ATC120419: Report Budget Vote 37 & Strategic Plans of the Department Of Transport & its entities, dated 19 April 2012


Report of the Portfolio Committee on Transport on Budget Vote 37 : Transport and the Strategic Plan of the Department 2011-2014, dated 30-31 March 2011



The Portfolio Committee of Transport, having considered Budget Vote 37: Transport and the Strategic Plan of the Department of Transport for 2012-2014, as well as the Strategic Plans of its entities, reports as follows:




The report contains the strategic objectives of the Department (the department) and its entities presented to the Portfolio Committee on Transport (the Committee) on 16 and 17 March 2012. The Committee, in its oversight role over the ministry, the department and its entities, has to consider the strategic plan of the department and its entities to determine whether the funds requested are aligned to the stated objectives in the strategic plans.


The department oversees the following public entities:

1.1 Airports Company of South Africa (Acsa);

1.2 Air Traffic and Navigation Services Company (ATNS);

1.3 Cross-Border Road Transport Agency (CBRTA);

1.4 Ports Regulator;

1.5 Passenger Rail Agency of South Africa (Prasa);

1.6 Railway Safety Regulator (RSR);

1.7 Road Traffic Infringement Agency (RTIA);

1.8 South African Civil Aviation Authority (SACAA);

1.9 South African National Roads Agency Limited (Sanral);

1.10 South African Maritime Safety Authority (Samsa);

1.11 Road Accident Fund (RAF); and

1.12 Road Traffic Management Corporation (RTMC).



The Department of Transport, as the heartbeat of social and economic

development, provides the infrastructure for economic and social development in

South Africa .


The Department of Transport is tasked with providing safe, reliable, effective, efficient and fully integrated transport operations and infrastructure that best meet the needs of freight and passenger users. At the same time, the department is charged with providing the transport infrastructure and services in a manner that is efficient and affordable to the individual and corporate users, as well as the whole economy. In addition, it is mandated with ensuring safety and security across all modes of transport.


In its commitment to discharging its mandate effectively and efficiently, the department has re-organised itself into the following programmes:



Integrated Transport Planning;

Rail Transport;

Road Transport;

Civil Aviation;

Maritime Transport; and

Public Transport.


The restructuring is the culmination of a process that commenced in 2009 with a view to aligning the departmentÕs structure with a new service delivery model and ensuring that each branch is responsible for a particular mode of transport. The department was of the opinion that the way in which it was structured posed a challenge and the fragmentation of functions compromised accountability and proper strategic focus. The new structure augurs well for the creation of jobs, the development of the countryÕs urban and rural communities, as well as the improvement of logistics.




The following outcomes have been identified to guide and enable the department to deliver on its mandate:

Outcome 1 : An efficient and integrated transport infrastructure network for social and economic development.

Outcome 2 : A transport sector that is safe and secure.

Outcome 3 : Improved rural access, infrastructure and mobility.

Outcome 4 : Improved public transport systems.

Outcome 5 : Increased contribution to job creation.

Outcome 6 : Increased contribution of transport to environmental sustainability.


In 2011/12, the department made certain strides in an endeavour to deliver on its mandate. Some of the activities carried out in line with outcome 1 included the completion of an institutional framework, identification of projects and implementation plan for the 2050 Vision for the Durban-Gauteng Transport Corridor. A task team for the cost of Logistics Study Framework was established and the macro-economic and industry analysis reports were finalised. However, the research report outlining the cost of doing business in the transport sector could not be produced by the set date (31 March 2011).


The department recorded several successes pertaining to outcome 2. These encompassed, inter alia, the finalisation of a draft Southern African Development Community (SADC) vehicle testing and overload standard and the completion and handover of all planned railway police stations to the relevant authority. However, the Transport Sector Disaster Management Plan could not be developed owing to financial constraints.


As far as outcome 3 is concerned, the Non-Motorised Transport (NMT) Policy could not be finalized as planned. The budget allocated for the rolling-out of the NMT facilities and infrastructure in the six districts was shifted to the Rural Grant because the priority changed to Road Asset Management Systems (RAMS) development.


