Questions and Replies

Reply:

The Presidency does not incur costs for the President’s international trips.

When the President undertakes official international trips, host countries often extend courtesies for the President’s travelling expenses. In the absence of these courtesies, the Department of International Relations and Cooperation is responsible for the cost of the logistical arrangements with the Department of Defence being responsible for air travel.

Reply:

a) The total number of officials who have faced disciplinary action were 18.

b) Details of disciplinary action in each are as follows:

Incident Description	Official No 1
Procurement of services not done through SCM and approval of appointment of service provider not done by the delegated official

Incident Description	Official No 2
Procurement of services not done through SCM

Incident Description	Official No 3
Decision to appoint the service provider not done by a delegated official. Supplier/service provider appointed without having an original Tax Clearance Certificate and BBEE Cetificate

Incident Description	Official No 4
Procurement of services not done through SCM and no evidence of recommending and approval by the Accounting Officer
Payments made to the supplier in excess of the approved contract amount and no approval of extension of contract by the Accounting Officer

Incident Description	Official No 5
Performing artists appointed not registered on CSD

Incident Description	Official No 6
Procurement of service not done through SCM and approval not done by the delegated official

Incident Description	Official No 7
Procurement of services not done through SCM and approval of appointment of service provider not done by the delegated official

Incident Description	Official No 8
Supplier/service provider appointed without having an original Tax Clearance Certificate and BBEE Cetificate

Incident Description	Official No 9
Procurement of services not done through SCM and approval of appointment of service provider not done by the delegated official

Incident Description	Official No 10
Procurement of services not done through SCM and reasons provided to deviate are not justifiable

Incident Description	Official No 11
Procurement of services not done through SCM and approval of appointment of service provider not done by the delegated official (DG).

Incident Description	Official No 12
Procurement of services not done through SCM and approval of additional items not done by the delegated official

Incident Description	Official No 13
Method or procurement used is incosistent with those prescribed in terms of PN 8 of 2007/2008 paragraph 3.2

Incident Description	Official No 14
Decision to appoint the service provider not done by a delegated official

Incident Description	Official No 15
No tax clearance certificate was submitted by the supplier during the procurement of services

Incident Description	Official No 16
Procurement of services not done through SCM and approval of repairs not done by delegated official

Incident Description	Official No 17
Award of procurement was made without an original Tax Clearance Certificate and no completion of SBD documents

Incident Description	Official No 18
Appointment of consultants without following a competitive bidding process
Competitive bidding process were not followed in in the awards of bids
Procurement of services not done through SCM and reasons provided to deviate were not justifiable
Request for quotations did not stipulate the preference point system to be applied
Appointment of service providers without valid tax clearance certificate
Three quotations were not obtained and reasons provided were not justifiable
BBEE points allocated on invaliud certificate resulting in incorrect award
Expenditure not committed by a delegated official
Evaluation criteria applied differs from original request for quotation
Supplier with lowest quote not selected and no reasons provided and approved by the delegated official
Performing artist appointed not registered on CSD
Variation order in excess of 15% not approved by National Treasury
Required number of quotes not obtained and reasons provided were not justifiable
No evidence that the bid was received before the closing date and time
EME affidavit used to allocate BBEEE points instead of certificate, resulting in incorrect allocation of points and award

 

Reply:

1. No

(a) Swifambo is appealing the judgement

(b) The Locomotives are currently staged in the following depots:

Braamfontein: 6 locomotives,

Bloemfontein: 3 locomotives,

Beaufort West: 1 locomotive,

East London: 2 locomotives, and

Port Elizabeth: 1 locomotive.

2. (a) The whole matter has been put on hold pending the appeal

(b) See (a) above

(c) The availability and reliability of locomotives are the biggest challenge to ensure reliable inter-city services in the Main Line Passenger Services (MLPS) business, as well as for Metrorail operations in the Eastern Cape. The original PRASA locomotive programme intended to address this challenge. While the height of the locomotives provides some limitations on certain lines, the AFRO4000 locomotives could be deployed on corridors without over-head power structures or with power over-head power structures of correct profile.

PRASA has entered into an agreement with Transnet to purchase 7 x 7E refurbished locomotives for use in the Eastern Cape. Due to the lack of available locomotives for the MLPS business, PRASA will approaching the market for the lease of locomotives especially for the upcoming high peak season over December/January.

Reply:

It should be noted that vehicles are categorised on the National Traffic Information System in the following manner:

• Heavy load vehicle with a GVM exceeding 3500Kg which is equip to draw
• Heavy load vehicle with a GVM exceeding 3500Kg, not equipped to draw
• Heavy passenger motor vehicle designed to carry 12 or more persons
• Light load vehicle with a GVM 3500Kg or less
• Light passenger motor vehicle designed to carry less than 12 persons
• Motorcycle, Motor-tricycle, Motor Quadru-cycle
• Special Vehicles
• Unknown: In this instance, the GVM is known but the vehicle category is unknown. This is old data and it is usually farming equipment that is specially classified.

Annexure A Table 1 contains a summary of the above-mentioned categories per metropolitan municipality. Data as found on the NaTIS as on 30 September 2017.

Annexure A

Table1:

Vehicle Population per Category and Metropolitan Municipality as at 30 September 2017
Metropolitan Municipality	Heavy load veh(GVM>3500Kg equip to draw)	Heavy load veh(GVM>3500Kg, not to draw)	Heavy passenger mv (12 or more persons)	Light load vehicle (GVM 3500Kg or less)	Light passenger mv(less than 12 persons)	Motorcycle / Motortricycle / Quadrucycle	Special Vehicle	Unknown	Grand Total
Bloemfontein	6607	5485	2906	50211	102801	7535	4870	685	181100
Buffalo City	2195	2137	4098	40264	94900	2839	2645	281	149359
City of Cape Town	19741	13899	19204	263116	915221	56544	15120	1556	1304401
Ekurhuleni	47848	36604	24863	315273	768452	36745	24067	643	1254495
eThekwini	20542	16413	22829	180856	569450	16763	9218	666	836737
Johannesburg	27727	21557	39927	367802	1175211	50612	16030	847	1699713
Mogale City*	5383	3489	4951	59097	118303	6124	4515	184	202046
Nelson Mandela Bay	4847	5100	5088	69036	181752	11645	4537	856	282861
Pretoria	21236	15470	24546	313808	763596	39256	21625	874	1200411
Sedibeng*	10145	7250	7458	92034	194083	10097	8347	256	329670
Grand Total	166271	127404	155870	1751497	4883769	238160	110974	6848	7440793

* Not officially declared as Metropolitan Municipalities but regarded as substantial.

