Questions and Replies

Filter by year

24 November 2023 - NW3325

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether he has found that the electricity storage via batteries presents the Republic with the best opportunity for a more cost-effective method of developing the capacity of the grid and transmission capabilities than gas as it was projected to by the Independent Institute for Sustainable Development; if not, what is the position in this regard; if so, what are the relevant details? (2) Whether he will furnish Mr G K Y Cachalia with the details (a) quantum of storage that is required and (b) cost thereof; if not, why not; if so, what are the relevant details? NW4445E

Reply:

According to Information Received from Eskom:

1. Battery storage is used by Eskom to support the network during peak loading and ancillary services such as frequency regulation and voltage support.

However, gas is used as mid-merit or peak generation, depending on the prices. Gas can power the network on a continuous basis.

The costs of battery storage cannot be directly compared to those of gas, as battery storage has charging and discharge components. Charging costs and discharging costs differ.

Gas costs are only for electricity generation.

In addition, the use of gas would require new pipelines and gas distribution networks to Eskom substations. The country would have to invest in new gas pipeline networks, and these would need to be built underground and protected which would further increase costs.

2. Storage that would be currently required is about 70% of the installed solar photovoltaic (PV) and wind capacity to ensure power supply continuity equivalent to baseload generation. The storage capacity must accommodate load shedding cycles to be effective. The battery storage costs are in the peak generation range. Using current battery energy storage costs of R11bn for 200M/800MWh, an installed PV base of 5000MW would require 3500W/14000MWh a day at an estimated installation cost of over R192bn noting that this excludes operational costs.

 

Remarks: Approved / Not Approved

Ms Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3478

Profile picture: Lees, Mr RA

Lees, Mr RA to ask the Minister of Transport

What are the details of all funds paid out by her department for the maintenance of the KwaZulu-Natal R74 road from the Free State border to the bottom of the Oliviershoek Pass from 1 June 2022 to 31 August 2023, including but not exclusively, the (a) amounts paid to each contractor, (b) name of each contractor, (c) name of each director of the contracted companies, (d) address of each contractor, (e) scope of work for each contractor, (f) amounts withheld from contractors and (g) expenditure for work done?

Reply:

The question was referred to the Kwa Zulu Natal Department of Transport who has advised that the road in question is road P340 (R74) from Bergville to the Free State border and

  1. R10 731 792.87
  2. Madudla Contractors has been the contractor that was working on Main Road 340 (R74) for the duration mentioned (Pass from 1 June 2022 till now).
  3. Mr S Dlamini is the sole owner / director of the company;
  4. The company is registered in Van Riebeek park, Ladysmith
  5. the project scope was for the replacement of the failed Armco pipe with new pipes.
  6. None withheld
  7. To date, expenditure on the project is R10 731 792.87

 

24 November 2023 - NW3482

Profile picture: Graham, Ms SJ

Graham, Ms SJ to ask the Minister of Public Enterprises

What (a) progress has been made on the curtailment framework and (b) is the expected date of release of the (i) Generation Connection Capacity Assessment and (ii) Curtailment Framework?

Reply:

According to Information Received from Eskom:

The Eskom Curtailment Framework involves the controlled reduction of electricity supply output from renewables (wind and solar) plants in response to system-security needs or temporary transmission capacity constraints. Eskom has developed this new approach to curtailment to allow for additional generation capacity to be built at points on the grid that had previously been shown as fully committed. It will therefore unlock scarce grid capacity in high-potential renewables regions ahead of Eskom’s grid investment roll-out. It is widely used by system operators to facilitate the introduction of renewable generators in a context of grid constraints. This involves the cumulative assessment of the new generation applications and ensures that the projects which are readiest for project implementation are prioritized for grid allocation. The framework could be implemented now that the updated Generation Connection Capacity Assessment is released.

The Generation Connection Capacity Assessment (GCCA) is an assessment of the generation that can be accommodated on the transmission system, at a given time and a a given location, without adversely affecting grid reliability and without requiring significant infrastructure upgrades. The GCCA aims to assist customers in making more informed decisions about where to pursue generation projects by providing information about the generation connection capacity that will be available on the transmission grid in a specific year, assuming that all planned projects are completed on time.

(1)(a) The curtailment framework has been approved within Eskom. A submission is being finalised by Eskom to NERSA on curtailment and other initiatives for noting and information. Detailed mechanisms and procedures to effect the curtailment framework are still to be finalised.

(b)(i) The Generation Connection Capacity Assessment 2025 was published on 31 October 2023 and can be accessed on the Eskom website:

GCCA Transmission Network – Eskom.

(ii) The curtailment framework will become official upon Eskom’s receipt of NERSA’s written response on the submission, as stated above in (a).

 

Remarks: Approved / Not Approved/Comments

Adv. Melanchton Makobe PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3394

Profile picture: van der Merwe, Ms LL

van der Merwe, Ms LL to ask the Minister of Social Development

(1)Whether, in light of the fact that the pressing issue of unsafe abandonment of infants and the need for baby savers that are also known as haven boxes, which is intended to save lives and prevent babies from being abandoned in drains, open fields and/or rubbish bins, her department has (a) declared the haven boxes as illegal and (b) called on all non-governmental organisations (NGOs) offering the service to cease immediately; if not, what is the position in each case; if so, what are the relevant details; (2) whether the discussion around baby savers is no longer on the table; if not, what is the position in this regard; if so, (3) whether her department will ensure that the Gauteng Department of Social Development withdraws its decision to declare the haven boxes as illegal to ensure that babies are not abandoned in unsafe spaces but are allowed to be safely handed over through the life-saving interventions; if not, why not; if so, what are the relevant details?

Reply:

1. (a) Yes, baby savers are illegal as they constitute a criminal offence in terms of the Children’s Act (Act No. 38 of 2005). Baby savers are regarded as an act of child abandonment and neglect as per the provision of Section 110 of the Children’s Act.

(b) Organisations that promote the use of the so-called baby savers contravenes the Children’s Act, which is the principal law in terms of the promotion and protection of children’s rights.

2. The issue of baby savers should not be seen in isolation from all other important issues aimed at strengthening child protection measures that were considered during the public hearings on the Children’s Amendment Bill. The Act makes provision for alternative care for children in need of care and support, and baby savers are currently one of those.

3. The Gauteng Provincial Department of Social Development bound by the same Act—the Children’s Act, according to which baby savers are a form of child abandonment and neglect.

24 November 2023 - NW3296

Profile picture: Buthelezi, Mr EM

Buthelezi, Mr EM to ask the Minister of Public Enterprises

Whether he intends resigning from the Cabinet in light of the failure of the state-owned entities under his watch and administration; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

No!

Each SOE is on a challenging recovery path, and each has met with some success. The boards are working diligently to overcome the effects of State Capture and restore the entities to effective operations.

Eskom


Eskom is making remarkable strides toward energy stability and sustainability. Their Generation Recovery plan has already recovered 1,535 MW between April and September 2023, with a goal of achieving a 65% Energy Availability Factor (EAF) by March 2024. This progress is poised to reduce the intensity and frequency of load shedding while increasing grid capacity. Furthermore, Eskom has significantly improved Energy Availability in coal-fired stations and accelerated maintenance at the Kusile Power Station, bringing units online earlier than scheduled and reducing the impact of load shedding. Their partnership with independent power producers (IPPs), which will add 9,421 MW of renewable energy capacity, underscores their commitment to clean energy solutions. Eskom is also actively restructuring the company into three subsidiaries to promote efficiency, accountability, and the adoption of new technologies. The recent debt relief package from the government, along with efforts to strengthen the transmission grid and combat corruption, further solidifies Eskom's position on the path to a sustainable and reliable energy future for South Africa.

In addition to these advancements, Eskom has made significant progress in addressing financial challenges and enhancing its corporate structure. The debt relief package of R254 billion from the government and measures to write off municipal arrear debt demonstrate Eskom's commitment to financial sustainability. Their focus on strengthening the transmission grid, with a special emphasis on the first 1,000 km of power lines, underscores their readiness to accommodate power from independent producers. Importantly, Eskom's anti-corruption efforts have led to a number of arrests, the recovery of substantial assets, and the pursuit of criminal cases, affirming their resolve to protect the integrity of the company and public funds. These combined efforts paint a promising picture of Eskom's commitment to a more stable, sustainable, and accountable energy future, ultimately benefiting the people of South Africa.

Transnet

On 1 September 2023, I directed the Transnet Board to urgently address and report to the shareholder on its decisions and recommendations within the next few weeks in respect of, inter alia the following:

  1. Operational transformation: Develop or enhance a turnaround plan to radically transform the operational performance of each of the business areas, including the restructuring of the entity to deliver on its mandate more effectively and efficiently.
  2. Root causes: Identify the root causes of the inability of management and staff to meet the performance targets and a plan to deal with the deficiencies.
  3. Stringent / rigorous accountability Oversight: Transnet to develop, with the DPE and National Logistics Crisis Committee (NLCC), a new framework for transparency and accountability through detailed reporting on the successful execution of the turnaround strategy.
  4. Digitisation of systems: Mechanisms to speed up the automation and digitisation of performance reporting systems to prevent deliberate and wrongful manipulation of data.
  5. Rigorous system of controls: Implement urgently the controls identified by the Auditor General reports.
  6. Private sector participation: Transnet is in the process of getting private sector involved in various capital projects. For example, a reputable international private sector partner has already been identified for the development and operation of a container terminal at the port of Durban.

Alexkor

  • Alexkor is solvent and does not have any interest-bearing debt. Alexkor’s financial position has limited financial risk as the largest liability will be settled by ring-fenced funds.

In January 2022, I appointed an interim board to restore governance amid years of instability. The appointment process for a permanent CEO and CFO is underway.

In 2019, we initiated a forensic investigation into allegations of maladministration and corruption. This led to significant findings, prompting President Cyril Ramaphosa to authorize the Special Investigating Unit (SIU) to delve into corruption and maladministration in Alexkor and joint venture diamond operations on December 10, 2021. We remain resolute in our commitment to transparency, justice, and ethical governance as we pave the way for a brighter future.

