Programme Director
Councillor NM Lekganyane
Councillor L Hardy
GAAL Board Chairperson and CEO
RAL Board Chairperson, Mr Shipalana
Representative from Nedbank, Mr Maurice Maluleke
Representative from Standard Bank, Ms Paulina Mothupi
Officials from National and Provincial Department of Transport
Representatives from Limpopo Provincial Taxi Council
Representatives from South African Network for Women in Transport (SANWIT)
Members of the media
Ladies and gentlemen
Distinguished guests
In 1955 masses of the people of South Africa met under the auspices of the African National Congress in Kliptown, Soweto for the adoption of the Freedom Charter. Under the stewardship of Professor ZK Mathews, the Freedom Charter was adopted as the rallying song for the development of the formerly oppressed people of South Africa. This celebrated document states that “the people shall share in this country’s wealth”. As the Limpopo Department of Roads and Transport we welcome you as we are giving life to this document which still reverberates fresh in the people’s minds.
When the African National Congress took office in 1994, it was faced with the enormous challenge of changing the living conditions of the African masses who were excluded from the mainstream economy of their country of birth, treated as strangers in their own Motherland, all these because of the evil apartheid laws. This exclusion did not allow the creation of wealth and as such resulted in the under-development of the black majority, relegating them to mere spectators in the economic development of their country.
The result hereof is the skills shortage that the country is faced with today which undermines the purpose of growing the economy and development of entrepreneurship.
We, in the transport family are proud that today we are bringing this insightful Transport B-BBEE roadshow into reality after other five provinces (North West, Eastern Cape, Free State, Mpumalanga and Northern Cape) have had theirs.
Programme Director
The Public Transport Strategy aims to implement Integrated Public Transport Networks in future which will radically transform public transport service delivery to be user-friendly and of high quality. The principles behind these networks stress affordable and accessible public transport which provides security, comfort and convenience to the user.
The implementation of Integrated Public Transport Networks will create an opportunity for both the bus and the taxi industry to obtain public transport contracts through tendered and negotiated processes. The scholar transport services provide opportunities currently for both the bus and the taxi industry to tender for such contracts.
The expansion of the mining industry also creates opportunities for the bus industry especially to tender for the transportation of workers and contract workers in the province.
The increasing number of infrastructure projects in the province will also create opportunities for small freight operators to compete for contracted services, especially on road construction projects.
The department has embarked on a process to decentralise operating licensing services to traffic stations and, where possible, cost centres and municipal offices to make the service more accessible to public transport operators. We have started with only a few service points but are planning to extend it to as many service centres as possible.
The department has also implemented processes to wipe out the current backlog on the processing of public transport operating licences. We are also investigating systems to improve on the turn-around time for issuing operating licences.
Programme Director
We would like to take this opportunity to congratulate all transport operators who ensured the success of the 2010 FIFA World Cup in our beautiful country, which most people thought it would not be successful both on security and transport logistics specifically.
We have shown the world that South Africa is a safe country and it has a good transport system they never thought of. The president of FIFA Sepp Blatter even said ours was one of the best World Cups in the history of the sport popularly called the game of billions. I am also proud that while there are certain people who go about indicating that the ANC government have abandoned the Freedom Charter, almost everything that we do, day in and day out, responds directly to the clauses of the Charter.
Programme Director
The Integrated Transport Sector B-BBEE Charter that we workshop today comprises of eight sub-sector charters, namely: aviation, bus, forwarding and clearing, maritime transport and services industry, public sector, rail, road freight and taxi. The transport sector alone contributes around 6% to the Gross Domestic Product, as a result it is the South African heartbeat of the economy, hence without transport there cannot be trade and other more factors that make our economy to boom. Indeed without transport South Africa stops.
Details of these sub-sector charters will be unveiled during the breakaway sessions which we hope that at the end will provide a clear directive on which direction to take from here.
The B-BBEE of the Transport Sector marks the landmark achievement that has been jointly drafted by a number of patriots, driven by a common desire to realise the economic emancipation for all our people.
Programme Director,
When we came to power in 1994, it was necessary to intervene in order to redress the systematic exclusion of the majority of South Africans from the mainstream of the South African economy. It must be acknowledged that this exclusion restricted the creation of wealth and imposed underdevelopment of black communities and relegated them to being only of cheap labour. The denial of access to skills and reserved jobs was undermining the very purpose of growing the economy and the development of entrepreneurship, and thereby undermining the growth of the whole South African economy. The result hereof is the skills shortage that the country is faced with today.
This charter however, should not be seen in isolation to the whole economic thrust of our democracy. It is a contribution to changing of the landscape of our country’s business environment, which is characterised by high levels of unemployment, shortages of skills, anti-competitive behaviours by many companies, price-fixing practices which create monopolies, business cronyism, and illiteracy.
