Office of the Director-General a DoT response to PCOT PCOT budget review and recommendations report (BRRR) 17 March 2015

1.Introduction 2.DoT Response 7.1 Adherence to SMART principle 7.2 Recommendations of the Auditor-General 7.3 Contract Management 7.4 Handover of eNatis 7.5 Human Resource Management 7.6 Oversight on Public Entities 7.7 Prioritisation of financial sustainability of Entities 7.8 Alignment of SP and APPs to NDP 7.9 Legislative Programme Reporting Requests (Written Response) Contents

DoT and Entities tabled annual reports 13/14 during October 2014 PCOT made comments and these are captured in the BRRR dated 24 October 2014 Each Branch and Entity work is interrogated Responses are provided for cross-cutting recommendations DoT provides responses, and submits written information 1. Introduction

7.1 Adherence to SMART principle DoT Strategic Plan and APP 2015/16 tabled in Parliament on 11 March 2015 Specific and measurable with all indicators defined Technical indicators description tables have been completed as per NT Framework on SP and APP Admissible evidence for all quarterly and annual targets in the APP predetermined and quality assured APP aligned to the approved ENE for optimal allocation of resources for planned targets All targets are within the control of the DoT Targets have a quarterly and annual timeline for achievement 2. DoT Response

7.2 Recommendations of the Auditor-General AG recommendations are being implemented Audit Committee (AC) is attending to the matter with ongoing monitoring Internal Control Unit (CFO) follows up on all internal audit and AG recommendations for implementation Regular report is presented to AC quarterly 2. DoT Response

7.3 Contract Management Procurement Plan has been developed and being consulted with National Treasury for approval. National Treasury has issued guidelines on SCM procurement to Departments and entities to implement. In those entities where the Auditor-General has identified shortcomings will be monitored by the Department quarterly. 2 DoT Response

7.4 Handover of eNatis eNatis contract expires on 30 April 2015 Project Management Handover Plan is being implemented Process guided by Task Team of the Shareholder Committee chaired by FS MEC: Police, Roads and Transport Plan focus areas: operational issues post expiry of existing contract, information technology, facility and facility management Risk management plan has been developed Communications plan is in place Financial plan implemented to address such implications 2 DoT Response

7.5 Advertising and filling in of vacant posts DoT is institutionalising the vacancy rate to 10% SMS members will commit to targets on their Performance Agreements in 2015/16 performance cycle Vacancy rate reduced from 26.52% - 01 April 2014 to current 22.01% Total establishment has 864 funded posts, 197 vacant 87 posts added in the current financial year – increase in vacancy rate 119 vacancies filled from 01 April 2014 todate – includes internal promotions Filling of vacancies – standing agenda item at Exco and SMC 2 DoT Response

7.5 Advertising and filling in of vacant posts 159 posts advertised from April 2014 todate 111 posts were shortlisted from April interviews were conducted from April 2014 Key vacant posts are: 4 DDGs, 11 CDs with 3 DDGs awaiting shortlisting and 3 CDs set for interviews 2 DoT Response

7.6 Oversight over Public Entities The Department has now consolidated its approach to public entity oversight A new Chief Directorate will be introduced in the Office of the Director-General to address this matter in a holistic manner Minister granted approval for the creation of posts in the DoT structure National Treasury allocated funds to DoT to create additional capacity for PEO and Grants 2 DoT Response

7.7 Prioritisation of financial sustainability of Entities A mechanism is being established to assist entities that have financial resources challenges Financial oversight analysis over entities is performed quarterly and those entities where there is potential financial sustainability problems are identified Most entities receive majority of its revenue through the levies and tariffs that are imposed and these entities are able to conduct their operations. If there is a potential financial sustainability problem identified, Department would engage with the Entity and Treasury Funding Strategies have been developed and submitted to DoT. Includes entities such as Ports Regulator and CBRTA 2 DoT Response

7.8 Alignment of SP and APPs to NDP DoT and Entities SP and APPs 2015/16 tabled on 11 March 2015 Planning Frameworks aligned to NDP and MTSF Plans respond to Outcomes 4, 6, 7, and 10 as per Minister’s Delivery Agreement 2 DoT Response

7.9 Legislative Programme 2015 DoT legislative programme 2015 presented to PCOT Three sets of legislation due for tabling in 2015: (a)Merchant Shipping Bill 2015; (b) Administrative Adjudication of Road Traffic Offences Amendment Bill 2015 (c)National Land Transport Amendment Bill 2015 Legislation at drafting stage are: (a) Road Accident Benefit Scheme Amendment Bill 2015; (b) Airports Company Amendment Bill 2015; (c) Air Traffic and Navigational Services Company Amendment Bill 2015; (d) Single Transport Economic Regulation Bill 2015; (e) Ship Registration Amendment Bill 2015; (f) Road Traffic Amendment Bill DoT Response

PRASA – a written plan from PRASA on the Turnaround strategy to address AG recommendations. Plan on introduction of new rolling stock – received Ports Regulator – Development of draft Funding Strategy C-BRTA – Development of Draft Funding Strategy – received DoT Legal services – Legislation status report - presented DoT Civil Aviation – Report on Upper Airspace Management in SADC region – received DoT Finance – Procurement plan for FY15/16 – with NT for approval RTMC – Turnaround strategy to address AG recommendations – received 3. Reporting Requests (Written Response)

Thank you Ends