South African Airways

There have been notable strides in the SAA Strategic Equity Partner (SEP) transaction. The recent approval of the transaction by the Competition Tribunal offers the potential for a significant turnaround. It provides the opportunity for SAA to comprehensively address and overcome its longstanding financial difficulties, with the added benefit of mitigating the compounding effects of the COVID-19 crisis. By securing a strategic equity partner and fostering collaboration, SAA may embark on a path towards financial stability and long-term viability, marking a pivotal moment in its recovery journey. Currently, it has expanded its route network 11 destinations and increased a number of aircraft 9 with further expansion expected over the short and medium term. It also plans to commence international routes with the first flight to Brazil expected shortly.

SAFCOL

SAFCOL's unqualified audit and INFLOMA's clean audit underscore SAFCOL’s financial responsibility and transparency. With a notable R285 million profit, SAFCOL is not only stable but also positioned for growth, especially as it pursues projects like CHP to mitigate load shedding risks. SAFCOL’s initiatives further highlight its commitment to social responsibility. SAFCOL is a thriving, responsible organization, ready to embrace future opportunities and challenges.

Denel

In the past three years, Denel was faced with significant viability challenges. The malfeasance linked to State Capture and poor management decisions resulted in a steep decline in revenues and profitability since 2017/18, reversing a 7-year trend of good governance, growth, and profitability. This culminated into in a weak balance sheet, declining order book, poor operational performance, unpaid salaries and suppliers which resulted in an erosion of key defence industrial capabilities and loss of critical skills.

Government has made significant interventions to stabilize the SOC. In the past five financial years, the State has injected into Denel approximately R9 billion., including settling guaranteed debt which was keeping Denel in a debt trap due to high interest payments. The intervention has resulted in an appreciable improvement in the market sentiments (employees, clients, partners, financial institutions, and suppliers) regarding the clarity of Government’s strategic intent with respect to Denel.

The focus in the near term, the Department is inducing Denel to optimise on short term revenue opportunities to ensure that the SOC can fund its operational requirements and deliver on existing contracts.

Despite the challenges of the prior years, the interest by both local and international entities as well as governments to collaborate with Denel on various defence technologies has not remains high.

 

Remarks: Reply: Approved / Not Approved

Melanchton Makobe P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3393

Profile picture: van der Merwe, Ms LL

van der Merwe, Ms LL to ask the Minister of Social Development

In light of the report from the Children’s Institute at the University of Cape Town, titled Reducing Child Poverty: A review of child poverty and the value of the child support grant that she received on 5 October 2023, which provides detailed information on how to end child food poverty in the Republic, as well as options to increase the current grant, what are the detailed timelines that she has put in place for the implementation of the recommendations of the report, noting that she is allegedly on record saying the report will not gather dust?

Reply:

It is important for the Honourable Member to note that the report in question was commissioned by the Department of Social Development. It is for this reason that the d findings and recommendations of the report have already been put to good use to inform the Draft Policy on social assistance for children, which is currently in the initial policy development stages.

The Department is planning to develop an action plan to implement the recommendations of the study.

24 November 2023 - NW3414

Profile picture: Nolutshungu, Ms N

Nolutshungu, Ms N to ask the Minister of Transport

What specific steps of intervention does her department intend to take in Komani, in the Eastern Cape, to fix potholes in the local roads network, since there has been no response to the complaints logged by the residents through Operation Vala Zonke?

Reply:

As the honourable member may be aware, road and transport function are a concurrent function exclusively performed by the three spheres of Government. In terms of Section 4(a) and (b) and Section 5(a) and (b), of the constitution of the Republic,

Based by the complaint directed to both the province and municipality regarding the bad state of the Komani roads, I can confirm that in deed the roads referred to are municipal roads.

In terms of Section 139 and 154 of the constitution, both provincial and national government are required to provide the necessary support to those municipalities failing to perform their constitutional function to provide basic social needs/services.

The Department is fully aware that the Komani Municipality is currently experiencing shortage in both Human Resources (Technical) capacity and Financial Resources to deal with all basic social needs (such as water, electricity and roads etc) of which roads are not taken as a priority as a basic social need.

In support for the Municipality to address the rapid deterioration in their road infrastructure, the Department established the Vala Zonke Pothole Fixing Programme to assist both provinces and municipalities in fixing their roads.

Furthermore, the Department established the Roads War Room to have a common and centralised approach to all road and transport related matters. This serves as a center for excellence and research for new technologies and materials suitable for roads throughout country. Subsequently, the Vala Zonke App has been developed as a pothole reporting system, wherein SANRAL is currently training officials from Provinces and Municipalities on the usage of the App, under the theme “Train the Trainer”.

Being aware of the capacity challenges facing Municipalities, Municipalities are encouraged to enter into Memorandum of Agreement with SANRAL for pothole patching to augment technical capacities. In pursuance with the objective of the programme, through the Vala Zonke War Room, the Department has already communicated the initiative to the Municipality in question for technical personnel and those responsible for road maintenance in the municipality for training. Since most of the reported roads are mostly municipal roads, a concurrency is to be sought with Minister of Cooperative Governance and Traditional Affairs (CoGTA) for appropriate intervention.

24 November 2023 - NW2895

Profile picture: Roos, Mr AC

Roos, Mr AC to ask the Minister of Home Affairs

What (a) is the processing backlog for each type of visa issued by Home Affairs as at 31 August 2023, (b) process is being put in place to clear the backlog and (c) time frame is in place to clear the backlog?

Reply:

a) The processing backlog of Visas and Permits as at 31 August 2023 is 74 309 and 43 944 respectively.

b) The department has developed a plan to address the backlogs. The plan aims to move the older Temporary Residency Visas applications from 2022 concurrently with the current applications of 2023. This will be done by splitting the temporary residence visa team into two. The same approach is being implemented for Permanent Residency Permits. The plan includes the utilisation of its current capacity supported by the additional officials from other branches including those in Provinces. It also includes those officials who have returned from the Foreign Missions after serving their four-year deployment term. Other options are also being looked at to support the above and will be implemented should it be deemed necessary to do so to support the eradication plan.

c) The department envisages to have cleared the backlog by November 2024.

 

END

24 November 2023 - NW3449

Profile picture: Cuthbert, Mr MJ

Cuthbert, Mr MJ to ask the Minister of Public Enterprises

With reference to capital investment on ports by Transnet, what was the (a) total amount and (b) nature of capital expenditure for the past three financial years for the ports under the control of Transnet in (i) Cape Town, (ii) Saldanha Bay, (iii) Boegoebaai, (iv) Durban and (v) Port Elizabeth?

Reply:

According to the information received from Transnet:

a) Over the preceding three financial years, Transnet National Ports Authority (TNPA) made a capital projects investment of R 2.7 billion in the ports of Cape Town, Saldanha Bay, Durban and Port Elizabeth. No capital investments have been made into the development of the Port of Boegoebaai thus far since only conceptual studies have been conducted. Table 1 provides (a) the total amount (detailed breakdown) of the capital expenditure over the past three financial years.

Table 1: Capital Expenditure over past three financial years

Ports

Expenditure
2020/21

(Rm’s)

Expenditure
2021/22

(Rm’s)

Expenditure
2022/23

(Rm’s)

Total Expenditure (Rm’s)

Cape Town

86

280

141

507

Saldanha

70

123

187

380

Boegoebaai

0

0

0

0

Durban

133

954

508

1,595

Port Elizabeth

31

65

128

224

Grand Total

320

1,422

964

2,706

b) Tables 2 and 3 below offer insight into (b) the nature of the capital expenditure for the same period. In expansion projects (Table 2), a new asset is either constructed/ acquired or an existing asset is extended. Whereas in sustaining projects (Table 3), an existing asset is replaced or refurbished.

Table 2: Investment on Expansion Projects over past three financial years

Ports

Expenditure
2020/21

(Rm’s)

Expenditure
2021/22

(Rm’s)

Expenditure
2022/23

(Rm’s)

Total Expenditure (Rm’s)

Cape Town

0.8

238

15

254

Saldanha

0.1

1.5

22

24

Boegoebaai

0

0

0

0

Durban

12

711

98

821

Port Elizabeth

0

0

0

0

Grand Total

13

951

135

1,099

Table 3: Investment on Sustaining Projects over past three financial years

Ports

Expenditure
2020/21

(Rm’s)

Expenditure
2021/22

(Rm’s)

Expenditure
2022/23

(Rm’s)

Total Expenditure (Rm’s)

Cape Town

85

42

126

253

Saldanha

70

121

165

356

Boegoebaai

0

0

0

0

Durban

121

243

410

774

Port Elizabeth

31

65

128

224

Grand Total

307

471

829

1,607

 

Remarks: Reply: Approved / Not Approved

Jacy Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3462

Profile picture: Masipa, Mr NP

Masipa, Mr NP to ask the Minister of Agriculture, Land Reform and Rural Development

What are the details of (a) livestock and (b) animal products that have been (i) exported to and (ii) imported from the neighbouring countries in the Southern African Development Community such as Botswana, Namibia, Swaziland, and Lesotho since the outbreak of the Foot-and-Mouth disease in 2019 and the recent outbreak in 2022?

Reply:

(a)-(b)(i) All neighbouring countries suspended trade of live cloven-hoofed animals from South Africa when the 2019 Foot and Mouth Disease outbreak was reported and the Republic of South Africa (RSA) lost its Free Status with the World Organisation for Animal Health, therefore no livestock has been exported since 2019, nor are there any official records of exported products.

(ii) The following import permits have been issued from listed countries per listed commodity.

Country

Beef

Livestock

Other

Botswana

471

10611

3305

Lesotho

0

1131

2373

Eswatini

6

52

280

Namibia

117

18909

12837

Master permits have been issued for beef imports and in-transit shipments from both Namibia and Botswana.

This also includes "biltong/meat permits for personal use" and permits for hunting trophies in transit.

24 November 2023 - NW2930

Profile picture: Mbabama, Ms TM

Mbabama, Ms TM to ask the Agriculture, Land Reform and Rural Development.

(1) Whether she has found that the Magwa and Majola Tea Estates in Lusikisiki and Port St Johns in the Eastern Cape have reached operational sustainability; if not, what is the position in this regard; if so, what are the relevant details; (2) what total number of local persons does each specified estate employ?

