1. DEPARTMENT OF TRANSPORT
PORTFOLIO COMMITTEE ON TRANSPORT
PERFORMANCE AND EXPENDITURE SECOND QUARTER 2016 / 17 1

2. Contents Overall Performance Overview Analysis Per Programme
Areas of Non Achievement
Expenditure Per Programme
Expenditure Per Economic Classification
Transfer Payments

3. Overall Performance Number of Planned Targets: 52
Number of Targets Achieved: 33
Number of Targets Not Achieved: 19
Overall Percentage: 63%

4. Analysis Per Programme
TOTAL NUMBER OF Q2 TARGETS
NUMBER OF TARGETS ACHIEVED
NUMBER OF TARGETS NOT ACHIEVED
PERFORMANCE LEVEL
ADMINISTRATION (ODG, COO, TIS, CFO) 10 7 3
70%
INTEGRATED TRANSPORT PLANNING 4
57%
RAIL TRANSPORT 6 5 1
83%
ROAD TRANSPORT 9
44%
CIVIL AVIATION 8
87%
MARITIME TRANSPORT 0%
PUBLIC TRANSPORT
85%
TOTAL 52 33 19
63%

5. Areas of Non Achievement: Programme 1
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Number of Community outreach Campaigns conducted on Gender, Disability, Youth and Children (GDYC)
Seven(7) Community Outreach Campaigns conducted
Conduct two (2) Community Outreach Campaigns
Two (2) Community Outreach Campaigns conducted -
Not Achieved
Outreach not conducted by the relevant unit. According to minutes provided, they were attendees to the reported campaigns

6. Areas of Non Achievement: Programme 1: Administration
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Founding legislation of Transport Public Entities reviewed by March 2018
Inception Report for the Review of Founding Legislations of Transport Public Entities developed
Conduct stakeholder consultations and incorporate inputs to finalise the approval of technical specifications
No information provided

7. Areas of Non Achievement: Programme 1: Administration
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
DoT Risk Management Strategy implemented
DoT Risk Management Strategy developed and monitored
Submit the Risk Management Strategy to EXCO for approval
Risk Management Strategy submitted to EXCO
Not Achieved
Risk Management Strategy awaits EXCO approval
Strategy to be presented to EXCO in the next quarter (17 October 2016)

8. Programme 2: ITP PERFORMANCE INDICATOR 2016/17 ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
White Paper on the National Transport Policy submitted to Cabinet by March 2017
Submit the White Paper on the National Transport policy to Cabinet
Conduct public consultations on the White Paper
 Draft Revised White Paper at presented to EXCO and the DG ESEID Cluster.
 Not Achieved
DG Cluster ESEID decision to have a bilateral with DPE prior to presenting at Cabinet.
Cabinet presentation to take place in November 2016.
A date has been set with DPE for 6th October 2016.

9. Programme 2: ITP
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Regional Transport Integration Market Access Strategy for SA developed by March 2017
Regional Transport Integration Market Access Strategy for SA developed
Conduct Literature Review and Benchmarking against similar strategies
Literature Review and Benchmarking not conducted as targeted
Not Achieved
Project delayed due to internal procurement processes
Processes to be re-arranged and fastracked in the next quarters
Harrismith Hub framework implementation plan submitted to Cabinet by March 2017
Harrismith Hub Framework Implementation Plan submitted to Cabinet
Develop Draft Harrismith Hub Framework Implementation Plan
Bid Proposal has been received

10. Programme 3: Rail Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
National Railway Policy submitted to Cabinet by March 2017
White Paper on the National Rail Policy submitted to cabinet
Conduct stakeholder consultations on the Final Draft National Rail Policy White Paper
Stakeholder consultations not conducted as targeted
Not Achieved
New issues emerged that need to be investigated
Research is currently being done on the new issues that arose

11. Programme 4: Road Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 1 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Road
Accident Benefit
Scheme (RABS) submitted to Cabinet by March 2017
Road Accident Benefit
Scheme (RABS) Bill
submitted to Cabinet
Conduct Consultation with the Department of Monitoring and Evaluation on the proposed legislation amendments
Consultation with the DPME not conducted as targeted
Not Achieved
The SEIAS certificate is outstanding from the Department of Performance and Monitoring Evaluation.
Consultation will resume once the SEIAS certification process has been finalised

12. Programme 4: Road Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Road Safety Strategy for South Africa submitted to Cabinet by September 2016
Road Safety Strategy submitted to Cabinet
Submit the Road Safety Strategy to Cabinet
Cabinet Memorandum has been prepared for submission of the Strategy to Cabinet
Not Achieved
None
Active Vehicle Testing Centers (VTCs) inspected in line with National Road Traffic Act, Act 93 of 1996
540 VTSs inspected;
140 VTCs
140 Vehicle Testing Stations inspected and report compiled
September information is still outstanding. VTS’s have time to respond to the reports. Only after response times are passed are reports finalised.

