Questions and Replies

Reply:

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

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

b) See above (a)

c) See above (b)

Reply:

The Eastern Cape Department of Roads and Public Works has read the judgement and instructed the State Attorney to appeal components of the judgement. In terms of the process, the Department filed an Application for leave to appeal the judgement. The matter was heard on the 19th May 2017 in the Grahamstown High Court, which reserved its judgement. The Department is therefore still awaiting the judgement of the Court.

Reply:

(a) The Huguenot Tunnel is not a concession contract, but a state-owned toll road, as it is funded and maintained by SANRAL. The toll operations and tunnel management are outsourced to Tolcon Group, the Operator. SMEC Consulting Engineers are the appointed professional service providers; and are responsible for overseeing the operations and maintenance of the Huguenot Toll Plaza and Tunnel.

(b) Tolcon was appointed on 27 November 2014 and the Operations and Maintenance contract officially commenced on 01 February 2015.

(c) Tolcon and SMEC Consulting Engineers were appointed after an open tender process.

(d) The tender provided for a functionality requirement to be met as a minimum. This was calculated on the following basis:

THE QUALITY CRITERIA AND MAXIMUM SCORE IN RESPECT OF EACH OF THE CRITERIA ARE AS FOLLOWS: FORM	DESCRIPTION OF QUALITY CRITERIA AND SUB-CRITERIA	MAXIMUM NUMBER OF TENDER EVALUATION POINTS
B1	Schedule of Work Experience in comparable projects	20
B3	Proposed Personnel for Key staff	15
B4	Continuing professional development of the Key staff	5
B5 (Items 1,4,5, & 6)	Organisational structure, Logistics, support structures and managerial ability appropriate to the size and nature of the work	10
B5 (Item 2)	Financial control structures	10
B5 (Item 3)	Financial information	5
B5 (Item 7)	Maintenance proficiency	15
B7	Toll Systems Replacement: Methodology, Approach & Technical Compliance	15
B8	Toll Manning Configuration	5
Total evaluation points for quality (MS)	100

The minimum number of evaluation points for quality (WQ) was 75.

All compliant tenders who met the threshold moved on to the second stage of the tender evaluation which was Price and Preference (90/10).

Scoring preference:

Up to 100 minus W1 tender evaluation points will be awarded to tenderers who submit responsive tenders and who are found to be eligible for the preference claimed. Points are based on a tenderer’s scorecard measured in terms of the Broad-Based Black Economic Empowerment Act (B-BBEE, Act 53 of 2003) and the Regulations (2009) to the Preferential Procurement Policy Framework Act (PPPFA, Act 5 of 2000).

Points awarded were allocated according to a tenderer’s B-BBEE status level of contributor and summarised in the table below:

The score for price was calculated out of the 90 points using the formula:

A = (1 – (P – Pm)/Pm)

Pm is the comparative offer of the most favourable comparative offer

P is the comparative offer of the tender offer under consideration

The points for Price was then added to the Preference Point for a total point out of 100. The tender is awarded to the highest point scorer.

(e) It should be noted that this is not a concession contract, but the current Operations and Maintenance contract started on 01 February 2015.

(f) The contract was awarded for a 3 year period, with an option to extend for a further 2 years.

(g) Not applicable

(h) The Huguenot Toll Plaza and Tunnel is part of the SANRAL Toll Portfolio. Details of bonds issued in the capital markets to fund the Portfolio with each bonds corresponding coupon rate is disclosed in the SANRAL financial statements.

