers of the Department of Transport for the past three financial years:

Year	Tangible assets	Intangible assets	Immovable assets	Minor assets
2015/16	48,425,669.75	305,146.47	353,434,058.10	19,224,456.51
2014/15	42,979,152.90	305,146.47	353,434,058.10	17,446,342.55
2013/14	34,703,408.58	305,146.47	345,237,479.35	15,825,827.56

(2)(d) The Department has a reliable asset management function.

Airports Company South Africa SOC Limited (ACSA)

1. (a) Airports Company South Africa (ACSA)’s asset register is updated as and when asset transactions occur, (b) asset transactions occur on a continued basis and thus the asset register is continuously updated, (c) no assets are unaccounted for, (d) ACSA has no unaccounted assets.
2. ACSA has no unaccounted assets and has the appropriate procedures and processes in place to maintain the integrity and accuracy of asset registers.

Air Traffic and Navigation Services SOC Limited (ATNS)

(1) (a) ATNS’s fixed asset register is updated on a monthly basis with acquisitions and disposals. Useful life extensions are reviewed on an annual basis and updated prior to financial year end being 31 March annually.

(b) ATNS’s fixed asset register is updated on a monthly basis

(c) There are no assets that are not accounted for

(d) There are no assets that are not accounted for and thus this is not applicable

(2) (a) There are no assets that are not accounted for

(b) The annual fixed assets verification process identifies assets that are obsolete; idle; not barcoded; transferred without approval. Maintenance expenses, computer consumable expenses and small office equipment expenses are scrutinized on a monthly basis to ensure that all assets are correctly accounted for.

(c) The opening balances for the past three financial years are as follows:

• 2016/17 R 651 720 948 – Carrying amount
• 2015/16 R 616 658 761 – Carrying amount
• 2014/15 R 706 011 872 – Carrying amount

(d) The integrity and accuracy of the fixed assets is ensured through the following processes:

• Annual useful life review of assets
• Annual impairment test of assets
• Annual verification to ensure that assets are adequately barcoded and accounted for

Ensuring that the acquisitions and accounting of assets comply with the latest
International Financial Reporting Standards; Public Finance Management Act
and Generally Accepted Accounting Practices.

South African Civil Aviation Authority (SACAA)

The undermentioned is the South African Civil Aviation Authority’s response to the following questions: (1) (a) (i) N/A, (ii), (b), (c), (d); and (2) (a), (b), (c), (d) (i) and (ii).

The South African Civil Aviation Authority (SACAA) Asset Register is updated on a monthly basis as and when assets are bought and sold. The Asset Register is also reconciled to the general ledger on a monthly basis. The SACAA Asset Register is updated on a monthly basis. All SACAA assets have been reconciled. The values of each of the asset categories is as per the table below as at the end of February 2017. The asset categories are Property, Plant, Equipment, and Intangible Assets.

Cross-Border Road Transport Agency

(1) (a) (ii) CBRTA updates assets register

(b) monthly as more assets are acquired and/or depreciated in line with the Agency’s Fixed Assets policy. There is a bi-annual (twice a year) asset verification exercise that is conducted in line with the current policy on Non-Current Assets (Fixed Assets).

(c) There are no assets that are unaccounted for, and the assets are accounted for in line with applicable GRAP statements, be it on acquisition and / or impairment.

(d) Not applicable.

(2) (a) Not applicable

(b) The bi-annual asset verification exercise is conducted in line with the current policy on Non-Current Assets (Fixed Assets) with the primary aim of ensuring amongst others, that the assets are accounted for and properly recorded.

(c) The audited opening balances per the C-BRTA statement of financial position (Property, Plant and Equipment) were as shown below:

April 2014 R7, 971, 345

April 2015 R9, 535, 112

April 2016 R8, 491, 941

(d) The asset register and the Agency’s balance sheets have been subjected to the audit processes by the Auditor General (SA), and no material findings have been reported. Internal audits have also been performed by the internal auditor on the assets as part of financial discipline review and there were no material findings noted in the last three financial years

Road Accident Fund

(1) (a)(ii) The Fixed Asset Register of the RAF was last updated on 6 October 2016 following the RAF’s bi-annual asset verification process. The next major update will happen on 5 April 2017 after the final asset verification process.

