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Chairperson, Honourable Lungile Dantjie
Honourable Members of the North West Legislature
Honourable Members of the National Council of Provinces
Members of the House of Traditional Leaders
Worshipful Executive Mayors of Various Towns and Cities of the North West
Province
Esteemed Chairpersons of District Councils
Team Transport, Roads & Public Works ably led by DDG Martin O. Sebakwane
Client Departments; Client Citizenry and last but not list - Client Tourist
Service Providers and Stakeholders alike
Ladies and gentlemen
Comrades and Friends

Honourable Speaker, Sir! I move that the whole house convert into a Committee of Supply

1. INTRODUCTION

Honourable Chairperson, it is that time again in the political calendar of our country and province where we meet to review the events of the past year and to chart a way forward for the coming year. During the year in review, we had exciting successes and serious constraints in our delivery process. It is in your House, Hon. Speaker, that we hope to celebrate the successes with our fellow South Africans, including compatriots, from the opposition parties. But again jointly with them we hope seek to find solutions to overcome the constraints to delivery.

The President, in his State of the Nation address, has put the first indelible footprint on the path towards accelerated economic growth of our country. The Premier in his State of the Province address has interpreted for us the implications of the President's speech in the North West Province. It remains my role to further elaborate the implications of the above speeches in so far as they affect the twin constitutional competencies, which I represent viz. Transport on the one hand, and Public Works on the other.

2. DELIVERY FRAMEWORK

The President, the Premier and your August House are saying to us, at the end of the next delivery cycle, they would like to see evidence of how we have delivered on the constitutional mandates for which I am custodian. They would go further to say, show us evidence of how you have rendered the Transport Sector and the Construction Industry in the North West Province nationally and globally competitive by lowering input costs and implementing regulatory frameworks; show evidence of your contribution towards increased growth rates in the two sectors; show evidence of increased levels of employment, black economic empowerment and SMMEs and they would also ask - What has your Department done to fight HIV/AIDS. Through co-ordination and integration with the three tiers of government and guided by the principles of this government, they would also enquire as to how I have optimised the business of government.

Never before in this country, in exception of President Thabo Mbeki, has a president set clear Key Performance Indicators by which the deliverables of a Nation at Work will be measured and leaders be held accountable for such. Chairperson, I accept this honourable and challenging Performance Agreement between myself, the Premier and the President!

3. Outcomes

In providing strategic direction to the department I put before your house the Outcomes for the Transport component on the one hand and for Public Works on the other. To this end, we aim to ensure that the transportation system and infrastructure of the North West Province meets the needs of the North West, South Africa and the 21st Century World contributing to the our country's growth, economic development and the alleviation of poverty. We recognize that while transport is itself an industry, it is simultaneously a critical enabling platform that provides input in the viability of other industry sectors and the realization of other social objectives. We will step up our co-ordination and integration with the primary industrial sectors as outlined in the Premier's speech viz. agriculture & agro-processing zones, tourism & cultural industries, mining and other export sectors to support their economic competitiveness plans.

Similarly, in the Public Works domain, we will facilitate growth and competitiveness of the Built Environment industry to enhance development, maintenance and management of state physical infrastructure. R6 billion has been set aside by national government to be spent on infrastructure over the next three years. This confirms the state as the single biggest investor and bulk buyer of services in the construction and property services industry. We will leverage and use our purchasing power coupled with special intervention measures to influence change in this sector in order to lower input costs thus rendering the sector competitive.

We believe that through the special intervention measures set out in our Business Plan, we will render both (Transport & Works) sectors competitive. As these sectors become competitive, increased growth rates will be realized. A growing economic sector has the capacity to absorb more labour thus increasing employment levels. We will open new business opportunities that create the scope for Black Economic Empowerment and breeding of SMME's in a very radical manner. We make no apologies in this regard. Never again shall we be taken for a ride in this arena. We have aggressive plans to support, measure and report on these key performance indicators.

The last outcome is to ensure service delivery improvement and innovation across the department with the explicit intention to eliminate the wastefulness of resources and to reduce the cost of government services to the public. To this end, we will pursue an unprecedented drive to re-engineer the business of the department and to optimise all processes and procedures through IT applications to realize efficiency. Central to this approach will be client focus as elaborated by the Batho Pele principles.

4. Practical Steps

How do these broad outcomes find practical expression programmatically in the department?

4.1 On Taxi and Bus Transportation

Chairperson, the classic macro-economic theory suggests that productive infrastructure, including transport assets, is one of several key pre-conditions for national economic growth. The theory holds that by investing in assets like bridges, roads, ports, or even telephone lines, a nation can structure development by reducing transport and communications costs, thereby facilitating further trade and creation of wealth.