In fulfilment of outcome 4, the department established Public Transport Integration Committees in all provinces. Notwithstanding this, the National Scholar Transport Policy could not be approved and implemented as the Department was still in the process of engaging with the Department of Basic Education to clearly delineate lines of responsibilities. It was still at a draft stage pending the approval of the migration of the policy from the Department of Basic Education to the Department of Transport and also subject to support from the Ministers and Members of the Executive Council (Minmec).


Concerning outcome 5, job targets were set for all provinces and preliminary discussions were held with the South African Local Government Association (SALGA) on establishing processes for engagement with municipalities on a range of roads development processes to identify best practices of the Expanded Public Works Programme (EPWP).


With regard to outcome 6, the literature review for emissions was completed and a business plan was developed. However due to the unavailability of funds, the Green House Gas (GHG) inventory could not be compiled. Similarly, the department did not have sufficient funds for the development of a strategy for noise reduction in all modes of transport. Equally, the appointment of a specialist service provider for developing Ballast Water Bill and Regulations was halted due to limited funding.




In terms of the outcomes-based performance management framework adopted by Government, the department contributes mainly to the development of an efficient, competitive and responsive economic infrastructure network (outcome 6). Achieving this outcome requires the department to:


iImprove the quality of the countryÕs road network by extending and maintaining it;

build a rail network by promoting investment in rail commuter services and developing a policy for freight rail;

develop the policy for well-functioning ports and efficient maritime infrastructure;

provide safe, reliable and integrated public transport networks by providing policy guidance to local and provincial government; and

manage conditional grants to build the infrastructure and provide transport services.


In addition to the aforementioned, the department aims to reduce accidents within the transport sector, particularly on the countryÕs roads. In discharging its policy and legislative obligations, emphasis is placed on promoting job creation within the transport industry. Moreover, the department strives to reduce the impact of transport on the environment and climate change by promoting energy efficient solutions and the use of cleaner fuels.


In his 2012 State-of-the-Nation Address, President Zuma identified transport as a catalyst for the countryÕs socio-economic development. In this regard, developing and integrating rail and road transport, expanding rail transport, improving the movement of goods and economic integration through a Durban-Free State-Gauteng logistics and industrial corridor, upgrading ten priority roads in the North West, expanding the iron-ore rail between Sishen in Northern Cape and Saldanha Bay in the Western Cape and championing the North-South Rail Corridor were provided as niches for the attainment of this objective.


The budget allocation of the department is in line with GovernmentÕs strategic objectives raised in the State-of-the-Nation Address. This is evinced by massive investments in the road, rail and public modes of transport which receive R17.9 billion, R10.2 billion and R9.9 billion respectively. This constitutes 98.46 per cent of the departmentÕs budget and it augurs well for the nationÕs economic growth and job creation. In addition, it will stand the country in good stead for attracting investors and tourists.


The department has committed itself to building a modern and sustainable transport network which connects communities, supports economy and protects the environment. But this is indeed a challenge when set against the backdrop of the countryÕs inherited road and rail backlogs. The top priority is therefore to tackle the legacy of backlogs and the budget allocation strives to achieve that objective. It is, however, not clear how this budget will respond to one of the Òtriple challengesÓ that were highlighted by the President in the State of the Nation Address, namely, inequality. Put differently, the budget allocation does not seem to have a rural bias, with a view to addressing the stark contrast between the countryÕs urban and rural state of infrastructure, with the former being relatively in good condition and the latter being under-developed.




Table: Budget Allocations



Nominal Increase / Decrease in 2012/13

Real Increase / Decrease in 2012/13

Nominal Percent change in 2012/13

Real Percent change in 2012/13

R million

















Integrated Transport Planning



- 13.3

- 18.2



Rail Transport

9 549.8

10 298.9





Road Transport

21 733.7

17 928.8

- 3 804.9

- 4 803.8



Civil Aviation




- 1.0



Maritime Transport



- 7.8

- 15.5



Public Transport

9 626.6

9 986.7


- 196.3




41 517.5

38 828.9

-2 688.6

-4 851.9



(Source: National Treasury 2012 Ð Vote 37: Transport)


Of the R543.6 billion total appropriation by vote, the Department of Transport receives R38.8 billion in the 2012/13 financial year. This allocation constitutes 7.1 per cent of the national budget. Compared to R41.5 billion that the department received in 2011/12, the 2012/13 budget allocation decreases by 6.5 per cent in nominal terms and 11.7 per cent in real terms.


