‘Unconscionable’ to return money to Treasury instead of fixing potholes – Creecy

Transport Minister Barbara Creecy says “immediate attention” will be given to the “critical issue” of the underspending of funding allocated to road maintenance and road construction by both Department of Transport (DoT) entities and provincial transport departments. 

“In a country where citizens must daily navigate the hazards of potholes it is unconscionable that we are returning money to National Treasury.”

Tabling the budget vote for her department on Monday, the newly appointed Minister noted that her first task was to stabilise the country’s transport system – “given the current status of the transport sector” – and to ensure that the DoT was “fit to fulfil its policy-making and regulatory role”.

“In recent times there has been a disconnect between this vision and the realities of our transport system and our national Transport Department.

“Our sector is not operating as either an effective economic facilitator, or as a much-needed social service,” noted Creecy.

In summarising the woes facing South Africa’s creaking transport system, she said the 2020 National Household Travel Survey found that the declining availability of rail services meant many households were forced to rely on more expensive methods of transport.

“In the aftermath of the Covid 19 pandemic the freight system was characterised by long delays in the movement of key bulk minerals, containers and vehicles,” she added.

“Dysfunctional port terminals resulted in long waiting times for ships wishing to berth, as well as congestion at strategic border crossings and key national highway corridors.

“Our freight rail system was characterised by maintenance backlogs, cable theft and skills shortages.

“Our road systems deteriorated throughout the country and many provinces failed to execute maintenance and new build programmes, resulting in unspent funds being returned to National Treasury.”

While applauding the much-needed work of the National Logistics Crisis Committee (NLCC) “as a coordinated, integrated response to meet the scale of the crisis”, Creecy added that a key priority for the next financial year would be the stabilisation and improved governance of the DoT and its entities.

“With regards to the department, critical vacancies will be assessed and appointments made to fill important posts.”

Rail Policy ‘Planning Component’
Creecy said on Monday that the Rail Policy, approved by Cabinet last year, “must be implemented with speed so that the country’s railway sector could be revitalised”.

“Commuter rail must become the backbone of the transport system. We must harness the potential of our freight rail infrastructure to foster long-term, sustainable economic growth.”

Creecy said a “planning component” would be established to consider the strategic value of branch lines and to unlock State and private investment in lines which had “economic potential and logistics capacity”.

“The planning component will assist in furthering the expansion and regional integration of our rail network and ensure gradual compliance with standards such as the African Union resolution on standard gauge.”

In December, last year, under the auspices of the Freight Logistics Roadmap, government approved the development of a framework for private-sector participation (PSP), added Creecy.

“This framework will identify suitable areas for PSP in rail and ports and outline structural and contractual requirements to enable such participation. 

“The future PSP unit will be established with the necessary skills and expertise in the design, negotiation and contracting of projects so that innovative practices can assist us to solve current and future logistics challenges.”