Indeed, transport is generally seen as an engine of growth and a guarantor of national integration, both internally and with the external global economy. As those who are providers of transport services or owners of transport infrastructure are well aware, transport is also an industry in and of itself.

It is an industry that employs many people globally and in South Africa, accounts for a substantial number of jobs in the national economy, and has supplier industries and customers of its own. However, it will be more appropriate to adopt the view that transport is best seen as an enabling industry, one which exists not only to meet goals inherent to transport, but also to meet other pressing national and social objectives.

Mr. Speaker, we are entering the African Century with renewed zeal to resolve the problems and ills of the beloved Mother Africa. Those of us in the transportation fraternity are quite conscious of the mammoth challenges ahead of us within the transport sector. Africa's child continues to walk the record longest distances to places of learning every day of their lives. An average South African commuter continues to pay an unacceptably high portion of her disposable income as commuting fares.

In the urban South Africa, a total of 2.8 million citizens, or 13% of the urban population, can be declared as stranded, that is without any access to public transport and is expected to grow by 28% between now and the year 2020 if nothing is done to address their needs. (Moving South Africa Survey)

Judging by the urban standards it can be safely deduced that a rural South African is no more in any better condition. The deprivation in the rural areas is further compounded by lack of proper roads, lack of access to low cost motorized transport, income levels and vast distances all of which retards the ability of rural communities to integrate with the rest of society or participate in the broader economy. Our programme is designed to address the problems of both urban renewal and rural development in order to eliminate the historical legacy of uneven development in our country.

In the area of land transport, Compliance issues and the Regulatory Frameworks are already in place through the Land Transport Transition Act of 22 of 2000. The necessary institutions for regulation viz. Offices of the Permit Board Administration, and the Taxi Registrar and Special Law Enforcement are in place.

Now that legitimate representative industry structures have been democratically elected regionally and provincially in the North West, we will legalize all bona-fide illegal operators and Colour Code all Taxi Routes in the Province by September 2001. To enable us to enforce these measures immediately thereafter, we will upgrade our database linking networks (RAS, LTPS & NATIS) into a powerful on-the-road Law enforcement tool by June 2001.

Again, proactively in the interest of upkeep of continuous law, order and stability, we will not hesitate nor shun away our call to duty in declaring emergency measures to combat lawlessness and avert taxi killings. Zeerust and Rustenburg have become the latest earners of this measure.

At this juncture, allow me Chairperson, to acknowledge the singular and outstanding contributions of our colleagues in the criminal justice system in particular Hon. Judge G.H. Handler who presided over the 1996 taxi violence of Mabopane, Garankuwa, Winterveldt, Klipgat and Soshanguve. The SAPS Taxi Violence Unit in particular Inspector Nkosi and Prosecutor Smit in their contribution to the outcome that have seen a new twist in people who have done us pride in sending these murderous criminals for an effective 230 years.

I cannot agree more with your Lordship, Judge Handler after exercising your mind, you boldly meted out landmark sentence unprecedented in the whole country. Yes, your judgment has sent a strong and stern signal that the law of the land has zero tolerance for crimes. These individuals roamed the dusty streets of Mabopane as untouchables playing God. They have now been put away for a long time. In May this year I will take the opportunity to report to the families of slain taxi operators as to who the killers are as I had promised over the years. My last word to these murderers, tell everything and reveal everybody who joined you in the killing spree. God will forgive you!

Hon. Speaker, I would like to salute the leaders of the local taxi associations guided by the regional councils and in particular the provincial taxi council under the able leadership of Mr. Norman Sechele for the tenacity, selflessness and wisdom with which they unite and guide their members through some of the most trying circumstances and for having faith in the vision and processes of this government. We also want to thank those leaders who represented the province in the interim national structure SATACO and look forward to their participation in a deeper and broader quest for unity of the industry.

The development of the minibus taxi industry into a formally recognized sector of the economy is the single most far reaching contribution that South Africa will offer to the developing world. Through this process we are proud to report that we support 12 000 SMME's represented by each owner entrepreneur as well as meeting the requirement for Black Economic Empowerment and significant employment levels.

However, the President's challenge is for us to implement measures to reduce the input costs of the taxi owner so that he or she should charge lower fares from the commuting workers. Less fares to the worker means a lower percentage of wages demanded by workers from the employers. A lower wage bill of the employer means a lower production cost that translates to cheaper competitive products from this country in the global market.