13. Programme 4: Road Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Active Driving Licence Testing Centers (DLTCs) inspected in line with National Road Traffic Act, Act 93 of 1996
400 DLTCs inspected;
100DLTCs
118 Driving Licence Testing Centers Inspected and reports compiled
Not Achieved
Requests are received from Provinces for regarding:
Ad hoc inspections, Site evaluations (new and already registered DLTCs) and Preliminary investigations .Thus led to increased inspections over the anticipated target.

14. Programme 4: Road Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Active Dangerous Goods Operators (DGOs) inspected in line with National Road Traffic Act, Act 93 of 1996
140 DGOs inspected
35 DGOs
149 Dangerous Goods Operators inspected and report compiled
Not Achieved
Normal trend is to conduct inspections, training of traffic officers, inspecting training bodies and perform joint operations, however this quarter the focus was on more onsite inspections.

15. Programme 5: Civil Aviation
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Airports
Company and ATNS
Amendment Bills submitted to
Cabinet by March
2017
Airports Company and ATNS
Cabinet
Submit the Amendment Bills for Ministerial approval
A submission requesting approval of the progress on the Airports Company and ATNS draft Amendment Bills, 2016 was submitted to the Minister.
Not Achieved
Due to the SEIAS process that was introduced, the submission of the Amendment Bills was delayed.
Airports Company draft Amendment Bill, 2016 presented at the NEDLAC Task Team on 18 August 2016
Comments on the Airports Company draft Amendment Bill, 2016 were made by the NEDLAC task team report
The Airports Company and ATNS draft Amendment Bills, 2016 were updated to incorporate the comments of the NEDLAC’s Development Chamber Task Team.
Terms of Reference for NEDLAC’S Trade and Industry Chamber Task Team for clause by clause discussion of the ATNS Draft Amendment Bill

16. Programme 6: Maritime Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Maritime Transport Policy submitted to Cabinet by March 2017
The draft Maritime Transport Policy submitted to Cabinet
Publish the draft Maritime Transport Policy for public comments
Socio economic Impact Assessment Report signed off by the DPME
JCPS Cluster support secured on the 04th of October 2016
Not Achieved
Delays in securing Cluster decision to present to Cabinet prior to public consultations
ESEID Cluster considering the matter on 12/10/2016
Merchant Shipping Bill, 2016 submitted to Cabinet by March 2018
Draft Merchant Shipping Bill (2016) developed
Develop inception report
RFP Tender published and Compulsory briefing conducted
Delays in advertising the RFP tender
Accelerate the adjudication process upon the closing of the RFP Tender.

17. Programme 6: Maritime Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Inland Waterway Strategy submitted to Cabinet by March 2017
Inland Waterway Strategy submitted to Cabinet
Present the Inland Waterway Strategy to the Portfolio Committee on Transport
No progress provided
Not Achieved
Strategy development handed over to SAMSA
Work with SAMSA on the strategy
IMO World Maritime Day Parallel Event hosted by March 2020
Project Plan for the 2020 IMO World Maritime Day Parallel Event developed
Convene an inaugural meeting for the IMO 2020 World Maritime Day Parallel Event
The meeting rescheduled due to low percentage of confirmations.
A low percentage of confirmations by the stakeholders
A meeting has to be re-scheduled, now taking place on the 27th of October 2016

18. Programme 6: Maritime Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Infrastructure support for Operation Phakisa Ocean Economy established by March 2017
Infrastructure for the DoT Marine Manufacturing Delivery Unit established
Convene inaugural Steering Committee meeting
Inaugural Steering Committee Meeting not convened as targeted
Not Achieved
Awaiting the date with the Minister to endorse the date of the meeting.
Continuously engage with the Ministry to secure the date for the meeting