The major transfers made by the department are as follows:

Passenger Rail Agency of South Africa (R10.9 billion);

South African National Roads Agency Limited (R6.6 billion);

Provincial Road Maintenance Grant (R7.8 billion);

Public Transport Infrastructure and Systems Grant (R4.9 billion); and

Public Transport Operations Grant (R4.3 billion).




Programme 1: Administration

The Administration programme aims to coordinate and render effective, efficient strategic support and administrative services to the Minister, Deputy Minister, Director-General and department. This programme has five sub-programmes:



Corporate Services;

Communications; and

Office Accommodation.


The Administration programme received R292.2 million in 2011/12, which increases to R317.5 million in 2012/13, constituting 8.7 per cent in nominal terms and 2.6 per cent in real terms. The budget allocation for the Communications sub-programme increases significantly by 54.4 per cent in nominal terms and 45.8 per cent in real terms, from R18.2 million in 2011/12 to R28.1 million in 2012/13.


Programme 2: Integrated Transport Planning

This programme supports, manages and facilitates national transport planning underpinned by the national strategic planning framework and strategies. Further, it coordinates inter-sphere relations in relation to transport planning. Moreover it supports line functions and other spheres of government in creating seamless integration in transport operations. The Integrated Transport Planning programme comprises the following sub-programmes:

Macro Sector Planning;


Modeling and Economic Analysis;

Regional Integration;

Research and Innovation; and

Integrated Transport Planning Administration Support.


The budget allocation for the Integrated Transport Planning programme decreases by 13.1 per cent in nominal terms and 17.9 per cent in real terms. In 2011/12, this programme was allocated R101.8 million and it receives R88.5 million in 2012/13. This is attributable to the shifting of the funds from this programme to the AdministrationÕs Management sub-programme.


The marked decrease is in the Integrated Transport Planning Administration Support sub-programme which decreases by 46.3 per cent in nominal terms and 49.3 per cent in real terms. However, the allocation for the Research and Innovation sub-programme increases drastically by 72.2 per cent in nominal terms and 62.6 per cent in real terms, from R3.6 million in 2011/12 to R6.2 million in 2012/13. The sub-programmeÕs activities for the 2012/13 financial year will include, inter alia, constructing a transport accessibility/multi deprivation index for twelve rural districts and updating the transport innovation and technology research strategy.


Programme 3: Rail Transport

The Rail Transport programme facilitates and coordinates the development of sustainable rail transport policies, strategies and systems. In addition, it exercises oversight over economic and safety regulation. Five sub-programmes fall under the Rail Transport programme:

Rail Regulation;

Rail Infrastructure and Industry Development;

Rail Operations;

Rail Oversight; and

Rail Administration Support.


In 2011/12, the budget allocation for the Rail Transport programme was R9.5 billion and it increases to R10.3 billion in 2012/13, indicating an increase of 7.8 in nominal terms and 1.8 per cent in real terms. The budget allocation constitutes 26.5 per cent of the departmentÕs budget. The Rail Oversight sub-programme receives the biggest share of the ProgrammeÕs budget allocation, which is R10.67 billion, constituting a nominal increase of 7.9 per cent and a real increase of 1.9 per cent from R9.17 billion that the programme received in 2011/12. This sub-programme is responsible for transferring allocations to the rail public entities, the Passenger Rail Agency of South Africa (Prasa) and the Railway Safety Regulator. The allocation bodes well for PrasaÕs rail revitalisation programme.


Programme 4: Road Transport

The Road Transport programme is tasked with regulating road traffic management. It is also responsible for ensuring that the maintenance and development of an integrated road network, through the development of standards and guidelines and oversight of the road agencies and provincial road expenditure. The programme is divided into five sub-programmes:

Road Regulation;

Road Infrastructure and Industry Development;

Road Oversight;

Road Administration Support; and

Road Engineering Standards.