In our Business Plan we elaborate fully the measures to be applied in this regard. There will emerge an organized and competitive industry operating in strict accordance with defined route operating licenses permits and starting to take full advantage of the many opportunities for growth and empowerment that will emerge through the provision of business training to the industry.

Critical to the economic empowerment programme will be the establishment of the first proper Taxi Co-operative in the province by no later than October 2001. Co-operatives will serve as the common vehicle through which the operating cost for the taxi operators will be systematically reduced. The trading co-operatives will ensure bulk procurement of fuel, spare parts, other consumable stock and services and as such the industry stand to benefit from the economies of scale.

Mr. Speaker, we can say with renewed confidence that the Taxi Recapitalisation programme will proceed to ensure the introduction of safe, reliable 18 and 35 seater vehicles within a year or two. That remains government commitment to overhaul and replace the currently operating 120 000 taxi fleet in the country within the next 5 years 12 000 of which are in the North West.

In the next few weeks we will be unveiling our intervention strategy aimed at restructuring the Northwest Transport Investment (NTI) particularly its subsidized passenger transport operations. Through a transparent public tender process, we will attract the private sector's investment participation (PPP) in the re-engineering of the group, within a context of the Recapitalisation of the bus fleet, the bus management expertise and risk sharing modelled in line with the negotiated contract system. We are about to conclude a joint bus tender contract for the Taung- Hartswater cross border bus route with the Northern Cape. The objective outcome of the entire process will be to improve general safety standards and realization of operating efficiency and general reliability of the service. We will closely monitor subsidised bus tender contract operations with financial penalties for poor service and possible termination of subsidy contract in the event of continued non- performance.

Access to public transport for rural masses and scholars, and other people with special needs remains one critical area deserving more attention. As we restructure the entire subsidised passenger transport system. We will continue to explore introduction of new technologies including bicycles, animal drawn carts and other applicable solutions to the rural problem. Special attention will also be given to the needs of people who are physically challenged.

The new demand driven issuing of passenger transport permits will also go a long way in ensuring that particular attention is given to the broader rural problem. The new dispensation will also allow us to issue permits for smaller vehicles in those routes where it is unprofitable to operate buses. Again, this may assist in dealing with the rural transportation and further open opportunity for SMMEs to participate in the subsidized tendered route system particularly in low volume rural areas.

One of our challenges is the design of transport plans at municipal level, which will combine a variety of modes of transport. Commuters will be able to hop from one mode to another and with the assistance of smart technology applications; it should be possible to use one ticket across different modes. As part of providing quality service, appropriate infrastructure, primarily good roads which I will address you on later and secure all weather ranks, are needed to support the transport network both in rural and urban areas and will be planned for. We have initiated dialogue with local government institutions in this regard.

4.2 On Traffic Law Enforcement

Our law enforcement component continues to be a critical part of our regulatory regime in the Road Transport arena. We are proud of our competent, selfless and brave Traffic Officers. Some of the acts of bravery include apprehension of robbers, murderers, narcotic smugglers to mention but a few. At a Special Function in January 2002 we will convene a Traffic Parade Function to bestow Medallions of Excellence and Reward good performance by officers.

Our Traffic Administration will undergo far-reaching changes as a result of the implementation of the Administrative Adjudication of Road Traffic Offences (AARTO) Act providing for an administrative system of fine collection and for the implementation of the driving license demerit points system. This will be achieved through close collaboration with National Department of Transport starting in Gauteng Province where the Road Traffic Infringement Agency (RTIA) will be piloted first. Further changes in traffic administration will be influenced by the incremental operationalisation of the Road Traffic Management Corporation (RTMC) as a government agency controlled by a Shareholders Board composed of the National Minister of Transport and the nine Provincial MECs.

The RTMC is empowered by legislation to manage and coordinate pooled provincial and local traffic policing resources (devolution of functions), rationalise management and logistical systems, research and statistical data and professionalise traffic officer training and career development. It may sub-contract private sector support for any of its key functions as appropriate.

On the Road Safety front, our provincial Arrive Alive Campaign recorded excellent results compared to our previous statistics as well as the overall national statistics during December there were 58 from 51 fatal crashes as compared to 90 people being killed in 69 fatal crashes over the same period in December 1999. Our comparative analysis says we achieved a 35% reduction in fatal road accidents.

A new intensified and sustained national co-ordinated programme called "The Road to Safety 2001, will be unveiled by the National Ministry of Transport year. Elements of the strategy include the following:

* Thoroughgoing institutional reform of driver licensing, driving schools and vehicle testing;
* The expansion and upgrading of license and vehicle testing inspectorates;

* The piloting in all 9 provinces of a fraud-resistant computerized/touch-screen/audio-visual learner's license test system in all 11 national languages;

* A stricter, compulsory 2-yearly practical test - with a new requirement for specific road awareness and defensive driving skills - for all holders of the Professional Driver's Permit (PrDP), plus a comprehensive annual medical examination which tests for all capacity-inhibiting conditions.

