To download Mr Rikus Badenhorst’ soundbite, click on this link: https://iono.fm/e/1595044
Programme Director, Mr Mothapo
The Select Committee is tasked with operationalising its constitutional mandate, as well as the strategic plan and oversight priority plan of the 7th Parliament. The five-year strategy of the Select Committee was informed by, among others, the mandates of the departments and public entities within the Select Committee’s portfolio, as well as a situational analysis of government priorities as set out in the medium-term development plan and the policies guiding the departments within this portfolio.
The Legacy Report of the Select Committee of Transport, Public Service and Administration, Public Works and Infrastructure of the 6th Parliament identified several recommendations for continued oversight by our Select Committee. During the Select Committee meeting in October 2024, the Select Committee adopted the recommendations contained in the Legacy Report, and these recommendations have been taken into consideration in the development of the strategic objectives of our Select Committee.
The Parliament Draft Oversight Priority Plan sets out seven broad themes, three of which relate to the portfolio of the Select Committee in respect of the Social Services, Department of Public Works and Infrastructure, the Development Bank of South Africa, and the Independent Development Trust. The IDT acts as an implementing agent in the construction of new social infrastructure such as schools, clinics and hospitals.
The Department of Public Works and Infrastructure, as the custodian of government-owned assets, also sets targets for the release of land for land reform. In respect of the Infrastructure Development Team, key state-owned entities, or SOEs, such as Transnet and the Independent Development Trust, fall within the portfolio of the Select Committee.
Road transport infrastructure in South Africa faces numerous challenges, including underperformance in project implementation and expenditure on conditional grants by provincial and local governments, as well as low service levels, for example, in the case of Prasa, and operational performance as observed in Transnet. Focusing specifically on the rail network, which contributes to congestion on the road network and our deteriorating road infrastructure.
The Select Committee on Public Infrastructure has concluded two successful terms, having focused on the provision of passenger rail and the functionality of Transnet Ports. This has included testing operations on the Nolungile to Cape Town corridor on the Prasa Central Line and an oversight visit focused on improvements at the Transnet Cape Town Port. At Prasa, the committee heard that improvements to the signalling capabilities will be the most significant contributor to increasing Prasa operations. At Transnet, the committee noted early progress in the procurement of port equipment, such as Rubber-Tyred Gantries, although adverse weather conditions continue to hamper port operations.
Oversight findings and recommendations of PricewaterhouseCoopers regarding IDT
When the Independent Development Trust (IDT) failed to submit its Annual Financial Statements for the previous financial year within the legislated timeframe, the Select Committee called the IDT before it to enquire into governance, financial management and consequence management at the entity. Serious deficits in these areas have come to light through the investigation conducted by PricewaterhouseCoopers (PwC), which the Minister requested into the Pressure Swing Adsorption (PSA) oxygen plant tender awarded by the Independent Development Trust (IDT).
Through a joint meeting between the Select Committee and the Portfolio Committee on Public Infrastructure, the Minister of Public Works and Infrastructure will account to Parliament on the findings and recommendations of the investigation, as well as the most immediate corrective actions that will be taken.
The Select Committee will include the implementation of all recommendations contained in the Final Investigation Report into its oversight programme going forward. As the implementing agent of the DPWI, the IDT plays a key role in delivering social infrastructure, including schools, clinics and community facilities. There should be severe consequences when its limited funds are diverted through improper channels.
Progress on improvements in the quality of government buildings for service delivery
For the third term, the Select Committee will continue with a focus on the conditions of state-owned buildings. Inadequately maintained buildings do not inspire confidence in government and at worst risk the safety of public servants and communities needing to access services. Derelict and abandoned properties invite criminal activity into our city centres.
The Auditor-General, Public Service Commission and the Department of Planning, Monitoring and Evaluation have made concrete proposals in this regard and have laid the groundwork for an improvement plan that the Department of Public Works and Infrastructure (DPWI) must finalise. Recommendations include, amongst others:
- Initiating a dispute resolution mechanism for client departments that query user charges (that is currently being formulated but not yet introduced)
- The implementation of an optimisation and reform strategy, which the DPWI has now introduced.
- Reforms to the procurement strategy and function, which the DPWI will now implement through Public-Private Partnership models such as the Built Operate and Transfer and Refurbish Operate and Transfer models.
- Disposal of non-performing assets, which the DPWI said it would commence with in the coming months.
Interventions on reducing debt owed by organs of state to Property Management Trading Entity
Engagements are necessary between the Select Committee and National Treasury in respect of the need to rework the client department user charge model that does not efficiently support the Property Management Trading Entity (PMTE) optimisation strategy. User departments are charged around R23 for accommodation, which is significantly below the market rate of R110/m².
Reducing the maintenance backlog of R28 billion requires budget reform to ringfence maintenance budgets, ensuring that departments cannot divert allocations to other operational expenditures. Further, the DPWI has requested the Select Committee’s interventions in holding engagements with the Auditor-General of South Africa and National Treasury to include the payment of PMTE debts by departments as an audit focus and in securing executive undertakings for debt repayments.
Implementation of an interim alternative to driving card licences
The Select Committee has been tracking undertakings made since the 2022/23 financial year, which include the introduction of a Digital Driver’s License for the Country. This would reduce the reliance on card machines where breakdowns lead to backlogs of hundreds of thousands of cards over multiple months. During the consideration of the Department of Transport’s budget earlier this year, the Select Committee noted that the introduction of a Digital Driving Licence does not appear in the Five-Year Strategic Plan of the Department. In response, the department indicated that the Government Printing Works (GPW) is researching digital options, and the primary issues to be addressed will be ensuring the security and authenticity features of the digital cards. The Select Committee will be working towards obtaining an executive undertaking from the Minister for the timelines associated with the introduction of a Digital Driver’s License.
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