Reply:

Since the inception of e-tolls on 3 December 2013, the payments to date amounted to R2.22 billion for full toll operations. It must be noted that this amount cannot be regarded as compensation directly to the toll operator since it includes amounts that are paid via the e-toll operator to other service providers that provide direct services in terms of the project. Most notably are the following services:

Safety and Security Services	R 19.02m
Insurance of buildings	R 11.72m
Utilities (water, power, property taxes, telecoms), kiosk rental	R 138.49m
e-tags procurement from 3rd parties	R 130.56m
Invoice printing and posting	R 225.30m
SMS's	R 3.72m
	R 528.81m

Excluding the above payments to other service providers (e.g. municipalities, telco’s, e-tags, Post Office, security and insurance companies), the payments made to the toll operator amount to R1.69 billion over a period of 42 months (Dec 2013 to May 2017). From these payments the operator:

• pays salaries (approximately 1000 people);
• performs system maintenance (toll gantries and all other hardware and software), electrical and building maintenance;
• pays software licenses;
• processes toll transactions;
• generates invoices; and
• operates customer service centres, the call centre, violator processing centre etc.

Reply:

As a starting point, I need to state the following to the Honourable Member: SANRAL is in terms of the SANRAL Act, 1998 (Act 7 of 1998) (“the Act”) read together with the Regulations promulgated in terms thereof, empowered to recover outstanding debt from users who traverse the Gauteng Freeway Improvement Project (GFIP) network in Gauteng.

(a)(b) Yes, the recovery is based on a “user pay principle” irrespective of whether the user is registered or non-registered. Such a recovery process will be embarked upon once all the prescribed legal processes have been followed.

(i0 In terms of section 27(1)(b) of the SANRAL Act, read together with the e-Road Regulations (published by the Minister of Transport on 9 October 2013 in Government Gazette Notice No. R. 793 in terms of sections 58(1)(dA) and (dC) of the SANRAL Act ("the e-Road Regulations")), the owner of a vehicle that passes under a gantry (defined as " a toll plaza where the liability to pay toll is recorded by an electrical or electronic device" in regulation 1 of the e-Road Regulations) on the GFIP toll roads is liable to pay toll to SANRAL

(ii) Both registered and non-registered be they individuals and companies registered in terms of our Company Laws of the Republic will be taken to court based on the merit of the case.

(iii) None

Reply:

1. The link below indicates the number of invoices issued and paid for each month since 1 April 2015 to 31 March 2017. The information for April 2017 is not yet available, but will be submitted once it is available.

https://pmg.org.za/files/RNW1328Table-170605.pdf  

2. SANRAL calculates the compliance rate in Rand value due to invoices varying in terms of tariff due to class of vehicle, time-of-day, frequent user discount, etc. Additionally, it should also be noted that once a vehicle reaches the monthly cap, invoices are still issued even though the value is zero.

a) The compliance rate for February 2017, based on Rand value was 29%.

b) Due to the year-end processes and audits still to be concluded, the value of outstanding debt can’t be disclosed. This will be available once the Auditor-General has concluded the audit on 31 July 2017. The audited results as at 31 March 2016, reflects the outstanding value (trade receivables), which would be for unregistered users, as R7 206 million.

Reply:

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

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

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

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

 

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

Reply:

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

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

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

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

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

 

 

Reply:

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

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

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

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

Reply:

Department

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

(aa) Not applicable

(bb) Not applicable

(cc) Not applicable

(dd) Not applicable

(ee) Not applicable

(ff) Not applicable

Airports Company South Africa SOC Limited (ACSA)

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

Air Traffic Navigation and Services (ATNS)

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

(aa) Not applicable

(bb) Not applicable

(cc) Not applicable

(dd) Not applicable

(ee) Not applicable

(ff) Not applicable

South African Civil Aviation Authority (SACAA)

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

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

(aa) – (ff) Not applicable

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

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

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

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

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

(aa) – (ff) Not applicable

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

(aa) – (ff) Not applicable

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

(aa) – (ff) Not applicable

South African Maritime Safety Authority (SAMSA)

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

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

Ports Regulator of South Africa (PRSA)

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

National Railway Safety Regulator (NRSR)

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

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

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

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

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

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

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

(ff) Detailed breakdown:

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

Passenger Rail Agency of South Africa (PRASA)

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

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

               (aa) there was no requirement for those services

               (bb) Not applicable

               (cc) Not applicable

               (dd) Not applicable

               (ee) Not applicable

               (ff) Not applicable           

 

Reply:

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

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

Reply:

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

Reply:

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

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

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

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

Reply:

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

(b) Not applicable

(c) Not applicable.

