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03 April 2019 - NW179

Profile picture: De Freitas, Mr MS

De Freitas, Mr MS to ask the Minister of Transport

With reference to the reply to question 642 on 22 March 2018, (a) what is the total number of persons who have (i) been injured and/or (ii) died as a result of open coach doors in moving trains of the Passenger Rail Agency of South Africa (Prasa) since 1 March 2018, (b) what total amount in compensation was paid out to victims, (c) what actions have been taken by Prasa with regard to each case and (d) why has Prasa reneged on their legal duty to ensure doors were closed as confirmed by the Constitutional Court in 2015?

Reply:

a) Passenger injuries and fatalities since 1 March 2018 to date

Date

(i)

Injuries

(ii)

Fatalities

March 2018

0

0

April 2018

20

1

May 2018

21

0

June 2018

19

0

July 2018

10

2

August 2018

20

1

September 2018

10

0

October 2018

12

0

November 2018

8

0

December 2018

10

1

January 2019

8

0

TOTAL

138

5

b) The total amount in compensation paid out to victims:

Date

Compensation

April 2018

R6,653,051

May 2018

R8,389,731

June 2018

R5,535,938

July 2018

R9,494,982

August 2018

R8,296,502

September 2018

R6,111,562

October 2018

R7,643,447

November 2018

R23,775,493

December 2018

R6,926,698

January 2019

R4,334,350

February 2019

R13,489,686

March 2019

R2,367,332

TOTAL

R103,018,772

It should be noted that commuter injury claims are long tail in nature and takes a long period to finalise and settle to that extent claims incurred in a specific month are not settled in that month but in later months.

c) Each incident that occurs on the PRASA network is reported to the Joint Operations Centre where the incident is recorded and a protection official is called out to the scene to investigate the incident. In cases of fatalities, each incident is reported to the South African Police Service who then takes charges of the scene and hands it over to PRASA once the deceased is removed from the rail environment. Incidents are further reported to the Railway Safety Regulator daily.

d) PRASA has not reneged on its legal duty to ensure doors are closed. PRASA as an operator is committed to passenger safety and operational safety. When the driver picks up their train at the Staging Yard, he/she ensures that the doors are tested and functional. We, therefore make sure that the doors that are malfunctioning are repaired before the train leaves the Staging Yard. Passengers have a tendency of blocking the doors and cause them to malfunction. When the train is staged for the evening, the driver tests the doors and makes sure that the malfunctioning doors are reported. The driver normally fills in the T403 Document to report the malfunctioning doors. The doors are therefore repaired before the train move into the operational tunnel.

03 April 2019 - NW558

Profile picture: De Freitas, Mr MS

De Freitas, Mr MS to ask the Minister of Transport

(a) What investments have been made in each month by (i) his department and (ii) entities reporting to him (aa) in the past three financial years and (bb) since 1 April 2018, (b) what was the nature of each investment, (c) why was each investment made in each case, (d) what were the projected returns in each case, (e) who represented the department or entity when negotiating the investments, (f) on what date was each investment made, (g) what returns have been enjoyed to date in each case and (h) with whom were investments made in each case?

Reply:

(a)(i)(aa) None

(a)(i)(bb) None

(b), (c), (d), €, (f), (g), (h) Not applicable

Air Traffic and Navigation Services SOC Limited (ATNS)

  1. R250 million was put into a six-month fixed term deposit with Nedbank from March 2016 – September 2016.
  2. Six-month fixed term deposit
  3. Maximize interest received
  4. 7.65%
  5. Chief Financial Officer
  6. March 2016 to September 2016
  7. 7.65%
  8. Nedbank – being the transactional banker at the time

Cross-Border Road Transport Agency (CBRTA)

(i0 (a) No investments were made by (ii) the CBRTA (aa) in the past three financial years and (bb) since 1 April 2018, consequently questions (b), (c), (d), (e), (f), (g) and (h) are not applicable.

Road Accident Fund (RAF)

(j) (a) No investments were made by (ii) The RAF has not made any investments (in the sense of “funds under management”) (aa) in the past three financial years and (bb) since 1 April 2018, consequently questions (b), (c), (d), (e), (f), (g) and (h) are not applicable.