(b) the Fixed Asset Register is updated on a continuous basis for asset movements or additions in terms of the RAF’s approved Fixed Asset Management Policy. The updates are performed by specific individuals in accordance with the principle of segregation of duties. Major updates take place bi-annually as a result of the RAF’s bi-annual asset verification process.

(c) the assets which are unaccounted for in the past three financial years are reflected in the attached spreadsheet and

(d) the values of each of the assets are reflected in the attached spreadsheets;

(2) (a) the reasons for these unaccounted assets are largely due to the fading or removal of identifying barcodes due to normal wear and tear; the theft of assets in which instance the RAF considers claims against its insurers where this is possible and, or financially viable having regard to the excess payable in respect of the particular claim; and where the RAF was prevented from documenting assets which were removed during attachment processes executed by the Sheriff of the court,

(b) the RAF is doing the following to identify the assets:

• Asset verifications are performed bi-annually to ensure assets on the Fixed Asset Register are verified.
• Assets reported as unverified during the verification are flagged and the following procedures are performed:
• The Facilities Management Department and the Information Communication Technology Departments attempt to verify the asset on the floor. If the asset cannot be verified all information on the accounting system and the Fixed Asset Register, including manual records are utilised in an effort to identify the original purchaser in an attempt to pinpoint the cost centre owner in order to enquire from the cost centre owner as to the location of the asset. If the location of the asset cannot be identified using manual records, transfer documentation for the movement of assets to other regions as a result of asset transfer or employee secondment are also reviewed.

Only after these processes have been completed are the assets approved for write off by the RAF’s Asset Disposal Committee. All submissions motivating for asset disposal are presented to the committee to be reviewed before they are approved for de-recognition on the Fixed Asset Register. The Asset Disposal Committee commenced its duties in July 2016.

(c) the opening balance of the Fixed Asset Register (opening book values) for the

2014-15 financial year was R 268 169 000,

2015-16 financial year was R 281 807 000, and

2016-17 financial year was R 227 245 000,

(d)(ii) the following procedures, processes and mechanisms exist to ensure the integrity of the RAF Fixed Asset Register:

• The RAF’s Fixed Asset Management Policy
• The RAF’s Fixed Asset Management Standard Operating Procedure
• Management Directives have been issued where necessary
• Audits are performed by the Internal Audit Department
• Audits are performed by the Auditor General (no material findings have been raised)
• A bi-annual verification exercise is performed in September and March of each year
• The RAF has implemented the segregation of asset management functions for recording and maintaining the Fixed Asset Register
• Clearly defined roles are in place for the Facilities Management and Information Communication Technology Departments.
• Dedicated resources are employed to ensure Fixed Assets are recorded accurately and completely.
• A Reconciliation of the Fixed Asset Register to Financial Records is performed on a monthly basis.

Road Traffic Management Corporation

(1) (a) (ii) RTMC updates assets register on a

(b) Monthly basis with all assets procured and the relevant depreciation is also run.

(c) There are no unaccounted assets

(d) Not applicable

(2) (a) Not applicable

(b) Not applicable

(c) opening balance: 2013/14 – R20,372,747

2014/15 – R26,338,596

2015/16 – R26,416,188

(d) procedures, processes and mechanisms exist to ensure the integrity and accuracy of the asset registers

• Regular physical asset verification spot checks.
• Monthly reconciliation of GL to FAR
• Receiving of all assets that are procured is done by Asset unit and the assets are barcoded immediately
• Asset movement forms are used to allocate assets to an end user
• Room inventory lists are posted for each area listing all the assets in the area.
• Assets under the control of a centralised unit with an asset controller appointed within each business unit for day to day controlling.

Road Traffic Infringement Agency

(1) (a)(ii) RTIA – during the month of March 2017

(b) On a monthly basis and as and when there are new transactions that are required to be added to the asset register.

