ANNUAL REPORT BRIEFING TO THE PORTFOLIO COMMITTEE ON TRANSPORT 10 & 11 OCTOBER 2012

1. ANNUAL REPORT BRIEFING TO THE PORTFOLIO COMMITTEE ON TRANSPORT 10 & 11 OCTOBER 2012 Presented by SG Khumalo

2. Presentation Outline • Part 1: The Mandate and Strategic Goals • Part 2: Review of Performance in the FY11/12 • Part 3: Annual Financial Statements and Audit Outcomes • Part 4: Challenges and Interventions

3. PART 1 Mandate and Strategic Goals

4. Mandate The C-BRTA was established by the Cross-Border Road Transport Act 4 of 1998 to provide for co-operative and co-ordinated provision of advice, regulation, facilitation and law enforcement in respect of cross-border road transport by the public and private sectors.

5. Legislated Mandate The functions as per the legislated mandate are as follows: • To improve the unimpeded flow of freight and passengers in the region; • To introduce regulated competition in respect of cross-border passenger road transport; • To reduce operational constraints for the cross-border road transport industry as a whole; • To liberalize market access progressively in respect of cross-border freight road transport; • To enhance and strengthen the capacity of the public sector in support of its strategic planning, enabling and monitoring functions; • To empower the cross-border road transport industry to maximize business opportunities and to regulate themselves incrementally to improve safety, security, reliability, quality and efficiency of services.

6. Core Functional Areas This role is carried out through the following functions: • Facilitation - ensures that consultations and partnerships with other key role players within South Africa and SADC are fostered and maintained • Law Enforcement - monitors the carriers through country-wide inspections and ensures that carriers operate within the prescribed legal parameters • Regulatory - responsible for the issuing and facilitation of all cross border permits • Advisory - advises the Minister of Transport and the DoT on regional road transport imperatives and challenges. This function also monitors and counteracts any restrictive measures that may be implemented by other states in the SADC region.

7. Strategic goals • Goal 1: Strategic positioning to enhance organisational sustainability; • Goal 2: Facilitate unimpeded flow of cross-border transport; • Goal 3: Promote regional integration; • Goal 4: Promote safe and reliable cross-border transport; and • Goal 5: Enhance organisational performance.

8. Strategic Projects • The following key projects are the key drivers of our strategy and dependent on collaborative partnerships: • Strategic Value Proposition Plan (SVPP); • Industry Partnership Development Plan (IPDP); • Operator Compliance Accreditation Scheme (OCAS); • Business Model for Streamlining Border Management Practices; and • Market Access Regulation (MAR).

9. PART 2 Review of Performance

10. Review of Performance in the FY11/12Law Enforcement

11. Review of Regulatory Permits FY11/12

12. Taxi Permits Issued – per Country 2011/2012

13. Table 2: Permits issued for passenger transport (buses)

14. Bus Permits Issued – per Country 2011/2012

15. Table 4: Permits issued for tourist transport

16. Table 3: Permits issued for freight transport

17. Freight Permits Issued – per Country 2011/2012

18. Employment Equity per Race

19. Employment Equity per Gender

20. Summary of Key Achievements Introduction of performance management system across all organizational layers Industry development strategy was developed and approved. Cross Border Operators Forum was initiated and became operational Visibility of road transport inspectorate was significantly improved resulting in improved compliance Improved fraud and corruption detection and prevention interventions led to the seizure of fraudulent permits and arrests .

21. Summary of Key Achievements Establishment of the Project Management Office (PMO) to manage key strategic projects Conducted a Study on the Model for Trade Supply Chain Analysis: This model is part of the development of the business case for border modernization. Conducted a study on the analysis of business processes at the borders focusing on the freight supply chains at the two borders. The study focused mainly on the analysis of business processes, identification of impediments, international benchmarking, compliance checks and requirements, SARS customs modernization programme, etc. Assessment of South African transport corridors focusing on freight flows along the Durban-Lebombo (N4) and Durban- Beitbridge (N1) corridors was conducted

22. Summary of Key Achievements Report on the assessment of route utilization and impediments to passenger flow along the Durban-Lebombo and Durban-Beitbridge corridors was finalized:- The report talks to the passenger and driver impediments, route utilization and a model for market access. A report on liberalising market access for road freight was finalized.

23. PART 3 Annual Financial Statements and Audit Outcomes

24. Highlights: Financial Performance

25. Highlights: Financial Position

26. Highlights: Financial Position

27. Audit Outcomes

28. Audit Outcomes

29. Audit Outcomes

30. PART 4 Challenges and Interventions

31. Challenges and Interventions

32. Challenges and Interventions

33. In Conclusion The C-BRTA is geared to demonstrate its commitment to adding public value through its strategic interventions. This Agency is also poised to support the National Programme of Action of government of industrialization and job creation. The executive committee is geared towards breaking the cycle of audit qualifications

34. i thank you