Road Traffic Management Corporation (RTMC)

(i) (a) No investments were made by (ii) The RTMC has not made any investments (aa) in the past three financial years and (bb) since 1 April 2018, consequently questions (b), (c), (d), (e), (f), (g) and (h) are not applicable.

Road Traffic Infringement Agency (RTIA)

(i) (a) No investments were made by (ii) The RTIA has not made any investments (aa) in the past three financial years and (bb) since 1 April 2018, consequently questions (b), (c), (d), (e), (f), (g) and (h) are not applicable.

South African National Roads Agency Limited (SANRAL)

(a) Please refer to the attached spreadsheet for a detailed response. (Annexure ‘A’)

South African Civil Aviation Authority (SACAA)

(a) (i) Not applicable. (a) (ii) (aa) The South African Civil Aviation Authority (SACAA) has not made any investments in the past three financial years other than depositing surplus funds in call accounts with banking institutions as disclosed to National Treasury on an annual basis as per Treasury Regulations.

(aa) and (bb) As per table below – Deposits in call accounts: 

 

 

2016/03/31

2017/03/31

2018/03/31

2019/02/28

SACAA Call Accounts

Balance

Balance

Balance

Balance

Investec Call account

26 816 234

28 711 924

30 687 860

32 540 602

Absa Call account

26 675 429

28 391 238

30 164 946

31 810 956

Nedbank Call account

25 811 325

27 584 337

29 438 724

31 173 458

Standard Bank Call account

109 922 727

155 916 512

206 096 735

195 026 950

Total Call Account Balances

189 225 715

240 604 011

296 388 266

290 551 966

b) the nature of each investment & (c) why each investment was made in each case: the call accounts are utilised to invest surplus funds.

c) the projected returns in each case: rates on call accounts as published by the respective banks from time to time.

d) who represented the entity when negotiating the investments: the Chief Financial Officer and the Senior Manager: Finance as per the approvals and Delegation of Authority.

e) on what date each investment was made: on a daily basis all surplus cash identified is invested in a call account.

(g) The Annual returns as per the financial statements is:

Current year to 28 February 2019 R16 983 320

Year ended 31 March 2018 R17 006 783

Year ended 31 March 2017 R14 549 007

(h) with whom investments were made in each case: Standard Bank, Investec, ABSA, and FNB.

Ports Regulator of South Africa (PRSA)

(a)(ii) The Ports Regulator has not made any investments in the past (aa) three financial years

and since (bb) 01 April 2018.

(b)(c)(d)(f)(g)(h) Not applicable

Railway Safety Regulator (RSR):

a) The RSR invests only in the Corporation for Public Deposits (CPD) at the South African Reserve Bank. Withdrawals at CPD can be done at any time at no charge. The RSR earns interest from these investments.

(aa) The following investments were made in the past three financial years:

2015/2016 R7,105,000

2016/2017 R81,000,000

2107/2018 R144,700,000

(bb) An amount of R189,900,000 was invested since 1 April 2018.

b) The nature of each investment were short term deposits with the CPD at the South African Reserve Bank.

c) Each investment was made for the purpose of earning interest.

d) The projected returns were for interest earned at variable interest rates.

e) No negotiations took place when deposits were made to the CPD.

f) The dates on which each investment was made are as follow:

2015/2016

Date

Amount Invested

2015/11/25

5,000

2015/12/04

1,000,000

2015/12/23

1,000,000

2016/01/20

5,000,000

2016/03/30

100,000

Total

R7,105,000

2016/2017

Date

Amount Invested

2016/08/15

40,000,000

2016/10/12

7,500,000

2016/11/02

25,000,000

2016/12/28

7,500,000

2017/01/11

1,000,000

Total

R81,000,000

2017/2018

Date

Amount Invested

2017/04/21

5,000,000

2017/04/21

5,000,000

2017/04/21

5,000,000

2017/04/21

5,000,000

2017/04/21

5,000,000

2017/07/04

2,000,000

2017/07/13

4,000,000

2017/07/13

2,000,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

3,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/20

4,500,000

2017/07/21

4.500.000

2017/08/01

14,000,000

2017/10/13

3,000,000

2017/10/17

1,500,000

2017/10/18

5,000,000

2017/10/18

700,000

2018/01/15

500,000

2018/02/19

2,000,000

2018/02/23

700,000

2018/03/12

4,000,000

2018/03/15

300,000

Total

R144,700,000

2018/2019

Date

Amount Invested

2018/04/07

4,800,000

2018/04/24

20,000,000

2018/06/20

80,000,000

2018/06/21

40,000,000

2018/06/26

25,000,000

2018/06/24

4,500,000

2018/10/12

1,000,000

2018/10/19

1,500,000

2018/10/26

11,500,000

2018/11/09

1,600,000

Total

R189,900,000

g) Returns enjoyed to date are:

2015/2016 R396,953 interest earned

2016/2017 R1,061,724 interest earned

2017/2018 R2,096,959 interest earned

2018/2019 R5,473,457 interest earned from 1 April 2018 to 28 February 2019

h) The RSR invested only in the Corporation for Public Deposits (CPD) at the South African Reserve Bank

South African Maritime Safety Authority (SAMSA)

 

(aa) in the past three financial years

(bb) Since 1 April 2018

(b) Nature of investment

Monies, for which we do not have an immediate need for, are transferred from the current bank account to a call account in order to maximise interest earned.

(c) Why was the investment made

 

(d) Projected Returns

Interest rates can vary from time to time, but the rates are currently:

Current Account – 5.25%

Call Account – 5.6%

(e) Who represented SAMSA in negotiations

There are no negotiations – these accounts were set up many years ago. Transfers to and from the Call account are authorised by the Chief Financial Officer and released by 2 bank signatories as per the Delegation of Authority.

(f) Date of Investment

Various dates as and when surplus monies are identified so that we can maximise interest earned.

(g) Return on investments received

The following interest was received in:

2016 – R401 000

2017 – R688 000

2018 – R2 534 000

From 1 April 2018 to 31 January 2019 SAMSA received interest of R2 315 000

(h) Investments made with

ABSA Bank

ABSA Bank

Airports Company South Africa SOC Limited (ACSA)

Airports Company South Africa has a Board approved Investment Policy which governs the investment of surplus funds in line with the Section 31.3.1 of the Treasury Regulation which stipulates the following “A government business enterprise listed in Schedule 2, 3B and 3D or a public entity listed in Schedule 3A or 3C authorised to invest surplus funds, must have an investment policy approved by the accounting authority”.

Please see attached Investment portfolios, addressing the following questions: (a) What investments have been made in each month by (ii) entities reporting to him (aa) in the past three financial years and (bb) since 1 April 2018, (b) what was the nature of each investment, (d) what were the projected returns in each case, (f) on what date was each investment made, (g) what returns have been enjoyed to date in each case and (h) with whom were investments made in each case?

(e) The Company’s Treasury Department under the Finance Division is responsible for negotiating the investments of surplus cash on behalf of the company.

(b) The Company invests in various instruments such as money market funds, term deposits, income funds and call deposits which ensures that the company is able to meet its financial obligations at all times.

(c) The Treasury Department invests surplus cash in accordance with the Board approved policy to ensure that capital is preserved, adequate liquidity is maintained, and returns are optimised. The counterparty risk is managed by monitoring and diversifying the list of approved counterparties. To mitigate credit risk, the Treasury Department conducts credit risk assessment of investment counterparties whenever there is new information such as financial statements and credit rating reports. In addition, the Company invests with institutions and funds with a minimum national long-term credit rating of A- or equivalent and/or minimum national short-term credit rating of F1 or equivalent.

The Board Approved Investment Policy further stipulates the following thresholds regarding counterparties and approved financial instruments for the investment of surplus cash: counterparty limit, asset class allocation, credit rating limit, weighted average duration, assessment of investment instruments based on liquidity requirements and financial instruments and products.

Airports Company Investment portfolio as 30th June 2018

Airports Company Investment portfolio as 30th September 2018

Airports Company Investment portfolio as 31st December 2018

Airports Company South Africa Investment Portfolio as 31st March 2016

Airports Company South Africa Investment Portfolio as 31st March 2017

Airports Company South Africa Investment Portfolio as 31st March 2018