Reply:

a) The Road Traffic Management Corporation’s Road Traffic Information Systems (RTIS) Unit took over all functions related to the operation and managements of the NaTIS with effect from 05 April 2017.

b) The functions include, but are not limited to, the following:

1. Software Development
2. Business Engagement
3. Business Intelligence
4. NaTIS User Training
5. NaTIS Infrastructure Support
6. Project Office – deployment of new NaTIS sites, replacement of equipment, deployment of communication services
7. NaTIS Site Support – Hardware and network support
8. System Support – End-user Software Trouble shooting
9. Information System Security and Governance, Risk and Compliance
10. NKP Physical Security

c) The Corporation employed a compliment of technical staff with over 700 years accumulated NaTIS experience in 2015. This staff compliment has been augmented with existing support functions in Finance, Human Capital, Risk Management, etc to ensure that all functions are properly executed.

d)

(i) Costs to date

Road Traffic Information Systems costs incurred, YTD September2017
Economic classification				Amount
Compensation of Employees				R39 011 781.40
Goods & Services				R56 878 696.10
Capital Expenditure				R 1 528 044.60
Total spent on eNaTIS			R	97 418 522.10

(ii) No additional staff have been appointed in the RTIS Unit since the takeover. Corporation continues to review its staff requirements in terms of its strategic mandate.

(iii) Not applicable, see (d)(ii) above as no new staff have been appointed.

e) Not applicable, see (d)(ii) above.

Reply:

(a) Taxi Associations operate at local level and by their very own nature are self-sustainable. The Department of Transport does not provide any direct financial assistance in the form of grants to Taxi Associations and neither are we aware of any provincial or local government that provides grants to these Associations.

(b) Refer to response number (a);

(c) Refer to response number (a);

(d) Refer to response number (a);

(e) Refer to response number (a);

(f) Refer to response number (a).

Reply:

1. It is not clear which amendments the honourable member is referring to, so it is assumed that reference is being made to the list of qualifying disability expenses that SARS is currently in the process of updating. The changes in the list are not about raising additional revenue. The changes are being made to ensure that the list of expenses prescribed by SARS is as comprehensive as possible and that the expenses are in line with the paragraph (c) of the definition of “qualifying medical expense” in section 6B(1). This will ensure that the list does not create inequity as far as persons who do not have a physical impairment or disability are concerned. (e.g. If a person with a disability purchases a vehicle because a person is using a wheelchair, it will unfair to allow such an expense instead of only allowing modifications to the vehicle to allow the wheelchair easy access in and out of the vehicle). The prescribed expenses must, as far as possible, only include expenses without which a person with physical impairment or disability will not be able to perform activities of daily living. (e.g. If a person cannot walk, the wheelchair is an aid that assists that person to be able to move from point A to point B. Without this wheelchair, the person cannot do this activity of daily living on his or her own and will always require assistance from other people to do so.) The amendments are, therefore being made to ensure that the list is line with the requirements of the legislation; which are based on practice in other leading democracies, such as Canada. It is understood that SARS’ understanding of the requirements of the legislation has been unsuccessfully challenged by “at least” one taxpayer in the Tax Board. SARS will monitor the outcome of any appeal to inform its future decision making. The amendments will only come in on the effective date of the updated list going forward and are not made with retrospective effect.

2. Since the list is only being amended to ensure that it is as comprehensive as possible, while ensuring that the expenses listed are in full compliance with the legislation, SARS has not conducted any studies and/or investigations to determine what the financial and economic consequences of the changes to the list are to persons with disabilities and their dependants. National Treasury would determine the financial and economic consequences of substantial changes in legislative policy, such as the change from a deduction to a tax credit system for these expenses. 

Reply:

(1) (a) No, not all the Chief Executive Officers reporting to the Minister of Arts and Culture are employed on a permanent basis,

(b) Not all the Chief Financial Officers reporting to the Minister of Arts and Culture are employed on a permanent basis

(2) (a) and (b), (i) and (ii) are attached for ease of reference

Reply:

(1) Subsidized bus services are managed and administered by Provincial Departments of Transport and subsidy is paid by Provinces through the Public Transport Operations Grant, which is a supplementary grant. The Brakpan Bus Company contract is managed by Gauteng Department of Roads and Transport and their subsidy allocation for the past three financial years is:

• 2014/15 – R11 554 076.00
• 2015/16 – R18 291 488.00
• 2016/17 – R23 293 376.00

2. Brakpan Bus Service is a municipal owned bus company and any decision about the future of the company is the prerogative of the municipality as long as it is aligned with all legislative prescripts governing public transport. The Department is conscious of the fact that Gauteng Department of Roads and Transport has appointed CSIR to conduct a due diligent exercise for all subsidized bus contracts in the Province, including Brakpan, with the aim of designing new public transport contracts in future.

3. The bus company is monitored by the Province through a Supervisory and Monitoring Firm (SMF) appointed by Gauteng Department of Roads and Transport to ensure that the operator complies with all contractual obligations.

4. a) The running and performance of the bus company is solely the obligation of the municipality as the owner.

b) Same as (a) above.

Reply:

The South African Reserve Bank referred its report into the collapse of African Bank to the National Director of Public Prosecutions (NDPP) on 17 May 2016. The NDPP requested the Head of the Specialised Commercial Crime Unit (SCCU) to attend to the matter as it fell within the mandate of the SCCU.