Expenditure on the Road Transport programme decreases from R21.7 billion in 2011/12 to R17.9 billion in 2012/13, translating into a decrease by 17.5 per cent in nominal terms and 22.1 per cent in real terms. Notwithstanding the decrease, the programme receives the largest share of the departmentÕs budget, that is, 46.2 per cent. The budget allocation for the Road Regulation sub-programme decreases markedly from R455.9 million in 2011/12 to R37.9 million in 2012/13, constituting a 91.7 per cent nominal decrease and 92.2 per cent in real terms. The Department made a transfer of R5 billion to Sanral in the 2011/12 financial year for the Gauteng Freeway Improvement Project.


Programme 5: Civil Aviation

The Civil Aviation programme is responsible for facilitating the development of an economically viable air transport industry that is safe, secure, efficient, environmentally friendly and compliant with international standards through regulation and investigation. Moreover, it oversees the aviation public entities. The Civil Aviation programme has five sub-programmes:

Aviation Regulation;

Aviation Infrastructure and Industry Development;

Aviation Safety and Security;

Aviation Oversight; and

Aviation Administration Support.


For the 2012/13 financial year, the Civil Aviation programme is allocated R70 million, up from R67.1 million in 2011/12. This budget allocation increases by 4.3 per in nominal terms, but in real terms decreases by 1.5 per cent. The programmeÕs budget allocation constitutes only 0.2 per cent of the departmentÕs budget. The Aviation Safety and Security sub-programme increases by 9.9 per cent in nominal terms and 3.8 per cent in real terms.


Programme 6: Maritime Transport

The Maritime Transport programme coordinates the development of a safe, reliable and viable maritime transport sector through the development of policies, monitoring and oversight of the maritime public entities. Five sub-programmes fall under the Maritime programme:

Maritime Policy Development;

Maritime Infrastructure and Industry Development;

Implementation, Monitoring and Evaluations;

Maritime Oversight; and

Maritime Administration Support.


The programme budget decreases from R146.3 million in 2011/12 to R138.5 million in 2012/13, which is a decrease of 5.3 per cent in nominal terms and 10.6 in real terms. This decline is a cause for concern given the skills shortage in the maritime sector and therefore the job opportunities that may be created in this mode of transport. The highest decrease is in the Maritime Infrastructure and Industry Development sub-programme, which decrease from R46.7 million in 2011/12 to R8.1 million in 2012/13, translating into a decrease of 82.7 per cent in nominal terms and 83.6 in real terms. This is notwithstanding the fact that the country does not have a single ship on its register, which minimizes the opportunities for job creation. The budget for the Maritime Policy Development sub-programme increases substantially by 113.9 per cent in nominal terms and 102.0 per cent in real terms, from R7.9 million in 2011/12 to R16.9 million in 2012/13.


Programme 7: Public Transport

The Public Transport programme is responsible for developing norms, standards, as well as legislation intended to guide the development of public transport for rural and urban passengers. It is also tasked with regulating interprovincial public transport and tourism services. Moreover, the programme monitors and evaluates the implementation of the Public Transport Strategy and the National Land Transport Act (No.5 of 2009). The Public Transport programme comprises six sub-programmes:

Public Transport Regulation;

Rural and Scholar Transport;

Public Transport Industry Development;

Public Transport Oversight;

Public Transport Administration Support; and

Public Transport Network Development.


The Public Transport programme received R9.6 billion in 2011/12, which increases to R10 billion in 2012/13, indicating an increase by 3.7 per cent in nominal terms, but in real terms a decrease of 2.4 per cent. The programmeÕs budget allocation constitutes 23.19 per cent of the departmentÕs budget. The allocation for the Rural and Scholar Transport sub-programme decreases drastically by 42.3 per cent in nominal terms and 45.5 per cent in real terms, from R13 million in 2011/12 to R7.5 million in 2012/13. This excluded the equitable share allocated by National Treasury to the provinces. Equally, the budget allocation for the Public Transport Regulation sub-programme decreases from R24 million in 2011/12 to R18.2 million in 2012/13, translating into a decrease by 24.2 per cent in nominal terms and 28.4 per cent in real terms.




