30 June 2025

A functional and integrated transport infrastructure is essential to South Africa’s social and economic development, according to the National Development Plan (NDP). It seeks to accomplish this by creating and maintaining competitive and effective transportation infrastructure, such as public transportation, railroads, and highways. The NDP also emphasizes the necessity of better public transportation services and the smooth integration of various types of transportation. The African National Congress (ANC) in South Africa (SA) seeks to Implement an Integrated Transport System in SA through the Government of National Unity (GNU) which will further enhance Trade and Tourism through Civil Aviation.

During the 2024 Medium-Term Expenditure Framework (MTEF) period, the Air Traffic and Navigation Services Company was provided with R422 million (R204 million in 2024 to 2025 and R218 million in 2025-2026) was set aside for the corporation to modernize its navigational systems in order to guarantee that it would continue to fulfil its purpose. It is anticipated that total spending will rise from R2 billion in 2024 to 2025 to 2.5 billion in 2027 to 2028 at an average annual rate of 7.4 %. Employee compensation is expected to make up to an amount R4.4 billion of total expenditures in the upcoming term, whereas spending on goods and services is expected to make up to an amount of R1.9 billion. It is then important for us as government to have legislations and policies that will be suitable for the implementation of programs through this budget.
The organization in is nature is self-funded and anticipates that, over the medium term, it would provide calibration and aeronautical services to the aviation industry, mostly through approach and enroute fees, accounting R7 billions of its revenue. It is anticipated that total revenue will rise from R2 billion in 2024 to 2025 to R2.6 billion in 2027 to 2028 at an average annual rate of 8.9%. Through the Department of Transport (DoT) we must strive to provide a regulatory framework that will be sustainable, safe and provide an effective transportation system for our people and products using a variety of modes. When it comes to South African Airways expenditure is expected to move from an amount of R10.8 billion in 2024 to 2025 to R24.5 billion in 2027 to 2028, expenditure is anticipated to rise at an average annual rate of 31.5%, primarily due to increased and optimized operations. Over the medium term, spending on goods and services is expected to make up R58.5 billion of total expenditures, mostly due to fuel, aircraft leasing, maintenance, and associated expenses. Employee compensation amounts to R4.5 billion and the workforce is expected to grow from 1,888 in 2024 to 2025 to 1,951 in 2027 to 2028.

This is because as government we want to concentrate on achieving competitive advantage in trade and this can be achieved by route expansion, expanded airlift capacity and strategic alliances. Our country through the GNU is employing air transportation to broaden its reach into international markets. In order to draw tourists and enterprises, the government is attempting to increase the number of foreign airlines, enhance access to different places and advertise its distinctive experiences. Road infrastructure and safety becomes imperative for our economy and social wellbeing of people, imports and exports both significantly influence our success in trade through an efficient transport system.
Road infrastructure and safety also promotes human connection and tourism while facilitating regional integration. The government’s goal to promote economic growth and job creation includes improving the nation’s transportation infrastructure. In order to finance the priorities of many plans aimed at maintaining and improving the provincial road network and associated assets, the provincial roads maintenance grant is divided into two parts: maintenance and refurbishing. An amount of R1.4 billion will be used in the period 2025-2026 to complete the construction of 96 bridges as part of the Welisizwe rural bridges program, the grant’s R53.1 billion in distributions over the MTEF period are meant to help the provinces repair 12 627 lane kilometres, reseal 16 105 lane kilometres, re-gravel 24 250 kilometres and blacktop-patch 8 202 790 square meters of the provincial road network.

Remember we facilitate both imports and exports by connecting to international markets through our vast road network especially within our continent AFRICA and the Southern African Development Community (SADC). Even though road transportation is important, obstacles like exorbitant prices, difficult border crossings and inadequate infrastructure reduce its effectiveness. Implementing international transit facilitation tools, creating professional certification frameworks and resolving infrastructure constraints are some of the initiatives being undertaken to improve road freight operations and logistics in our country. Over the medium term, R94 million is redirected from the Road Transport program’s allocation towards goods and services to provide technical interventionist support to provincial road authorities in order to raise the standard of road network maintenance.