In March 2017, in response to Parliamentary Question No. 200, the National Prosecuting Authority (NPA) advised that the report was in its final stages of preparation. The prosecutor allocated the matter finalised a comprehensive report wherein he sets out that criminal investigations related to fraud, the Banks Act 94 of 1990 and Companies Act 71 of 2008 were warranted. He therefore recommended that the matter be referred to the South African Police Service for investigation and that a prosecutor be allocated to guide the investigations in the matter. Currently, the matter is under investigation by the Serious Economic Offences Unit of the Directorate for Priority Crime Investigation (DPCI).

 

Reply:

The tables below provide information of the appointed Chief Executive Officers (CEO) and Chief Financial Officers (CFO) of entities reporting to me:

Name of Entity	Type of employment
	CEO Permanent	CEO Fixed Term	CFO Permanent	CFO Fixed Term
1. Legal Aid South Africa	No	Yes	Yes	No
2. Special Investigating Unit (SIU)	Yes	No	No	Yes
3. South African Board for Sheriffs	No	Yes	No	Yes
4. Council for Debt Collectors	Yes	Yes	Yes	Yes
5. South African Law Reform Commission	The South African Law Reform Commission does not have its own CEO and CFO as the Commission is part of the Department of Justice and Constitutional Development (DoJ&CD).
6. Legal Practice Council	(a) The Executive Officer of the National Forum (NF) is Ms Charity Mhlungu, appointed on 1 December 2015 and will be in this position until the dissolution of NF. She is seconded from the DoJ&CD, and was a full time employee of the DoJ&CD Finance Department. (b) The NF’s budget is held by the DoJ&CD; therefore the financial reporting is done by the CFO of the Department.
7. Rules Board for Courts of Law	The Rules Board does not have its own CEO and CFO as it is part of the Department of Justice and Constitutional Development.
8. National Prosecuting Authority (NPA)	The NPA does not have CEO and CFO positions in its organisational structure

Name of Officers employed on Fixed Term	Period of employment of the CEO	Period of employment of the CFO
CEO	CFO	Start Date	Completion Date	Start Date	Completion Date
CEO of Legal Aid South Africa: Ms V Vedalankar	Not Applicable	28/10/2002 (The contract was renewed periodically based on performance)	31/10/2019	Not Applicable
CEO of SIU: Not Applicable	CFO: Mr A Gernandt	Not Applicable	17/10/2016	31/03/2018
CEO of SA Board for Sheriffs: Ms S Snell	CFO: Mr A Simon	01/08/2015	31/07/2018	01/01/2012	31/12/2017

Reply:

1. The information required to respond to the question posed by the Honourable Member is detailed and is archived by the National Treasury. I have requested the National Treasury to release such information, the process takes long. However, as soon as the information is availed by the National Treasury I will forward it to the Member.

Reply:

The table below explains how the National Film and Video Foundation awarded bursaries to students :-

	2014/15	2015/16	2016/17	2017/18
	MALE	FEMALE	MALE	FEMALE	MALE	FEMALE	MALE	FEMALE
	45 Black	33 Black	29 Black	22 Black	58 Black	62 Black	2 Black	2 Black
	12 Coloured	5 Coloured	6 Coloured	5 Coloured	17 Coloured	6 Coloured
	4 Indian	2 Indian	1 Indian	2 Indian	3 Indian	4 Indian
	10 White	5 White	6 White	2 White	10 White	5 White
					1 Chinese
	71	45	42	31	89	77	2	2
TOTAL	116	73	166	4

Reply:

(a) The Interim Board of PRASA was appointed with effect from 19 October 2017.

(b) Not applicable.

(c) Not applicable.

(d) All the financials will be signed off by the PRASA Board of Control.

Reply:

1. No officials were granted permission to have business and or do business dealings with government in the past three financial years; however, ten (10) officials were granted approval by the Executive Authority to conduct Remunerative Work outside the Public Service over the past three years.

2014/15	2015/16	2016/17
0	4	6

 

2. No officials were granted permission to do business with the State, however, permission was granted to officials to participate in marking, training, teaching and lecturing at public institutions. The approval was granted in line with the exclusion as set out in Annexure A, of the Directive on Conducting Business with an Organ of State issued in January 2017.

a) Purpose	b) When did the Business Occur	c) Value of each Business transaction
E-Tutoring	Currently on-going	Not disclosed
Training	Currently on-going	Not disclosed
Board Member	Currently on-going	Not disclosed
Marking of Assignment & Examination	Currently on-going	Not disclosed
Moderation of Exams	Currently on-going	Not disclosed

Reply:

The remuneration of the advisors is regulated in terms of the Dispensation for the Appointment and Remuneration of Persons (Special Advisers) appointed to Executive Authorities on Ground of Policy Considerations issued by the Minster of the Public Service and Administration. The Dispensation is attached for the benefit of the Honourable Member.

Reply:

a) (i) Slowness of the system, National Land Transport Information System (NLTIS), used to process applications for operating licences and failure by operators to submit required or additional information for upliftment of licences.

(ii) In the short term, officials work overtime to process as many applications as possible. The medium term solution is to redesign the NLTIS.

(iii) Approximately 90 days for the processing of applications. However, the turnaround time differs in each Province, subject to capacity constraints in each Provincial Regulatory Entity (PRE).

b) Calculated using the first-come-first-processed scheduler. Complete application will take a minimum of 5 days at phase 1: helpdesk, 35 days at registration and publication phase, 10 days for board preparations and adjudication and 10 days for board minutes and upliftment of operating licences.

c) PREs have developed standard procedure manuals. The PRE committee has delegated the over the counter transactions to officials to reduce the turnaround time.

d) The Department is in a process of redesigning the system (NLTIS).

Reply:

Capital Expansion program for Resignalling

(a)(b) (c) (d)(e)

In 2013, PRASA commenced with a 7 year rollout of the new modern signaling system to replace existing signaling interlocking, which consist mainly of obsolete mechanical and electro-mechanical systems, with electronic interlocking as the technology of the future. In the Gauteng region, Stages 1 and 2 have been integrated into one overall programme whose contract was awarded to Siemens at an investment totaling R3.8 billion (exclude inflation). In the Durban and Western Cape regions, the signalling contracts were awarded to Bombardier for R1.3 billion (exclude inflation) and Thales/Maziya for R1.8 billion (exclude inflation), respectively. The overall investment amounts to approximately R7 billion across the three regions.

