Budget Vote 2006/07 presented by MEC Ignatius Jacobs
6 June 2006
Comrade Speaker,
Comrade Premier and MECs,
Honourable MPLs,
Representatives from Local Government,
Heads of Departments, government officials and leaders of our parastatals and
agencies,
Leaders from the public transport industry and from commuter
organisations,
Business leaders,
Distinguished guests, and
The people of Gauteng
Introduction
In just ten days, we will celebrate the 30th anniversary of the renowned Soweto
Uprising of 1976. As I look around at all present in the House today, I see a
number of members who survived the heavy hand of the then Apartheid government
against innocent unarmed children who were doing what is natural for any human
being to do call for the provision of their basic human rights!
I'm aware that I do not need to remind you of the over 700 young people that
were killed on that day, and the countless others who were injured. Nor do I
need to remind you that those, who were not lucky enough to miss the flying
bullets, marked with racism would have been here with us, side by side,
enjoying the full rights and benefits of the democracy for which they gave
their lives.
Comrade Speaker,
Gauteng Provincial Government will fully honour and celebrate the
contributions of our youth of '76, those who have fallen and those who remain
with us as well as our current and future youth generation at an official
national celebration on the 16th of June. However, I respectfully ask, as we
remember that period, that all in this House will in their own way observe and
pay respect to those brave young men and women who had fallen on that day. I
ask all Members of this Legislature, regardless of the political party they
represent, to honour and thank those who gave their lives on the 16th of June
1976 so that we could be here today as MPLs in a democratic South Africa. And I
also ask that we use this time, to reiterate our commitment to stop at nothing
to build the kind of society that they fought and died for. Hamba Khale
comrades, we picked up your spears, and we will deliver!
Members of the Legislature and the people of Gauteng,
2006 is a year of anniversaries - 10 years of the adoption of our first ever
democratic Constitution; 15 years of the Convention for a Democratic South
Africa (Codesa) where the form and nature of our freedom and democracy was
negotiated and settled; and 50 years of the day on which our women claimed
their rightful place as equal comrades involved in a political struggle, and a
force to be reckoned with in their own right, when they marched to the Union
Buildings. It is fitting, at this point, that I pay tribute to our Comrade and
Minister Stella Sigcau whose contribution to building our democratic South
Africa will not go unnoticed in the future, in the same way that the
contribution of the women who marched to Union Buildings does not go
unnoticed,
Let us use these anniversaries to remind us of the great price we paid to
arrive where we are today, as well as to remind us of our strength, our
conviction, our commitment and the righteousness of our cause and struggle to
live in a democracy based on equal rights and humanity. Let us also use these
anniversaries to enhance the building of social cohesion, the unity, the
collective involvement and participation that are characteristic of our
society.
Let us remember one of the popular slogans of those timesâ United we Stand,
Divided we Fall" and let us continue to act and work together, in the Age of
Hope, to consolidate our democracy and transform our country and province into
a truly equal society. United, across all sectors of society drawing on our
human and social capital, regardless of race, gender, class, religion, etc we
can and will deliver!
Comrade Speaker,
At the beginning of this third term of governance, we as a provincial
government set 5 strategic priorities to deliver on our election promise of
creating a better life for all through shared economic growth and development,
improved provision of social and basic services, sustainable socio-economic
development programmes, and building the skills of our people. As one of our
country's nine provinces, and as the province that makes the highest
contribution to the country's GDP - delivery on these priorities will also
significantly contribute to our national goal of halving poverty and
unemployment by 2014.
Comrade Premier,
In February this year, you delivered your State of the province address to
this Legislature. Your address was clear in its direct and underlying message -
our many successes and achievements continue to be marred by ongoing
unemployment and joblessness that keep a significant majority of our people
trapped in unacceptable levels of poverty. Our laudable programmes and projects
to improve the lives of our people are marred by capacity constraints and
inefficiencies within government that often results in slow and cumbersome
delivery that is out of sync with the immediate needs of our people. Likewise
successful achievement of our economic growth of 8% and other related targets
as reflected in the province's Growth and Development Strategy will be marred
in the future if we do not begin intensifying the building of the human capital
and skills necessary to achieve, sustain and possibly even surpass
these targets in the future.
As we approach the middle of this term of governance, our task is not to
develop and create new programmes and strategies but to tackle and remove
whatever constrains us from delivering on what we have already put in place and
to accelerate the pace at which we address the constraints and ensure
delivery.
Overview of GDPTRW budget for 2006/7
Comrade Speaker and Members of the Legislature,
Our Department will utilise its budget of just over R6.2 billion for this
financial year towards addressing the constraints that hamper and slow the pace
of implementation of the Department's programmes and therefore the quality of
its services. As you know, we have two distinct but inter-related client or
target groups other Gauteng provincial departments and the citizens of our
province. The inter-relatedness between our two clients or target groups is
reflected in the fact that our services to Gauteng's provincial departments
impacts on their ability and levels of service delivery. We will effectively
utilise our budget to meet the needs of both our client or target groups with
equal urgency and importance.
