DEPARTMENT OF TRANSPORT (DoT) ANNUAL PERFORMANCE PLAN 2016/17

1. DEPARTMENT OF TRANSPORT (DoT) ANNUAL PERFORMANCE PLAN 2016/17 1

2. Contents • Strategic Planning Process Flow • Vision, Mission • DoT Values • DoT Programmes • Organizational Structure • DoT Strategic Objectives • Notable Achievements • Challenges • Strategic focus • Key Initiatives over the MTSF • Performance Targets for 16/17 • Performance Targets per Programme

3. Strategic Planning Process Flow

4. DoT Vision & Mission VISION “Transport, the Heartbeat of Economic Growth and Social Development” MISSION Lead development of efficient integrated transport systems by creating a framework of sustainable policies, regulations and implementable models to support government strategies for economic and social development.

5. DoT Values • Maintain fairness and equity in all our operations; • Strive for quality and affordable transport for all; • Stimulate innovation in the transport sector; • Ensure transparency, accountability and monitoring of all operations; and • Ensure sustainability, financial affordability, accessibility as well as upholding of the Batho Pele principles.

6. DoT Programmes Programme 2: Integrated Transport Planning Department of Transport: “Transport, the Heartbeat of Economic Growth and Social Development” Programme 3: Rail Transport Programme 4: Road Transport Programme 5: Civil Aviation Programme 6: Maritime Transport Programme 7: Public Transport

7. DoT Organizational Structure

8. Strategic Objectives SG 1: An efficient and integrated infrastructure network that serves as a catalyst for social and economic development SO 1.1 Facilitate integrated macro-transport systems planning to guide investments in the sector; SO 1.2 Promote local, regional and continental integration of transport infrastructure and operations; SO 1.3 Improve economic transformation and performance of the transport sector; SO 1.4 Ensure a sustainable transport infrastructure network; SO 1.5 Enhance performance, efficiency and reliability of the rail transport sector.

9. Strategic Objectives SG 2: A transport sector that is safe and secure SO 2.1 Ensure a safe railway and conducive regulatory environment; SO 2.2 Regulate and enhance road transport safety; SO 2.3 Regulate and enhance civil aviation safety and security; SO 2.4 Regulate and enhance maritime transport safety and security

10. Strategic Objectives SG 3: Improved rural access and infrastructure and mobility SO 3.1 Provide quality rural public and scholar transport

11. Strategic Objectives SG 4: Improved public transport services SO 4.1 Promote sustainable public transport; SO 4.2 Improve public transport access and reliable

12. Strategic Objectives SG 5: Increased contribution to job creation SO 5.1 Create job opportunities through the implementation of road transport programmes and internships; SO 5.2 Create job opportunities in civil aviation through the promotion of aviation at schools, the Transformation Letsema and the commemoration of the International Civil Aviation Day (ICAD); SO 5.3 Create job opportunities in the maritime transport sector through implementation of relevant charters and legislation; SO 5.4 Create job opportunities through training and placement of interns

13. Strategic Objectives SG 6: Increased contribution to transport to environmental protection SO 6.1Reduce GHG emissions in the transport sector (National Reduction Target = 34% by 2020); SO 6.2 Minimize aviation noise, emissions and disaster risks SO 6.3 Reduce level of pollution at sea through implementation of conventions and legislation

14. Strategic Objectives SG 7: Effective and efficient management and support SO 7.1Reduce GHG emissions in the transport sector (National Reduction Target = 34% by 2020); SO 7.2 Minimize aviation noise, emissions and disaster risks; SO 7.3 Reduce level of pollution at sea through implementation of conventions and legislation.

15. Notable Achievements 2015/16 • Completion of the framework for Port Tariff Structure, which is aimed at ensuring that the mining sector is subsidised by a tariff structure weighted in favour of raw exports • The draft chapter of the Private Sector Participation (PSP) Framework was developed and will be implemented over the MTEF. This focuses on bringing about private sector investments in the Ports and Railway sectors as a means of increasing railway carrying capacity beyond Transnet Freight Rail (TFR), and port operations capacity beyond Transnet Port Terminals (TPT) • Progress has been made in the rolling out the rural roads programme relating to the improvement of key access roads, expansion grading and paving of road surfaces through labour-based methods in targeted rural areas.