19. Programme 7: Public Transport
PERFORMANCE INDICATOR
2016/17
ANNUAL TARGET
QUARTER 2 TARGET
PROGRESS
SELF-ASSESSMENT
REASON FOR DEVIATION
CORRECTIVE MEASURE & ADDITIONAL COMMENTS
MODERATED ASSESSMENT PERFORMANCE
RATING
Rural
Transport Strategy
submitted to Cabinet By March
2017
Rural Transport Strategy submitted to Cabinet
Submit final draft strategy to Cabinet
The final reviewed strategy was tabled at FOSAD and it technical working committee
Not Achieved
FOSAD social cluster instructed that the department consult with FOSAD economic cluster and hold parallel meetings with more departments
Consult with FOSAD other clusters forums, convene parallel meetings and cost the strategy before it is submitted to Cabinet

20. Expenditure 2nd quarter
Expenditure per Programme
Programme
Budget
Cashflow projection
Expenditure 2nd quarter
Available
Under / (Over) spent
% Spent
R'000
1. Administration
394,763
196,149
147,455
247,308
48,694
37%
2. Integrated Transport Planning
78,954
38,403
29,839
49,115
8,564
38%
3. Rail Transport
18,985,533
8,002,872
7,997,266
10,988,267
5,606
42%
4. Road Transport
24,525,567
13,202,268
13,310,665
11,214,902
(108,397)
54%
5. Civil Aviation
253,223
82,977
75,426
177,797
7,551
30%
6. Maritime Transport
121,733
65,765
66,091
55,642
(326)
7. Public Transport
11,655,390
4,042,357
3,999,495
7,655,895
42,862
34%
Total Department
56,015,163
25,630,791
25,626,237
30,388,926
4,554
46% 20

21. Expenditure per Programme (Continued)
Administration
Under spent by an amount of R49 million was mainly due to the outstanding invoices for the lease of office accommodation as a result of dispute with the service provider; slow filling of critical vacant post as well as delays in the procurement processes for the events and protocol management project.
Integrated Transport Planning
Under spent by an amount of R8 million mainly due to non-spending in the following projects: National Transport planning databank, Harrismith Hub, Transport Sector Economic Regulator as well as green transport strategy. Funds will be reprioritised to other projects.
Rail Transport
Under spent by R6 million mainly due to non-spending in the following projects: Moloto development corridor (funds will be reprioritised to the Establishment of the Rail Economic Regulator project), Interim Rail Economic Regulatory capacity, White Paper on Rail Transport, National Rail Safety Strategy and Rail Safety Amendment Bill. 21

22. Expenditure per Programme (Continued)
Road Transport
Overspending of R109 million on goods and services was mainly due the cost of the unfunded mandate of maintaining and operating the Electronic National Traffic Information System (eNaTIS) of which by the end of September an amount of R225 million has already been paid; however other goods and services project such S’hamba sonke and road policy projects are underspending due to outstanding invoices.
Underspending on transfers and subsidies was due to the following:
Rural Road Asset Management Grant (RRAMS) to several municipalities was withheld due to non-compliance as well as the revision of the payment schedule.
Withholding of the second tranch payment to the Road Traffic Management Corporation (RTMC) .
Civil Aviation
Underspending in transfer payments was mainly due to the delays in the transfer payments to the South African Maritime Safety Authority: Marine Rescue Coordination Centre.
Under expenditure on goods and services is due to delays in expenditure on Committees, National Airports Development Plan and White Paper on Civil Aviation.
An amount of R100 million was included in the budget for for a new Satellite Tracking System. The programme indicated that it might not be able to spend the amount by the end of the financial year (earmarked allocation). 22

23. Expenditure per Programme (Continued)
Maritime Transport
To date of reporting the programme’s actual expenditure is on par with the projected expenditure however Funds amounting to R40 million will have to be shifted to cover shortfalls as a result of the cost of incidents that the service provider had to respond to if funds are not allocated on the Adjusted Budget.
Public Transport
The under spending of R 42 million was mainly due to non spending on a number of projects such the review of taxi recapitalisation model, implementation of IPTN in district municipalities and the Shova Kalula bicycle project. 23

24. Expenditure per Economic Classification
Budget
Cashflow projection
Expenditure 2nd quarter
Available
Under / (Over) spent
% Spent
R'000
Compensation of Employees
437,139
217,140
190,998
246,141
26,142
44%
Goods and Services
754,915
334,088
451,424
303,491
(117,336)
60%
Transfers & Subsidies
54,818,777
25,076,711
24,980,118
29,838,659
96,593
46%
Machinery and Equipment
4.332
2,852
3,685
647
(833)
85%
Payment for financial assets - 12
(12) 0%
Total Department
25,630,791
25,626,237
30,388,926
4,554 24