In doing so, we aim to:
* accelerate economic growth and bridge the gap between the first and second
economy
* ensure that more people have access to basic services, that delivery thereof
is improved and that the delivery of socio-economic infrastructure, in an
integrated manner is speeded up
* contribute to job creation and reducing the province's unemployment rate and
its poverty levels;
* promote Gauteng as a globally competitive city region
* promote and ensure quality public transport so that it becomes the preferred
mode of travel
* implement and accelerate sustainable Broad-based Black Economic Empowerment
(BBBEE)
* re-organise the state for effective service delivery
The Department's total budget increased significantly from its 2005/06
budget of R1.5 billion. The increase includes an additional budget allocation
of R4.6 billion for the Department to begin implementation of the Gautrain
project. This R4.6 billion is comprised of a R3.2 billion conditional grant
from national government and a Gauteng Provincial Government contribution of
R1.4 billion.
Our budget allocation to our Transport Branch, which is responsible for
transport infrastructure and public transport, comprises 87% of the
Department's total budget. Just over R5.2 billion of this allocation will be
utilised for planning, designing, constructing, maintaining, road
infrastructure and implementation of Gautrain. The remaining allocation of just
overR121 million will be utilised for empowerment and regulation of public
transport operators. Our Public Works Branch receives 10% of our total budget.
Just over R403 million will be utilised for activities in respect of
construction, maintenance and property management, and just over R224 million
will be utilised for our community development and workfare programme.
We have allocated approximately R185 million, which accounts for 3% of our
budget, to Administration.
The people of Gauteng,
We will be utilising our budget allocation for this financial year to "Make
Gauteng Work Better" through our respective allocations to our Transport and
Public Works Branches which in effect are flip sides of the same coin.
Our policy priorities and principles for making Gauteng work better
The people of Gauteng,
In 2004, when I took over stewardship of the Department of Public Transport,
Roads and Works, our Department identified six (6) strategic priorities that
would guide our work through this 3rd term of democratic governance in the
province. Collectively, our priorities acknowledge the role and importance of
transport in its totality, and of socio-economic infrastructure investment, in
improving the lives of people, reducing poverty and unemployment, creating jobs
and growing the economy in a manner that ensures shared growth and development
across the province.
Our transport responsibilities include ensuring the safe and efficient
movement of people in terms of public transport, and goods in terms of freight,
logistics, etc within the province. Powers and functions in terms of transport
straddle all three spheres of government and our co-operative relationships
with the national and local spheres of government are critical to meeting our
transport related objectives. Thus, the Department ardently participates in all
meetings convened by national government, in MinMec's (Minister and MECs
Meetings) at a political level, and in task teams at an operational and
administrative level. In the province, the Department engages with the local
governments Mayoral Committees (MMCs) on Transport.
The transport sector itself comprises of commuters or users and service
providers, albeit with seemingly different needs but committed to a common
vision of public transport. In the past two and a half years, the Department
has enhanced its partnerships with public transport service providers and taken
the bold step of developing a strong partnership with commuters and their
organisations. The pinnacle of our work with commuters was the Commuter Indaba
that our Department hosted in October 2005. One of the outcomes of the Indaba,
attended by over 1000 participants, was a call for the formation of a
provincial commuter organisation. The Department is currently facilitating the
formation of this organisation.
In terms of public works, our responsibilities are two-fold. One is the
ongoing management, maintenance, refurbishment and upgrading of government
departments and property and the other is implementation of the Expanded Public
Works Programme (EPWP). While the EPWP is a nationally conceived programme,
responsibility for implementation at a provincial and local level lies with
the
relevant provincial department. EPWP projects are primarily social
infrastructure development projects, such as the building of clinics, schools,
and community roads, and implemented within a framework and approach that
emphasises use of local labour, creation of short to medium jobs and
development of skills. At the same time, it is critical for GPG's social
infrastructure development plans to be aligned to the Integrated Development
Plans of local government structures. Thus, in terms of Public Works, the
Department's co-operative relationships and partnerships include national and
local spheres of government; other GPG departments, organised youth, women and
people with disabilities in the construction sector and communities and their
organisations at large.
Comrade Premier,
The very nature of our responsibilities, in terms of transport and public
works, lends itself to building sustainable communities and social cohesion to
an extent that is almost on par with the already recognised role of transport
and public works in growing the province's economy and creating a better life
for all. Our Department acknowledges that sustainable communities and social
cohesion are two critical pillars in upholding Gauteng's socio-economic
achievements, growth and development, and we are committed to ensuring that
this understanding filters through all our work.