The scope of work of the signaling programme across the three regions includes the construction of central control centres for trial monitoring and control. Further, the programme includes the installation of new interlocking systems to improve operational capacity, safety and flexibility.

The overall Gauteng signalling work is currently at 48.9 per cent completion against a planned target of 55.9 per cent. The lagging behind against the planned target is due to additional scope of works which include the implementation of the Automatic Train Protection system between Pienaarspoort and Pretoria station in line with the introduction of a new service. To date, 19 (of 92) stations (Midway, Lenz, Lawley, Stretford, Grasmere, Residensia, Irene, Olifantsfontein, Kaalfontein, Leralla, Tembisa, Randfontein, Robinson, Krugersdorp, Luipaardsvlei, Roodepoort, Boksburg East, Dunswart, Benoni) have already been commissioned

The Gauteng Nerve Centre (GNC) building is 100 per cent complete and already operational. The GNC currently operates Irene, Olifantsfontein, Kaalfontein, Leralla and Tembisa Corridor. The Southern line (Midway – Residensia) is next to being migrated to the GNC before the end of the current financial year. In total, eight Centralized Traffic Control Center’s (CTC’s) across Gauteng will be migrated to the GNC. The remaining mini control centres (Pretoria North, Germiston, George Goch, New Canada and Dunswart) will be migrated over a period ahead.

Project expenditure for Gauteng up to October 2017 amounts to R3 billion (including inflation adjustments).

The overall progress in Western Cape is at 68.3 percent completion, which includes design work, ordering of long lead items, pilot installations of signalling and communication, trenching and cable laying and installation of track side equipment for first two phases. The works currently underway and yet to be concluded include the construction of the Cape Metrorail Control Centre (CMCC) at Bellville and the installation of new interlocking systems at various rail lines. In addition, the works currently underway includes telecoms, power supply, OHTE and Perway adjustments across the different railway lines. Project expenditure up to October 2017 amounts to R842 million.

In KwaZulu Natal, the current works of the project includes the establishment of the Durban Central Traffic Control (CTC) at Rossborough and the installation of new interlocking systems from KwaMashu – Durban – Umlazi, Isipingo- Umbogwintini, Pinetown line and Crossmoor line. The overall Signalling work in Kwa-Zulu Natal is at 58.7 percent completion, consisting of detailed designs, track work installations, civil works, ordering of bulk material items and installation of first new point sets and signalling equipment. It is anticipated that the Pinetown line will be commissioned with a new signalling system by the fourth quarter of the current financial year. Project expenditure up to October 2017 amounts to R653 million.

Rehabilitation Program

The above renewal programme is a long term plan that will renew the system once all the projects are completed. In the interim, minor rehabilitation projects and maintenance of the existing system are taking place to ensure continuity of operations while the projects are being rolled out.

The Details of work covered during the 2017/18 financial year covers the following

• Replacement of vandalized and stolen signalling system which directly affects train services
• Constructive maintenance on worn-out signaling equipment affecting system reliability. Majority of this work is covered by a resignalling program discussed above
• Routine maintenance and minor corrective work covered under operational maintenance

The above interventions are aimed sustaining the reliability and safety of the current (old) signalling system; however there remains a backlog of maintenance and repairs. This outstanding work is caused by ongoing theft and vandalism of signalling equipment and lack of human capital to deal with obsolete equipment and constraints in the operational funding for maintenance.

These challenges are addressed through major renewal program discussed above and the capital intervention program (minor rehabilitation projects). The Gauteng signalling rehabilitation amounts to R32.5 mil, KwaZulu Natal amounts to R8mil and Western Cape amounts to R19.5mil. In total the signalling rehabilitation program amounts to R60 mil covering all three regions; the actual spending is R22mil with projects still in execution and planned to be completed by end of the financial year. The outstanding amount of R38mil will be fully utilized by end of the 2017/18 financial year with the completion of the various rehabilitation projects.

Reply:

National Treasury conducted preliminary analysis on the costs and economic impact of a nuclear build on the fiscus and the economy in 2015. This was based on the 2013 pre-feasibility study undertaken by the Department of Energy to procure and build 9.6GW of nuclear generated energy, as per the 2010 Integrated Resource Plan.

With limited information available in the pre-feasibility study, the analysis show that a 9.6GW nuclear programme would have significant implications for national income, South Africa’s total debt burden, international financial position, the balance of payments, for taxpayers and electricity consumers who will bear the full costs of the programme.

The deteriorating fiscal position and increasing fiscal risks, as outlined in the Medium Term Budget Policy Statement makes it harder to finance and/or guarantee a programme of this nature. An accurate assessment of the affordability of the nuclear new build programme needs to be based on a full socio economic cost benefit analysis, which shows the price path, affordability to households, implications for inflation and national income.

Reply:

a) On the 19th July 2017 I met with the Minister of Police and the Acting National Commissioner and his team to discuss the state of affairs between the metered taxis and /app-based operators and to propose a more focussed enforcement strategy.

In addition, I met with the MEC for Gauteng Department of Roads and Transport and the MMC’s of the relevant metropolitan municipalities on the 24th July 2017.

Furthermore, I met with the Gauteng Metered Taxi Council, the Concerned Metered Taxi Operators and the app-based operators on the 27th July 2017 in Midrand.

I also arranged a walk-about programme on 11th September 2017 in Sandton to sensitize operators that they must abide by the prescripts of the law which requires them to have a valid operating licence and that there will be no compromise on law enforcement.

b) During the above engagements, the Gauteng Province indicated they have received 6001 applications for e-hailing services as at 15 September 2017. Only 2077 applications were approved and only 1 was rejected. The Gauteng province further indicated that 3923 applications are still pending before the Gauteng Provincial Regulatory Entity (GPRE).

Regarding the metered taxi service, the GPRE received 3326 applications and 1368 of those applications were approved. GPRE also rejected 1958 applications.