(c) There are no unaccounted assets

(d) Not applicable

(2) (b)(a) N/A

(b) Asset count twice a year

(c) 2016 = R 9 923 359

2015 = R 4 209 735

2014 = R 643 257

(d) Approved asset policy

Bi-annual physical verification of assets

Assets are subjected to annual audit both internally and externally

A regular review and monitoring of asset movement and changes

All assets are insured.

Asset management function in place.

Monthly recording of the accounting records

Quarterly reporting to MANCO

EXCO and Audit Committee

Internal control around purchase maintenance recording and disposal of assets in place.

South African National Roads Agency Limited

1. (a)(ii) SANRAL

(b) SANRAL’s asset register is updated whenever a new asset is acquired or old/redundant assets are written off for various reasons, including technological obsolescence.

(c) There are no assets which are not unaccounted

(d) Not applicable

2. (a) and (b) No unaccounted assets exists.

(c) The opening balances for the past three financial years are:

2014/15 R303 747 772 000

2015/16 R308 819 013 000

2016/17 R315 293 979 000

(d) (ii) The integrity and accuracy of the asset register is ensured through monthly reconciliation of the asset register to SANRAL’s general ledger. Furthermore, asset verification is performed twice a year to ensure that assets physical exists.

South Africa Maritime Safety Authority (SAMSA)

(a) SAMSA fixed asset register gets updated every time there is movement, eg acquisition, disposal, loss through destruction etc, of assets. The fixed asset register was last updated on 24 March 2017;

1 (b) The Fixed Asset Register gets updated immediately when there is a movement in fixed assets as well as monthly and annually as part of month end and annual reporting process;

1(c) Assets totaling R124, 660.86 were unaccounted for in the past three years by the entity;

1(d) The following is a list of assets that were unaccounted for:

ASSET DESCRIPTION	ASSET ID / SERIAL NUMBER	ACQUISITION COST
1.ACER TMP 255 Laptop	CH2388	R15,112.52
2.ACER TMP 255 Laptop	CH2389	R15,112.52
3. Trueline Bird Wattmeter	OQ2080	R12,871.74
4. Trueline Bird Wattmeter	OQ2081	R12,871.74
5.ARG Electric Design Tool/Tester	0203 000 333	R37,231.26
6. HP Probook 6360b Laptop	0201 000 671	R10,696.94
7. CANON Scan Front 300/300P	CH3090	R19,229.17
8. CANON Digital Camera	0303 000 120	R1,534.97
TOTAL		R124,660.86

2(a) Most of the assets were stolen and the Fixed Asset Register was not updated on time. Some could not be located during fixed asset verification but were never removed from the Fixed Asset Register.

2(b) Since the beginning of the 2016/17 financial year, a process has been implemented where fixed assets are verified quarterly. The reasons for missing assets are investigated and, if valid, eg stolen asset without a possibility of recovery, the Fixed Asset Register is updated.

2(c) Fixed Asset Register opening balances:

DESCRIPTION	31 March 2016 (R’000)	31 March 2015(R’000)	31 March 2014 (R’000)
Opening Balance	R37,487	R46,269	R46,035

2(d) Procedures and processes for fixed asset management have been improved to ensure completeness and accuracy of fixed assets. This includes ensuring assets are adequately safeguarded and regular verification of fixed assets is conducted - variances are investigated to understand the root cause and ensuring a repetition in the future.

Ports Regulator of South Africa (PRSA)

1. (a) (ii) the asset register of the Ports Regulator was last updated in August 2016 when computer equipment was purchased. (b) The asset register is updated every time there’s a purchase and/or disposal including changes in location for all assets. (c) All assets of the Ports Regulator are accounted for in the assets register. This is also confirmed by Auditor General from their last audit. (d) Not applicable.
2. There were no assets that belong to the Ports Regulator which were not accounted for in the asset register. (a) Not applicable, (b) Not applicable, (c) Not applicable, (d) Not applicable.

Passenger Rail of Agency of South Africa (PRASA)

1. (a) PRASA’ s asset register is updated and audited on an annual basis.
2. Asset register is updated when an asset becomes ready for use, when an asset is damaged (Part of Asset Departments’ function on a daily basis).
3. There are no known assets unaccounted for in the past three financial years.
4. See response (c) there are no known unaccounted assets.

