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(AsgiSA) Annual Report 2008 - South African Government Information

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Accelerated and Shared Growth Initiative for <strong>South</strong> Africa<br />

ANNUAL REPORT<br />

<strong>2008</strong><br />

5.2.10 The Public Transport Infrastructure and Systems (PTIS) Grant<br />

This Grant to municipalities and host cities is administered by the Department of Transport<br />

and is allocated to accelerate planning; and to establish, construct and improve new and existing<br />

public transport infrastructure and systems, including commuter bus and rail transport.<br />

During 2007/08, only 38,1% of budget was spent, due to the early stage of projects and<br />

because municipal plans were not aligned with the National Public Transport Strategy 12 . By<br />

the end of the second quarter of <strong>2008</strong>/09, only 7% of the budget had been spent. Although<br />

it is expected that expenditure will accelerate, close monitoring of this programme will be<br />

necessary.<br />

5.2.11 Telecommunications infrastructure expansion (Infraco)<br />

The policy intention is to use state-owned infrastructure to induce competition in the telecommunications<br />

sector and to support the creation of the square kilometre array (SKA).<br />

During <strong>2008</strong>, Broadband Infraco was created and has wholesaled/leased the fibre-optic<br />

network previously owned by Transnet and Eskom to Neotel for the next five years, thereby<br />

supporting a second fixed-line operator to compete with Telkom. Infraco is also participating<br />

in the <strong>African</strong> West Coast Fibre Optic Undersea Cable Project, which will increase the band<br />

width available to <strong>South</strong> <strong>African</strong> users. Implementation of national telecommunications policy<br />

and the efforts of the regulator (Icasa) have resulted in a more competitive environment<br />

in which a number of cable and other national and local-level infrastructure projects are<br />

being implemented.<br />

5.2.12 Expanded Public Works Programme (EPWP)<br />

Phase One of the EPWP commenced in 2004, with the objective of assisting national, provincial<br />

and municipal government to adopt more labour-intensive methods of project delivery,<br />

particularly on the maintenance of low-volume roads, storm-water drains and sidewalks.<br />

The programme provides people with income-earning opportunities such as acquiring skills<br />

that will improve their chances of getting employment in the future. The EPWP is monitored<br />

and supported by a unit within the Department of Public Works.<br />

12<br />

DoT (<strong>2008</strong>), Briefing to the Joint Budget Committee on the <strong>2008</strong> Medium Term Budget Policy Statement (MTBPS), 28 October<br />

<strong>2008</strong><br />

56

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