In this financial year, and for the remainder of this term of governance,
our Department will continue to implement its 6 strategic priorities;
namely:
* provision of accessible, affordable, reliable, safe, integrated and
environmentally sustainable public transport system
* effective management and transformation of transport and socio-economic
infrastructure related institutions, systems and processes
* support economic growth and investments through the provision of appropriate
transport systems and socio-economic infrastructure
* integrate transport systems and socio-economic infrastructure systems in
Gauteng Growth and Development Strategy and development plans of other spheres
of government
* implement the Expanded Public Works Programmes in a manner that optimises
employment and addresses economic and social needs of the poor
* efficient and effective management of the Department.
These priorities speak directly to the national goal of halving poverty and
unemployment by 2014 and to Gauteng Provincial Government's five (5) priorities
of:
* enabling faster economic growth and job creation
* fighting poverty and building safe, secure and sustainable communities
* developing healthy, skilled and productive people
* deepening democracy and national building and realising the constitutional
rights of our people
* building an effective and caring government.
Following the launch of the province's Growth and Development Strategy (GDS)
in April 2005, our Department has incorporated the mechanisms, strategic levers
and targets contained in the GDS, into all its relevant projects and areas of
work. Likewise, we are consciously ensuring that our projects contribute to
promoting and building Gauteng as a Global City Region, and roll-out of EPWP in
all local municipalities in Gauteng.
Increasing efficient mobility of people and goods in our province to make
gauteng work better
Members of the Legislature,
The key challenge we continue to face regarding transport is developing
transport infrastructure and implementing a transport system that will be
responsive to and support the envisaged economic growth of the province, as
well as meet the needs of the vast majority of our people to access, by means
of transport, the social and economic opportunities that exist within Gauteng
since the advent of democracy in 1994. We are wary of developing infrastructure
and systems that address each of these needs separately although some may argue
that it would be an easier and quicker option. Our response to this is a
resounding "no" because we remain committed to the fundamental principle of
integrated, holistic, sustainable socio-economic development and the
understanding that transport planning and development cannot be divorced from
overall spatial and socio-economic development and planning. We also say "no"
because we are committed to ensuring that we use our limited financial
resources for maximum benefit and firmly believe that the separate approach
will inevitably result in a duplication of costs and other resources.
A second, equally important challenge, which we have begun to address but
need to intensify, is the transformation of the transport sector from its
racial and male domination to one that is representative of the demographics of
our province. The race and gender issue feeds into an associated challenge,
namely that the overall approach of this sector which continues to see a small
socially comfortable and economically privileged section of our society as
their main beneficiaries. This approach, which is a result of the skewed
spatial planning that is characteristic of the Apartheid era, perpetuates the
ongoing inequalities typical of the 1st and second economies in Gauteng.
From 2004 to date, we have put in place all the necessary strategies and
frameworks to turn around transport infrastructure planning and provision of
services so that it tangibly begins to contribute to shared economic growth and
development in Gauteng. This we have done within the existing constitutional
arrangement that divides certain transport powers and functions between all
three spheres of government. Our focus from this financial year onwards will be
on implementation on matters over which we have direct powers and functions,
and increased facilitation and co-operation with other spheres of government
over matters that fall within their jurisdiction. Thus, implementation of
Gautrain, provision of an integrated inter-modal public transport system in the
run up to 2010 and transportation initiatives that will lead to improved
freight and logistics will be prioritised by the Department in this financial
year.
Implementation of Gautrain
Residents of Gauteng,
Gautrain will be central to the overall public transport model and system that
we implement in Gauteng. There has been much public debate and criticism on
this issue, more so since we announced the winning bidder in the past financial
year. I want to take this opportunity to allay concerns and fears raised by our
people that Gautrain will become a white elephant, and reiterate Gauteng
Provincial Government's vision of Gautrain being but one element of our
inter-modal public transport system.
We have already begun the process of aligning Gautrain with our public
transport plans and infrastructure development. Gautrain will be part of the
integrated ticketing system, inter-modal facilities and stations and
centralised passenger information that are important components of our public
transport system. The envisaged efficiency and speed of Gautrain, in
conjunction with the feeder transport system, will greatly contribute to
reducing the time and costs of travelling for many of Gauteng's residents that
use the train as part of an inter-modal system to get them to places of work
and/or recreation and social life. In other words, I am saying that Gautrain,
which has, since conceptualisation, been portrayed only as an economic growth
initiative, is in fact much more than this.
The current public transport system in the province is rail and road based
and Gautrain is one of our initiatives to improve its rail-based passenger
system and services as part of a broader inter-modal public transport system.
Gauteng's N1 Freeway services some of the highest traffic volumes in South
Africa. It is estimated that more than 157 000 vehicles travel on the N1
freeway per day. It is envisaged that Gautrain will begin to relieve our
freeways of some of this pressure. This is in addition to the job creation and
downstream economic development opportunities that Gautrain unlocks.