* Tough, uniform penalties for serious road traffic violations such as drinking and driving, speeding, ignoring barrier lines and jumping traffic lights - to include not only heavy fines and custodial sentences but further investigation into automatic license suspensions, compulsory re-training in road awareness and defensive driving techniques, and community service sentences (in e.g. hospital trauma units) for certain categories of offence.

* Registration of all bus and minibus taxi operators and the development and implementation of a Code of Practice/Fleet Safety Management Plan that can be monitored on-site by the Inspectorate at any time for compliance, with the option of de-registration of non-compliant operators. Further consultation with operators on the issue of compulsory fitment of key safety technologies like top-speed limiters and tyre safety management systems, to be concluded by mid-2001.

Introduction of a national Passenger's Charter for public transport users, to be displayed in all public transport vehicles and actionable via compulsory company complaint lines and an NDoT/PPP operated National Call Centre linked to traffic control rooms and the SAPS. A national programme for the multi-disciplinary upgrading of hazardous locations on national, provincial and local roads, linked to a comprehensive programme of general road safety and pedestrian education in the community and through the formal school curriculum, from pre-primary to grade 12.

In compliance to national norms and standards, we have closed eight testing stations for upgrading, three stations will be operational by May and the rest will be completed by end of the financial year. All Provincially Owned Vehicle Testing Centers will be outsourced by September 2001 through a tender contract to Built, Operate and Transfer over a sustainable economically determined period.

At another level we have jacked up our capacity to monitor compliance to South African Bureau of Standards specifications by private testing stations and to date two (2) private testing stations were closed down due to mal-administration and lack of conformity and were re-opened after a month following their compliance with the required standards. We have acquired 15 of the latest generation of speed cameras, which have the capability to photograph high-speed motorists, and can produce high-resolution pictures of the vehicle and driver. Consideration is also to place these on tendered contract operation by the business sector on Operate and Transfer Agreement by September 2001.

We will intensify our onslaught against traffic offenders this financial year all round. Traffic offenders in the Mafikeng area experienced the harshness of law where compliance had deteriorated to uncontrollable levels. They now tell a different story. A traffic court was established as part of "Operation Patela" - a pilot project launched in Mafikeng in collaboration with the local municipality and Justice Department on the 1st February 2001. We did not only set up joint law enforcement roadblocks but also visit offenders at their homes, places of work and leisure. Increased payment and compliance has become the order of the day.

The results of this initiative have exceeded our expectations by far: When Operation Patela started on the 1st February 2001 we had 306 802 warrants of arrest outstanding and by the 30th March, 193 200 of this warrants were executed. During this period R1.6 million in owed traffic fines was recovered.

We hereby wish to thank our colleagues from the Department of Justice, Mr. Solly Bokaba, Chief Magistrate Mr. Motswenyane and their respective staff members for their contribution and flexibility towards the establishment of Traffic Court. We further wish to thank Her Worship the Mayor of Mafikeng Ms.Matsomela, Councillor Maropefela, Head of Municipal Traffic Mr. Molamu and his provincial counterpart Mr. Maruping and all traffic and police officers for their contribution and dedication in making this initiative a succeed.

Many lessons have been drawn in this regard and now serve as a good guide for the extension of Operation Patela from the 1st of March 2001. We are evaluating an electronic solution that is based on a combined telematic IT and Telecommunications technology, which recognizes number plates at high speed thereby displaying all outstanding fines nationally and giving urgent warning signal for officers to stop the vehicle.

We are faced with peculiar and specific challenges in law enforcement in the rural areas. Audits are being done and we assisting the farmers with the registration of their mobile farming implements. In rural areas, movement of goods and services is conducted by alternative means e.g. donkey carts, vans, tractors etc. Existing regulations do not cater for these modes of transport and this raises law enforcement dilemmas. We are urgently discussing at national level measures to consider, accommodating in a developmental context the resolution of these problems.

Road deaths as a result of stray animals remain an outstanding challenge and are on the increase because members of the public steal the protective fences and gates along the road. Through our road safety wing, we have an education campaign to help alter their behaviour and keep their animals from the road. We, jointly with local government and traditional authorities are considering the establishment of a pound system where stray animals will be impounded. We are still committed to putting stray animals down and the required legislative framework would be presented to the Legislature by end of May 2001.