Reply:

1.  Agriculture in the Eastern Cape Province to which these entities fall. The national government is interested in the functioning and performance of these entities because they contribute to the agricultural economy, rural development and livelihoods.

From the responses of the province and our own assessment, we cannot say the two entities have reached optimal sustainability.

According to the Eastern Cape Department of Agriculture, No. Magwa-Majola Tea Estate has not reached operational sustainability currently, however great strides have been made in turning the entity around since the Business Rescue Exit (16 February 2016 to 4 June 2019). The COVID-19 pandemic, falling tea prices, increased import of cheap tea’s and the Russia and Ukraine conflict-induced supply chain disruptions resulted in high import and export inflation.

The geo-political instability and recession in countries such as Egypt, Pakistan and other former Soviet Union countries has resulted in tea from Kenya, Rwanda and Tanzania being redirected to South Africa creating a highly competitive trading environment. Production efficiency increased over the year by 206% from 19KG (2019/20) to 59KG (2022/23). This is how we understand the operation and use of data in our planning and decision-making process.

The Board and Management of Magwa Enterprise Tea (MET) met on 7 June to review all current and previous plans and strategies with the aim of developing a more implementable and realistic turnaround strategy that will lead to a self-sustaining tea business. This process is continuing with the view of presenting a final strategy with short, medium, and long-term goals. The focus of the company and its turnaround strategy is as follows:

  • Change of business model from bulk to teabag revenue; streamlining product portfolio and developing a focused channel strategy.
  • Factory and machinery upgrade.
  • Food safety certification.
  • Plant restoration.
  • Crop and revenue diversification.
  • Stakeholder management and resolution of land ownership.
  • A circular economy: organic fertiliser, change from coal to wood briquettes for factory boiler.

MET is a State-Owned Enterprise (SOE) and it would be beneficial for state facilities (government offices, prisons, hospitals, and municipalities) to consume only Magwa-Majola tea brands rather than tea manufactured by companies competing with MET.

Progress is being made on the following:

  • Mechanisation (motorised tea harvesting equipment), 30% of the estate harvesting will be mechanised while 70% remains manual – also creating new job opportunities for youth in engineering and mechanics; increased production and revenue and profitability while cost per KG is decreased. The change in the operating model will see 1494 jobs in the field of operations being maintained and sustained. The project costing and roll-out programme are being finalised and await funding. The entity will break even in the second year after the implementation of the tea harvesting machine.
  • Diversification programme to de-risk the entity’s dependency on a single commodity - Forestry Enterprise Development Agreement under review by the Board; Bee-hive keeping and Biotech flu-vaccine for broiler chicken from green tea extract. These are highly profitable and sustainable programmes.
  • Land tenure resolution - Land settlement agreement for Location 32 Lambasi also known as Magwa owned by the former Department of Land Affairs has been agreed to be handed over to the claimants; the agreement was signed by former Minister of Agriculture and Land Affairs: Ms L Xingwana on 18 November 2006; however, the transfer of ownership and title deed is outstanding to-date. MET together with the Office of the Premier and Mr Zama Memela of the Land Claims Commission to resolve the transfer.

2. MET Management Response:

Both Magwa and Majola employment statistics:

Financial period

2019/20

2020/21

2021/22

2022/23

2023/24

Permanent

647

481

474

452

365

Seasonal

1032

847

506

296

152

Total

1679

1328

980

748

517

24 November 2023 - NW3409

Profile picture: Siwisa, Ms AM

Siwisa, Ms AM to ask the Minister of Public Enterprises

With reference to the recent allegations that Transnet paid R29 for a R0,28c breathalyser straw, (a) what processes were followed in this procurement process, (b) who approved for the specified amount to be paid and (c) what actions have been taken against officials involved?

Reply:

According to the information received from Transnet:

a) An emergency procurement process was followed for the acquisition of disposable mouthpieces for alcohol breathalyzer straws.

b) The Executive Manager for Group Continuity and Disaster Management and the Executive Director for Safety were central to the procurement of the breathalyzer straws.

c) An internal disciplinary process was instituted in respect of the two employees central to the procurement of the breathalyzer straws. At the conclusion of this process, they were both dismissed. The matter was also reported by Transnet to the Directorate of Priority Crime Investigation (DPCI) on 5 October 2021 in terms of Section 34 of the Prevention and Combating of Corrupt Activities Act 12 of 2004. A referral has also been made to the National Prosecuting Authority. Transnet also referred the matter to the Special Investigating Unit (SIU) for further investigation in terms of Proclamation R23 of no 2020 published on 23 July 2020 in Government Gazette No. 43546. The SIU has launched an application in the Special Tribunal to review and set aside the contracts awarded to the 3 service providers. The two employees central to the procurement have been cited as respondents in this application.

Remarks: Reply: Approved / Not Approved

Melanchton Makobe P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3406

Profile picture: Arries, Ms LH

Arries, Ms LH to ask the Minister of Social Development

(a) What total number of senior managers have been on acting appointments for the past two years in (i) her department, (ii) the SA Social Security Agency and (iii) the National Development Agency and (b) by what date will all the specified positions be filled on a permanent basis?

Reply:

(a)

DSD (i)

SASSA (ii)

NDA (iii)

 

9 senior managers were appointed to act in vacant position in terms of the Public Service Regulations

 

There were forty (40) acting appointments at Senior Management level at the South African Social Security Agency (SASSA) over the past two years.

 

 

The following positions have had acting appointments within the past 2 years:

 

  1. Chief Executive Officer
  2. Company Secretary

 

(b)

 

1.Director-General: Social Development

2.Chief Financial Officer

3.Deputy Director-General: Welfare Services

4.Deputy Director-General:  Strategy and Organisational Transformation

 

The four vacant SMS posts have been job evaluated as per the DPSA prescripts and will be advertised and filled before the end of the current financial year.

 

The filling of the remaining five (5) SMS positions will be informed by the finalisation of the organizational structure and based on available budget for Compensation of Employees

The status with regard to acting appointments and or permanent appointments at the Senior Management System (SMS)category is as follows:

 

  • Twenty-three (23) positions have been filled;
  • Seventeen (17) positions remain vacant of which five (5) of these positions are prioritised for filling by 31 March 2024;
  • There are currently four (4) acting appointments and due to budgetary constraints and cost containment measures re-emphasized by National Treasury, in the current financial year (23/2024 FY);
  • Twelve (12) of these positions are not prioritized for filling in this financial year therefore, acting appointments have been terminated.

 

 

 

The positions are to be filled on a permanent basis on the following dates:

 

  1. Chief Executive Officer – interviews finalised and Cabinet Memo en route for Cabinet approval
  2. Company Secretary post is now filled

 

 

 

 

 

 

24 November 2023 - NW3255

Profile picture: Chirwa, Ms NN

Chirwa, Ms NN to ask the Minister of Higher Education, Science and Innovation

(a) Which glitches was he referring to when addressing systemic issues at the National Student Financial Aid Scheme (NSFAS), (b) how will the systemic issues be resolved, (c) what effect has the systemic issues at NSFAS had on the students funded by NSFAS and (d) by what date does he envisage the systemic issues will be resolved?

Reply:

a) Minister was referring to system glitches that were experienced during disbursement processes, there were registration data changes that was requested to be amended. (b) As per these changes that were requested the issue was resolved. (c) Payments to students was delayed by 2 days. (d) The issue was resolved. The system changes were made as requested by stakeholders and actioned. R119 million was allocated by DHET to support procurement of new systems. NSFAS reported that a new application system has been developed.

24 November 2023 - NW3443

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Considering that a road to rail initiative between Transnet Freight Rail, Transnet Port Terminals and Maersk aims to move freight from the Ngqura Container Terminal to Port Elizabeth Port Terminal via a 50 cart locomotive line, and noting that the specified initiative would potentially remove 50 trucks off the roads during the citrus season, what progress has been made to date on the initiative in terms of (a) dates, (b) terms and (c) security arrangements in particular?

Reply:

According to the information received from Transnet:

The triangular rail shuttle between the Transnet Port Terminals (TPT) of Ngqura (NCT), the Port of Port Elizabeth (PECT) and the TFR Deal Party container Terminal (PEG) started in June 2023 and continues to operate.

a) Progress made:

During June

The route between NCT and PECT (1480 TEUs) runs 15 trains that are made up of 50 wagons per train. The Reefer containers are all 40-foot containers which is equivalent to two x 20-foot containers. A single wagon carries one x 40-foot container and a total of 50 containers. The above scenario will remove 740 trucks from the road.

During September / October

The route between PECT and NCT based on 3 trains is equivalent to the removal of 150 trucks off the road.

b) The Inter-Terminal rail shuttle is an ongoing service that is based on customer demand. The service is not only restricted to the citrus season (reefer containers) but is a service offering throughout the year for general-purpose (GP) containers.

c) Stringent security measures have been instituted to ensure minimal security-related disruptions to the rail service. The Reefers are first inspected at the handover point at all Terminals by TFR Security Services. The Railway Police were called in as reinforcement when the service began operating in June 2023 to mitigate against the high-risk hotspot areas for criminal activity, which includes New Brighton.

 

Remarks: Reply: Approved / Not Approved

Jacy Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3397

Profile picture: Marais, Ms P

Marais, Ms P to ask the Minister of Social Development

What (a) are the reasons she and/or her department is removing baby savers, which have been a successful method of saving the lives of new-borns and (b) interventions will replace the system as the department has in the past failed to intervene?

Reply:

a) There are no legislative provisions for baby savers that mandates their existence in the Children’s Act which already has adequate child protection measures to care and protect abandoned children. Baby savers encourages child abandonment which is a criminal offence, and a person who abandons a child after birth may be charged and prosecuted.

The practice encourages infant abandonment; promotes the birth mother relinquishing her parental responsibility with no consequences, silences the voice of the father who also has a parental responsibility as well as the family of the baby, robbing the child of a right to a name, identity as enshrined in the Constitution.

b) Temporary safe care, child and youth care centres and adoption interventions are available as per the provision of the Children’s Act (Act No. 38 of 2005). The Act provides for the placement of abandoned children in temporary safe care pending further investigation and final placement through children’s court proceedings.