I am happy to announce that construction of Gautrain, which our Department
oversees and monitors, begins in this financial year. We have allocated R4.6
billion to our Transport Branch for this project. The adoption of an Act to
establish a Gautrain Agency is an important first step in this stage of the
project. Our Department will table a Bill to this effect with the Legislature
in June 2006. Bombela, the consortium that won the bid for the project, in
partnership with the Department, has begun the process of calling for and
awarding tenders for elements of the project, especially those elements that
have been earmarked for Black Economic Empowerment (BEE) and Small Medium
Economic Enterprise (SMME) participation. Negotiations with affected parties in
terms of the routes of Gautrain are also in process and we envisage that this
activity will be completed by the end of this year. The process entails
finalising all land expropriations and proclamations of nine (9) rail reserves.
All landowners who are affected by these proclamations will receive
compensation based on fair evaluations.
Provision of Public Transport, including for 2010
With only four years left to 2010, GPG has a political responsibility and
obligation to ensure that its public transport system can meet the commuter
demands associated with international events of this type and of the Soccer
World Cup in particular. Equally, just over 12 years into our democracy, we
have a political responsibility and obligation, notwithstanding our progress
thus far, to accelerate our pace of delivery in respect of public transport. We
cannot deny the fact that most of Gauteng's residents continue to live far from
economic opportunities, are not able to access social and recreational sites
and generally have poor access to government and administrative institutions.
This is of course exacerbated by our persistent inadequate public transport
system evidenced by the lack of integration of different modes of
transportation and lack of integration of land use and transport planning.
Comrade Premier and my colleagues in the Provincial Executive
Council,
One of our objectives for this term of governance is to deliver an accessible,
affordable, reliable, safe, environmentally sustainable and integrated
inter-modal public transport system for Gauteng that primarily:
* provides the means for all residents of the province to equally access
economic and social activities
* ensures the effective and efficient movement of people, goods and
services
* facilitates and increases opportunities for shared economic growth and
development
* Contributes to Gauteng becoming a Global City Region (GCR).
Our vision is to provide high quality public transport system and services
that is responsive to the multiple needs of commuters and other transport
stakeholders so that public transport becomes the preferred choice of
transportation.
I already made reference to the fact that our current transportation system,
largely developed during the Apartheid era, was on a defined mobility that did
not conform to normal public transport planning principles of integration,
legibility, complexity, accessibility, affordability and communication
efficiencies. Our current public transport system also does not create the
conditions necessary for economic growth in that, amongst other things,
* travel time is disproportional to, and higher than actual work time and
productive hours
* labour force experiences tiredness, inadequate concentration, etc which
directly impacts on their productivity
* a significant proportion of salaries are absorbed into travel costs thus
making the act of work costly
* issues of cost, safety, reliability, etc impact on ability to get to work and
back
The importance and role of public transport in ensuring shared growth and
development in the province is undisputed. Thus, it is reflected as one of the
Strategic Levers in the province's Growth and Development Strategy (GDS) which
underlines the need for the province's transport system, including that of
public transport, to facilitate effective and efficient mobility of people as
well as that of goods and service as a vital element for the growth of any
modern economy.
An integrated public transport system is also recognised as an indispensable
component of promoting and building Gauteng as a Global City Region (GCR). To
achieve this, all spheres of government and all sectors of society must work
towards developing and implementing a common approach on how to address the
urgent and complex choices needed to build the province so that it is
economically efficient and socially equitable. The form that a city-region
takes is influenced by its demography, movements in economies and
transportation technologies. Gauteng lends itself to what is described as a
polycentric city- region form i.e. it has multiple centres which have many
opportunities for specialisation based on the vast range of functions in main
nodes. The urban areas of Gauteng, on a spatial and functional level, are
beginning to move away from being fairly independent built-up centres and
municipalities to an integrated and multi-centred urban network.
One of the challenges that the province faces in fulfilling its aim of
becoming a GCR is the strain on its road networks that is already struggling to
cope with a growth rate of 7% per annum, particular areas of chokepoints and
congestion and a general inability to support heavy good vehicles that use
almost all roads in the province. The other challenge is to ensure that
construction of new road networks and other transport infrastructure spatially,
economically and socially builds, supports and sustains an integrated
multi-centred urban network. Globally it is understood that an integrated
transport system shares some infrastructure elements, such as communications,
navigation, and information systems with the goal of economically moving anyone
and anything anywhere, anytime, on time within the service area of the
integrated system. This is a system that supports economic development, helps
shape the use of land, and connects homes, jobs, recreation, and services
equitably. It also allows municipalities to preserve their unique features
while connecting them to economic as well as recreational resources of the
wider area served by the integrated system and addressing the challenge of
creating a nexus between economic nodes and public transport corridors.