To correct the anomalous and peculiar situation arising from the merger of the old TPA, CPA and the Bophuthatswana, a Provincial Transport and Road Act will be passed through the legislative programme this year to repeal the different ordinances and acts.

The Roads Bill which we had tabled has since been overtaken by the enactment of the Municipal Act which has specific influence on aspects of the bill, as such it is withdrawn to be replaced by a new one which will conform to these changes.

The provincial transportation legislative programme for the new year will entail the formulation of comprehensive land passenger transport legislation and provincial road infrastructure Bill. The two legislations will incorporate the devolution to district and local authorities in keeping with the spirit of the Local Government Structures Act.

4.3 On the Rail Transportation

At provincial level, we have hitherto not been concerned with the Rail sector, which has been the monopoly of Spoornet. However, the President has announced that there shall be a managed liberalization of transport and in particular restructuring will be effected in the rail sector. Government has set as a priority the shifting of as much traffic as possible-both freight and passenger services-from road to rail.

There are many grounds for this: the most obvious being safety, environmental protection, levelling the playing field for fair modal competition and road infrastructure preservation. National and Provinces have started work on creating a policy and legislative framework for the establishment of a Rail Economic Regulator and a separate Rail Safety Regulator whose draft Bill is expected to be ready very soon

The options that emerge from this process will help inform the restructuring process of both SARCC and Spoornet who are monopolies in rail commuter, long distance passenger and freight.

In keeping with the national rethinking on institutional and operational arrangements, we will commission a study to evaluate the existing rail network against our provincial economic development plans to determine a match for relevance owing to the fact that the logic for rail development in the past might not coincide with our current development corridor logic. Where tonnages of freight or volumes of passengers and distance justify the profitability and viability of rail, these corridors will be flagged for rehabilitation or new capital developments.

The study will scope wider to include viability of short-haul tourist rolling stock; will look beyond the typical rolling stock or technology of the present and evaluate other technologies for viability e.g. Light Rail. These emerging business opportunities will be the subject of Black Economic Empowerment, SMME's and employment creation in the core and downstream activities associated with this type of economic activity.

Road freight exploded when transport was deregulated and trucks could carry goods which were previously designated for the then SATS. No managed liberalization was put in place as a result a system of self-regulation, where the market is regulating itself, has crystallised. The permit system governing this sector is archaic and the fees for some of the services that operators enjoy from government are not commensurate with the actual cost to the state.

Early in 1996 a survey was undertaken to determine the extent of overloading on the road network. It was found that between 20% and 30% of all heavy vehicles were overloaded, causing damage in the order of R500 million per annum to roads. Overload Control is one of the regulatory mechanisms available to us, however many operators found ingenious physical escape-routes and other methods of evasion. Systematic overloading by unscrupulous cost-cutting operators creates an unfair playing field between road and rail freight transport and impacts heavily on operators who wish to operate within the law.

The construction of the Potchefstroom overload control centre has been completed, however the operationalisation has been slightly delayed due to alteration of some minor design specifications. The necessary on-site staff training will be followed thereafter by full operations soon. We are commissioning a study by the CSIR to do technical evaluation of all weighbridges in the province as well as to identify new areas where traffic patterns justify overload control centers.

The project should lead to formulation of a framework within which development and operation of these facilities happens through private sector or PPP funding. The business opportunities arising from this will widen the scope for Black Economic Empowerment and SMME development.

The National Road Agency is financing a comprehensive and effective corridor-focused overload control management system. This was initially devised in conjunction with KwaZulu-Natal, but is now being incrementally extended to other provinces. It is based on a systematic operational strategy, which focuses on a combination of:
* optimal use of critically located, fully-staffed and maintained weigh-stations using escape cut-off tactics; and increasing use of tactically placed weigh-in-motion indicative devices, with additional assistance from the private sector in the extended provision and operation of such devices.

The next step to be taken will be completion of a technical study by SABS into the admissibility of read-outs from such devices as evidence in court (as has already happened in the USA) and a consequent further redeployment of resources in the direction of this more flexible and cost-effective approach. We are discussing with the Road Agency on this matter and are confident that these devices will pass the admissibility test.

4.3 On Air Transportation

In the Aviation sector, we can report that Pilanesburg Airport is ready to build the international terminal required by NIDS to control immigration and customs and completion is estimated by July 2001. Processes aimed at reinstating a scheduled airline service between Mafikeng and Johannesburg are at the advanced stage. We are confident that a new airliner will be operational during the month of April. As part and parcel of the airport-revamping package R4million is being spent on critical improvements of emergency and safety equipment and facilities. This process should lead to increased airport utilization and will have positive impact on our bid for the much-needed international status. We are indeed positioning MIA as a preferred destination and a hub for the international unscheduled cargo transportation.