2. (a) There are no unaccounted assets.

(b) Regular asset verification, at least twice a year.

(c) Audited balances over past 3 years

2015/16 Financial Year……………R32, 8 billion

2014/15 Financial Year……………R29, 7 billion

2013/14 Financial Year……………R26, 4 billion

(d) Frequent physical verification of assets, monthly reconciliations

Railway Safety Regulator (RSR)

(1)

(a)(ii) Asset Register of RSR was last updated in March 2017.

1. Asset Register of RSR is updated every time there are changes in assets. This includes acquisition, movements, disposals and asset verification results.
2. There were no unaccounted assets in the past three years.
3. Please see response in (c).

(2)Please see response in (1)(c).

1. Asset verification is conducted twice a year in line with the Asset Management Policy
2. The opening balances of the asset register for each of the past three years were:

Asset category	2015/16	2014/15	2013/14
Property, Plant and Equipment	R6 014 828	R6 744 003	R2 585 413
Intangible assets	R11 539 932	R2 901 167	R190 399
TOTAL	R17 554 760	R9 645 170	R2 775 812

These are the carrying amounts at the beginning of each financial year.

(d)(ii) The Asset Management Policy of the RSR governs how assets should be managed. This includes the recording, assets verifications and the disposals processes.

Reply:

South African Civil Aviation Authority (SACAA)

Below is the South African Civil Aviation Authority’s response to questions (a), (b), (c), (d), (e), and (f).

a) The table below provides details on the total number of investigation conducted over the past three financial years by the South African Civil Aviation Authority’s Accident and Incident Investigation Division. In line with international standards, and as prescribed in Annex 13 of the International Civil Aviation Organization (ICAO), aircraft accidents are classified into two categories, i.e. as either an Accident or Serious Incident.

TOTAL NUMBER OF ACCIDENTS AND INCIDENTS IN THE PAST THREE FINANCIAL YEARS
Year of Occurrence (Financial Year)	Accidents	Serious Incidents	Total
2014/2015	120	77	197
2015/2016	110	26	136
2016 - Feb 2017	69	14	83

NOTE: The 2016/2017 financial year statistics excludes March 2017 occurrences, which will be tallied only at the end of March 2017.

TOTAL NUMBER OF ACCIDENTS PER PROVINCE IN THE PAST THREE FINANCIAL YEARS
Financial Year	GP	NW	LP	FS	EC	WC	MP	NC	KZN	O/B
2014/2015	37	8	10	6	17	12	12	4	10	4
2015/2016	33	11	12	3	14	12	9	1	6	9
2016/2017	19	7	12	2	4	10	5	0	5	5

NOTES:

• GP Gauteng Province
• NW North West Province
• LP Limpopo Province
• FS Free State Province
• EC Eastern Cape Province
• WC Western Cape Province
• MP Mpumalanga Province
• NC Northern Cape Province
• KZN KwaZulu-Natal Province
• O/B Borders of South Africa.

b) The nature of aircraft accident and incident investigations differ depending on the occurrence. Investigation are conducted in line with requirements outlined in Annex 13 of the International Civil Aviation Organization (ICAO). This means:

1. in instances where an aircraft sustains minor damages and there are no reported injuries, the investigation will commence immediately but will be conducted off site, meaning that the Investigator in Charge and his or her team of Investigators do not need to go to the crash site in order to conduct the investigation; and
2. In instances where the aircraft sustains major damages and there are reported injuries or a fatality or fatalities, the investigating would commence immediately and on site.

c) The table below outlines the total annual costs, over a three financial year period, of activities associated with aircraft accident and incident investigations.