Members of the Legislature,
In October 2005, our Department convened a first-ever historic Commuter Indaba,
which was attended by over 1000 participants. Concerns raised at this Indaba
highlighted the key issues we must address in providing an integrated public
transport system for Gauteng's residents. These include distances between homes
and stations/but stops/taxi ranks and stops; amount of time spent on
travelling; safety and security of commuters at stations/ranks and stops as
well as while travelling; inadequate safety from accidents, lack of frequency
and punctuality, high price of fares, lack of facilities and generally poor
overall service.
While commuters experience a different set of problems with each of the
modes of transport, the common problems raised in respect of all modes of
transport was reliability, convenience and safety and that using public
transport is a stress-filled experience for commuters that are everyday-users
of transport. Buses were described as the most unreliable form of public
transport in that they simply do not arrive and that no bus timetables
available at bus stop. Trains were described as always being late, not very
safe and being overcrowded. Taxies were described as not being safe due to the
condition of vehicles and the driving ability/style of taxi drivers, lacking
customer care and placing more emphasis on driver needs than on commuter
needs.
In addition to the commuter concerns I have just mentioned, the final
integrated transport system of Gauteng must:
* adequately address existing and emerging transport congestion and safety
requirements
* reduce the use of private motorised transport
* ensure the expansion of multi-modal transport feeder systems
* make public transport affordable to all our citizens
* facilitate equitable subsidisation of all public transport modes, including
the taxi industry.
The province's system will include a road-based network designed for public
transport modes (buses and taxis), private car users and for road freight; and
a rail based network for passenger rail and rail freight. It is envisaged that
the road based network and rail based network will be integrated in terms of
spatial planning where possible, and by mechanisms such as feeder systems where
spatial integration proves to be difficult. The integrated public transport
system, as defined by GPG, will be one that includes all modes or forms of
public transport (buses, taxis, rail) that are used in the province working
together to provide transport services for passengers and for the movement of
goods. The intention is to provide a seamless transport service based on more
than one mode of transport in a manner that adequately responds to the
transport requirements of the province. Wherever possible and feasible, we will
build on and enhance the elements of our current transport system that can be
easily incorporated into our new integrated public transport strategy which we
will launch in August this year.
In the 2005/06 financial year, our delivery in respect of public transport
included revitalisation of inter-governmental structures and the finalisation
of the Intergovernmental Transport Charter which represents the commitment
between local government Mayoral Committee members responsible for transport
and me as MEC for Transport in the province, to implementing shared transport
objectives over the next five years. In the same year, we continued to
facilitate and promote conflict resolution in the mini-bus taxi industry and
provide funding to GATACO and metered taxis within our new framework. In terms
of improving bus services, we made progress on the sale of NW Star and
initiated negotiations with Putco. We launched and implemented a public
campaign to promote public transport in the form of launching Public Transport
Month that included implementing the national initiative called "Car Free Day".
In June 2005, we started construction of K60, Sunning hill and in October 2005,
we began construction of K29 Phase 1, Cosmo City. We completed construction of
K109 in February 2006 and are in the process of completing the JIA Interchange.
A new road-network strategy that includes a better road development plan will
also be launched soon. Road maintenance and rehabilitation is an ongoing
responsibility that we implement in every financial year. Through our Siyakha
Projects that are transport related labour intensive projects aimed at creating
jobs and improving skills in line with the deliverables of the Expanded Public
Works Programme, we created 357 jobs. Overall, our road construction and
maintenance work created 6 345 jobs with 55% of our procurement in terms of
this responsibility being awarded to BB BEE companies.
Residents of Gauteng,
We have reviewed our transport infrastructure budget for 2006/07 and for the
next MTEF period and prioritised the construction of new road infrastructure
over maintenance, by a 70:30 ratio. Prior to this shift, 80% of our road
construction and maintenance budget was being used for maintenance. The 20% of
the budget that was allocated for construction was obviously insufficient to
respond to the need for new road networks that would deal with the racially
transport legacy of bygone Apartheid days. In line with this shift, our road
construction in this financial year will focused on the building of roads and
related transport infrastructure in disadvantaged communities and townships
including the 20 township initiative announced by the Premier in his State of
the province Address. We have begun designing public transport infrastructure
projects for Soshanguve, Pinehaven, William Nicol, Vosloorus, Olifantsfontein,
Kibler Park and Soweto. We will continue with routine maintenance of roads
adjoining, amongst others, Tembisa, Daveyton and Sebokeng. The R15 million we
have allocated for our Siyakha Projects will all be awarded for transport
construction and maintenance projects in Tembisa,Kwathema, Ratanda, Sebokeng,
Bophelong and Soweto.