During the October month the Province embarked on an outreach program where a total of 1078 applications were received and 162 licences were issued after this program. However, the information changes all the time as the Province is busy processing the licences to assist those who want to comply.

c) The National Land Transport Act, 05 of 2009 creates an offence to anyone who provides a public transport service without the necessary operating licence. If found to be providing public transport services without the licence, the relevant vehicle must be impounded and a determined fine must be paid before the vehicle is released by law enforcement. The fine varies from Province to Province since this power rests with the MECs and it goes up on a second and third offence.

Reply:

a) The bridge has not been repaired yet.

b) A detailed inspection was done in 29 July 2016 by consulting firm Arcus Gibb according to requirements of the Committee of Transport Officials (COTO) of South Africa.

c) The inspection report reported "minor" defects with minimum "relevancy". No repairs were necessary.

d) The 29 July 2016 inspection report was done by consulting firm Arcus Gibb.

e) (i) The report was completed on 31 August 2017.

(ii) The report reflected that an 18.1 ton coil of steel came off a truck and impacted the pier above the protective barrier. The pier complied with the then TPA impact requirements when the bridge was constructed in 1978. The report also highlighted that the large impact was considered an extremely rare occurrence. The report did not deal with why the steel coil came off the truck. The report concluded that the collapse of the bridge was as a result of this impact and not any maintenance issues. All reinforcing and pre-stressing steel was not corroded and lack of maintenance did not lead to the collapse.

(iii) The bridge collapse report was compiled by the consulting firm Superstructures Consulting Engineers.

f) Although the highway is monitored with 24-hour CCTV, these systems cannot detect and warn against a bridge collapse caused by vehicle accident as experienced with this incident.

Reply:

1. Transport Entities CEO’s are appointed on a five (5) years fixed term contract. Some of the entities CFOs are appointed on a permanent basis and others on a five (5) years fixed term contract.

2. Department of Transport entities CEO’s and CFO’s employment status

	Name of Entity	Name of CEO	Contract Expiry Date	Name of CFO	Contract Expiry Date
1	SANRAL	Mr Skhumbuzo Macozoma	30 November 2021	Ms Inge Mulder	Permanent
2	PRASA	Mr Lindikaya Zide	Acting	Ms Yvonne Page	Acting
3.	ATNS	Mr Thabani Mthiyane	30 June 2018	Mr Mtome Moholola	Acting
4.	SAMSA	Mr Sobantu Tilayi	Acting	Mr Phumlani Myeni	Permanent
5.	SACAA	Ms Poppy Khoza	30 Novemeber 2018	Mr Asruf Seedat	30 November 2021
6	ACSA	Mr Bongani Maseko	30 May 2018	Mr Dirk Kunz (Acting)	Acting
7	Ports Regulator	Mr Mahesh Fakir	30 April 2019	Mr Thokozani Mhlongo	31 October 2020
8	C-BRTA	Mr Sipho Khumalo	30 June 2021	Mr Nchaupe Maepa	Acting
9	Road Accident Fund	Ms Lindelwa Jabavu	Acting	Mr Rodney Gounden	31 August 2022
10	RSR	Mr Nkululeko Poya	31 October 2021	Mr Regardt Gouws	Permanent
11	RTMC	Adv Makhosini Msibi	31 December 2018	Ms Liana Moolman	Permanent
12	RTIA	Mr Japh Chuwe	30 September 2021	Ms Palesa Moalusi	Contract 31 July 2018

Reply:

1. The Department did not procure any use of a chartered private jet for the Minister or Deputy Minister.

Reply:

(a) The tariffs of the NPA are calculated on the basis of a comprehensive Tariff Methodology based on the widely used internationally best practice Required Revenue approach. The current tariff decision is based on the third tariff methodology published by the Regulator having been aproved and published in March 2017 after a number of rounds of public consultation. See annexure A: Port Tariff Methodology For Tariff Years 2018/19 – 2020/21

The tariff strategy published in July 2015 sets out a transparent and rational approach to an efficient and cost reflective pricing structure. Long term tariff targets are published on an annual basis to increase transparency and stability in the sector and significant progress have been made in the rebalancing of port tariffs on a sustainable basis. The tariff strategy is fairly unique as very few port pricing systems are publicly regulated but does reflect an advanced approach to port infrastructure pricing. Please see Annexure B: Tariff Strategy for the South African Ports System 2015/16.

Reply:

I have not yet received the Proclamation relating to ESKOM from the SIU.

Reply:

1. All overtime due to officers and staff members has been paid and there is no outstanding payment.
2. See (1) above
3. See (1) above

Reply:

The next Chief Executive Officer of the Road Accident Fund has not been appointed, and paragraph (a)(b)(c)(i)(c)(ii) are therefore not applicable

Reply:

The Department achieved 73% (52/71) of its predetermined objectives in contrast to the 58% achievement stated in the question. Similarly, the Department spent 97.4% (3.9 billion) of its appropriated budget and not the 99% indicated in the question.

Below are the generic reasons that resulted in the non-achievement of some of the planned performance target.

• Delays due to prolonged consultative processes.
• Compensation budget constraints.
• Delays in the submission of compliance documents by the beneficiaries to allow the Department to process payment.
• Delays in the procurement processes

The 2016-17 Annual Report contains specific details for each target that was not achieved.

Reply:

a) In terms of public transport strategy the incumbent operators (taxi and bus operators) should be the core of the integrated public transport system. Currently, the Integrated Public Transport Networks (IPTNs) are being operated by the incumbent operators as envisaged in the strategy. In most of the cities minibus taxi are feeding to the trunk or will feed to the trunk once the system is up and running.

b) The system is being rolled out in phases, as a result of that various cities are at different stages in terms of their system roll out.

c) (i) Consultation has taken place with various affected taxi associations and operators

(ii) It is mandatory for municipalities to consult all affected operators (minibus taxi and bus operators) when planning to implement the IPTNs.

d) In some corridors minibus taxi operators withdraw their operations and join the Vehicle Operating Company (VOC), whereas in certain cases minibus taxis remain in operation either as a feeder to the trunk of the public transport system or compete with the public transport system.