During the strategic planning, the Committee considered the strategic plans of the following public entities:


7.1 Airports Company of South Africa (Acsa)

Airports Company of South Africa was established in 1993 as a listed company under the Companies Act of 1973, as amended, and the Airports Company Act of 1993, as amended. Acsa is majority-owned, i.e. 70% by the South African Government through the Department of Transport. The Public Investment Corporation owns 20% and black economic empowerment shareholders and employees hold the remainder .


The strategic objectives of Acsa are to b uild an efficient and customer focused business and shareholder value creation. In the financial year Acsa will advance long term adjacency strategy by a nalysing and defining market segmentation, value proposition and vision. It aims to confirm its operating business model and explore alternative revenue models. The focus will be to r e-engineer key core business operations by developing a comprehensive stakeholder management strategy, fix key current problems, improve short term human resource performance and capability, continue to improve its financial position and credit metrics and align its leadership. Acsa derives its revenue from aeronautical and non-auronautical services.


Estimated expenditure for 2012/13 is R5.85 billion.


7.2 Cross-Border Road Transport Agency (CBRTA)

The CBRTA is mandated through the SADC Protocol to take up the role of championing regional integration by facilitating the unimpeded flow of cross-border freight and passengers by road in order to promote trade and economic development with the SADC region. The strategic goals of the entity are to e nhance organisational performance, facilitate unimpeded flow of cross-border transport, promote regional integration, promote safe and reliable cross-border transport, and positioning itself to enhance organisational sustainability


During 2011/2012 the entity faced challenges with regard to its engagement with o perators on the rationale for increasing permit tariffs. It called for the setting up of a Cross-Border Operators Forum as a communication platform with cross-border operators on a quarterly basis. There is currently n o final resolution of the Lesotho/Free State passenger movement resulting in non-adherence to SACU MOU. The Director-General of the Department of Transport undertook high level intervention on the matter.


Estimated expenditure for 2012/13 is R185.5 million.


7.3 South African National Roads Agency Limited (Sanral)

The agency is responsible for the financing, management, control, planning, development, maintenance and rehabilitation of the South African national road network.


Estimated expenditure for 2012/13 is R11.45 billion.


7.4 South African Maritime Safety Authority (Samsa)

The mandate of Samsa is to promote the RepublicÕs maritime interests and to ensure the safety of life and property at sea. The Samsa Act is divided into two broad and distinct areas: meeting the United NationÕs conventions in regard to safety and pollution at sea and attending to the nationÕs developmental challenges as they affect its oceans and inland waters.


Its strategic performance plan for 2012 is t o significantly contribute to South Africa Õs socio economic development, creating an orderly and sustainable maritime domain, ensuring a highly competent Samsa and ensuring excellence in the delivery of SamsaÕs services.


Estimated expenditure for 2012/13 is R269.6 million.


7.5 Ports Regulator

The strategic objectives of the Ports Regulator are to exercise economic regulation of the ports system in line with governmentÕs strategic objectives, promote equity of access to ports and to facilities and services provided in ports, monitor the activities of the National Ports Authority to ensure compliance with the Act, adjudicate complaints and appeals against the Authority, approve or reject the Authority tariffs, promote regulated competition and regulate the provision of adequate, affordable and efficient port services and facilities.


The tariff methodology consultative process that had been delayed by a year will be commencing soon. Due to an increase of R5 million in funding the Ports Regulator is in a better position than before. There is a greater awareness of the mandate of the Regulator and its processes, but implementation of the Ports Act was still lagging.


Estimated expenditure for 2012/13 is R15.4 million.


7.6 Road Traffic Infringement Agency (RTIA)

The AgencyÕs mandate is to decriminalise road traffic infringements and to deal with them through administrative justice processes, thereby freeing the courts to deal with more serious crimes.