Our other public transport initiatives will include:
* Generating more investment to increase spending on public transport over
the next four years, to the tune of approximately R35 billion
* Launching the province's integrated public transport strategy in August
2006
* Increasing local investment in public transport, to allow local
municipalities to improve bus and taxi routes, rank facilities and park and
ride schemes
* Finalising the rail reform plan for Gauteng, and the devolution of passenger
rail, including the setting up of a single transport authority by January
2007
* Finalising the new road network for Gauteng that includes a "Better Roads
Planâ by June 2006. The plan will address the issues of public transport
friendly toll roads and high occupancy vehicle lanes, and dealing with
congestion
* Completing the new subsidy system for public transport for rail, bus and taxi
by September 2006
* Rolling-out the second phase of taxi recap programme, by June 2006. In this
financial year we aim to register 183 provisional taxi associations and convert
35 000 mini-bus taxi licenses
* Finalising the new bus tendering system by September 2006
* Launching the commuter organisation in August 2006
* Intensify the public campaign to promote public transport as a preferred mode
of transportation through implementation of Public Transport Month and Car Free
Day starting on the 22 September this year.
The success of any integrated public transport system lies in what is
described as collaborative transport management. To this end we will work
towards establishing a single provincial transport authority that will be
launched in January 2007.
Intelligent Transport Systems (ITS) is another important element of an
integrated public transport system. ITS is essentially a collection of
technologies or systems (such as advanced sensors, computers, communication
systems) that enable multiple agencies to work together to collectively manage
a transport network. It is known for increasing roadway capacity without adding
lanes, as well as alerting drivers en-route and pre-trip to conditions (such as
weather, construction, accidents, and so forth) affecting travel. The benefits
of ITS is enhanced incident management operations; improved traveller safety
and mobility; enhanced security of critical transport investments (such as
bridges and tunnels); improved work-zone safety and improved commercial vehicle
operations. In June 2006, we will be launching our pilot ITS project. The pilot
project will include a control room that will cover 15 major intersections with
10 mobile units. We aim to increase this, by 2009, to 100 strategic
installations, covering 100 major urban intersections with 100 mobile
units.
In the past financial year we developed a 2010 Soccer World Cup transport
legacy strategy and will begin implementation within the framework of this
strategy this year. Our activities in respect of 2010 include the construction
of roads that will allow easy access to Johannesburg International Airport and
Lanseria Airport. In partnership with other spheres of government and other
stakeholders, we will be improving road signage and our road marking
navigational system. This year we will introduce integrated ticketing,
passenger information systems and call centres and be redeveloping facilities
at Park, Spring, Mabopane, Kliptown, Stretford (Orange Farm), Crown Mine and
New Canada Stations, to turn them into inter-modal facilities. We will begin
construction of the necessary transport infrastructure at the Nasrec Precinct,
in partnership with JDA and at the Ellis Park Precinct, in partnership with the
City of Joburg. The Loftus precinct will be implemented in partnership with
Tshwane Metropolitan Council. The development and integration projects we will
implement at these precincts will also ensure the integration of Gautrain with
the overall public transport system of the province. Another key initiative
that we will be implementing this year is the park-ride sites close to the
identified World Cup Stadia. For Nasrec, the park and ride sites will be
located at Southgate, Kliptown/Baragwanath, Highgate/New Canada and Crown
station. The sites for Ellis Park will be in Newtown, Wanderers, Alexandra (Pan
Africa), Eastgate, The Glen and MetroRail. The centurion cricket grounds,
Tukkies, Pretoria Showgrounds and MetroRail will serve as the park and ride
sites for Loftus Park.
Comrade Speaker,
Freight and logistics is in the main a national responsibility. At the same
time it is an element that is crucial to growing our provincial economy in the
form of efficient, safe, and timeous movement of goods and services within and
through the province. At national level, government has adopted a Freight and
Logistics Strategy to be implemented in all provinces. Gauteng will begin
implementation of this Strategy this year. Our plans for 2006/07 include
updating of Gauteng's Freight Data Bank; ongoing co-ordination of City Deep's
inter-governmental structure and the development of a provincial freight and
logistics implementation framework based on the national Strategy. The
Provincial framework will be finalised by September 2006.
Socio-economic infrastructure to make Gauteng work better
Members of the Legislature,
We have allocated 10% of our overall budget to the Public Works and Community
Based Programme service delivery areas. The key initiatives that our Department
will focus on in this financial year are to enable coordination and integration
of infrastructure investment, identify and build partnerships to support
infrastructure delivery and finalise a socio- economic Infrastructure
Investment Framework that will inform all infrastructure development across the
province. The target group of our public works programmes will be poverty
stricken and developing communities.
President Mbeki, in his State of the Nation address delivered to National
Parliament in February 2006, indicated that government will accelerate its
infrastructure development in undeveloped urban and rural areas. He further
indicated that public sector investments to fulfil this objective will be in
the form of Municipal Infrastructure Grants (MIG), EPWP and other
infrastructure funds. The President also called on us to ensure better
supervision of government's infrastructure projects, prioritise labour
intensive methods of delivery, ensure necessary training of workers and to move
towards eliminating roll-overs of capital budgets.