24 November 2023 - NW2108

Profile picture: Ramadwa, Ms MM

Ramadwa, Ms MM to ask the Minister of Transport

What (a) are the details of the implementation program and/or plan of the SA National Roads Agency SOC Ltd’s Vala Zonke Campaign that deals with the problem of potholes (details furnished) and (b) has there been coverage of the Vala Zonke campaign to date?

Reply:

a) The Vala Zonke Campaign is a National campaign under the auspices of the Department of Transport in line with directives of the Presidential Economic Retreat Resolutions (31 May – 1 June 2022)

  • The Transport MINMEC of 1 August 2022, adopted the intervention plan to fight against potholes and general road refurbishment and improvement that triggered the launch of Operation Vala Zonke, on 08 August 2022 in Emfuleni Local Municipality in Gauteng as part of the build-up to Presidential Imbizo that took place on 12 August 2022. All provinces had simultaneous launches on the same day.
  • The SANRAL Transport Integrated Information System (ITIS) was availed to all Road Authorities for the provision of Centralized Repository and Asset Management Services with a Mobile Pothole Reporting APP that enables the public to report potholes wherever they are encountered.

The plan envisaged to have a central platform, using an automated system to (a) allocate a complaint, (b) track progress, (c) identify and resolve delays, (d) intervene (provide support) to address service delivery and (e) provide feedback to the public using the APP.

b) The coverage of the Vala Zonke campaign is that, to date, just over 44 949 potholes were reported on the National Pothole Public App and Routine Road Maintenance App according to the highest Province with the highest concentration whereby twelve (12) teams were set up comprising of officials from the Department and SANRAL to verify (track and trace) all potholes reported to determine their status through the Operation MBO.

  • Operation MBO found that Gauteng tops the table with a total of 20 220 followed by Free State with 7 067 whereas Northern Cape reported 464 on the bottom of the table.
  • By 07 Nov 2023, there were 138 928 downloads of the National Public Pothole Reporting App 44 949 potholes were reported as per the National System. The biggest challenge is that most potholes complaints cannot be correctly and automatically be allocated using the system. It is on this basis that municipalities were trained by SANRAL on the use of ITIS system and as a result, provinces and municipalities are invited to regularly visit the War Room to received update and progress on the reported potholes and follow-up.

24 November 2023 - NW3289

Profile picture: Mkhwanazi, Ms JCN

Mkhwanazi, Ms JCN to ask the Minister of Public Enterprises

Considering that two of the most important state-owned entities (SOEs) in the Republic, namely Eskom and Transnet, are without a permanent Group Chief Executive Officer and that the specified SOEs are marred by financial and operational challenges, (a) what steps has his department taken to date to address external political interference as the deeper cause of the leadership vacuum in Eskom and Transnet and (b) how does his department intend to ensure that the leadership vacuum does not stall the implementation of the turnaround plans geared towards making sure that Eskom and Transnet become financially viable to act as catalysts for economic transformation and empowerment?

Reply:

1. (a) State capture was characterized by intensive levels of political interference, with Eskom and Transnet emerging as focal points of this concerning phenomenon. These SOEs faced undue external influence, compromising their governance structures, decision-making processes, and overall operational integrity. Political interference led to the appointment of key executives and board members who were compromised, resulting in leadership that was not best suited to address the complex challenges the SOEs faced.

However, various interventions were made to ensure operational viability and sustainability of Eskom and Transnet.

The interventions to date include:

​1.1 Eskom

I have instructed the Board to expeditious address the following issues:

  • 1.1.1  Management Structure / Skills
  • Review and enhance leadership team to capacitate all subsidiaries for effective objective execution.
  • Expedite filling critical vacancies.
  • 1.1.2 Restructuring - Eskom Roadmap 2 and Implementation
    • Develop a revised Eskom Roadmap guiding the restructuring process.
    • Ensure the plan addresses external dependencies.
    • Capacitate the executive team with the right skills.
  • 1.1.3 Finance
    • Develop a comprehensive allocation policy for assets and debts post-restructuring.
    • Continue cost-cutting exercises with defined targets discussed with the Department.
    • Capacitate the Treasury team to ensure compliance with debt relief conditions for loan-to-equity conversion.
  • 1.1.4 Forensic Investigations
  • Conduct robust forensic investigations to isolate irregularities.
    • Implement consequence management for those found in the wrong.
    • Test the internal control universe to ensure timely detection and prevention of irregularities.

1.2 Transnet

On 1 September 2023, I directed the Transnet Board to urgently address and report on its decisions and recommendations in respect of, inter alia the following:

  • 1.1.1 Operational transformation: Develop or enhance a turnaround plan to radically transform the operational performance of each of the business areas, including the restructuring of the entity to deliver on its mandate more effectively and efficiently.
  • 1.1.2 Root causes: Identify the root causes of the inability of management and staff to meet the performance targets and a plan to deal with the deficiencies.
  • 1.1.3 Stringent / rigorous accountability Oversight: Transnet to develop, with the DPE and National Logistics Crisis Committee (NLCC), a new framework for transparency and accountability through detailed reporting on the successful execution of the turnaround strategy.
  • 1.1.4 Digitisation of systems: Mechanisms to speed up the automation and digitisation of performance reporting systems to prevent deliberate and wrongful manipulation of data.
  • 1.1.5 Rigorous system of controls: Implement urgently the controls identified by the Auditor General reports.
  • 1.1.6 Private sector participation: Transnet is in the process of getting private sector involved in various capital projects. For example, a reputable international private sector partner has already been identified for the development and operation of a container terminal at the port of Durban.

2. There is no leadership vacuum at both SOEs as there is an adequate complement of the Board with Acting Group Chief Executive Officers and Acting Chief Financial Officers. Of importance is that in respect of Transnet the focus is on operational and financial performance that the Minister needs to address as per the statement dated 1 September 2023.

3. In relation to Eskom, it is noteworthy that the former Group Chief Executive Officer (GCEO) operational performance has deteriorated under his watch.

4. It is important to indicate that the recruitment process for the Group Chief Executive Officer (GCEO) is carried out by the Board in accordance with the provisions outlined in the Memorandum of Incorporation, which aligns with the standard procedures across the Department of Public Enterprises (DPE) portfolio. The Board will run the recruitment process including the advertisement, shortlisting and interviewing of candidates. The Board will then present to the shareholder three appointable candidates. The shareholder will then approve the appointment of a candidate.

Remarks: Reply: Approved / Not approved

Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3445

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether, noting that trade unions under the Congress of SA Trade Unions, gathered in Durban to protest the privatisation of Transnet (details furnished), it is the policy position of his department that public private partnerships lead to job losses and retrenchment; if not, what is the position in this regard; if so, what are the relevant details; (2) Whether he, along with the Transnet board, presented the public with their plan to reap the benefits of public-private partnerships, while addressing union concerns which may otherwise derail the specified initiatives; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

According to the information received from Transnet:

1. Private sector participation that Transnet has incorporated in its Reinvention and Growth Strategy is not intended to result in job losses. Rather, the involvement of private sector is to attract capital required to fund expansion programs and unlock growth in exports for key sectors such as manganese, chrome, and iron ore; and accordingly, growth in the overall economic activities in the country.

Transnet is also able to attract skills and competencies to accelerate efficiencies in its ports and terminals operations, which have been identified as one of the areas of concerns by the customers and shipping lines, as reflected in poor rankings of South African ports, especially in the container segment.

2. Transnet Management continues to engage with labour representatives, particularly addressing concerns around employee protection in implementation of the PSPs, such protection is also translated into agreements with the potential partners.

Remarks: Reply:Approved/Not Approved/Comment

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3413

Profile picture: Nolutshungu, Ms N

Nolutshungu, Ms N to ask the Minister of Social Development

Whether her department has put in place specific measure to address the problem of long queues for social grants in SA Post Office branches, specifically in the Mbizana Post Office, where it is alleged that grant beneficiaries wait in queues for almost seven days; if not, why not; if so, what specific measures has her department put in place?

Reply:

SA Post does not only process social grants but other payments, including stipends for Expanded Public Works Programme. The long queues that the Honourable Members refers to people at Mbizana Post office were made up of EPWP workers.

With regard to Mbizana, all SASSA payments were completed successfully within three (3) days at the Love Life Hall in Bizana from 3-5 October 2023.

 

24 November 2023 - NW3453

Profile picture: Masango, Ms B

Masango, Ms B to ask the Minister of Social Development

(1)Considering that the strike by workers from the State Information Technology Agency (SITA) is seemingly having a direct and dire effect on the SA Social Security (SASSA) grant payment system, what (a) role does SITA employees play in the SASSA social grant payment environment and (b) is the scope of the role played by SITA in the payment of SASSA grants; (2) what (a) preparations have (i) SASSA and (ii) her department put in place should the specified strike continue and (b) measures have (i) SASSA and (ii) her department implemented to ensure that grant payments continue without disruptions; (3) what steps has her department taken to reduce the dependency on other government agencies and/or departments to protect the poor and vulnerable?

Reply:

1(a) The State Information Technology Agency (SITA) plays a very crucial role in the payment of social grants. Key amongst others, SASSA has contracted SITA to provide Social Pensions System (SOCPEN) application maintenance; SOCPEN functional support; SOCPEN mainframe hosting; geographical information services (GIS) support; Basic Accounting System (BAS); and PERSAL (Government employee Personal and Salary System) mainframe hosting project. These services directly impact SASSA’s ability to manage the administration and payment of social grants.

(b) Refer to A.

(2) (a)(i)(ii)(b)(i)(ii) SASSA had proactively engaged with SITA to ensure that social grants payments are not adversely affected by the strike action. In turn, SITA assured SASSA in a formal letter of its mitigation plans and business continuity in case they were unable to dissuade the participation of key personnel in the strike.

SASSA had also put in place contingency plans to ensure the administration and payment of social grants were not disrupted during the strike action. These would have included executing jobs that enable bank accounts verification and updating records prior to payment; extracting the payment file as per predetermined validation and Bankserv format, routing files to National Treasury (PERSAL) for routing to Bankserv and routing cash book files to National Treasury (PMG) for funding purposes.

(3) SASSA is in the process of drafting its requirements for supply chain procurement processes to source a service provider to replace SOCPEN. The replacement will ensure that SASSA opt for a standard modern technology and in a long run drastically reduce dependency on SITA. It is anticipated the transition will be phased-in over a 3-year project.