Transnet remains an important entity as it operates in the transportation and logistics sector, with a primary focus on rail, ports and pipelines. The entity intends to invest R89.3 billion in port infrastructure, R15.7 billion in pipeline infrastructure, and R245 billions of its overall budget over the medium term to build and upgrade rail infrastructure in order to promote economic growth, create jobs and reduce operating costs. There will be investment in freight rail operations which are expected to account for R186.8 billion of total spending. Employee compensation accounts for an estimated R108.5 billion of total expenditures, whilst goods and services account for an estimated R92.7 billion). It is anticipated that total spending will rise from R98.9 billion in 2024 to 2025 to R114.9 billion in 2027 to 2028.
In our country sea transportation accounts for approximately 85% of trade, the maritime industry is essential to the nation’s economy. It makes a substantial Gross Domestic Product (GDP) contribution and has room to grow further with further investment and development. In addition to being essential for trade and logistics, the industry also plays a key role in resource management, including fishing and possible oil and gas exploration, employment generation, and skill development. It is anticipated that the South African Maritime Safety Authority will spend R475.8 million in 2024 to 2025 and R561.7 million in 2027 to 2028 at an average annual rate of 5.7%. Employee compensation is expected to account for an estimated to an amount of R1 billions of total expenditures during the MTEF period.
The authority receives funding from user fees, taxes and fees. An average annual growth rate of 5.7% is anticipated in revenue, which will rise from R476.3 million in 2024 to 2025 to R563.1 million in 2027-2028. We need to properly zoom in into State-owned Companies Governance Assurance and Performance as this is a vital area for the transportation industry provision of infrastructure and good governance usually affect our operations in the transport sector. We need to eradicate the legacy of bad governance and performance issues. I thank you

Draft Speaking Notes for HON.MP_ Malematja. C;
Budget Vote Debate
A functional and integrated transport infrastructure is essential to South Africa’s social and economic development, according to the National Development Plan (NDP). It seeks to accomplish this by creating and maintaining competitive and effective transportation infrastructure, such as public transportation, railroads, and highways. The NDP also emphasizes the necessity of better public transportation services and the smooth integration of various types of transportation. The African National Congress (ANC) in South Africa (SA) seeks to Implement an Integrated Transport System in SA through the Government of National Unity (GNU) which will further enhance Trade and Tourism through Civil Aviation.

During the 2024 Medium-Term Expenditure Framework (MTEF) period, the Air Traffic and Navigation Services Company was provided with R422 million (R204 million in 2024 to 2025 and R218 million in 2025-2026) was set aside for the corporation to modernize its navigational systems in order to guarantee that it would continue to fulfil its purpose. It is anticipated that total spending will rise from R2 billion in 2024 to 2025 to 2.5 billion in 2027 to 2028 at an average annual rate of 7.4 %. Employee compensation is expected to make up to an amount R4.4 billion of total expenditures in the upcoming term, whereas spending on goods and services is expected to make up to an amount of R1.9 billion. It is then important for us as government to have legislations and policies that will be suitable for the implementation of programs through this budget.
The organization in is nature is self-funded and anticipates that, over the medium term, it would provide calibration and aeronautical services to the aviation industry, mostly through approach and enroute fees, accounting R7 billions of its revenue. It is anticipated that total revenue will rise from R2 billion in 2024 to 2025 to R2.6 billion in 2027 to 2028 at an average annual rate of 8.9%. Through the Department of Transport (DoT) we must strive to provide a regulatory framework that will be sustainable, safe and provide an effective transportation system for our people and products using a variety of modes. When it comes to South African Airways expenditure is expected to move from an amount of R10.8 billion in 2024 to 2025 to R24.5 billion in 2027 to 2028, expenditure is anticipated to rise at an average annual rate of 31.5%, primarily due to increased and optimized operations. Over the medium term, spending on goods and services is expected to make up R58.5 billion of total expenditures, mostly due to fuel, aircraft leasing, maintenance, and associated expenses. Employee compensation amounts to R4.5 billion and the workforce is expected to grow from 1,888 in 2024 to 2025 to 1,951 in 2027 to 2028.