It gives me great pleasure to inform this House that our Department is
already responding to the call of our President. In fact we embarked on this
route last year when we convened a Gauteng Intergovernmental Infrastructure
Summit in May 2005; developed a Gauteng Expanded Public Works Framework,
introduced a new service delivery model for EPWP projects in the form of
Project Management Resource Groups (PMRG), started investigations relating to a
provincial asset management approach that will maximise value and benefits from
our provincial property portfolio and improved our Public Works service
delivery model in the form of development of master plans, improved procurement
procedures and ensuring pro-active client relations.
The Intergovernmental Infrastructure Summit was attended by over 400
participants from government, business, labour and non-governmental
organisations. The main aim was to reach agreement on the province's strategic
approach to its spatial location of current and future infrastructure
development to address these legacies of Apartheid, and respond to the
province's positive continued growth and development that is resulting in new
socio-economic infrastructure demands.
Participants at the Summit emphasised that all socio-economic infrastructure
development can-and must-tangibly bridge the gap between the 1st and second
economies in our province and that it must be implemented in a manner that
optimises the significant opportunities it provides for wealth creation for
all, and for people from the second economy to engage in the 1st economy as
equal participants. There was unanimous agreement that the success of
infrastructure investment in the second economy is primarily dependent on
strengthening coordination and integration between GPG and municipalities;
building necessary partnerships with relevant stakeholders; sourcing additional
funding for projects in these locations; and improving government efficiencies
with respect to service delivery. Gauteng Provincial Government and local
government in the province, committed at the Summit, to collectively investing
about R50 billion over the next five years for infrastructure development
across the province. This amount is exclusive of national government and
parastatals allocations for the same period. The Premier announced in his State
of the province address this year, that GPG will begin fulfilling this
commitment by allocating R25.7 billion of the provincial budget to
infrastructure development.
The strategic thrust of our infrastructure investment will vary in terms of
the three main zones we have identified in the province, namely underdeveloped
zones with second economy characteristics, zones of economic potential and
developed economic zones.
In underdeveloped zones with second economy characteristic, government will
provide engineering services infrastructure for the provision of basic services
and establish PPP's and work with all spheres of government on housing related
urban regeneration projects. Government's social infrastructure investment in
these zones will include integrating the provision of socio-economic public
amenities with the housing delivery programme and facilitating social
infrastructure investments that can serve as a catalyst for local economic
development.
In zones of economic potential such as agricultural areas, government will
provide basic levels of service and engineering services infrastructure to
enable economic development; provide housing on well-located land and invest in
social infrastructure that is accessible to the poor.
In developed economic zones, government will partner with the private sector
to provide basic and strategic services and engineering infrastructure;
establish PPP's to provide social housing for the poor in these zones and
invest in the provision of social infrastructure for the poor.
Government will partner with the private sector in the provision and
maintenance of economic infrastructure in zones of economic potential and in
developed economic zones; leverage private sector support for local economic
development in underdeveloped zones with second economy characteristics;
provide resources for infrastructure to support agricultural development of
emerging farmers in zones with agricultural potential and target underdeveloped
zones with second economy characteristics for expansion and provision of ICT
infrastructure.
Comrade Premier,
The mandate given to our Department at the Summit was to, amongst other
things, take forward and develop the proposals emanating from the Summit into
concrete operational plans where feasible; develop a Gauteng Infrastructure
Investment Framework and to develop and implement alternative infrastructure
financing models.
We have developed this Framework and by June this year will have finalised
an implementation plan in line with the Framework that ensures integrated
provision of infrastructure in Gauteng. As part of generating additional funds
for infrastructure development in the province, we have tabled a GPG Property
Portfolio Management Strategy and Model with Exco based on the principle that
GPG'sproperty portfolio, if managed effectively, can yield substantial
functional, social and financial value and returns to the province. An Exco
resolution on this matter is expected soon.
Our Public Works Branch has realigned its priorities to addressee needs of
the 20 Townships Initiative. We have shifted R75 million of funding allocated
to Public Works and EPWP projects which are not yet in construction stage, to
projects that will meet the needs of the 20 townships. We have also assigned
the necessary human resources to ensure speedy implementation of these projects
in these townships. Our interventions in the 20 townships will be based on an
inter-departmental approach and co-operation and will include development of
economic hubs; provision of basic services such as water and electricity on
erf; development of driver license testing centres in each of the 20 townships
and development of heritage sites and recreation hubs. Seven (7) of the
economic hubs have been planned and construction will begin by August 2006
while the issue of driver license testing centres is at planning stage.
Another major project that our Public Works Branch will focus on in this
financial year is the upgrading of stadium in preparation for 2010. This
project will be implemented in partnership with our provincial Department of
Sports, Arts, Recreation and Culture.