16. Notable Achievements 2015/16 • Approval of the Branchline Strategy, advocating for concessions to private enterprises to operate and run some of the branch lines, reducing cost and access to markets whilst in the process creating jobs for locals. The Strategy will also include a practical plan for the introduction of the private sector in branchlines • The N2 Wild Coast project has been granted full support by the PICC which indicated that a monetary contribution could be available from the fiscus • To date three (3) vessels have been added onto the South African ship register • The draft review of the Airlift Strategy, has been completed and was presented to Cabinet. It responds to the airfreight challenges highlighted through the National Airfreight Logistics Strategy (2005). It also aim to enhance the prospects for South Africa as a preferred air travel destination. Implementation will commence in the new year • The National Learner Transport Policy was approved by Cabinet for implementation

17. Notable Challenges • Budgetary constraints resulting in DoT’s inability to reduce vacancy rate • Turnaround time in stakeholder consultations delays processes • Road fatalities still require vigorous interventions • Fraud and corruption in the sector remains a concern • DoT oversight role over Entities needs to be strengthened • Integration of transport system and services in rural areas (accessibility and mobility) • Reduction of inequality, particularly amongst the youth and women needs to be prioritized

18. Strategic Focus • Improve access to economic opportunities and social space; • Advance economic development • Ensure greater mobility of people and goods • Promote regional integration • Unlocking the potential of SMMEs, cooperatives, townships and rural enterprises • Advance the aspirations of Operation Phakisa, through promoting growth of the ocean economy • Continue to improve rural access, infrastructure & mobility

19. Key initiatives over the MTSF 1. Creation of a Unit that will ensure implementation of interventions aimed at supporting objectives of Operation Phakisa: Oceans Economy. • Finalize the National Transport Maritime Policy • Develop a private sector participation framework; • Support the local ship building and repairs industry; • Revitalise the current ship registry; • Create a conducive policy and legislative framework

20. Key initiatives over the MTSF 2. Submission of the National Airports Development Plan to Cabinet • Airports contribute to socio-economic development in a range of ways, including: • Improving accessibility for people to geographical areas, whether for personal, essential services, business or tourism reasons; • Allowing for “time critical” in- and out-bound freight; • Making a location more attractive for investment by certain sectors, in particular knowledge intensive industries, such as biotechnology, pharmaceuticals, universities, and financial services;

21. Key initiatives over the MTSF 3. Maintaining Road Infrastructure • R573 Moloto Road will be upgraded at a cost of R3.7 billion. • SANRAL’s budget has increased by R1.4 billion over the medium term for the Gauteng Freeway Improvement Project (GFIP) and by R1.7 billion to strengthen the non-toll road network. • Road infrastructure damaged by disasters will be rehabilitated at a cost of R848 million over the medium term, through an additional allocation to supplement the reprioritisation in the Provincial Roads Maintenance Grant (PRMG). Overall, spending on transfers in the Road Transport programme is expected to increase to R30 billion in 2018/19.

22. Key initiatives over the MTSF 4. Upgrading Rail Infrastructure and Services: • Rail infrastructure will be the fastest growing area of departmental spending, and the Rail Transport programme is expected to grow at an average annual rate of 5.5 %. • Transfers to the Passenger Rail Agency of South Africa (PRASA) are mainly for acquiring new trains for Metrorail, the commuter rail operator in major urban areas. • The transfers are also for upgrading signalling systems and refurbishing coaches. • Over the medium term, 507 (2016/17), 522 (2017/18) and 538 (2018/19) passenger trips will be subsidised through operational subsidies

23. Key initiatives over the MTSF 5. Enhancing Public Transport: • The Department’s transfers to municipalities for public transport, are expected to increase at an average annual rate of 6.6 per cent over the medium term. • The subsidies will support a projected 180 000 weekday passenger trips on the Rea Vaya bus network in Johannesburg over medium term, which is triple the number in 2015/16. • 90 000 weekday passenger trips on the My Citi network in Cape Town are projected for 2018/19, which is double the number in 2015/16. • The new allocation formula for the public transport network grant from 2016/17 will ensure greater equity and efficiency in the allocation of these public transport resources. • The Department will also review the Taxi Recapitalisation Model to improve its effectiveness and affordability

24. Key initiatives over the MTSF 6. Regulation and enhancement of transport safety and security: • Develop and implement the National Railway Regulator Amendment Act and National Rail Safety Strategy • The Administrative Adjudication of Road Traffic Offenses (AARTO) Act will also be amended and rolled out in all provinces • The South African Civil Aviation Authority (SACAA) Act will be amended and implemented • The Road Safety Strategy will be finalised and submitted to Cabinet • The Road Traffic Management Corporation (RTMC) has been tasked to establish the terms of reference for the harmonisation of road traffic law enforcement and the establishment of a Single Traffic Police Unit.

25. Key initiatives over the MTSF 7. Reducing inequality and poverty alleviation: • The department will develop a transport sector gender empowerment policy • The Minister of Transport will implement a 50% target for women representation in Boards of Directors of sector entities • Targeted recruitment and selection will be prioritised in line with women targets • Centralised DoT database of all women-owned entities will be established and a skills audit will be conducted for all women-owned entities to address skills gaps • As part of monitoring and evaluation, the department will compile a status report on the transport sector socio economic empowerment programmes for the designated groups

26. Performance Targets set for 2016/17 • Total number of performance targets = 53 • Administration = 10 • ITP = 7 • Rail Transport = 6 • Road Transport = 10 • Civil Aviation = 8 • Maritime Transport = 5 • Public Transport = 7

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40. Thank you 40