SANRAL Infrastructure Presentation to the Select Committee NCOP

SANRAL Infrastructure Presentation to the Select Committee NCOP Nazir Alli 28 May 2003

Content National Road Network • • • Age Management Cycle Budget Procedure Expenditure details Escalation Poverty Alleviation Unsolicited Bids

Agreement with Provinces • Financial 2003/2004 – 2200 km • Financial 2004/2005 – 2700 km • Future 5300 km

ZIMBABWE National Roads – Non Toll - 5, 300 km National Roads – Toll (1, 900 km) – 7, 200 km Musina MOZAMBIQUE Makhado National Roads – 2003 (2, 200 km) – 9, 400 km National Roads – 2004+ (2, 700 km) – 12, 100 km Polokwane Mogalakwena Bela BOTSWANA Lobatse Nelspruit Pretoria Mafikeng Maputo Witbank Johannesburg NAMIBIA Mbabane SWAZILAND Vereniging Potchefstroom Klerksdorp Vryburg Kroonstad Hluhluwe Welkom Harrismith Upington Winburg Kimberley Vioolsdrif Richards Bay Bloemfontein Springbok Maseru Pietermaritzburg LESOTHO Garies De Aar Colesberg Durban Aliwal North Margate Umtata Middelburg Queenstown Cradock Beaufort West Bisho East London Grahamstown Oudtshoorn Worcester Cape Town Strand Swellendam George Mossel Bay Port Elizabeth

Pavement Age of National Roads 0 -5 Years 6% 6 -10 Years 8% 11 -15 Years 17% 16 -20 Years 11% > 21 Years 58% 19% = Toll 81% = Non-Toll

Asset Management Cycle Policies Policy Research Performance Monitoring Implementation Operations Asset Management Information • • Inventory Condition Resources Treatments Productivity Unit Costs Economic parameters Finance and Resources Project Preparation Planning Classification and Standards Needs Assessment Programming

NRA Budgeting Procedure Visual Instrumental Data Bridge Inspections Traffic RUE RDME RUE PMS BDME CBA Priority List Pavement Management System BMS CBA Priority List Bridge Management System Super Project List Budget Optimisation Eastern Programming Northern Programming Southern Programming Western Programming

Expenditure 2003/04 - Details Non-Toll

Expenditure 2003/04 - Details Toll

100 Mar-03 Feb-03 Jan-03 Dec-02 Nov-02 Oct-02 Sep-02 Aug-02 Jul-02 Jun-02 May-02 Apr-02 Mar-02 Feb-02 Jan-02 Dec-01 Nov-01 Oct-01 Sep-01 Aug-01 Jul-01 Jun-01 May-01 Apr-01 Mar-01 Feb-01 Index Value (Base 100 = 2000) Indices Comparison 150 140 130 CPI Index PPI Index 120 CPA Index 110 YEAR Source: www. statssa. gov. za

YEAR Feb-03 Nov-02 Aug-02 May-02 Feb-02 Nov-01 Aug-01 May-01 Feb-01 Nov-00 Aug-00 May-00 Feb-00 Nov-99 Aug-99 May-99 Feb-99 Nov-98 Aug-98 May-98 Feb-98 Nov-97 Aug-97 May-97 Feb-97 Nov-96 Aug-96 May-96 Feb-96 Nov-95 Aug-95 May-95 Price @ Durban (Rand/Ton) Bitumen Price Escalation R 2, 400. 00 R 2, 200. 00 R 2, 000. 00 R 1, 800. 00 R 1, 600. 00 R 1, 400. 00 R 1, 200. 00 R 1, 000. 00 R 800. 00 R 600. 00 Source: www. sabita. co. za

Poverty Relief 1999 - 2000 • Allocation : R 100 m • Type of projects : road upgrading and drainage Spend • Limpopo Province : R 44 m • Eastern Cape : R 48 m

Poverty Relief 2001 - 2004 • Allocations • 2001 – 2002 : R 94 m • 2002 – 2003 : R 100 m • 2003 – 2004 : R 100 m • Spend to date : R 86 m • To spend in 2003 : R 104 m

Poverty Relief 2001 – 2004 • Type of projects • Road safety • Sidewalks • Bus & Taxi bays • Road safety education • Weed eradication • Nurseries • Upgrade of roads and drains • Gravel roads • Bridges • Road over river • Pedestrian Bridges

Rural Nodes

Poverty Relief National Summary 2001 – 2004 Allocation & Expenditure Description Total Estimate Actual to Date R 243, 328, 643 R 85, 560, 043 Design R 16, 741, 918 R 7, 145, 945 Supervision R 23, 400, 962 R 8, 219, 432 Construction Incl. A, B, C & D R 203, 185, 762 R 70, 194, 665 R 36, 181, 696 R 17, 479, 648 R 54, 063, 665 R 42, 413, 622 R 5, 922, 680 R 2, 319, 313 Total A Labour Max. B ABE Utilisation C Training Budget R 225, 320, 963

Poverty Relief National Summary 2001 – 2004 Expenditure

Poverty Relief National Summary 2001 – 2004 ABE Utilisation

Poverty Relief National Summary 2001 - 2004

Poverty Relief National Summary 2001 – 2004 Progress

Provincial Summary 2001 - 2004

Rural Nodes

Introduction • The NRA’s Unsolicited Proposal policy • Provides Public Sector with a framework • Conformance with Government aims • Public private partnerships

1 M CONCERNS Agency considers if interested IDENTIFIES RISK PROPONENT RECEIVE UNSOLICITED PROPOSAL ANNOUNCE PROPOSAL GIVE PROPONENT Scheme Developed in conjunction with Agency and other Authorities : Scheme Developer addresses concerns, then develops scheme AGENCY ACCEPTS • Set Max Toll and Plaza Positions 9 MONHTS • Environmental up to EMP 21 MONTHS AS NEGOTIATED RISK TRANSFER SCHEME DEVELOPER STATUS • Public Participation • Economic / Social etc • Info Provided 3 M • Format S. D. Compiles documentation under Agency supervision INVITE TENDERS 2 M Agency Answers Questions TENDER CLOSE 2 M Agency Evaluates SELECTED TENDERERS Evaluates Scheme Developer submits BAFO with other(s) 1 M Agency PREFERED TENDERER 3 M TO PREVIOUSLY NEGOTIATED AMOUNT IF SCHEME DEVELOPER UNSUCCESSFULL - REIMBURSED PREPARE TENDER DOCUMENTS Negotiations FINANCIAL CLOSE SANRAL MAY 1999

The Role of the NRA • Calling for Tenders • Statutory obligation within terms of the Act for Toll Roads • Adjudicating, negotiating and awarding the Tender • Review/comment on Technical content of the proposal/project • Provide information on existing and pending planning on applicable routes and agreements

The EIA Process • Environmental Studies • Independent Environmental Consultants • EIA Regulations • Two Phases: Scoping Study in initial phase

The EIA Process • Public Participation and tolling • Public Participation Process in terms of ECA Used to raise Objections regarding tolling • Commercial Sensitivity of Tenders • What is solution?

The EIA Process • Public Participation Process • Important Component • Opportunity to submit issues and concerns • Tremendous time and effort • Databases • BID Documents

The EIA Process • Public Participation process • Seldom 100% Consensus • How much consultation is enough consultation? • Balanced and Integrated Approach

Tolling Process • Public Participation and Tolling • • • Declaration of Intent Notice in Government Gazette Premiers Every Local Authority News papers

Tolling Process • Public Participation and Tolling • • Objections Consideration and answers Minister declares Toll Road Minister approves Tariffs