SASSA is also engaged in a Business Process Reengineering (BPR) project of which one of its aims is ensuring that the IT environment is resourced through a hybrid model (partially outsourced/ insourced/co-sourced) therefore reducing more technical dependence on SITA. Additional measures include the implementation of online application channel as an additional option for new applications and change of circumstances processing, thereby enabling activation of another channel should the accessibility to SOCPEN have been affected by the strike. This channel is not dependent on SOCPEN.

24 November 2023 - NW3444

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether, considering that Transnet Freight Rail announced the completion of the Mamathwane crossing loop in the Northern Cape a month ahead of schedule (details furnished), the Government will now officially confirm that it has abandoned its state led approach to public enterprises and is moving towards more private sector participation in the sector; if not, what is the position in this regard; if so, what are the relevant details? (2) Whether he will share the overall plans and/or strategy at company level to move away from state control to public-private partnerships and perhaps to areas of full privatisation; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

According to the information received from Transnet:

1. The South African government, through the Department of Public Enterprises (DPE), continues to emphasise that involving the private sector in State-Owned Enterprises' (SOEs) operations should not be regarded as a departure from a state-led approach to public enterprises. One example of a partnership with the private sector that enhances Transnet's logistical value chains is the Mamathwane loop. This partnership brings in capital investments, expertise, and/or competences.

The state continues to play a major role in the management, oversight, and ensuring that the mandates of the SOEs are in line with the country’s socio-economic goals. Prior to the implementation of private sector participation (PSP) transactions, the DPE and other government departments evaluate and authorise these transactions in accordance with the PFMA and other legislative requirements.

Furthermore, the Cabinet's approval of the National Rail Policy (NRP) in March 2022 and the presidency's subsequent development of the Freight Logistics Roadmap set the stage for the country to move towards a more liberal rail market—a move that will necessitate major structural reforms. By allowing 3rd party private operators to operate on the national rail network, these changes are expected to encourage competition. This shift in policy will increase the effectiveness and performance of logistics, promote the development of rail-based support services (such as rail-focused warehousing), and draw in capital (via the acquisition of rolling stock).

For the first time, Transnet Freight Rail (TFR) will no longer be the sole provider of freight rail services, as private train operating companies (TOCs) will be able to operate on the freight network. TFR must be vertically separated into its component parts, namely operations and infrastructure, as part of the envisaged policy reforms and the Freight Logistics Roadmap's recommendations. The appointment of the interim rail infrastructure manager (RIM) on 1 November 2023, is proof that this process is well under way. In order to foster stronger cooperation between Transnet and the private sector and develop a vibrant rail sector, the establishment of a RIM is essential.

2. Transnet’s strategy is based on repositioning the organisation to deliver against the economic needs of the key market segments that it serves. There is a considerable opportunity to expand volumes (+/- 60 million tonnes of additional volumes) in the bulk mining commodity space, particularly in respect of iron ore, manganese, ferrochrome, and magnetite, in the next three to five years.

In order to provide industrial segments with more access to global trade and commercial networks, Transnet is repositioning its rail network and terminals to improve operational efficiency and capacity expansion. This is supportive of the Port of Durban being repositioned as a hub port for containers and automotives and Richard's Bay as an effective bulk commodities port.

Consequently, Transnet is driving capacity expansion and improving and transforming the key market segments that it serves by leveraging private sector participation in concert with Transnet's own assets and skills. Transnet's current corporate plans, which were submitted to Parliament, National Treasury, and the shareholder representative, clearly outline the nature and approach of private sector participation.

In addition, Transnet developed a comprehensive Joint Investment and External Partner Selection (JIEPS) framework that guides the involvement of the private sector in the business. To determine whether the private sector will offer any value, for instance, an extensive business case is developed that also includes a detailed financial model. A decision is taken at that moment on the suitability of working with the private sector partner.

The private sector’s is also not limited to ownership but involves other considerations such as capital contribution (for example, by customers through upfront payment or tariff adjustments), operations, and management.

Remarks: Reply: Approved/Not Approved/Comment

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3501

Profile picture: Sithole, Mr KP

Sithole, Mr KP to ask the Minister of Transport

What are the relevant details pertaining to the exclusion of foreign nationals from claiming compensation from the Road Accident Fund?

Reply:

There are no exclusions

24 November 2023 - NW3107

Profile picture: van der Merwe, Ms LL

van der Merwe, Ms LL to ask the Minister of Social Development

What (a) total amount in Rand of the social relief of distress grants has been returned to the National Treasury in the past financial year and (b) are the reasons that monies meant to alleviate distress did not reach beneficiaries?

Reply:

a) An amount of R4.3 billion was returned to the National Treasury due to the lower than expected up take of the SRD Grant.

b) All applicants for the SRD Grant are assessed on a monthly basis. When their financial situation improves and no longer meet the eligibility criteria or they voluntarily stop applying for the grant, there are significant savings on the fiscus. On average, SASSA pays the SRD Grant to over 8, 5 million eligible applicants every month.

 

24 November 2023 - NW3495

Profile picture: Schreiber, Dr LA

Schreiber, Dr LA to ask the Minister of Sport, Arts and Culture

(1). Which national government departments have not yet adopted and implemented language policies as contemplated in terms of section 4(1) of the Use of Official Languages Act, Act 12 of 2012. (2). in cases of non-compliance, has he made use of the powers conferred upon him by section 9(5) of the Use of Official Languages Act; if not, why not. (3). what other steps has he taken against departments that have failed to adopt and implement such language policies?

Reply:

1. Based on the 2022-23 Annual Language Reports submitted by the national departments to PanSALB thus far, there are twenty-two (22) national departments that submitted their Annual Language Reports in terms of the Use of Official Languages Act. It is an improvement in submission from the previous reporting periods. Only eight (8) national departments reported in the 2020-2021 reporting period and (7) national departments submitted in the 2021-2022 period.

Out of forty-two (42) national departments contacted in 2022-2023, twenty (20) may be reported not to have complied by 31 October 2023 with the submission of an annual report to PanSALB as required by the Use of Official Languages Act. A comprehensive report on the Use of Official Languages Act Compliance for 2022-2023 will be available by no later than 31 March 2024.

2. Letters were written to all national departments through PanSALB reminding them to send their annual reports and this was also published in the national gazette (See attached gazette for 2022).

3. There has been an active engagement with non-compliant national departments that have not submitted annual reports to PanSALB. PanSALB sought services of the monitoring provider who is directly engaging the departments to understand the reasons behind their non-compliance. The presentation on non-compliance with the Use of Official Languages Act was made to FOSAD to remind the accounting officers about the requirements of the Act. A comprehensive report will be available no later than 31 March 2024.

24 November 2023 - NW3483

Profile picture: Graham, Ms SJ

Graham, Ms SJ to ask the Minister of Public Enterprises

What is the (a) collection rate of Eskom from (i) municipalities and (ii) direct consumers, (b) total number of prepaid electricity meters that Eskom has and (c) value of non-technical losses?

Reply:

According to Information Received from Eskom:

1. As at end September 2023 – the payment collection levels on 12 months moving average basis are as follows:

(a)(i) Municipalities = 87.3 %

(ii) All other customers combined = 99.9%

(b) The number of prepaid user customers as of September 2023 on Eskom’s Customer Care & Billing system is 6 803 462.

(c) The 2022-23FY non-technical losses are 13 396GWh and are equivalent to R5 607 441 692.

 

Remarks: Approved / Not Approved

Adv. Melanchton Makobe PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3146

Profile picture: Abrahams, Ms ALA

Abrahams, Ms ALA to ask the Minister of Social Development

(1)What are the reasons that district surgeons are used in KwaZulu-Natal and not in other provinces; (2) what are the reasons that assessment doctors have not submitted their invoices for payment in the Gauteng, Mpumalanga and the Western Cape provinces?

Reply:

1. SASSA utilises medical practitioners in the employ of the Department of Health doctors who were previously referred to as District Surgeon in all the provinces. While other provinces have changed the title, it is still being used in some provinces, but basically refers to same. There is no different arrangement for KZN. The medical practitioners conduct social assistance assessments.

2. According to our records, there are no outstanding invoices or outstanding payments for medical practitioners in any of the SASSA regions. Where such exists, it is because some medical practitioners prefer to submit their combined monthly invoices (that cover a number of months) for a bigger claim amount. On a continuous basis, SASSA encourages timely submission of invoices by doctors. All invoices that have been submitted have been processed.

24 November 2023 - NW3256

Profile picture: Chirwa, Ms NN

Chirwa, Ms NN to ask the Minister of Higher Education, Science and Innovation

What (a) are the demographics of the 45 000 students who were dismissed by the National Student Financial Aid Scheme (NSFAS) following application discrepancies, (b) are the reasons that NSFAS was unable to assist applicants in correcting discrepancies during the course of the year and/or in the very beginning of the year, (b) primary issues constitute the majority of the discrepancies in the applications and (d) steps does NSFAS intend to take to resolve the specified issues in future?

Reply:

  1. The demographics of the 45 000 students is not immediately available, the Department will ask NSFAS to retrieve the data from its systems.
  2. The discrepancies were only picked up after data remediation which takes place on the 28th March 2023 up to 29th June 2023 and these were only communicated to affected applicants, NSFAS communicated to students on the 10th of July 2023 via a media statement after they were picked up.
  3. The discrepancies were caused by the outdated data received from SARS and NSFAS verification processes and financial eligibility assessments. After identifying the problem, NSFAS re-instated 14703 of the continuing students to be funded again and the remaining 31225 students remained unfunded and were given the opportunity to appeal.
  4. We have implemented system enhancements to mitigate the problem moving forward, we have also moved away from the manual processes that were being utilized. Moving forward, the system will communicate with external parties directly via APIS to ensure that the data is not manipulated in any form.

24 November 2023 - NW3339

Profile picture: Graham, Ms SJ

Graham, Ms SJ to ask the Minister of Public Enterprises

(1) What number of (a) houses were identified for the smart meter pilot in Fourways, Gauteng, (b) the specified households have acceded to the installation of the smart meters and (c) smart meters have been installed as part of the specified programme. (2) (a) who installed the meters and (b) what are the relevant details of the costs associated with installations?