 

Reply:

My office has already publicly refuted the reports that suggest that I am intending to remove Mr Cyril Ramaphosa as the Deputy President of the country.

Reply:

Number of companies found to be not fully compliant with Social and Labour Plan

 (a) 76

 (b) 65

 

Approved/Not Approved

Mr MJ Zwane, MP

Minister of Mineral Resources

Date Submitted:-……………/………………/2017

Reply:

(a) The costs are unknown at this stage as the Department is yet to receive the accounts of the Departmental Advocates from the State Attorney.

(b) The costs are for the services rendered to the Department by the Advocates.

(c) The Court ordered the Department to pay the costs of Comair and the Court Order became suspended when the Department filed the leave to appeal through the State Attorney.

(d)(i) Another Court could come to a different conclusion as the High Court may have erred in concluding that the Air Services Licensing Council has taken a decision to suspend a license of an applicant (Comair), when there was an existing interim order directing the Air Service Licensing Council not to take a decision.

(d)(ii) The Air Service Licensing Council ought to be allowed the space to make a decision on the shareholding issue to ensure clarity and finality on the matter.

Reply:

South African Civil Authority (SACAA)

The airline industry in South Africa needs to comply with the Civil Aviation Regulations of South Africa. According to these regulations, each airline must be certified to operate by complying with the requirements for an Air Operator Certificate (AOC). On an annual basis each airline must renew its certificate by participating in a renewal audit. The SACAA also conducts surveillance audits to ensure that all operators (airlines) comply with the SACAA’s safety and security regulations. Airlines from foreign countries are also subjected to ramp inspections; these are surprise inspections, conducted at the airports and the purpose of these inspections are to ensure that foreign airlines comply with the regulations of South Africa to operate in this country. These requirements are known upfront by all operators from foreign States wishing to conduct civil aviation activities in South Africa.

(a) In terms of local airline operators, in the past three financial years, only South African Express failed to comply with the requirements emanating from the audit conducted into their operations which affected the renewal of their Air Operator Certificate (AOC).

In relation to Foreign Air Operators:

1. Air Zimbabwe;
2. Qatar Airways;
3. Turkish Airlines; and
4. Saudi Airlines; did not qualify with the regulatory requirements for a Foreign Operator Permit (FOP).

(b) The reasons given for the non-compliance in each case is as follows -

1. South African Express failed to comply with the requirements emanating from the audit conducted into their operations that related to the effective management of their safety management system;
2. Whilst the aforementioned airlines were not in possession of the required Foreign Operator Permits.

(c) South African Express was expected to address the non –compliances identified during the safety oversight inspection as per the timelines communicated by the SACAA to them and the four Foreign Operators were required to obtain the Foreign Operator Permits.

(d) Following the grounding of the airline, South African Express eventually addressed the non-compliances identified by the SACAA in terms of the regulations. Their approval was subsequently reinstated. The four Foreign Air Operators did manage to obtain their Foreign Operator’s Permits after complying fully with the SA Civil Aviation Regulations in this regard.

(e) None, all the airlines addressed their non–compliances.

(f) South Africa Express: Air Operator Certificate (OAC) was suspended and the above-mentioned foreign airlines were restricted from exercising the privileges of an approved Foreign Air Operator.

(g) The SACAA did not incur any additinal cost for these oversight activities as this forms part of our planned oversight activites. (Shoud we mot list thepenalties for the FOP non-complainces though just in case or is it too much information?)

NW3816E

Reply:

The SARS systems do not differentiate the various transactions that are subject to VAT in a manner which will allow SARS to identify the VAT transactions for airline tickets separately. It should be noted further that International Airline tickets are charged VAT at 0% as they are exported services.

SARS is therefore unable to provide the data as requested.

Reply:

The President of the Republic is remunerated in terms of Section 2(1) of the Remuneration of Public Office Bearers Act of 1998 and there is no provision for a bonus. The matter of the bonus was thus raised on a lighter note rather than in the literal sense.

Reply:

a) All overtime has been paid and

b) N/A

c) The policy allows staff members to take time off in lieu of overtime

Reply:

(1)(a),(b),(2)(a),(b),(3)(a),(b),(c) Please refer to Annexures A and B.

Reply:

The Department has compiled a complete and accurate Immovable Asset Regigister (IAR) that is also compliant with the relevant lesiglation and standards such as the Governemnt Immovable Asset Management Act (GIAMA), National Treasury Guidelines and Generally Recognised Accounting Practice (GRAP) Standards, notwithstanding areas highlighted by Auditor General (AGSA) of which management has put a plan in place.

Reply:

(1) Yes, ninety three (93) cellular phones were confiscated during arrests, by Rangers, of suspected poachers in the Kruger National Park.

(2) Yes, all cellular phones recovered from South African National Parks (SANParks) anti-poaching operations/ arrests are handed over to the SAPS for further investigation. The intention is for all cellular phone evidence to be used in investigation processes. The SAPS is in a better position to give an account on whether the devices have been used as evidence in investigations.

---ooOoo---

Reply:

The attached annexure contains the details of debt owed per client department, per service line rendered, and aged appropriately. The outstanding debtor balance as at 31 August 2017 can be summarised as follows:

	Rand	% of balance
Current	827 261 485.97	20.2%
30days	989 493 488.15	24.2%
60days	74 082 995.07	1.8%
90days	399 916 208.13	9.8%
Less than 1 year	734 410 005.35	17.9%
More than 1 year	1 068 588 630.25	26.1%
Total	4 093 752 812.92	100%

Reply:

The Minister does not intend withdrawing the comments made at the launch of the SAPS Tactical Response Teams in Pretoria. The minister used accepted higher grade standard language in both isiZulu and English.

“Crushing of balls” means crushing violent criminals courage, it is accepted that the courage or aggression could come from the amount of testosterone produced hence the English saying.

“Bazowuchama bawuphuze” means those who do whatever acts (in this case, violent criminals) would receive concomitant and proportional response hence the isiZulu a idiom loosely translated as “they shall pee and drink their urine”

The Minister is on record promoting his new policy of de-escalation policing, depoliticized, professionalized and constitutional democracy policing.