The annual performance plan of the of RTIA aims to increase the AgencyÕs revenue share from the outstanding road traffic infringement penalties, implementation of effective governance processes to achieve an unqualified opinion, implementation of Administrative Adjudication of Road Traffic Offences ( AARTO) communication campaigns, implementation of effective adjudication processes, develop comprehensive legislative review and the full transfer of AARTO functions to the RTIA.


Critical risks faced by the entity are insufficient funding, capacitation, an unaccomplished mandate, possibility of missed targets, compliance to road traffic laws, decreased road safety incidents, loss of credibility of the Agency and audit queries. The interventions required by the RTIA are an u rgent increased budget allocation for 2012/13 of R140 million and support for legislative amendments and regulations.


Estimated expenditure for 2012/13 is R324.1 million.


7.7 Road Traffic Management Corporation (RTMC )

The mandate of the RTMC is the co-operative and co-ordinated strategic planning, regulation, facilitation and law enforcement in respect of road traffic matters by the national, provincial and local spheres of Government. The strategic imperatives of the RTMC are built on the premises of safe roads, road user regulation, safe road users and safe cars.


The RTMC mitigated the challenges faced in 2011/12 by engaging with s takeholders for partnerships in the implementation of road safety interventions. Its new organisational structure was approved with recruitment process underway. It was currently reviewing alternative funding models.


Estimated expenditure for 2012/13 is R140.9 million.


7.8 Passenger Rail Agency of South Africa (Prasa)

The long-term goal of Prasa is to be a commercially viable entity capable of delivery efficient, high-quality passenger transport services on a sustainable basis. The key thrust of the strategy is to deliver on the Legal and Transport Policy Mandate, building a commercially viable and sustainable entity and investing in new capacity through the acquisition of new, modern trains, signaling and operating systems to address service imbalances inherited from the past.


Challenges faced are delays in capital expenditure in 2011/12. The significant growth in its capital budget is not accompanied by commensurate growth in the operations budget.


Estimated expenditure for 2012/13 is R9.2 billion.


7.9 Air Traffic and Navigation Services Company (ATNS)

The mandate of the ATNS is to provide safe, orderly and efficient air traffic, navigational and associated services to the air traffic management community within South Africa .


The strategic imperatives are to deliver continuous improvement of safety performance and to provide efficient Air Traffic Management solutions and associated services which meets the needs and expectations of the Air Traffic Management Community. ATNSÕs focus for 2013 is on reviewing and enhancing of safety improvement and critical skills across the business, developing and implementing an environmental sustainability plan and climate change strategy and developing and implementing a process to secure and commercialise their Intellectual Property.


Estimated expenditure for 2012/13 is R1.1 billion.


7.10 Road Accident Fund (RAF)

The RAF provides compensation for loss of earnings and support, general damage, and medial and funeral costs to victims of road accidents caused by negligent or wrongful driving of another road user. Revenue for the fund is generated mainly from the fuel levy.


Due to an unstable financial model, the entity runs at a deficit each year. The entity operates in an environment that is targeted by fraudsters both internally and externally. The RAF is overhauling its business to establish a RAF that is more efficient and effective. The RAF has a large backlog in claims, due to limited funding in the past and not being able to pay claims at the rate at which they were received.


Estimated expenditure for 2012/13 is R15.2 billion.


7.11 South African Civil Aviation Authority (SACAA)

The mandate of the SACAA is to regulate the civil aviation industry to ensure security and safety by complying with the International Civil Aviation Organisation (ICAO) and taking into consideration the local context.


While there are a number of challenges, a major challenge is retaining surplus funds for future capital expenditure. Political support is solicited in retaining surplus funds to finance capital requirements in the next five years. SACAA has not invested in capital projects since 1998.Further support is required in various transformation initiatives.


Estimated expenditure for 2012/13 is R409 million.


7.12 Railway Safety Regulator (RSR)

The mandate of the RSR is to oversee safety in the railway transport industry. The RSR oversees and promotes safe railway operations through support, monitoring and enforcement guided by an enabling regulatory framework, including regulations and safety standards. The strategic objectives are to establish a c onducive regulatory framework, improved levels of safety and security in the railway industry, a recognised authority in the provisioning of railway safety expertise, sustainable railway industry capacity and institutional effectiveness


Challenges faced are l imited funding, limiting founding legislation drivers and other safety critical grades are not taking safety seriously, level cr ossing collisions, theft and vandalism, security management and people struck by trains


Estimated expenditure for 2012/13 is R71.5 million.