ANNUAL COSTS OF ACCIDENT INVESTIGATION FOR THE PAST THREE FINACIAL YEARS
Financial Year	2014/2015	2015/2016	2016/2017
Total Cost	R 16 919 937.45	R 18 378 990.80	R 17 736 577.23

d) The outcome of investigations revealed the following as main probable cause(s) and contributing factors for the accident or serious incident:

OUTCOMES OF THE AIRCRAFT ACCIDENT AND INCIDENT INVESTIGATIONS
Occurrence Causals	Contributing factor(s)
Human Error	Poor technique/airmanship Failure to maintain flying speed/stall Loss of directional control Disregard of standard operating procedures Disorientation
Aircraft Technical (mechanical failure of a component)	Fuel starvation/Exhaustion Metal fatigue/fracture Engine failure Mechanical failure Loss of power Combustion malfunction
Aircraft Operations	Unsuccessful forced landing Sling load operation Missed approach Wake turbulence

e) The primary lessons learned from each investigations is that we are then able to determined what caused the accident or serious incident and what are the other factors that contributed to the accident.

f) The SACAA has formed partnerships with the industry aimed at developing and implementing measures that prevent a repeat of similar incidents. The following has thus far been implemented:

1. Safety recommendations emanating from the investigation reports are issued to affected aircraft operators and organisations that maintain the aircraft to implement measures to prevent future accident.
2. Safety awareness notices are issued where there’s a trend of similar incidents even if there’s different types of aircraft involved, e.g. collusion with wires due to low flying.
3. The Safety Management Systems (SMS) was introduced and has been and continue to be implemented by operators. This allows operators to manage their safety risk based on incidents they experience in their organisation.
4. The SACAA continuously hosts round-table discussions with the industry on aviation safety.
5. The SACAA introduced the Annual Safety Seminar and uses it to share safety information with the industry. Local and global trends relating to the causes and contributing factors of accidents and incidents are shared with the industry.
6. Once finalized, accident and serious incidents investigation reports are made public and available through the SACAA website (www.caa.co.za).

NW820E

Reply:

Airports Company South Africa SOC Limited (ACSA)

1. In terms of the IATA baggage policy, the airline is accountable and responsible for the passenger’s baggage. According to the IATA codes, delayed, damaged and/ stolen bags are recorded by either the airline or its handling company on behalf of the passenger which is handled as a claim.

2. See above answer to question (1).

3. When an airport official and/or staff is involved or positively implicated in pilferage, their access permit cards are blacklisted by ACSA and the matter is reported to SAPS.

Reply:

a) The Board had resolved to request the Chairpersons of the respective Subsidiary Boards to attend and submit their reports to the Governance and Performance Committee of the Main Board, which is comprised of the PRASA Board Chairperson and the Chairpersons of the Board Committees. PRASA has two Subsidiaries, namely: Autopax (Bus service) and Intersite (Property Development).

b) (i) They engaged through the Governance and Performance Committee of the Board.

(ii) Subsidiary Board Chairpersons submit reports to and attend the Governance and Performance Committee of the Board.

c) Governance and Performance Committee of the Board – which is made up of the Board Chairperson and the Chairperson of the Board Committees.

d) The Board had resolved to request the Chairpersons of the respective Subsidiary Boards to attend and submit their reports to the Governance and Performance Committee of the Main Board.

Reply:

Yes, the Passenger Rail Agency of South Africa has debt that has remained unpaid for 30 days or more.

a) (i) Debt outstanding for more than 60 days see link below:

https://pmg.org.za/files/RNW897Table-170407.docx

a) (ii) 95% of debt is owed to Transnet. Discussions are ongoing between PRASA and Transnet to resolve the debt. 4% of debt is owed to other suppliers; some invoices have disputes that are in the process of clearing, whilst others have not have been paid due to cash constraints.

b) Debt is settled twice a month.

c) (i) Invoices are signed off by end user as confirmation that services were rendered

   (ii) Invoices are loaded on system

  (iii) Payments are made twice a month on invoices 30 days and older dependant on cash flow constraints, small suppliers is prioritised. Age analyses are scrutinised by CFO’s for reasons of non-payment.

Reply:

a) (i) are the details of these debts,

Service provider / Invoice holder	Invoice number	Invoice dates	Reason for non-payment	Settlement date
Putco Mafani Consulting	INV2016-09-06	06-09-2016	This matter has been referred to the Legal unit as there is a contractual disagreement.	Once agreement is reached
Nexus Travel	INV082193 to INV0920319	29-01-2016 to 15-09-2016	There was dispute on charges for accommodation and conference fees	RTMC has agreed on a settlement of R151 005.74 which was PAID in March. The balance of R557 990.74 will be reversed.