Reply:

(a) The total expenditure on wages for EPWP participants:

(i) &(ii) A total of R8,2 billion has been spent in wages for the EPWP participants from April 2016 to June 2017 across all sectors of the programme.

(aa) For the 2016-17 financial year, a total of R7 billion has been spent on wages for the EPWP participants across all sectors of the programme.

(bb) Between April and June 2017, a total of R1 billion has been spent on wages for the participants,

(b) A total of 779 245 work opportunities have been created in 2016/17 financial year whilst 352 330 work opportunities have been created between April and June 2017.

(c) The average cost of creating work opportunities is R22 000 for 2016/17 and the average cost of work opportunities for the first quarter of 2017/18 was R6 471 across all sectors.

Reply:

The current term of both the Castle Control Board (CCB) and ARMSCOR will end in 2019 and in April 2020 respectively.

Reply:

Commitments to meet capital equipment requirements of the SANDF are part of the DOD Strategic Capital Acquisition Master Plan (SCAMP) which will be adjusted and aligned with the work of the Defence Review Implementation Planning Team (DRIPT).

Reply:

Armscor is promoting SA Defence Industry (SADI) products by:

1. Engaging other Defence forces and global NGOs to promote the sales of SA Arms industry products, primarily on a government to government level which ensures that the engagement is not a once-off transaction but results in broad sustained inter-state trade.
2. Facilitating workshops to derive integrated South African defence solutions that address the requirements of SA government departments including the Department of Correctional Services, Border Management Agency etc, which promotes SADI products nationally.
3. Facilitated seminars with foreign procurement authorities to promote awareness of South Africa’s defence capabilities, and sales of SADI products.
4. Engaging financial solution providers to assist potential export clients in their funding of initiatives where SADI is often a participant.
5. Armscor has co-sponsored and organised a Summit to expose key United Nations procurement personnel to SADI capabilities, and vice versa exposure of SADI and SA companies providing security solutions to the United Nations system to promote South Africa benefiting from the UN spend on Peace Keeping Operations in Africa.
6. Focussing Defence Industrial Participation (DIP) obligations of foreign suppliers to facilitate the transfer of technology to South African Defence Industry (SADI) companies and also to facilitate the export of South African Defence Industry products. The execution of DIP programs at SADI companies has resulted in significant export sales and has also enhanced the technological capabilities of SADI companies, contributing to their increased competitiveness in the international marketplace.

QUESTION 2

(2) whether any steps have been taken to streamline and coordinate the work done by Armscor and Denel in this regard; if so, what are the relevant details pertaining to the cooperation and accountability between Armscor and Denel?

RESPONSE

In terms of the Service Level Agreement between Armscor and the Department of Defence, Armscor facilitates the processes for satisfying requests from the SADI including Denel, for marketing support in the form of equipment, personnel, matériel aid and visits to SANDF facilities, as well as the licencing of Intellectual Property, on behalf of the DOD.

The DOD actively supports the SADI by making its personnel, equipment (matériel) and facilities available to assist in the marketing initiatives of the domestic defence industry, and to promote defence related export by assisting industry in getting international exposure through shows and exhibitions and to assist Armscor departments and SADI in arranging and coordinating events.

Armscor is also assisting the DOD and SADI in arranging and coordinating the local AAD exhibition for SADI to promote and market its products.

For work done for the non-SANDF client, Armscor has facilitated workshops with Denel and other SADI personnel for the promotion of SADI products to both local and international markets. The targeted local market is the security cluster. The international markets are primarily African defence forces, NGOs and the United Nations.

Reply:

a) The Enterprise Development Pilot activities are divided between the dti and the DSBD. The total budget for the entire project is R 23 754 129 inclusive of the other activities undertaken by the dti and the amount allocated for the Enterprise Development Pilot Project Supporting Local Economic Development (ADB/BD/WP/2016/0142) is R 11 949 756.

b) The project will extend for only two years because the type of the intervention that will be implemented in these six districts will take a period of two years.

c) Depending the outcomes of the pilot project and budget availability the project will be extended to other municipalities.

d) During the discussions that took place between the Bank and the dti at the time, the agreement that was reached was that because of limited funding that was available the projects identified should be those that have a potential of having a higher impact. The former mining towns are the worst affected by the economic decline and therefore these were prioritized following the establishment of the Inter Ministerial Committee on Revitalising Distressed Mining Communities. The intention of the project is to provide capacity building support for municipalities and local stakeholders to enable them to work together to explore diversification of economic activities post-closer of mines and to further revitalize the economic activities in these mining towns.

Reply:

1. (a) The Department developed specific measurable, achievable and realistic time-bound key indicators for its 2017-18 Annual Performance Plan, in line with the Framework for Strategic Plans and Annual Performance Plans.

(b) The Department is currently implementing the 2017/18 Annual Performance Plan in its entirety as tabled.

2. The Department has not held a strategic planning session in or around August 2017.

_______________________

Approved by the Minister on

Date……………………….

Reply:

Department of Public works:

(a) (b) (ii) Breakdown and evaluation of current and non-current assets	(aa) listed assets (yes/no)	(aaa) directly held (yes/no)	(bbb) indirectly held (yes/No)	0-3 months	3-6 months	6-12 months	Beyond 12 months
				R ‘000	R ‘000	R ‘000	R ‘000
Current Assets
Unauthorised expenditure	No	Yes	No	-	-		261 169
Cash and cash equivalents	No	Yes	No	126	-	-	-
Prepayments and advances	No	Yes	No	-	-	36 325	-
Receivables	No	Yes	No			45 202
Non – current assets
Receivables				-	-	-	58 011

Property Management Trading Entity (PMTE):

(a) (b) (ii) None

(aaa) (bbb) (bb) (aaa) (bbb) Not applicable

Current Assets	2016/17 R’000
Receivables from exchange transactions	4 859 391
Receivables from Non-exchange transactions	66
Operating lease asset (straight – lining)	713 292
Cash and cash equivalents	2 934
Non-current assets
Property, plant and equipment (immovable assets, vehicles and equipment)	132 828 415
Investment property (immovable assets)	5 540 246
Heritage assets (immovable assets)	646 923
Intangible assets (software)	20 890

DEPARTMENT OF PUBLIC WORKS ENTITIES:

Council for Built Environment (CBE)

(a) (b) (ii) None

(aaa) (bbb) (bb) (aaa) (bbb) Not applicable

Agrement South Africa (ASA)

(a) (b) (ii) None

(aaa) (bbb) (bb) (aaa) (bbb) Not applicable

At present, Agrement South Africa has up to 31 March 2017 been reported as a division under the CSIR and will partly continue to do so up to 31 March 2018.