25. Expenditure per Economic Classification (Continued)
Compensation of Employees
Under spent by R26 million mainly due to the due to slow filling of critical vacant posts of which once off additional funding was provided by National Treasury. The delay on filling of post is due to no carry through of fund in the coming financial years. The department is still engaging National Treasury.
Goods and Services
Over spending of R117 million was mainly due to the cost of the unfunded mandate of maintaining and operating the Electronic National Traffic Information System (eNaTIS).
The Department is under spending on other projects across programmes as indicated under Expenditure per Programme.
Transfers & Subsidies
Under spent by R96 million due to withholding of transfer payments; revision of payment schedules for conditional grants as well as delays in other transfer payments. 25

26. Transfer Payments 26 Transfer Payments (R'000) Budget Expenditure
Available
% Spent
Conditional Grants:
Provincial Roads Maintenance
57%
Public Transport Operations
43%
Public Transport Network
25%
Rural Road Asset Management
35 404
66 110
35%
Public Corporatios:
Passenger Rail Agency of South Africa (PRASA)
33%
Departmental Agencies & Accounts:
S.A. National Roads Agency
64%
Road Traffic Management Corporation
48 465
Railway Safety Regulator
55 987
100%
S.A. Civil Aviation Authority
21 191
10 596
10 595
50%
Ports Regulator of South Africa
28 561
14 281
14 280
Road Traffic Infringements Agency
10 093
5 046
5 047
Maritime Rescue Co-ordination Centre
7 586 0%
Transport SETA
1105
1054 51
95%
Sub-total
46% 26

27. Transfer Payments (Continued)
Transfer Payments (R'000)
Budget
Expenditure
Available
% Spent
Other:
Taxi scrapping
49%
Non Profit Institutions
2 542 0%
South African National Taxi Council
20 275
12 000
8 275
59%
Higher Education Institutions
9 939
4 108
5 831
41%
International Organisations
11 163
11 476
(313)
103%
Leave pay and donations
178
1 295
(1 117)
728%
Sub Total
51%
Total
46% 27

28. SPENT BY THE PROVINCES TO AUGUST 2016 % ON TRANSFERRED EXPENDITURE
PROVINCIAL ROAD MAINTENANCE GRANT
PROVINCES
ALLOCATION
TRANSFERRED BY SEPTEMBER 2016
SPENT BY THE PROVINCES TO AUGUST 2016
AVAILABLE BUDGET
% ON TRANSFERRED EXPENDITURE
R'000
Eastern Cape
599,475
613,634
52%
Free State
536,124
377,409
70%
Gauteng
223,941
250,210
50%
KwaZulu-Natal
677,806
900,669
53%
Limpopo
593,516
415,952
58%
Mpumalanga
597,760
756,426
54%
Northern Cape
420,187
336,637
63%
North West
292,342
428,670
51%
Western Cape
318,736
337,357
59%
TOTAL
4,259,887
4,416,964
57% 28

29. SPENT BY THE PROVINCES TO AUGUST 2016 % ON TRANSFERRED EXPENDITURE
PUBLIC TRANSPORT OPERATIONS GRANT
PROVINCES
ALLOCATION
TRANSFERRED BY SEPTEMBER 2016
SPENT BY THE PROVINCES TO AUGUST 2016
AVAILABLE BUDGET
% ON TRANSFERRED EXPENDITURE
Eastern Cape
76 967
48%
Free State
99 854
43%
Gauteng
KwaZulu-Natal
44%
Limpopo
41%
Mpumalanga
Northern Cape
49 096
20 280
15 825
28 816
North West
42 686
28 363
58 239
42%
Western Cape
Unallocated -
Total 29

30. TRANSFERRED BY SEPTEMBER 2016
PUBLIC TRANSPORT NETWORK GRANT
MUNICIPALITY
ALLOCATION
TRANSFERRED BY SEPTEMBER 2016
AVAILABLE BUDGET
% ON TRANSFERRED
R'000
EC: Buffalo City
35 289
13 000
22 289
37%
FS: Mangaung
30 142
15%
GT: City of Tshwane
25%
GT: Ekurhuleni
GT: City of Johannesburg
KZN:Msunduzi
37 349
19%
KZN: eThekwini
26%
LP: Polokwane
50 026
MP: Mbombela
50 058
NW: Rusternburg
71 262
WC: George
27 444
79 000
WC:City of Cape Town
Overall Total 30

31. Thank you 31