BEE charters have been underutilised simply because of their focus on only one element, that of equity to the total exclusion of all the other six elements.
Programme Director
The intervention of the State through the launch of the Transport BEE Charter could not have come at a better time than during the current global financial crisis.
Although we as a country have been partially insulated from this financial global crisis as a result of economic fundamentals, we need to acknowledge that at certain time, the role of the state is important as we witness country after country, bailing out their financial institutions from the national fiscas.
Programme Director
The finalisation of this Charter has been a long and painstaking process, largely because of the complexities in the industry itself, but also because as we were trying to finalise it, there was also thinking in government about how we can make this strategic intervention benefit as many of our people as possible.
The gazetting of the charters provided a legal framework for us as the transport sector. This should tell us that before the existence of BEE Act and the Codes of Good Practice, the transport sector was already ahead with the development of BEE charters.
Programme Director
I am delighted that there are already BEE transactions that predate this event. To name but a few, Grindrod and Mawavune Women’s Investments, Timken Bearing Services South Africa and the Bokamoso Investment BEE Consortium, Anchor Industries and Anchor B-BBEE Staff Trust and Black South African business circles, Super Group and Peu Investment, Comair and Thelo Group, BMC and Interstate Bus Line, the Unitrans and the PUTCO BEE deals. This momentum must be maintained and I hope the event today will not only consolidate the deal already signed, but create an opportunity for the acceleration of BEE implementation in the transport sector though the entry of black enterprises including stokvels, women’s groupings, and collective bulk-buying methods to leverage-on for portions of stocks within the transport sector.
The partnership between TETA and national Department of Transport has since the development of the charter, committed TETA to ensure that they will make interventions in ensuring that skills development is happening even within small business.
The implementation phase started on 1 August 2010 until the next five years of a review period. We encourage private sector companies who fall within the transport Industry to verify their companies in order to know their B-BBEE contribution level. Going forward, it means any business or company making a deal (tender, contract etc) with our department has to ensure that they produce their B-BBEE verification certificate so as to know their BEE contribution in the Industry.
Programme Director
We must acknowledge the role played by TETA in skills development.
- TETA has implemented the following programmes in our province
- In the taxi sector, 59 learners in the 2 previous financial years were capacitated in Professional Driving
- In 2008/09, a total of 30 learners were trained and in 2009/10 a total of 29 learners have been trained on the same skills programme.
- An Small medium and micro enterprise (SMME) workshop targeting a total of 30 beneficiaries was conducted for SMME’s during the 2009/10 financial yearto introduce them to the SMME strategy that aims to improve their skills to be able to manage their venture in a more professional and profitable manner.
The following projects are set to take place in Limpopo during the 2011/12 financial year:
- 15 rural schools are set to benefit from the Career Exhibition Expo which is set to take place in August 2011. The project is set to recruit grade 10-12 learners and introduce them to the different career opportunities to study within the transport sector, thus creating awareness of the transport sector. This project will also assist in identifying potential learners to study towards transport qualification thus responding to the call to eliminate the high scares and critical skills shortage our country is facing. Learners will be given career guidance booklets, guidance Teachers, (NGOs) non-governmental organisations Community Based Organisations (CBOs) and skills development facilitators will also benefit from the programme by being trained on careers available within the transport sector through skills transfer training programme.
- CBO and NGO cycling project is set to take place in Limpopo during the 2011, the project seeks to benefit rural communities and attract learners to participate in the project thus opening doors for learners to be supported through the various projects implemented within the Services Sector Education and Training Authority (SETA) (i.e. bursary schemes, learnership and Trades) TETA will be investing over one million rands towards the project. Learners will be awarded an opportunity to cycle and attend basic life skills short course.
Programme Director
I would also like to warmly congratulate everyone who has made this event possible.
The initiative by all transport stakeholders enhances the participation of previously marginalised groups in the economy of this province and the country at large. I am confident that the successful implementation of the vision of the Integrated Transport Sector Broad-Based Black Economic Empowerment Charter will not only meet the objectives of Broad-Based Black Economic Empowerment Act, but will contribute significantly to the overall developmental objectives of our government.
The transport sector has set an example, as this is the industry with a large number of diverse sub-sectors, showing Africa and the World what can be achieved when South Africa work together in making sure that this country is a better place for all those who live in it.
I urge all of you here today to embrace this legacy in your future business engagements! The most important thing about the BEE is to transform this country into non-racial and non-sexist as the Freedom Charter said and I quote “the right of the people shall be the same regardless of race, colour or sex.”
Programme Director
With the powers vested on me as the MEC for Roads and Transport in Limpopo I declare this roadshow duly opened.
Inkomo