The National Department of Transport and the Airports Company of South Africa will focus on airport development throughout the country, seeking to achieve synergy with provincial economic development plans and the national Tourism Development Strategy. South Africa is a party to the Yamoussoukro Declaration adopting an "open-skies" policy for Africa. The policy environment is beginning to favour us in that National is committed to a process of liberalization of international air services. The theme of Mafikeng International Airport as a preferred destination and a hub for the international unscheduled cargo will also be a pillar of our new application for the IDZ status.

The need for the re-submission of the application has been brought about by the new criteria that have been announced by the Department of Trade and Industry. The Enterprise Organisation that is responsible for processing IDZ status is assisting us in this initiative. Foreign consortia for investment are making offers of intent, but progress is slow due to the delay in IDZ status and International status.

In keeping with the Presidential State of the Nation address we need to position ourselves for the much-needed increase in the number of flights to and from South Africa to assist with the promotion of tourism. To position the province to capture market share of the increased volumes of tourists, we are jointly planning with Tourism to identify growth points where internal provincial Aviation would be a viable option for tourists. This policy shift is necessary because the rating of airports by NIDS is based on the level of activity in the facility.

To this end we will create a provincial forum for aviation industry players and jointly map out a strategy to formalize and expand this sector into a viable secondary network that will target tourist destinations in the province. The upgrading of existing landing strips and other aviation infrastructure in the different municipal areas will receive urgent attention. The Civil Aviation Authority will play an important role to ensure that safety standards are not compromised when the aviation traffic increases. Again, this initiative will open opportunities for new entrants in the sector and meet the requirement for Black Economic Empowerment, SMME' s and increasing employment levels as well as human resource development initiatives.

4.4 On the Upkeep of State-Owned Buildings and Roads

Hon. Speaker, our other constitutional mandate is to construct, maintain and manage state infrastructure, property and assets as Public Works. National Public Works, which is leading the Construction Industry Development Programme, has established the Construction Industry Board to spearhead the Regulatory Framework by which this industry will be regulated. This role brings us into juxtaposition with the built environment and its various professional bodies.

In this province, we have established consultative processes with the professional associations in this industry in order to make them aware of the plans and programme of government in general and this department in particular. Through such consultation, we have managed to address issues like the integration of professional associations to remove racial separation; creation of viable joint ventures between previously white established companies and emerging black companies; the promotion of Black Economic Empowerment through Affirmative Procurement; the support for SMME's against the predatory tendencies of long established big construction companies.

We have also addressed the urgent desire of government to see these service providers applying their science and technology innovatively as well as applying other measures to lower input costs while increasing output of services and products per Rand spent of government thereby touching the lives of more citizens; the need to continue maintaining and renewing urban infrastructure while urgently addressing infrastructure development needs in the rural areas; transforming the professional conduct of traditional engineers by insisting on the approaches of Batho Pele towards our people and community-based labour intensive methods of construction for employment creation.

Hon. Speaker, it is through this ongoing dialogue that today we can report that 42 roads projects were initiated wherein R84m was for the renewal of urban road infrastructure and about R60m for rural roads infrastructure in the 2000/01 financial year. The rural communities, through their Road Construction Steering Committees, manage the employment, remuneration and rotation of labour to distribute the work opportunities and poverty alleviation over the duration of construction. An estimated 1 277 of people are employed of which 200 were women and 133 youth. 21 sole emerging contractors and a further 10 emerging contractors who are part of joint venture companies, as well as 10 emerging consultants were engaged in the roads building programme representing the highest level of participation to date in the Black Economic Empowerment arena.

The roads were selected in consultation with district councils, traditional leaders, black and white farmers, taxi and bus operators, and government departments including tourism, agriculture, health and education. These roads support the movement of people, social and economic products and services. In this new financial year, we will commit the national infrastructure allocation of R27m to the construction of access roads to support health and education facilities in rural areas. The communities will provide the labour content as part of our poverty alleviation strategy.

The R40m Provincial Capital Development Fund allocation will go to roads projects supporting the integrated social and economic plans targeted for the provincial development corridors as outlined in the Premier's speech with special attention to the Bophirima poverty alleviation focus. The funds will also be committed to the co-ordinated plans for the Kgalagadi cross-border municipal area cited in the President's speech. To meet our commitment to the policy of urban renewal, R66m will be spent on the rehabilitation and maintenance of selected existing roads.