This is because as government we want to concentrate on achieving competitive advantage in trade and this can be achieved by route expansion, expanded airlift capacity and strategic alliances. Our country through the GNU is employing air transportation to broaden its reach into international markets. In order to draw tourists and enterprises, the government is attempting to increase the number of foreign airlines, enhance access to different places and advertise its distinctive experiences. Road infrastructure and safety becomes imperative for our economy and social wellbeing of people, imports and exports both significantly influence our success in trade through an efficient transport system.
Road infrastructure and safety also promotes human connection and tourism while facilitating regional integration. The government’s goal to promote economic growth and job creation includes improving the nation’s transportation infrastructure. In order to finance the priorities of many plans aimed at maintaining and improving the provincial road network and associated assets, the provincial roads maintenance grant is divided into two parts: maintenance and refurbishing. An amount of R1.4 billion will be used in the period 2025-2026 to complete the construction of 96 bridges as part of the Welisizwe rural bridges program, the grant’s R53.1 billion in distributions over the MTEF period are meant to help the provinces repair 12 627 lane kilometres, reseal 16 105 lane kilometres, re-gravel 24 250 kilometres and blacktop-patch 8 202 790 square meters of the provincial road network.

Remember we facilitate both imports and exports by connecting to international markets through our vast road network especially within our continent AFRICA and the Southern African Development Community (SADC). Even though road transportation is important, obstacles like exorbitant prices, difficult border crossings and inadequate infrastructure reduce its effectiveness. Implementing international transit facilitation tools, creating professional certification frameworks and resolving infrastructure constraints are some of the initiatives being undertaken to improve road freight operations and logistics in our country. Over the medium term, R94 million is redirected from the Road Transport program’s allocation towards goods and services to provide technical interventionist support to provincial road authorities in order to raise the standard of road network maintenance.

Transnet remains an important entity as it operates in the transportation and logistics sector, with a primary focus on rail, ports and pipelines. The entity intends to invest R89.3 billion in port infrastructure, R15.7 billion in pipeline infrastructure, and R245 billions of its overall budget over the medium term to build and upgrade rail infrastructure in order to promote economic growth, create jobs and reduce operating costs. There will be investment in freight rail operations which are expected to account for R186.8 billion of total spending.

Employee compensation accounts for an estimated R108.5 billion of total expenditures, whilst goods and services account for an estimated R92.7 billion). It is anticipated that total spending will rise from R98.9 billion in 2024 to 2025 to R114.9 billion in 2027 to 2028.

In our country sea transportation accounts for approximately 85% of trade, the maritime industry is essential to the nation’s economy. It makes a substantial Gross Domestic Product (GDP) contribution and has room to grow further with further investment and development. In addition to being essential for trade and logistics, the industry also plays a key role in resource management, including fishing and possible oil and gas exploration, employment generation, and skill development. It is anticipated that the South African Maritime Safety Authority will spend R475.8 million in 2024 to 2025 and R561.7 million in 2027 to 2028 at an average annual rate of 5.7%. Employee compensation is expected to account for an estimated to an amount of R1 billions of total expenditures during the MTEF period.

The authority receives funding from user fees, taxes and fees. An average annual growth rate of 5.7% is anticipated in revenue, which will rise from R476.3 million in 2024 to 2025 to R563.1 million in 2027-2028. We need to properly zoom in into State-owned Companies Governance Assurance and Performance as this is a vital area for the transportation industry provision of infrastructure and good governance usually affect our operations in the transport sector. We need to eradicate the legacy of bad governance and performance issues. I thank you