Other initiatives we will implement in 2006/7, as part of our public works
and EPWP responsibilities are:
* launch the Infrastructure Revitalisation Plan for Gauteng in August
2006
* supporting local government to convene local growth summits by October
2006
* linking community based projects to corporate social investment programmes of
top 100 companies
* developing initiatives that will increase accessibility of developing
communities thereby creating opportunities for local economies
* facilitating integration of developing communities with the infrastructure
networks of district and metropolitan municipalities
* strategic community infrastructure in terms of hospital revitalisation and
community health centres; redevelopment and maintenance of secondary community
infrastructure
* continued implementation of the Gauteng Kopanong Precinct.
In July this year, we will celebrate public works week, though our focus for
this year will be on construction. This we will do within the context of
National Construction Week. Amongst others the purpose of this campaign is to
increase public understanding of the role of public works; generate private
sector support involvement in the Expanded Public Works Programme; enhance
relationships with communities so that they may be able to take care of
socio-economic infrastructure in their areas; and to gather and analyse public
opinion about the role of public works in society.
We estimate that we will create 10 000 jobs through our EPWP projects in the
2006/07 financial year.
Improving the efficiencies of our department to make Gauteng work better
The key management initiative that our Department will focus on in this
financial year is ensuring a commitment to key performance indicators with
dedicated measures to promote this.
In 2005/06 we improved the capacity of the Department to manage off budget
funding and ensure efficiency gains in spending patterns. We outsourced certain
functions to achieve programmed delivery targets at the same time as improving
the skills of our current staff. We introduced measures to increase motivation
and productivity of current staff and to recruit and retain skilled staff. We
adopted pro-active planning approaches to ensure delivery to planned time, cost
and quality parameters and invested in improvements in technology and
particularly systems integration.
In this financial year we will:
* address the need to increase our personnel resources to address current
service delivery mandates, increasing demands and migration of new functions to
the Department
* Re-organise our procurement systems for contractors and professional service
providers in line with CIDB
* Implement and accelerate sustainable BBBEE
* Improve information management, project management, monitoring and evaluation
systems
* Re-organise the Department for more effective service delivery
* Ensure improved management of the Government Garage
Members of the Legislature,
Our commitment to mainstreaming the issues and involvement of youth, women and
people with disabilities in government's socio-economic development plans and
projects is reflected in the procurement targets we have set for these
marginalised groups; namely 30% procurement to women, 30% procurement to youth
and 5%procurement to people with disabilities. Our Transport and Public Works
Branches have also set targets for capacity building and training of youth and
women in their respective areas of work.
Conclusion
Members of the Legislature, and the People of Gauteng,
I end my budget speech today with an unwavering commitment from my Department
and I, to accelerate our pace of delivery, improve our provision of services
and generally contribute to creating the necessary environment for Gauteng to
Work Better. It is only through "Making Gauteng Work Better" that we can
achieve the shared economic growth and development targets reflected in the
province's Growth and Development Strategy; the 5 GPG priorities that we set-in
2004 and contribute to the national goal of halving poverty and unemployment by
2014.
For us, "Making Gauteng Work Better" includes:
* increased co-ordination and co-operation between all three spheres of
government within the Inter-Governmental Framework Act and in the spirit of
co-operative governance
* all sectors of society in the spirit of participatory democracy
* all GPG departments working together, with a particular focus on Capital,
Public Works and EPWP projects, in the spirit of, and within the framework of
holistic and integrated service delivery
* narrowing the gap and distinctions that are currently made between transport
infrastructure and socio-economic infrastructure in the spirit of, and within
the framework of Integrated Spatial Development Planning
* ensuring that women, youth and people with disabilities are included in all
our projects and programmes, as active participants and beneficiaries, in the
sprit of, and within the framework of full inclusion and mainstreaming
* improving the efficiencies in terms of processes and systems of our
Department to meet professional delivery standards
Comrade Premier and my colleagues in the Executive Council, Thank you for
your ongoing support and advice, your strategic direction for, and commitment
to the goal and objectives of my Department.
Members of the Legislature and especially those of the Standing Committees
that my Department accounts to, I thank you, as well, for your support and
advice, for the robust manner and the critical checks and balances you apply in
your oversight work and for generally working with us to ensure that we do
deliver in line with our goal and objectives.
To our many stakeholders in the transport and public works sectors; thank
you for your partnerships with us and your commitment to working in a
co-operative manner, for your recognition of the role you can and must play in
ensuring shared economic growth and development and your willingness to play
this role.
To my staff: I thank you for your consistent commitment and hard work
towards ensuring that our Department does achieve its goal and objectives.
Comrade Speaker, I am confident that our Department will not fail in its
duties and thank you for the opportunity; I now formally table my Budget Speech
for the 2006/07 Financial Year.
Thank you
Issued by: Department of Public Transport Road and Works, Gauteng Provincial
Government
6 June 2006
Source: SAPA