2. (a) Not applicable.

(b) Not applicable.

(c) Not applicable.

 

Reply:

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

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

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

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

Reply:

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

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

(b) No other criteria were used.

 

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

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

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

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

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

 

Reply:

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

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

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

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

Reply:

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

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

 

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

Reply:

Railway Safety Regulator (RSR)

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

a) (i)

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

1,161,171.53

ii) Inadequate cash, Delays In collections of debtors.

b) April 2017

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

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

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

Reply:

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

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

Reply:

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

Reply:

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

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

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

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

Reply:

PORTS REGULATOR OF SOUTH AFRICA

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

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

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

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

Reply:

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

a) (i) N/A

    (ii) N/A

b) N/A

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

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

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

Reply:

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

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

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

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

NW974E

Reply:

Department

REPLY

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

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

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

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

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

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

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

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

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

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

Airports Company South Africa SOC Limited (ACSA)

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

Air Traffic and Navigation Services SOC Limited (ATNS)

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

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

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

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

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

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

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

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

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

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

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

South African Civil Aviation Authority (SACAA)

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

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

Cross-Border Road Transport Agency

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

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

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

(d) Not applicable.

(2) (a) Not applicable

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

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

April 2014 R7, 971, 345

April 2015 R9, 535, 112

April 2016 R8, 491, 941

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

Road Accident Fund

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

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

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

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

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

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

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

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

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

2014-15 financial year was R 268 169 000,

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

2016-17 financial year was R 227 245 000,

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

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

Road Traffic Management Corporation

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

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

(c) There are no unaccounted assets

(d) Not applicable

(2) (a) Not applicable

(b) Not applicable

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

2014/15 – R26,338,596

2015/16 – R26,416,188

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

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

Road Traffic Infringement Agency

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

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

(c) There are no unaccounted assets

(d) Not applicable

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

(b) Asset count twice a year

(c) 2016 = R 9 923 359

2015 = R 4 209 735

2014 = R 643 257

(d) Approved asset policy

Bi-annual physical verification of assets

Assets are subjected to annual audit both internally and externally

A regular review and monitoring of asset movement and changes

All assets are insured.

Asset management function in place.

Monthly recording of the accounting records

Quarterly reporting to MANCO

EXCO and Audit Committee

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

South African National Roads Agency Limited

1. (a)(ii) SANRAL

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

(c) There are no assets which are not unaccounted

(d) Not applicable

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

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

2014/15 R303 747 772 000

2015/16 R308 819 013 000

2016/17 R315 293 979 000

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

South Africa Maritime Safety Authority (SAMSA)

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

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

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

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

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

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

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

2(c) Fixed Asset Register opening balances:

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

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

Ports Regulator of South Africa (PRSA)

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

Passenger Rail of Agency of South Africa (PRASA)

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

2. (a) There are no unaccounted assets.

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

(c) Audited balances over past 3 years

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

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

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

(d) Frequent physical verification of assets, monthly reconciliations

Railway Safety Regulator (RSR)

(1)

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

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

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

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

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

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

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

Reply:

The Cross-Border Road Transport Agency (C-BRTA) pays its debt timeously, at an average of 14 days per creditor. There are however, isolated instances where service providers are not paid within 30 days of receipt of invoices for a variety of reasons, for instance, where the service has not been satisfactory and warrants engagement with the service providers, or where errors have been picked up from the supplier invoices or where the price charged is not in line with what was contracted or quoted. As at end of February 2017, the following creditors’ balances were not paid and been over 30 days:

(a) i			(a) ii	(b)
Service provider	Invoice number	Invoice dates	Reason for non-payment	Settlement date
Eris Property	DBBMARCRO/2016/10 (Parking rental)	21-10-2016	Disputed as the invoiced service was never ordered or rendered to the Agency. Service provider to provide credit note.	Subsequently settled in March 2017 by means of credit note received from the Supplier
Madijo Trading Enterprises	INV 2549 (Supply of Uniform)	2015-04-16	Disputed as the ordered goods were not delivered as per the specifications. Goods returned to service provider.	Once engagements with the service provider for a credit note are concluded
Orange Fox Security Services	Inv0000866 (Security)	2014-06-13	Disputed as there is no proof that the ordered items were delivered.	Once engagements with the service provider for a credit note are concluded
Mdluli Office Automation (Seartec)	Various invoice numbers backdated by supplier between periods June 2016-January 2017. (Photocopiers)	Various invoice dates. Backdated between June 2016- January 2017. Invoices sent by supplier on 27 January 2017 and 30 January 2017	The service provider did not invoice the Agency and had internal backlog and were undergoing internal restructuring. Invoices were subsequently received in January 2017 and backdated.	Partially settled in March 2017. Disputed amounts will be settled once engagements with the service provider have been concluded.
Sipho Mano	Inv. 20278 Inv. 20277 Inv. 20258 (Catering and events)	05-02-2013 04-02-2013 19-10-2013	Disputed as the service provider invoiced above the quotation and approved purchase order amounts.	Supplier to credit the overcharged amount or amount to be written off in June 2017.
(b) i			(b) ii	(b)
Service provider	Invoice number	Invoice dates	Reason for non-payment	Settlement date
Atlantis Corporate Travel	Hof0124254 (Travel)	31/05/2015	Invoice was disputed due to overcharging by service provider. Invoice in excess of the purchase order and the initial quotation. The purchase order amount was paid. The service provider could also not produce any supporting documents to prove or explain the variance.	Ongoing engagements with the service provider for a credit note and efforts are being put in place to resolve this matter by the end of May 2017.
Atlantis Corporate Travel	Hof0142429 (Travel)	30/11/2015	Invoice was disputed due to overcharging by service provider. Invoice in excess of the purchase order and the initial quotation. The purchase order amount was paid. The service provider could also not produce any supporting documents to proof or explain the variance.
Duma Travel	Hof0710448 (Travel)	13/05/2015	Invoice was disputed as the service was not rendered and the service provider could also not produce any supporting documents to prove that the service was rendered.
Duma Travel	Hof0699427 Travel)	22/04/2015	Invoice was disputed as the service was not rendered and the service provider could also not produce any supporting documents to prove that the service was rendered.
Duma Travel	Hof0560673 (Travel)	31/08/2014	Invoice was disputed as the service was not rendered and the service provider could also not produce any supporting documents to prove that the service was rendered.
Duma Travel	Hof0710428 (Travel)	13/05/2015	Invoice was disputed as the service was not rendered and the service provider could also not produce any supporting documents to prove that the service was rendered.

(c) (i) (ii) (iii) Mechanisms and processes are already firmly in place to ensure suppliers are paid on time. There is a dedicated unit within the Finance division that handles payments to suppliers. All invoices received are recorded and stamped reflecting the date of receipt. Invoices are upon receipt, matched with the relevant supporting documentation and submitted to relevant officials to validate delivery of goods or services. Disputes are clearly communicated to the service providers to ensure that such disputes are resolved on time.

The Agency has a duty to ensure payments are not irregular, are not fraudulent and are for the services ordered and rendered. No interest or fruitless expenditure has therefore been charged to the Agency as a result of supplier payment delays in the last two financial years.

Reply:

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

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

The RTMC has two debts over 30 days:

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

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

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

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

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

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

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

Reply:

On 28 February 2017 the Road Accident Fund (RAF) presented its financial position and cash constraints to the Portfolio Committee on Transport (PCoT). This presentation was linked to the debts as posed in this Parliamentary Question and included reference to the RAF’s 2013/14, 2014/15 and 2015/16 Annual Financial Statements previously presented to PCoT inclusive of the same financial reality.