Last year we built 98 school classrooms and other education related facilities at a cost of R14, 4m as well as 39 health facilities at a cost of R28, 1m. Our total maintenance expenditure was R67, 6m for both education and health in the past financial year. For the new financial year we will intensify the building of schools to ease the backlog of classrooms to the value of R108m. Health facilities remain one of our priorities and R124m will be spent in this direction. Infrastructure needs of the Traditional Administrations, upgrading of and construction of sports and social affairs facilities will be addressed as part of the integrated delivery strategy.

Maintenance of state property remains one of our primary focal activities. However, year after year the government cannot raise sufficient funds to meet the needs. We continue to study international best practices applied by our government counterparts in other countries to learn new solutions about managing maintenance particularly those approaches that involve the private sector investors.

In our business plan, we have measures designed to lower the cost of building construction, which include co-operative bulk buying of major consumables by SMME's. Through applications of appropriate technological innovations, low maintenance designs will be used to lower construction costs. Consideration will be given to the usage of locally manufactured good quality building materials to reduce haulage costs and to support down stream SMME's and Black Economic Empowerment. With the support of the Construction Industry Development training, local labour will be trained in appropriate building skills, which in the long run will include business skills training to sustain entrepreneurship.

The total value of state assets including office and residential buildings; road network infrastructure and state land in the province is estimated to have a replacement value of R21, 6 billion. The provincial government has the largest market share of property in the province having a portfolio of this size spread across the province. Thus far, we have firstly, achieved the compilation of a State Property Inventory, which is a list by which we can accurately identify the location of a government building and confirm government ownership of it in the deeds office. However, we recognize that an inventory of the property, whilst necessary, is not sufficient on its own to ensure the optimal management of the state's property portfolio.

Therefore, our second and next step is to create an Asset Register that reflects financial or market values of properties that must be updated continuously and be accounted for in the balance sheet of the department to meet the accrual financial accounting requirements of the Public Finance Management Act. Our third step is to create another critical maintenance management tool called a Facilities Register, which records the number of facilities in each building as well as the physical condition of those facilities such as air-conditioning plant and equipment, hot water geysers, etc. Both the Asset and Facilities registers, unlike the Property Inventory, contain information, which will require us to conduct regular updating in order to be compliant. The Tender Board is in the process of considering our application for the procurement of professional services to assist us to achieve these objectives.

One of our single biggest problem areas has been State-Owned Housing. The Executive Council has review its Resolution 7/2000 by adopting Schedule 7 of the Income Tax Act, 58 of 1962 formula with effect from the 1st July 2001. We will now impose an across the board monthly rental of R500.00 per house in the first 12 months and an increase to R700.00 in the next 12 months. We will restrict the provision of Subsidized State Housing to listed categories of specialized areas and from Director to Director-General level only. We will develop a structured and systematic process forward with the following salient features: Vigorous three months communication strategy starting on the 1st May 2001 e.g. Notices, Media etc.
* Systems update and upgrade with a trial run during the month of May and June 2001 e.g. Persal deductions
* Improved maintenance of earmarked remaining houses with effect from July 2001
* Adopt the Draft Bill on Land Disposal by end of June 2001 to dispose all redundant state residential properties.

We will continue to provide office accommodation to client departments consulting with them and supporting their restructuring plans to re-deploy staff closer to the clients in the districts. We are engaged in discussions with service providers to solve the existing problems in utilities management. The proposed solutions include implementing cost saving measures by these companies and being remunerated by a percentage of the savings thus realized. To optimise the management of the activities, IT applications will be introduced. We plan to unlock business opportunities in this area by identifying activities which can best be performed by the private sector and translate these into SMME's to meet the Black Economic Empowerment quota. At all times we will observe and respect the modalities of the Pietersburg Agreement between the state and public sector labour.

4.5 On the Government Motor Fleet

Government motor fleet has been plagued by fraud incidents of petrol cards. Apart from high success rates of recovery of funds by prosecution, we are installing smart chip technology in the petrol tanks of cars to monitor and disable any would be fraudulent transaction. The programme to improve our tariff structure through introducing the trading account will be finalized by October this year with the approval of treasury. The pool fleet system will be in place by May 2001. All processes will be optimised by IT applications once we have acquired the appropriate software in the market to improve our service delivery.

4.6 On Corporate Services

The crosscutting corporate services form the backbone support of our organization. We are driven by the pursuit of continuous service improvement and to that end we have measures in our Business Plan to improve service through innovation and transformation. The President calls for the application of IT, e-government to optimise service delivery. We intend to re-engineer our business processes to eliminate the inefficiencies currently bogging our delivery system through such applications of technology and to ultimately lower the costs of government services to the public. We will publish service delivery standards by which we will be judged by the public.