The Committee observed that several areas of the departmentÕs performance needed improvement.


8.1 Performance of the Department of Transport

8.1.1 The Committee noted that the department has been in the process of restructuring and that it augurs well for the creation of jobs, the development of the countryÕs urban and rural communities and the improvement of logistics. However, the restructuring has not progressed with adequate speed.

8.1.2 The department has not met the outcomes (1 to 6) set in the 2011/2012 financial year, which guide and enable the department to deliver on its mandate. This impacts negatively on service delivery.

8.1.3. The department should prevent delays in the approval of proposals from state-owned entities (SOEs)

8.1.4 The department was slow in identifying policy gaps that need to be amended in order to align policies with development needs. The department took five years to draft the scholar policy. School children who are dependent on scholar transport had to face the brunt of this delay as they were exposed to dangerous and poor transport daily.

8.1.5 The department under spent on its policy budget. The Committee regards this as underperformance.


Road Transport

8.2.1 In contrast to the budget allocation for the Road Transport programme, the Committee, during its oversight visits, questioned the road engineering standards observed and whether value for money was received. The Committee remains concerned about the social and economic impact of poor road maintenance on the South African road user.

8.2.2 There is no alignment between the Public Transport programme, which focuses on the rural and scholar transport, and the Road Transport programme of the department. Proper alignment between these programmes would facilitate the accessibility of roads to schools and clinics and also ensure improved quality of vehicles used for transportation.


8.2.3 The Committee observed the non-participation of Sanral in the rural road infrastructure network and the imbalance that is caused in the quality of road infrastructure in rural and urban areas.


8.3 Maritime Transport

South Africa has an extensive coastline, but is not optimising its economic and social participation in the maritime industry, as SamsaÔs current service is to provide maritime safety.


8.4 Request for additional funding from entities

The Committee noted the request from the Road Traffic Management Corporation and the Road Traffic Infringement Agency for additional funding to effectively execute their mandates.



Based on these observations the Committee recommends that the Minister of Transport give consideration to the following :


9.1 Performance of the Department of Transport

9.1.1 The restructuring process in the department has to be finalised as a matter of urgency. The department, as a department that is dependent on engineering competencies, should speed up the process by which vacancies are filled with suitably skilled applicants. The Committee will call the department to report on the implementation of the filling of vacancies during the course of the current financial year. The department should prioritise building its capacity and reducing the use of consultants.

9.1.2 Approval of proposals from state-owned entities (SOEs) should be addressed promptly.

9.1.3 The legislative mandates of the Road Traffic Management Corporation, Road Traffic Infringement Agency, Road Accident Fund and South African National Roads Agency Limited should be amended and implemented within the time span allocated in the departmentÕs annual performance plan. The Committee will be vigorously monitoring whether the department adheres to the timeframes.

9.1.4 The scholar policy should be finalised without further delay. This policy has to address the specifics of the operation of transport, i.e. mode of transport, distances that would require transport and driver training.


9.2 Road Transport

9.2.1 The Committee will be calling the Director General and the relevant Deputy- Director General to brief the Committee on the road engineering and maintenance standards during the course of the financial year.

9.2.2 The policy that sets out the requirements for roads to be upgraded from gravel to tar should be considered for review. The policy currently states that 200 vehicles have to use a road before it can be upgraded.

9.2.3 The non-participation of Sanral in the rural road infrastructure network would necessitate the review of SanralÕs mandate.


9.3 Maritime Transport

The department should reconsider its reinvestment in the maritime industry in line with the New Growth Path.


9.4 Request for additional funding from entities

The Committee supports the requests from the Road Traffic Management Corporation and the Road Traffic Infringement Agency for additional funding.



Having considered the budget vote and the strategic plan of the Department of Transport and the strategic plans of the related entities, the Committee recommends that its report on the budget vote be adopted.



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