The RAF has debt that has remained unpaid for 30 days or more, defined for purposes of this reply as money the RAF is required to pay immediately and excludes borrowings. To avoid doubt, the RAF has no borrowings;

(a)(i) debts older than 30 days (Claims Creditors as at 4 April 2017 and Trade Creditors as at 28 February 2017) comprise of a total of 14 555 individual debts with a combined value of R 5.5 billion, which are debts processed for payment but have not yet been paid. In respect of Claims Creditors (payments due in relation to claims made under the Road Accident Fund Act, No. 56 of 1996) (Act), the details of the debts are set out in the table below:

Claim Creditor Category	Number of Claims Creditors	Value in Rand	Payment Date
Claimant creditors - capital	5 198	R 3 960 543 951	Less than 180 days from date of payment request as per the RAF’s Cash Management Plan
Claimant creditors - cost	3 792	R 748 282 177
Writ creditors (capital and / or costs)	1 858	R 783 182 863
Supplier creditors	180	R 2 465 110
Undertaking creditors	199	R 3 100 830
RAF attorneys, actuaries and other claim operations service providers	3 147	R 60 009 169

Details of debts due to Trade Creditors are captured in the table below:

Category	Number of Trade Creditors	Number of Transactions	Value in Rand	Payment Date
Trade Creditors	17	181	R  6 147 178	Dependent on reconciling of items

(ii) the reason for non-payment in respect of each Claims Creditor is the lack of cash to make payment when due as a result of the mismatch between the funding the RAF receives via the Road Accident Fund Fuel Levy (approximately R2.8 billion per month) and the payments the RAF is required to make to Claims Creditors in terms of the Act (approximately R3 billion per month), and the reasons for non-payment in respect of each Trade Creditor is due to engagements in the ordinary course of business with the suppliers of goods and services on items being queried for any number of reasons – also known as reconciling items.

(b) the RAF implemented a Cash Management Plan based on the RAF’s actuarially determined Funding Model, to determine the number of days necessary to effect payment on the basis of the monthly Road Accident Fund Fuel Levy income forecast and the monthly claim settlement patterns and related service level agreements (these calculations are refreshed when circumstances change materially, or at a minimum once a year). The key objective of the Cash Management Plan is to ensure the maximum number of payments to all categories of Claim Creditors and Trade Creditors, within the available cash constraints, noting that there is insufficient cash to settle all debts which are due for payment at any point in time. Currently the maximum payment days the RAF endeavors to honor are 180 days from when the debt was processed for payment. However, the exact date of settlement of the outstanding debts in respect of each of the Claims Creditors is unknown as the payment date is dependent on the category of debt as defined in the Cash Management Plan and the available cash to make payment (which is in turn dependent on the fluctuating monthly Road Accident Fund Fuel Levy income and the ad hoc recovery of diesel rebates, which reduce the Road Accident Fund Fuel Levy income), number of claims settled, number of judgments, number of writs, and operational interruptions as a result of bank account attachments. The exact date of settlement of the outstanding debts in respect of each Trade Creditor is unknown because of the dependency on the reconciling of items.

(c) noting the challenges relating to cash constraints and the reconciling of items, the following mechanisms are in place to ensure that payments are made: (i) manual and automated payment processes, and daily, weekly and monthly reporting mechanisms, (ii) the RAF Accounts Payable Policy and Standard Operating Procedure, and (iii) the Cash Management Plan.

Reply:

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

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

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

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

b) Debt is settled twice a month.

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

   (ii) Invoices are loaded on system

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

Reply:

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

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

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

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

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

Reply:

a) The Passenger Rail Agency of South Africa has not awarded any tender to the certain company between 01 January 2013 to 31 December 2016

b) See response (a)

Reply:

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

Table 1

 

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

National Station Improvement Programme (NSIP)

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

National Station Upgrade Programme (NSUP)

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

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

(ii) Not applicable, see (i) above

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

Reply:

(1)

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

b) Not applicable, as above (a).