Reply:

According to Information Received from Eskom:

The smart meter installation programme is an Eskom Distribution wide programme which was implemented in all the provinces to ensure alignment to the Distribution key initiatives of growth, efficiency and servicing the customers better. It is not confined to Gauteng and Fourways only.

(1)(a) The total number of houses identified for the smart meter installation programme in Gauteng was in excess of 35 000, in Sandton, Midrand and Soweto.

(b) A total of 30 597 customers in Gauteng acceded to the installation of smart metersand in Fourways approximately 10 000 meters were installed as part of the smart meter programme. Furthermore, approximately 8 000 houses also acceded to the load limiting pilot that required the use of smart meters.

Load limiting seeks to manage the demand during periods when emergency is declared such as when the system is constrained (during load shedding Stages 1 to 4), while at the same time ensuring that customers experience a reduced impact during loadshedding (customers have enough power for lights and electronic appliances during load shedding).

(c) The total number of smart meters installed for the Gauteng smart metering project is 30 597. Of which approximately 10 000 were installed in Fourways.

(2)(a) The smart meters were installed by Landis+Gyr, which was the successful bidder following an open tender procurement process.

(b) The details entail the installation of meters, data concentrators (DC), and customer interface units (CIUs). The cost associated with the installation is approximately R96 million.

Remarks: Approved / Not Approved

Ms Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

24 November 2023 - NW3323

Profile picture: Masipa, Mr NP

Masipa, Mr NP to ask the Minister of Agriculture, Land Reform and Rural Development

Whether Botswana is currently exporting (a) cattle and (b) beef to the Republic despite the recent outbreak of the Foot-and-Mouth Disease in the specified country; if not, what is the position in this regard, if so, what are the relevant details; (2) what are the reasons that the Republic is facing challenges in exporting to the specified country if the country can export its beef and animal products to the Republic in the context of both countries having experienced incidents of the specified disease?

Reply:

(1)(a),(b) Yes. South Africa still imports cattle and beef from zones in Botswana that are recognised by the World Organisation for Animal Health (WOAH, founded as OIE). Botswana had 6 zones which are recognised by WOAH as free from FMD without vaccination. These zones are separated by fencing and managed separately with very strict movement control between zones, to maintain their free status; as a result, if there is an outbreak in one zone, it does not affect the other zones.

Botswana reported incursion of buffalo in their disease control zones 3b, 3c and 6a in September 2023 which they suspect broke from Hwange National Park in Zimbabwe. These three zones were immediately placed under quarantine. Some buffalo were destroyed and samples collected while some were moved to the Chobe National Park in Botswana. Some of the samples collected tested positive for a SAT 1. Botswana has suspended movements of cloven hooved animals in their zones 5 and 8, and exports suspended.

(2) South Africa lost its WOAH recognised FMD free zone without vaccination status in 2019, with the first outbreak of FMD. South Africa experienced additional FMD outbreaks between 2020 and 2022 which included additional provinces. South Africa has been unable to regain its free zone status to date. Therefore, the whole of South Africa is considered FMD infected, for the purposes of international trade, until South Africa is able to submit documentary evidence to WOAH that South Africa has achieved compliance with the international standards required for a zone to be recognised as FMD free. South Africa could export beef, which has been deboned and matured to deactivate the FMD virus, to Botswana under the authority of a veterinary import permit. Cattle and bone-in or unmatured beef cannot be exported to Botswana.

https://www.woah.org/app/uploads/2023/05/fmd-world-eng.png

23 November 2023 - NW3194

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

What is the exact total monetary value of the security contract awarded to a certain company (name furnished); (2) Whether a certain person (name and details furnished) is on suspension pending an investigation into the involvement of the specified person in the awarding of the security contract and the subsequent embezzlement of funds related to it; what is the position in this regard; if so, which other (a) current and (b) former Eskom executives are under investigation for awarding the security contract?

Reply:

According to information received from Eskom

  1. The emergency transition that led to the appointment of the certain company in July 2022 was allocated a budget of R500 million. The total actual spend was, however, R304 669 040.00 (including VAT).
  2. The certain person was placed on precautionary suspension pending finalisation of Eskom’s internal investigation into the transaction. The scope of the investigation includes all the individuals who took part in the transaction. The investigation is close to being finalised.

.

Remarks: Approved / Not Approved

Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3340

Profile picture: Graham, Ms SJ

Graham, Ms SJ to ask the Minister of Public Enterprises

(1) What are the (a) relevant details of the progress that has been made on the (i) establishment of a state-owned holding company to house strategic state-owned entities (SOEs) and (ii) recommendations to retain, consolidate and/or dispose of SOEs and (b) time frames in terms of the establishment and implementation of the recommendations; (2) whether the evidence-based criteria for the restructuring of SOEs have been published; if not, on what date will the criteria be published; if so, (3) whether he will furnish Ms S J Graham with the specified evidence-based criteria; if not, why not; if so, what are the relevant details? NW4460E

Reply:

(1)(i) The Department obtained Cabinet approval to publish the National State Enterprises Bill in the Government Gazette for public comments. The Bill was published for public comment on 15 September 2023 until 14 October 2023. The Bill incorporates Presidential SOE Council (PSEC)'s recommendation that South Africa adopts a centralized shareholder model to improve the management and oversight of South African State-Owned Enterprises (SOEs). This includes establishing a Holding Company (HoldCo) for strategic SOEs.

HoldCo will be established through the National State Enterprises Bill.

(ii) PSEC has reviewed and assessed 37 entities. Furthermore, the business and turnaround plans for 21 entities and 8 Water Boards were reviewed. PSEC has not yet finalised its work.

(b) PSEC is finalizing its report on recommendations of which SOEs to retain, consolidate and/or dispose.

2. PSEC has developed an evidence-based criteria for which SOEs to retain, consolidate and/or dispose.

3. The criteria will be made available when PSEC has finalised its work on which SOEs to retain, consolidate and/or dispose.

4. PSEC will present its report to the President as soon as it is completed. The President will determine when and how the report will be made public.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3758

Profile picture: Tambo, Mr S

Tambo, Mr S to ask the Minister of Police

What (a) was his role at the 2023 Rugby World Cup and (b) were the total costs to the SA Police Service for his (i) accommodation, (ii) travel and (iii) other related expenses?

Reply:

Find here: Reply

23 November 2023 - NW3196

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether reference to Eskom’s plans to update more that 6,6 million prepaid electricity meters before they expire in November 2024 (details furnished), what measures has Eskom put in place to ensure that all electricity meters will be updated by the date of their expiry? (2) Considering that numbers punched into the electricity meters to top up electricity will no longer register after the expiry date of the electricity meters, but will instead lock the device and render it inactive for a certain period, and in view of the fact that Eskom has thus far only managed to update 5 800 of the electricity meters, 0,087% of the total number of electricity meters in the Republic, how does Eskom plan to assist users who are unable to update electricity meters by themselves?

Reply:

According to Information Received from Eskom:

1. As at end September 2023, Eskom had over 6,6 million meters that required recoding with a new Key Revision Number (KRN). A strategy was developed with the following deployment components:

  • The do-it-yourself (DIY) approach which ensures that customers are (i) issued with a pair of KRN key change tokens at the time when the customer purchases their normal top-up electricity or (ii) collects free basic electricity via any of the Eskom-approved vending channels and outlets.
  • Customer support through a comprehensive communication campaign using regional radio live reads, community print and radio notices, radio interviews, newspaper and radio articles, leaflets, posters, Facebook, X posts, YouTube videos, community forums, customer communiques and the Eskom chatbot.

2. The 5 800 meters that were rolled out were part of a pilot programme for Eskom to gather information and insights on how to best implement the project. Following the pilot, Eskom developed, the automatic update process and prepared for project implementation. As a result, Eskom recently completed the first phase of deployment which ran from August 2023 to September 2023 to clear all the initial teething issues. Based on the results of this roll-out phase, Eskom is confident that the project will be successfully implemented. Key change tokens issued during the first phase are 671 653, and this is additional to the 5 800 that were issued during the pilot phase.

Eskom has developed pamphlets on how to recode (step-by-step- guides) the meter in all official languages and also posted step-by-step guides on social media platforms. Furthermore, Eskom personnel are deployed in areas where the roll-out is taking place to assist with queries, and a dedicated queue has been created to direct customers with KRN-related queries at the contact centre. The number to be used is 0860 037 566. Frequently asked questions have been loaded on the Eskom Alfred Chatbot. In addition, Eskom has ensured that additional personnel are trained to assist customers with queries.

Remarks: Approved / Not Approved

Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3019

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether, in light of the fact that the Transnet Chief Executive Officer (CEO), Ms Portia Derby, allegedly voiced her concerns at a recent Bloomberg event regarding the potential of loss of thousands of jobs in the trucking industry should freight be successfully transferred from the roads to rail (details furnished), he will fire the CEO for the remarks which are arguably tantamount to a gross dereliction of the CEO’s mandate to effect proper rail logistics that enable the flow of commodities to our ports; if not, why not; if so, by what date?

Reply:

According to the information received from Transnet

Ms Derby’s comments, which were in response to a question from the floor, related to the huge growth in trucking in SA as result of the poor performance of rail and boom in global coal demand, have been taken out of context. The issue raised was what would happen to the trucking industry when rail returned to full operability. (Please refer to the statement issued by the Chairperson of the Board of Directors in this regard, as attached.)

Ms. Portia Derby has since resigned.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3326

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

What are the reasons that he has failed or has been unable to fill the six outstanding Board vacancies as Transnet has six Board members instead of 12, and it is a concern that a depopulated Board hampers the ability of Transnet to address the serious issues faced by the entity?

Reply:

Transnet has a full complement of Board Members, save for the vacancy resulting from the recent resignation of Mr. P Molefe for personal reasons.

Remarks: Reply: Approved / Not approved

Melanchton Makobe PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3304

Profile picture: Essack, Mr F

Essack, Mr F to ask the Minister of Public Enterprises

Whether he has found that the National Logistics Crisis Committee that was appointed by the President of the Republic, Mr M C Ramaphosa, in April 2023, has (a) assisted Transnet to address operational challenges and (b) addressed the concerns of exporters; if not, in each case, why not; if so, what are the relevant details in each case?