At 31 March 2018, the net book value of the division will transfer from the CSIR to Agrement South Africa. At present the CSIR is functioning as a service provider to Agrement South Africa and therefore managing R13 126 000.00 of the allocated funds in terms of the approved budget on behalf of Agrement South Africa.

At present, there are no current and non-current assets and investments held by the entity reporting to NDPW according to (aa) listed assets (aaa) directly held and (bbb) indirectly held and (bb) unlisted investments (aaa) directly held and (bbb) indirectly held by each of the entities outside if the bank accounts containing cash to be utilised in the current financial period to procure infrastructure to become a fully operational entity and related operational cost. Therefore, there are no current assets and investments down by 0-3 months, 3-6 months, 6-12 months and beyond 12 months, outside the cash value of R15 919 000.00 (0-6 months) less expenses from 1 August 2017. The CSIR will report on all current assets and investments up to 31 March 2018, where after it will transfer to Agrement South Africa.

Construction Industry Development Board (CIDB)

(a) (b) (ii) None

(aaa) (bbb) (bb) (aaa) (bbb) Not applicable

Independent Development Trust (IDT)

Breakdown of and valuation for current and non-current assets

(a) (b) (ii) Breakdown and evaluation of current and non-current assets	(aa) listed assets (yes/no)	(aaa) directly held (yes/no)	(bbb) indirectly held (yes/No)
				0-3 months R ‘000	3-6 months R ‘000	6-12 months R ‘000	Beyond 12 months R ‘000
Current Assets
Trade and other receivables	No	Yes	No	136 804	48 261	0	0
Cash and cash equivalents	No	Yes	No	2 783	0	0	0
Non – current assets
Property Plant and Equipment.	No	Yes	No	0	0	0	29 434

Breakdown of and valuation for current and non-current investments

(a) (b) (ii) Breakdown and evaluation of current and non-current investments	(bb) Unlisted investments	(aaa) Directly held	(bbb) Indirectly held
				0-3 months R ‘000	3-6 months R ‘000	6-12 months R ‘000	Beyond 12 months R ‘000
Current Investments
(a)(b) 0-3 months 3-6 months 6-12 months Over 12 months (ii)         Current Assets 39,712,858.64 4,888,818.72 2,730,957.88 4,647,360.82 Non – current assets 16,986,946.36 18,448,593.02 20,041,648.99 22,725,163.41 Investments 170,485,289.73 169,418,304.49 169,250,003.57 140,939,304.09 Investments held with financial institutions(unlisted)	No	Yes	No	43 037	0	0	0
Non- Current Investments
Investments held with financial institutions(unlisted)	No	Yes	No	0	0	0	8 412

Reply:

The only information of personnel doing business with the state is one that was provided by the AGSA through the regulatory audits (FY 2014/15 and FY 2016/17). There were no requirements for the DOD to document employees doing business with the state. However, DOD officials doing business with the state in particular, the DOD, are expected to complete the Standard Bid Document (SBD) 4, as is applicable to all suppliers. An investigation on the status of whether the employees identified in the regulatory audit did business the DOD is currently in process. This will enable the DOD to respond to details of the contract(s) in instances where contracts were awarded, or agreement(s) were concluded as amounts in each case. The DOD does not have the capabilities to provide the information for business conducted with other state entities.

Reply:

(1)(a) Total amount paid: R 1 069 175,43 – inclusive of all payments made during the 2016-17 financial year.

(b) Breakdown of bonuses paid in the 2016-17 financial year:

SURNAME AND INITIALS	SALARY LEVEL	AMOUNT (R)
BALOYI IT	5	12,276.63
CETSHWAYO SI	5	12,276.63
JIYANE BS	7	17,665.02
TSHIKHUDO PA	10	32,549.31
TSHIKHUDO PA (2013-14)	10	20,261.34
HLABIOA TP	11	66,424.86
DAMON RPL	8	22,600.62
SEHLAKO PM	10	35,590.05
MABUNDA ET	7	17,930.16
NOGOMBA K	10	34,545.96
MASHISHI ET	3	8,926.47
THINANE JT	5	12,276.63
CHAUKE AL	10	33,532.92
CRONJE M	8	39,018.42
LEBAEA TI	10	33,036.93
MOLEKO EM	12	62,584.11
PHIRI ET	7	17,665.02
MPUTA NJN	8	23,632.83
DLAMINI NT	10	35,590.05
MKAZA NS	12	60,748.11
MSHUDULU VJ	12	60,748.11
DOLO TV	8	23,987.07
MAHLANGU AM	6	15,414.57
MAMPANE DT	8	23,987.07
MATHABATHE MC	10	35,590.05
MOGANE SL	8	23,632.83
SEKEE ME	7	27,891.36
KOMETSI ME	8	22,600.62
MABENA RP	8	24,347.25
MALOKA SVK	8	22,266.90
MATHONSI P	10	35,064.36
MOKAILA ML	12	61,659.63
MOSHOESHOE ET	8	22,600.62
NETSHIVHAMBE M	8	22,939.47
NKADIMENG RM	8	22,600.62
NSIMBINI ZM	8	24,712.83
GRAND TOTAL	1,069 175.43

(2)(a) Estimated amount that will be paid out in bonuses cannot exceed 1.5% of the compensation of employees. The 2017/18 original allocation is R137,452,000 and the 1.5% translates into R2,061,780.

(b) The Department will finalise the moderation process by the end of October 2017. The submissions will be drafted for approval and the final lists can only be made available after approval.