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

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

(2)

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

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

Reply:

(a) & (b)

Number of Investigations Conducted
Category	2014/15	2015/16	2016/17	Total
Collision between trains	8	8	10	26
Derailments	14	32	24	70
Level crossing Collisions	7	13	18	38
People Struck By Trains	1	3	22	26
Platform Train Interface Occurrences	0	12	19	31
Averted Collisions	0	2	3	5
Runaways Trains	1	1	1	3
Train High Tension Fires	1	0	1	2
Electrocution	0	0	1	1
Signal Passed At Danger	2	1	0	3
Total	34	72	99	205

Gauteng
Category	2014/15	2015/16	2016/17	Total
Collision between trains	1	3	2	6
Derailments	4	9	13	26
Level crossing Collisions	1	3	1	5
People Struck By Trains	0	2	12	14
Platform Train Interface Occurrences	0	9	13	22
Other	2	2	5	9

North West
Category	2014/15	2015/16	2016/17	Total
Collision between trains	0	2	0	2
Derailments	0	2	1	4
Level crossing Collisions	4	4	1	9
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	1	0	1
Other	1	0	0	1

Western Cape
Category	2014/15	2015/16	2016/17	Total
Collision between trains	1	3	0	4
Derailments	3	6	1	10
Level crossing Collisions	1	2	4	7
People Struck By Trains	0	0	4	4
Platform Train Interface Occurrences	0	3	3	6
Other	1	0	1	2

Free State
Category	2014/15	2015/16	2016/17	Total
Collision between trains	0	0	0	0
Derailments	0	1	1	2
Level crossing Collisions	0	0	0	0
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	0	0	0
Other	0	0	0	0

Eastern Cape
Category	2014/15	2015/16	2016/17	Total
Collision between trains	0	0	1	1
Derailments	1	4	0	5
Level crossing Collisions	0	2	2	4
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	0	0	0
Other	0	0	0	0

Limpopo Province
Category	2014/15	2015/16	2016/17	Total
Collision between trains	3	1	0	4
Derailments	0	2	2	4
Level crossing Collisions	0	0	4	4
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	0	0	0
Other	0	0	0	0

Northern Cape
Category	2014/15	2015/16	2016/17	Total
Collision between trains	0	0	0	0
Derailments	0	3	12	15
Level crossing Collisions	0	1		1
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	0	0	0
Other	0	0	0	0

Mpumalanga
Category	2014/15	2015/16	2016/17	Total
Collision between trains	1	2	1	4
Derailments	4	2	0	6
Level crossing Collisions	0	0	11	11
People Struck By Trains	0	0	0	0
Platform Train Interface Occurrences	0	0	0	0
Other	1	0	0	1

KwaZulu Natal
Category	2014/15	2015/16	2016/17	Total
Collision between trains	2	0	1	3
Derailments	2	1	4	7
Level crossing Collisions	1	0	4	5
People Struck By Trains	0	1	3	4
Platform Train Interface Occurrences	0	0	4	4
Other	0	0	0	0

(c) The cost of each investigation:

Cost per Independent BOI
Occurrence	2014/15	2015/16	2016/17
PE Station Derailment	R 831 184,27
Lebaleng rear-end Collision		R 514 026,00
Denver rear-end Collision		R 1 814110,73
Kaalfontein derailment		R 520 880,00
Lower Adamson and Gaika derailments		R 724 600,00
Blaney head-on Collision		R 358 188,00
Booysens rear-end collision		R 580 764,00
Booysens rear-end collision			R 140 402,00
Kimberley derailment (AFRO 4000)			R 361 500,00
Total	R 831 184,27	R 4 512 568,73	R 501 902,00

The costs for RSR internal investigations includes operational costs only. These are conducted by the RSR inspectorate. The table below show the total costs for internal investigation for the last three (3) financial years.