I need not pause to say how delighted I am to be part of an assembly of Team Transport, Roads and Public Works in whose hands lies the power to effect change and do us proud. However, we suffer from an unfinished absorption process creating anxiety amongst our most valuable asset - our staff members. Most of our staff members are uncertain of their future because they have not been designated nor assigned specific duties with associated delegations of authority based on a clear performance criterion. We will complete the absorption of staff, the formal structure, delegations and performance agreements by end of May 2001. We will be a learning organization with enough energy to train our staff through upgrading of skills, formal academic training in fields associated with our scope of work, information sharing in exchange programmes with other institutions.

I am proud to announce that last year we achieved the benchmark of paying contractors and consultants within 7 days of receiving their invoices and certificates provided they have submitted all required documents. Feed back from the industry indicates that emerging SMME's who are currently delivering in our roads projects are meeting their project deadlines mainly because of the availability of cash flow as a result of our prompt payment of invoices. By end of June this year, we will embark on a vigorous communication campaign to educate contractors and consultants on how best to avoid delayed payments and help us keep to our new record of seven working days payment. New contract designs to be introduced by June 2001 would inter alia include specified period of Sub-Contractor payment schedules and penalties thereto to the main contractor for non-compliance. If the state is able to advance payment within seven days after submission, there is no reason for sub-contractors not to be paid within the same period.

In this regard, our re-engineering plan includes setting up a dedicated Batho Pele Unit with fairly senior and experienced managers who will be deployed in the regional offices with staff to do client liaison. The Batho Pele Unit will receive, investigate and seek to redress the complaints of our clients and the general public.

4.7 Fight against HIV/AIDS

The Transport Sector has a crucial role to play as we come in to contact with millions of people every day and some of the people working in our sector are in the highest risk groups for exposure to infection by HIV/AIDS such as the road construction units within road camps migrating between their place of residence and place of work. We will continue to mobilize members of staff and the sector to undertake active participation in spreading the HIV/AIDS message.

At this stage, we are focused on prevention impact campaigns, for example the PWA campaign ("Persons living With Aids"), education and condom distribution as well as activity campaigns such as participation in the World AIDS Day. We have employed the gallant services of an AIDS/HIV activist Mr Isaac Menoe, he selflessly drives and co-coordinator programme and campaigns of "Persons living With AIDS". His stewardship and call to duty has resulted in an increased awareness and more public disclosure of cases. We will eventually create an environment and climate in which people living with AIDS will comfortable disclose their status as per their choice and continue to work in a protected conducive environment. Where people will be supported, and can play an important role in educating their colleagues.

5.BUDGET PROGRAMME BY PROGRAMME

1. Administration: 99,836, 000
2. Transport Services: 19,055, 000
3. Road Safety and Traffic: 71,738, 000
4. Roads Services: 183,256, 000
5. Building Services: 111,333, 000
6. Community Based Public Works Programmes: 28,000, 000
7. Property and asset Management: 90,826, 000
8. Government Fleet: 88,826, 000
9. Improvement of Conditions of service: 15,498, 000

6. CONCLUSION

Chairperson, in conclusion, I have always admired the boldness, courage and conviction of our freedom forbearers. I have been struck by the way they stood for their principles in ever trying times. Their flames of aspired democracy illuminated more than the western skies; they cast light on the imperfections of the South African Social, Economic and Infrastructure setting and the tragic shallowness of the racial policy that resulted in black school going children having to walk long distances to access schools to mention but a few. The Honourable Premier has not failed this political relay and I wish to extend my sincere appreciation for the gentleness and respect in which he leads us. His ability to combine courage and courtesy when its time to take a stand has been an enabling gesture.

Colleagues in the Executive Council who deserves credit not only for conception, but also for delivery of the final product; the new HOD Mr Martin O. Sebakwane, Management and Staff who provided fugitive documents and worked together to produce both the Budget Speech and the Business Plan. Their commitment to scholarly integrity and the rebuild of the North West Province and our Country is admirable and greatly appreciated. Again let me reiterate what I said earlier- we have a plan! We have a Plan! We have a Plan To Deliver!

For the Chairperson of the Standing Committee, Mr Percy Dyonase and esteemed members. I am not going to thank you because your job has just begun. Be critical of our plan, monitor it and motivate its implementation.

To my wife, Shirley; daughters, Keabetswe, Botlile, Leago, Bokamoso; and my son, Mzwakhe who remind me daily why it matters to get the policies right and contribute to the birth of a new world towards which all of us must strive.

I thank you.

Issued by Transport, Roads And Public Works, Northern West

3 April 2001