The RTMC has two debts over 30 days:

• Putco Mafani Consulting – R20 000
• Nexus Travel - R728 996.46

(ii) what are the reasons for non-payment in each case,

• Nexus Travel – Nexus overcharged RTMC on the accommodation and conference fees and we have agreed on a settlement of R151 005.74 which was PAID in March. The balance of R557 990.74 will be reversed.
• Putco Mafani Consulting – This matter has been referred to the Legal unit as there is a contractual disagreement.

b) Nexus Travel has been paid already during the last week of March and Putco Mafani Consulting will depend on the outcome of the advice from Legal unit.

c) (i) processes, (ii) procedures and (iii) mechanisms are in place to ensure that payments are made on time?

The Corporation pays creditors on a weekly basis and has no history of long overdue debts. The preliminary creditors’ age analysis for March 2017, indicates that only 0.03% of creditors were over 30 days; and it was only two suppliers.

When invoices are received, they are recorded in a register for follow up, sent to programme managers for sign off and paid promptly. Where there is a delay, Logistics Management follows up with programme managers.

Reply:

a) The upgrading and improvement of Railway stations which are used for the delivery of both Commuter and Long Distance Rail services is ongoing and occurs annually through a National Station Improvement Programme (NSIP) and National Station Upgrade Programme (NSUP). Table 1 below reflects the number of completed projects since April 2012 to March 2016.

Table 1

 

It is anticipated that for the 2016/2017 financial year a total of forty three (43) station improvements (NSIP) and fifteen (15) station upgrades projects (NSUP) will be completed. For the 2017/2018 financial year a total of forty five (45) station improvement projects (NSIP) and fifteen (15) station upgrade projects (NSUP) are earmarked for completion. The table below outlines a project name list for stations prioritised for the 2017/2018 financial year per region.

National Station Improvement Programme (NSIP)

Gauteng South Region	Gauteng North Region	Western Cape Region	Kwazulu Natal Region	Eastern Cape Region
1.Dunnottar station	8) Akasiaboom Station	20) Du Toit	27) Winkelspruit Station	34) Arnoldton Station
2. Servaas Station	9) Silverton Station Drainage & Fencing	21) Fisantekraal	28) Charlottedale Station	35) De Mist Station
3. Selpark Station	10) Gezina Station	22) Gouda	29) Ottawa Station	36) Mdantsane Station
4. Noupoort Station	11) Soshanguve Station	23) Vlottenburg	30) Compensation Station	37) Mount Ruth Station
5. Union Station	12) Kopanong Station	24) Esplanade	31) Frazer Station	38) East London Station - Fire Infrastructure Refurbishment drainage and paving in Depot Yard
6. Betlhehem Station	13) De Wildt Station	25) Stellenbosch	32) Phoenix Station	39) Port Elizabeth Station – Fire Infrastructure Refurbishment
7. Grasmere Station	14) Komatipoort Station	26) Paarl	33) Shallcross Station	40) Sydenham Station
	15) Kaapmuiden Station			41) Port Elizabeth Station
	16) Nelspruit Station			42) East London Station
	17) Akasiaboom Station			43) Perseverance Station
	18) Pienaarspoort			44) Sterkstroom Station
	19) Mamelodi Gardens			45) Cradock Station

National Station Upgrade Programme (NSUP)

Gauteng South Region	Gauteng North Region	Western Cape Region	Kwazulu Natal Region
1. Florida Station	9) Akasiaboom Overhead Station	10) Cape Town Station Upgrade Phase 6	15) DBN Station Fire Compliance - (Phase 2)
2. Jeppe Station		11)Cape Town Station Phase 1 Forecourt & Amenities
3. Bloemfontein Station		12)Mbekweni Station Upgrade
4. Germiston Station -Shosholoza Meyl Office		13) Mutual Station
5. Park Station – (4) projects		14)Woltemade Station

(b) (i) Some stations have been closed due to operational requirements of rationalisation of stations in close proximity to each other, low passenger numbers and safety considerations.

(ii) Not applicable, see (i) above

(c) (i) Passenger are referred to an existing of upgraded stations, closer to them.