Operational Costs for RSR Internal Investigations
Financial Year	2014/15	2015/16	2016/17
Cost	R 169 681,73	R 344 180,00	R 388 420,00

(d) The outcome of each investigation

See attached Excel Spreadsheet

(e) 

Category	Lessons Learnt
Collision between trains	We need collision avoidance systems installed in trains Invest in maintenance of infrastructure and rolling stock
Derailments	We need more wayside monitoring equipment Invest in maintenance of infrastructure and rolling stock
Level crossing Collisions	We need enforcement at level crossings We need to upgrade protection at level crossings We need to redesign some level crossings
People Struck By Trains	Protection of the railway reserves Awareness to the public Enforcement
Platform Train Interface Occurrences	Upgrade of stations Introduction of new trains Security at stations Public Announcements at stations (Improved and audible communication)
Averted Collisions	Re-Training of employees Fitness for Duty Declaration when reporting for Duty Manage overtime
Runaways Trains	Adherence to procedures
Train High Tension Fires	Maintenance of rolling stock
Electrocution	Supervision
Signal Passed At Danger	Adherence to procedures

(f) The Railway Safety Regulator has adopted a strategic approach to enhance its oversight role, by conducting research on driver behaviour at level crossings (human factors), new technologies and have developed regulations that will support safe railway operations.

Reply:

Airports Company South Africa SOC Limited (ACSA)

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

2. See above answer to question (1).

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

Reply:

South African Civil Aviation Authority (SACAA)

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

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

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

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

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

NOTES:

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

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

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

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

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

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

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

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

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

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

NW820E

Reply:

The Department has programmes in place to deal with the reduction of road carnages on R31 road. These programs are anchored around the pillars of United Nations Decade of Action for Road Safety.

There is also improvement visibility of traffic police to ensure safety of all road users in this road.

We have attended to the road shoulders of the R31 to increase its capacity to cater for the heavy vehicle traffic, in particular.

The long term plans are that the additional lanes will be introduced and design life of road be improved.

Reply:

CY	FLIGHT TYPE CODE	ARRIVAL Passengers	DEPARTURE Passengers	TOTAL Passengers	TOTAL Passengers
2014	Domestic	11 912 205	11 945 260	23 857 465	35 296 866
	International	5 157 363	5 210 205	10 367 568
	Regional	537 540	534 293	1 071 833
2015	Domestic	13 066 368	13 094 665	26 161 033	37 750 447
	International	5 225 445	5 288 053	10 513 498
	Regional	539 729	536 187	1 075 916
2016	Domestic	13 762 375	13 781 577	27 543 952	39 787 939
	International	5 506 282	5 597 132	11 103 414
	Regional	570 633	569 940	1 140 573

Reply:

Airports Company South Africa SOC Limited (ACSA)

The latest Integrated Report 2016 is available on the website.

Air Traffic and Navigation Services SOC Limited (ATNS)

1. The latest Annual Report 2015 is available on the website, the reports are also achieved from 2010- 2014.
2. The 2016 Annual Report will be available as soon as it is tabled in Parliament.

South African Civil Aviation Authority (SACAA)

(a) The latest annual report of the South African Civil Aviation Authority (SACAA), i.e. for the 2015/2016 financial year, is available online via the organisation’s website. Each year, and without fail, the SACAA ensures that its annual report is available online via its website immediately on receipt of confirmation that the annual report has been tabled in Parliament.

Cross-Border Road Transport Agency

1. The Cross-Border Road Transport Agency has the latest annual report available online via the Agency’s website.
2. Not applicable as the latest annual report is available online.

Road Accident Fund

(a) The Road Accident Fund has the latest annual report available online via the Agency’s website.

(b) Not applicable as the latest annual report is available online.

Road Traffic Management Corporation

1. The Road Traffic Management Corporation has the latest annual report available online via the Agency’s website.

(b) Not applicable as the latest annual report is available online.

