Note to Editors: Please find the attached soundbite in English by Freddy Sonakile MPL.
The Democratic Alliance (DA) in the North West condemns in the strongest terms the failure by North West Premier, Bushy Maape, and his Director-General, Paul Mogotlhe, to attend the crucial meeting by the Portfolio Committee on Public Works & Roads, Community Safety and Transport Management regarding the status of the embattled North West Transport Investments (NTI).
The meeting was scheduled for today as per the Legislature programme.
NTI is faced with a myriad of issues, which include the failure to pay staff salaries for three months, the entity not having governance structures and mounting debt. Some of the debt include:
• R44.9-million in licensing permits to operate legally on public roads, with penalties of R3-million accrued monthly
• R23.8-million per month contract for 350 buses rented at R68,000 per bus from Transnat
• R44-million towards Workman’s Compensation
Yet, The Premier and his Director-General were a no show.
To add to this calamity, the Portfolio Committee was informed today that the government has resolved to place the entity under voluntary business rescue. Business Rescue Practitioners started working in July 2022.
The Business Rescue Team has the task of producing a business rescue plan and advise whether the entity can be saved, but based on the report by the Acting CEO, liquidation is looming.
On the other hand, Premier Maape opted to attend the welcoming festivities for the winners of the Comrades Marathon instead. While the DA acknowledges and appreciates the accomplishment of the marathon runners, the North West province has an MEC for Arts, Culture, Sports and Recreation who could do this task.
It is now time for government to do an audit of all the assets of the entity so that a different provincial transport service model can be introduced, with the aim of saving jobs and reviving the bus transport business. The North West government must also appoint transport experts in bus services and not politicians to run the entity.
It is no secret that the NTI is beyond resuscitation as it operates on a loss, mounting debt it is unable to pay, and has failed to comply with every clause of the Public Finance Management Act (PFMA) .
The NTI which has a very rich history, is another sad reminder that this government has no plan for North West and must be replaced with a competent DA government in 2024.