Reply:

Yes,

According to the information received from Transnet

Question

Response

a) How NLCC assisted Transnet in addressing operational challenges.

Transnet Operating Divisions (TFR, TNPA, and TPT) together with Business 4 South Africa (B4SA) technical experts, the private sector, and customers, have formulated Corridor Recovery Teams (CRT) to address Transnet operational challenges.

The operational teams are progressing in implementing governance structures that will assist in the execution of the NLCC’s plans. This has assisted in the development of the Transnet turnaround strategy, which has identified deliverables for each corridor (Coal, Chrome and Magnetite, Iron Ore, and Manganese).

 

In addition to the rail and ports operations, work-stream 1, the following supporting work-streams have been established so far:

Work-stream 5, which focuses on addressing challenges in the procurement system, including local content requirements as well as legislative changes/exemptions to improve efficiency in the freight and logistics procurement process.

  1. Work-stream 7, which deals with securing railway infrastructure, including addressing cable theft and vandalism on the container corridor, the coal line, the ore line, and pipelines.
  1. Work-stream 8, which focuses on communicating the NLCC/Transnet Strategy to the public in a coherent and effective manner, including regular progress updates.
  1. Work-streams 4 & 6 are on the structural rail reform of the freight and logistics system and financing and are yet to have their inaugural meetings.

The workstreams are at an early stage and it is anticipated that significant results in operations will be achieved in 2024.

b) How NLCC has addressed the concerns of exporters

The Corridor Recovery Teams will cover both importers and exporters, and their concerns will be addressed in the Transnet turnaround strategy.

This is still work in progress and further detailed reports will be made public in the next few months.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3017

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether, in light of the statement by the International Monetary Fund (IMF) at a recent Bloomberg event that private sector investment in the form of private-public partnerships is necessary for the Republic to break out of the negative trend in economic growth caused by poorly performing state-owned enterprises (SOEs) (details furnished), while the IMF research suggests that growth for 2023 is down to 0,3%, and that the Gross Domestic Product is down 3,2 points, which is directly attributable to loadshedding and rail transport problems, he intends to remain resolute in the face of opposition from all fronts and encourage public-private partnerships at all SOEs; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

Both the government and Transnet are promoting private sector participation and the introduction of private capital in various projects.

According to the information received from Transnet

Regarding recent statements by the International Monetary Fund (IMF), Transnet acknowledges that it has encountered several challenges that have led to a decline in the operational efficacy of the railways and adversely impacted economic growth. The organisation is implementing targeted interventions aimed at resolving the challenges, and as part of this process, aims to improve collaboration with the private sector. Transnet believes that private sector partnerships (PSPs) are critical to our future and will provide the organisation with access to the additional skills, human resources, and capital required to reposition it. Furthermore, the active engagement and participation of various Transnet stakeholders across the work streams of the multi-stakeholder National Logistics Crisis Committee (NLCC), which includes the private sector and industry experts, exemplifies the nascent improvement in collaboration.

Going forward, Transnet' strategy (Reinvention for Growth) identifies private sector collaboration as one of its key levers for enhancing immediate performance and positioning the organisation for medium-term growth. As an essential component of the strategy, the private sector partners will play a crucial role in enhancing Transnet's capacity to execute quality services, develop and/or expand infrastructure, and unlock growth in industries such as mining, manufacturing and agriculture that contribute to job creation and GDP growth.

The rail reform process and the introduction of private train operating companies (TOC) on the freight network are essential components of the improved collaboration between Transnet and the private sector. This liberalisation process will enable the private sector to invest in rolling stock and establish freight railroads, which will have a significant impact on the market structure as TFR will no longer be the sole provider of freight rail services and will face competition from the private sector. In April 2024, the process of integrating private TOC will be formally initiated by inviting interested parties to acquire available slot capacity on the network. In addition, the reform will result in the establishment of a separate rail infrastructure manager, Transnet Rail Infrastructure Manager (TRIM), to oversee the network's management and ensure the equitable allocation of capacity to prospective TOCs. The establishment of TRIM is progressing well, and there is an expectation that the new OD will be established by the end of October 2023.

While most PSPs are long-term initiatives with benefits expected in the next 3 to 5 years, significant progress has been made in the development of these initiatives.

The recent announcement of a partnership between Transnet Port Terminals (TPT) and International Container Terminal Services (ICTSI) demonstrates the organisation's dedication to implementing this crucial lever. Several other initiatives are already in the partner selection process (request for qualification or request for proposal stages), and these include the Container Corridor Operating Lease; the Transnet Engineering Rolling Stock Leasing Company (TE Lease Co); the Ngqura Manganese Export Terminal (NMET) technical solution for the appointment of an EPC turnkey service provider; and Boegoebaai Port and Rail Development.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3617

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

(1)Whether he will furnish Mr G K Y Cachalia with an update on the progress of the deal between Takatso Consortium and SA Airways (SAA) and the projected profit for the 2022-23 financial year, with reference to the R3 billion; if not, why not; if so, what are the relevant details; (2) Whether he has found that no further monies will be allocated by the National Treasury for SAA; if not, what is the position in this regard; if so, what are the relevant details; (3) Whether monies owed to Mango are being utilised in the expansion drive by the SAA; if not, what is the position in this regard; if so, what are the relevant details; (4) On what date will the audited annual financial statements of the SAA be available?

Reply:

1. The progress in the transaction between Takatso Consortium and SAA is as follows:

a) On 25 July 2023, the Competition Tribunal approved the 51% disposal of SAA Government Shares to Takatso with conditions of minority shareholders divesting from Takatso Aviation and SAA not to retrench within 2 years of approval.

B) The subsequent steps are;

  • 1. Aviation Regulatory Process: Apply to relevant aviation regulators for licensing approvals;
  1. Repeal of the SAA Act, 2007: The process has started. The Department is in the process of seeking Cabinet approval for introducing bill in Parliament;
  2. Fulfilment or Waiver of Conditions Precedent: Prior to the transfer of shares, ensure all conditions precedent are either fulfilled or appropriately waived to maintain the legality and integrity of the transaction;
  3. Valuation of SAA: New valuation of SAA is being undertaken considering the lapse of time since the last valuation;
  4. Revision of Transaction Structure: Considering the above valuation exercise, Parties are reviewing the structure of the transaction;
  5. Transfer of Shares: Execute the legal transfer of shares from current shareholder to new strategic equity partner with all necessary documentation;
  6. Establishment of New Governance Structures: Set up new governance structures for effective management and decision-making under the Strategic Equity Partner (SEP). This may involve forming a new board of directors and executive leadership; and
  7. Implementation of Agreed-upon Strategies: Collaborate to develop and implement strategies for the national carrier's growth and development, focusing on areas such as operational efficiency, market expansion, and customer service improvements.

2. The allocation of funds to SAA, similar to other government funding needs has to go through a budgeting process based on Government priorities.

3. The funds of R85 million that was not transferred to Mango, are still with SAA until the Mango business rescue has been concluded. It is not being utilized by SAA for expansion purposes.

4. The audited annual financial statements for SAA for 2018/19 to 2021/22 financial years are currently going through the Board approval processes. They will be tabled in Parliament soon after the Annual General Meeting, scheduled in November 2023.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3309

Profile picture: Graham, Ms SJ

Graham, Ms SJ to ask the Minister of Public Enterprises

In light of the alleged conflicting views between Members of the Executive, what are the details of the position of the Government on the decommissioning of the ageing coal-fired power stations by Eskom, in favour of incorporating more renewable energy sources in order to claim additional benefits and international funding in the Republic’s Just Energy Transition?

Reply:

The decommissioning of power stations is informed by the age of power stations which have a lifespan of 50 years. In addition, the IRP outlines the decommissioning dates of power stations. The repurposing of the power stations was driven by the fact that, power stations to be decommissioned can be repurposed to integrate renewable energy given that infrastructure is already in place. However, the energy crisis necessitated the review of the decommissioning of the power plants. The review is to enable a just energy transition wherein the power plants will be decommissioned and repurposed once new capacity has been added to the grid. The delays in the decommissioning of the power plants is part of the measures to minimise the impact of the power crisis.

Eskom is expanding the grid to enable connection of renewable capacity that has been approved under respective bid windows in the Renewable Energy Independent Power Producer Programme (REIPPP).

Since the outbreak of various conflicts in the North, many countries have indicated that (as SA has) their commitment to the NDC stands. However, each country’s domestic circumstances will dictate the path to decarbonization. This remains SA’s position.

The issue of funding for developing countries transitions, access to renewable technology, and the concrete plans to ensure the transition is/must still require further efforts.

 

Remarks: Approved / Not Approved

Jacky Molisane PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3303

Profile picture: Essack, Mr F

Essack, Mr F to ask the Minister of Public Enterprises

Whether he intends to place a temporary moratorium in his department on the recruitment regulation of the Public Service, including the broad-based black economic empowerment requirements, to enable Transnet to recruit skilled personnel, in light of the contribution that poor leadership, crime and a skills shortage had on the current operational crises at Transnet; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

According to the information received from Transnet

The Cost Containment measures issued by National Treasury on August 31, 2023, to assist National Departments, Public Entities, and Provinces do not apply to Transnet. Nevertheless, Transnet is aware of fiscal challenges and is implementing prudent measures in this regard. There is no moratorium on the recruitment of critical skills in Transnet.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister of Public Enterprises

Date: Date:

23 November 2023 - NW3291

Profile picture: Phiri, Ms CM

Phiri, Ms CM to ask the Minister of Public Enterprises

What (a) is the progress to date regarding the sale of the minority shareholders’ stake in the Takatso Consortium and (b) are the reasons that the specified stake in SAA is valued at 10,2% whilst the Takatso Consortium had not made any investment in the national airline?

Reply:

a) Takatso is currently managing the process. Unfortunately, the Department does not have access to information regarding the negotiations with the minority shareholder. However, once the process is completed, Harith, as the majority partner of Takatso, will inform the Department accordingly. 

Furthermore, if the Competition Tribunal approves the divestiture, the public will be informed of the outcome.

b) The stake by the minority shareholder is valued at 10.2% as that was the agreed shareholding by the parties in the Takatso consortium. The investment in the national airline will be made at the close of the strategic equity partner transaction.

