Unqualified audits for all DoT entities welcomed, but capacity should be enhanced
Capacity at all parastatals administered by the Department of Transport (DoT) needs to be enhanced, the Chairperson of the Portfolio Committee on Transport, Ms Dikeledi Magadzi, has said.
“These entities are responsible for linking the country’s population to economic opportunities and thereby directly contributing in the country’s economy. This is a portfolio that gets South Africa to work,” Ms Magadzi said.
“Governance instability and financial mismanagement in any of the entities should not be tolerated, as they impact on the operations of entities and on service delivery. It is concerning that during the audit process, the Auditor-General keeps raising lack of accountability, capacity and slow response in implementing recommendations as among the challenges that contribute to adverse audit opinions,” she said.
Entities administered by DoT presented their annual reports to the Committee during the past week where it appeared that although the picture was not gloomy, there is slow response to implementing audit recommendations in many of the entities.
“DoT and all its parastatals in contributing to the economy should factor in matters of social development. But also make sure that there are consequences if financial management policies and delivery objectives are not complied with,” Ms Magadzi said.
“Emphasis should shift to ensuring strong leadership, and continuous financial training for senior officials and those in procurement and supply chain management. South Africa is a developmental country, and the trajectory that the entities follow should be such that poor people benefit with every cent accounted for.”
She said efficiency, safety, reliable and affordable public transport should be the ultimate goal for all entities. The Committee welcomed the fact that none of the parastatals received a qualified audit opinion.
For media enquiries or interviews with the Chairperson, please contact:
Sibongile Maputi
Tel: 021 403 8041
Cell: 081 052 6060
E-mail: smaputi@parliament.gov.za