Road Traffic Infringement Agency

1. The Road Traffic Infringement Agency has the latest annual report available online via the Agency’s website.
2. Not applicable as the latest annual report is available online.

South African National Roads Agency Limited

(a) The South African National Roads Agency Limited has the latest annual report available online via the Agency’s website.

(b) Not applicable as the latest annual report is available online.

Ports Regulator South Africa (PRSA)

1. The previous year’s annual report has not been uploaded on the Ports Regulator’s website as a result or error, however this will be uploaded as soon as possible.
2. The annual report will be loaded before the end of the 2016/17 financial year.

South African Maritime Safety Authority ( SAMSA)

SAMSA publishes its Annual Performance Plan, Strategic Plans and all our Annual Reports on the SAMSA website as required.

Passenger Rail of Agency of South Africa (PRASA)

1. PRASA places its annual reports on its main websites.

Railway Safety Regulator (RSR)

a) The Railway Safety Regulator’s 15/16 Annual Report is available on the entity’s website

b) N/A

Reply:

1 (a) The Acting Chief Executive Officer (AGCEO), Mr Collins Letsoalo was appointed, by the Board, to the Passenger Rail Agency of South Africa following his secondment by the Minister of Transport.

The Board and Mr Letsoalo entered into an agreement dated the 07 July 2016 under the following conditions:

The effective date being 01 July 2017 until further notice or until a permanent GCEO is appointed.

PRASA would pay an annualized salary rate applicable to this position – the annualized salary rate applicable to this position is currently R5, 986,140.07 (498 845 p/m) which is a cost to company package.

The AGCEO is eligible to receive all the benefits applicable to this position – the current benefits applicable to this position include:

Medical Aid (compulsory, but can opt out if covered in spouse Medical Aid scheme). – Mr Letsoalo did not exercise this option at PRASA.

Provident Fund (to be structured from package) - Mr Letsoalo did not exercise this option at PRASA.

Funeral Cover (to be structured from package) - Mr Letsoalo did not exercise this option at PRASA.

13th cheque (optional and to be structured from package) - Mr Letsoalo did not exercise this option at PRASA.

Car and VIP protection (subject to fringe benefit tax).

Car allowance (to be structured from package) Mr Letsoalo did not exercise this option at PRASA.

Performance Bonus (if declared) - No bonuses have been declared at PRASA

A company cellular phone on an unlimited package (open line) - Mr Letsoalo did not exercise this option at PRASA.

Executive cover (for all executives) Mr Letsoalo did not exercise this option at PRASA.

(b) There were no perks that were awarded to the AGCEO that were above the conditions of secondment.

(c) There were no perks that were awarded to the AGCEO that were above the conditions of secondment.

(d) There is at present no need or reason to recoup any perks, remuneration and benefit from the specified person

(2) (a) The board upon the request from the minister has initiated an investigation and once this has been concluded the outcome will be addressed accordingly.

(b) This aspect will be known once the investigation has been concluded.

(c) This aspect will be known once the investigation has been concluded.

(3) (a) The board had already advertised the Group Chief Executive Officer position and the advert closed on the 15/03/2017. The next steps are the interview process (the approach and the appointment).

(b) R5, 986,140.07 (498 845 p/m) which is a cost to company package.

 

Reply:

a) What was the exact number of accidents in

(i) 2013 stats are not available due to technical problems

(ii) 2014 there were 46 fatal crashes

(iii) 2015 there were 81 fatal crashes

(iv) 2016 there were 97 fatal crashes

b) How many people were killed:

2014 there were 83 fatalities, 2015 there were 137 fatalites, 2016 there were 181 fatalities

c) What were the causes:

The accidents mainly caused by single vehicles overturning, sideswipe between vehicle travelling in opposite directions, head-on collisions and collision with pedestrians

d) What did the department do:

(i)(ii) The Department of Transport through its agency (Road Traffic Management Corporation) has ensured the deployment of traffic officers on this road to ensure visible law enforcement. Road safety education is also undertaken to educate road users about safe usage of the road.