Remarks: Reply: Approved / Not Approved

Jacy Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW2810

Profile picture: Shaik Emam, Mr AM

Shaik Emam, Mr AM to ask the Minister of Public Enterprises

(1) What (a) are the relevant details of the (i) sale of the SA Airways (SAA) fleet to FlySafair and (ii) subsequent leasing of the fleet to SAA and (b) total amount was (i) received for the sale of all aircraft and (ii) paid for leasing the aircraft. (2) Whether any assessment was done on the state of the aircraft; if not, why not; if so, who did the assessment and concluded to sell the aircraft?

Reply:

According to the information received from SAA

(1)(a) The record shows that during Coleman Andrew’s tenure as CEO, the Board on 14 April 2000, considered the sale and leaseback of B737-200 aircraft and approved:

  1. The sale of 13 B737-200 ADV aircraft (11 passenger and 2 freighters) to SafAir, or a party nominated by SafAir acceptable to SAA.
  2. That SAA enters a 5 and half year leaseback in respect of each aircraft.

(1)(b) The total amount as per board resolution was.

  1. Each aircraft sold for USD5.5 million.
  2. Lease costs were R686 425 per aircraft per month, subject to changes in interest rates and foreign exchange rates.

2. With regards to the assessment of the state of the aircraft, SAA does not have records for answers to this question. Whilst the airline has the resolutions relating to that period (some 20 years ago) the requirement for record retention is limited to 7 years.

 

 

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3631

Profile picture: Essack, Mr F

Essack, Mr F to ask the Minister of Public Enterprises

(1)       Considering that the Judicial Commission of Inquiry into Allegations of State Capture, Corruption and Fraud in the Public Sector including Organs of State recommended the appointment of a standing and oversight committee that would host transparent appointment criteria and processes, including independent public nominations, for appointing boards and executives for stateowned enterprises (SOEs) in order to improve governance at SOEs and address the scourge of cadre deployment, what is the reason that the Government has failed to establish the committee in line with the recommendations of the Commission; (2) Whether the Government has any plans to establish such a committee to expedite the appointment of meritorious individuals in SOEs; if not, why not; if so, what are the relevant details?

Reply:

13 On 13 September 2023, Cabinet approved the publication of the National State Enterprises Bill in the Government Gazette for public comments. The Bill was published for public comments on 15 September 2023.

In response to the valuable feedback received from public comments, the Department is diligently engaged in the refinement process for the National State Enterprises Bill. The ongoing refinement efforts are specifically aimed at integrating the insightful public comments into the fabric of the legislation. Central to this endeavour is the Department's commitment to crafting a revised Bill that not only addresses the concerns raised during the public commentary period but also establishes a comprehensive and inclusive framework for the appointment of boards within State-Owned Enterprises (SOEs).

The envisaged revisions seek to go beyond a mere legal framework. The Department aspires to codify a board appointment process that embodies the principles of transparency, equity, and fairness. By emphasizing these core values, the Department aims to instil a robust and accountable mechanism that stands as a testament to the commitment to good governance and stakeholder inclusivity.

(2) The envisaged processes for appointing board members to SOEs are expected to be comprehensive, designed to uphold transparency, fairness, and meritocracy. This will necessitate a thorough evaluation of candidates based on qualifications, experience, and alignment with the strategic objectives of the relevant SOEs. The government remains steadfast in its commitment to ensuring that appointments adhere to established legislative frameworks, including the Public Finance Management Act 1 of 1999 (PFMA), Companies Act 71 of 2008, and other pertinent statutes governing SOEs.

The government maintains vigilance in refining and improving existing processes to address challenges and enhance efficiency. Continuous efforts are made to draw lessons from experiences, both domestic and international, adapting best practices in governance.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3347

Profile picture: Cuthbert, Mr MJ

Cuthbert, Mr MJ to ask the Minister of Public Enterprises

What value of electricity discounts has been granted to aluminium producer, South32, in each financial year since the 2007/2008 financial year?

Reply:

According to information received from Eskom:

1. Eskom cannot disclose the electricity pricing arrangements, as these are customer confidential and commercially sensitive information. The electricity pricing arrangements for the South32 aluminium smelter were approved by the National Energy Regulator of South Africa (NERSA). A new tariff structure was approved by NERSA in 2021 and complies with all the provisions of the Interim Long-Term Negotiated Pricing Arrangement Framework issued by the Department of Mineral Resources and Energy (DMRE).

A globally competitive tariff that considered the sustainability of the smelter and Eskom’s cost of supply was structured, as it was recognised that closure would have a negative impact on the South African economy and continue the trend of deindustrialisation and unemployment with which the country continues to grapple with. The tariff approximates the higher end of energy prices that aluminium smelters are paying and covers all applicable variable costs, with an additional contribution made to fixed costs.

In the absence of the smelter, contributions made by it to fixed costs would have to be borne by other consumers, resulting in an increase in other consumer prices. Several of the technical and financial benefits result from the large smelter baseload consumption and the interruptibility made available to the national System Operator that reduces the severity of load shedding.

 

Remarks: Approved / Not Approved/Comments

Adv. Melanchton Makobe PJ Gordhan, MP

Acting Director-General Minister

Date: Date:

23 November 2023 - NW3776

Profile picture: Terblanche, Mr OS

Terblanche, Mr OS to ask the Minister of Police

Whether his trip to the 2023 Rugby World Cup in Paris was funded with taxpayers’ money; if not, what is the position in this regard; if so, (a) from which budget line item was the money sourced and (b) what is the breakdown of the total costs in terms of (i) flights, (ii) accommodation, (iii) rugby match tickets and (iv) any other specified travel-related costs incidental to the trip?

Reply:

Find here: Reply

23 November 2023 - NW3797

Profile picture: Steenhuisen, Mr JH

Steenhuisen, Mr JH to ask the Minister of Justice and Correctional Services

Considering that despite the commitment of the President of the Republic, Mr M C Ramaphosa, that all instruments of the State would be used in the fight against corruption, the National Prosecuting Authority has been forced to go cap in hand to him and the Minister of Finance to ask for more money, what has he found to be the reasons that the criminal justice system is perennially underfunded?

Reply:

The Department of Justice and Constitutional Development receives its funding from National Treasury, through a budgetary appropriation process which get voted by Parliament. For the past three financial years (2021/2022, 2022/23 and 2023/24), the NPA received a budget allocation of R4.446 billion, R4.910 billion and R5.407 billion respectively. The above-mentioned allocation includes additional budget amounting to R200 million and R690 million which NPA received in the financial year 2022/23 and 2023/24 respectively, to fund for the Investigative Directorate, contracted specialist prosecution services to assist with complex corruption matters, amongst others. The reasons for inadequate funding for the criminal justice system can be attributed to the country’s limited fiscal resources.

23 November 2023 - NW3945

Profile picture: Krumbock, Mr GR

Krumbock, Mr GR to ask the Minister of Police

Whether (a) he, (b) the Deputy Minister and (c) any other official in his department attended the Rugby World Cup final in France in October 2023; if not; what is the position in this regard; if so, what (i) are the relevant details of each person in his department who attended the Rugby World Cup, (ii) is the total number of such persons and (iii) were the total costs of (aa) travel, (bb) accommodation and (cc) any other related costs that were incurred by his department as a result of the trip(s) ?

Reply:

Find here: Reply
 

23 November 2023 - NW3305

Profile picture: Cachalia, Mr G K

Cachalia, Mr G K to ask the Minister of Public Enterprises

Whether he has found that the management of the railways, ports and pipelines in the Republic by the unified corporate structure in Transnet, which acts as both infrastructure provider and retailer, is the best business practice; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

According to the information received from Transnet

There are some countries and regions where the management of the railways and logistics interfaces such as ports falls under one authority, this integrated approach can help improve the efficiency of transportation and logistics. One notable example is China, where state-owned companies like China Railway Corporation (CRC) oversee both railway and port operations. Other countries have varying degrees of integration between rail and port management, depending on their specific transportation and economic needs. These varying degrees of integration could be classified into several models, each with different levels of coordination and shared management, ranging from Full Integration models to Public-Private Partnerships models, or models based on geographical proximity (ports and rail situated closely) and models based on the country-specific regulatory frameworks. Another model is that of independent Operations, i.e. where railways, ports and pipelines remain entirely independent of each other with minimal coordination. While the latter may not optimize transportation efficiency, it could be the result of historical structures, regulatory hurdles, or a lack of incentives for integration.

Examples:

  1. Full Integration: China Railway Corporation (CRC) – high level of integration.
  2. PPP: United Kingdom (e.g., London Gateway Port involves a partnership between DP World and the UK government).
  3. Geographic Proximity: Netherlands
  4. Regulatory Framework: Singapore
  5. Independent Operations: Russia, has a vast geography (historical and logistical reasons for separation).

In terms of Rail

The separation of the infrastructure manager is currently taking place. This will ensure that equal treatment and access are provided to all operators. The objective of the rail reform white paper is to ensure that the infrastructure manager has no bias towards TFR. Transnet is in the process of setting up an Infrastructure Manager outside Transnet freight Rail which is in line with the rail reform process. Private sector operators will therefore be guaranteed unbiased access to the network.

Remarks: Reply: Approved / Not Approved

Jacky Molisane P J Gordhan, MP

Acting Director-General Minister

Date: Date:

22 November 2023 - NW3935

Profile picture: Malatsi, Mr MS

Malatsi, Mr MS to ask the Minister of Cooperative Governance and Traditional Affairs

Whether (a) she, (b) the Deputy Ministers and (c) any other official in her department attended the Rugby World Cup final in France in October 2023; if not; what is the position in this regard; if so, what (i) are the relevant details of each person in her department who attended the Rugby World Cup, (ii) is the total number of such persons and (iii) were the total costs of (aa) travel, (bb) accommodation and (cc) any other related costs that were incurred by her department as a result of the trip(s)?

Reply:

According to the records of the department: Myself, the Deputy Ministers and any employee of the department did not attend Rugby World Cup in France in 2023, in official capacity.

Nothing prohibited officials to attend Rugby World final in France as it would have been done in their own expenses.

End.