south african civil aviation authority (sacaa)

SOUTH AFRICAN CIVIL AVIATION SOUTH AFRICAN CIVIL AVIATION AUTHORITY (SACAA)AUTHORITY (SACAA)

A presentation to the Portfolio CommitteeTuesday, 6 May 2008

Captain Colin Jordaan

Chief Executive Officer: SACAA & Commissioner for Civil Aviation

Budget and Strategic Plan BriefingBudget and Strategic Plan Briefing

1. PURPOSE1. PURPOSE

The purposepurpose of this presentationpresentation is to give an overview of the strategic direction of the SACAA.

2. ORGANISATIONAL OVERVIEW2. ORGANISATIONAL OVERVIEW(Vision and Mission)(Vision and Mission)

• Our VisionOur Vision– “Regulatory EXCELLENCE in aviation safety and

security”.

• Our MissionOur Mission– The SACAA is a player in the international

arena that seeks to promote and maintain safe and secure civil aviation environment in SA, by regulating and overseeing the functioning of the industry in an efficient, cost- effective, sustainable and customer friendly manner.

3. MATTERS FROM PREVIOUS MEETING 3. MATTERS FROM PREVIOUS MEETING

The following four major issues were highlighted in the Portfolio Committee on Transport held on 17 March 2007

1. Lack of Skills Capacity

2. A high level of vacancies

3. The role of the CEO and that of Commissioner as stipulated in the legislation

4. More disclosure on equity performance

Negative ICAO and FAA Findings

Dysfunctional Institution

Lack of Technical CapacityLack of Technical CapacityNew Technical Qualified CEO Appointed in December 20073 Flight Operations Experts contracted from ICAO for skills transfer2 Additional Experts budgeted for in 2008/9 in other technical departmentsAll Air Worthiness Inspectors AppointedFlight Operations Inspectors 85% staffed, to fully recruit within 60 days

The Role of CEO and that of The Role of CEO and that of Commissioner as Stipulated in the Commissioner as Stipulated in the regulationsregulationsPositions consolidated in current draft bill consolidating Aviation Acts

High Level of VacanciesHigh Level of Vacancies55 specialists recruited and appointed since the beginning of the year

3. ACTIONS TAKEN PREVIOUS 3. ACTIONS TAKEN PREVIOUS MEETING MATTERS (Cont)MEETING MATTERS (Cont)


RACIAL COMPOSITION GENDER COMPOSITION

Race Percentage Gender Percentage

Black 70% Males 57%

White 30% Females 43%

Equity Performance – Gender and RaceEquity Performance – Gender and Race

While SACAA strives for better equity figures, the current figures are encouraging considering the historical background of the

industry

GRADE DESCRIPTION AM AF CM CF IM IF WM WF TOTAL

BLACK % FEMALE %

CEO/Executive Managers/GM 6 1 0 0 0 0 2 0 9 77.8 11.2

Senior Managers 4 2 1 0 1 0 1 2 11 72.7 36.3

Managers /HOO's 13 4 0 1 0 1 9 2 30 69.2 26.9

Professionals 45 33 4 1 6 1 59 8 157 58.7 28.1

Technicians & ass. professionals 6 7 0 0 3 1 0 0 17 73.1 38.5

Clerks 25 56 3 4 1 1 1 21 112 81.5 73.2

Elementary 8 6 0 0 0 0 0 0 14 100 41.2

GRAND TOTAL 107 109 8 6 11 4 72 33 350 70.3 42.9

Disabled Employees 0 3 0 0 1 0 0 1 5 80.0 80.0

Equity Performance - Employee ProfileEquity Performance - Employee Profile


GAUTENG CAA GAP

Pop. No Pop

(%) Pop. No Pop. (%) (%)

Male 4,444,679 50.30 198 56.57 6.28

Female 4,392,499 49.70 152 43.43 -6.28

TOTAL 8,837,178 100 350 100 0

Africans 6,521,837 73.8 216 61.71 -12.09

Coloureds 335,813 3.8 14 4.00 0.20

Indians 220,929 2.5 15 4.29 1.79

Whites 1,758,598 19.9 105 30.00 10.10

TOTAL 8,837,178 100 350 100 0

GAUTENG vs. CAA DEMOGRAPHICSGAUTENG vs. CAA DEMOGRAPHICS

Even though there are challenges, SACCA is not far out of line with Gauteng stats.


4. FROM THEN TO NOW -4. FROM THEN TO NOW -ICAO FINDINGSICAO FINDINGS

Lack of Effective Implementation (%)

28.05

38.11

45.59

42.35

57.83

33.43

43.39

46.6

25

31.1428.71

30.2331.88

7.08

12.94

17.02

20.83

27.55

18.18

10.08

30.63

6.1

11.76

17.02

0

10

20

30

40

50

60

70

Primary AviationLegislation

Specific OperatingRegulations

CAA Structureand SafetyOversightFunctions

TechnicalGuidance Material

QualifiedTechnicalPersonnel

Licensing andCertificationObligations

ContinuedSurveillanceObligations

Resolution ofSafety Issues

Critical Elements

% N

on

-co

mp

lian

ce

Global: 79 Audited States (41.66%) South Africa - July 2007 South Africa - March 2008

SACAA is well below the international average of non complaint findings, and the adoption of the current regulation changes will

further reduce findings considerably.

4. FROM THEN TO NOW -4. FROM THEN TO NOW -FAA FINDINGSFAA FINDINGS

FAA SUMMARY FINDINGS

Critical ElementsNo of findings

Number Closed Outstanding

Status Complete

Primary Legislation 6 6 0 100%

Operating Regulations 4 2 2 80%

Organization & Staffing 4 3 1 60%

Qualifications and Training of Personnel 5 3 2 60%

Licensing & Certification Obligations 8 5 3 50%

Surveillance Obligations 6 4 2 95%

Resolution of Safety Concerns 1 1 0 50%

Excellent progress has been achieved in closing the FAA findings and no complications are anticipated during the pending follow up

visit planned by the FAA in June 2008

4. FROM THEN TO NOW -4. FROM THEN TO NOW -FAA FINDINGSFAA FINDINGS

5. Challenges and Interventions5. Challenges and Interventions

The SACAA experienced challenges in the following three major areas.

5.1 International Regulatory Compliance5.1 International Regulatory Compliance

Includes major findings by the International Civil Aviation Organization (ICAO)

and the Federal Aviation Administration (FAA)

5.2 Industry Oversight Challenges5.2 Industry Oversight Challenges

Challenges encountered in the oversight of local and international operators,

regulation of different sectors, application of technology in order to enhance

aviation safety

5.3 Civil Aviation Regulations5.3 Civil Aviation Regulations

Finalisation and implementation of outstanding regulations as well as

revamping of the promulgation process.

International Regulatory ComplianceInternational Regulatory Compliance

Speedy resolution of all FAA and ICAO audit findings;

Accelerated implementation of both FAA & ICAO Corrective

Action Plans (CAP);

Implementation of ICAO-compliant Technical Guidance

Material (TGM) for the SA Civil Aviation Industry;

Implementation of Safety Management Systems within the

industry as required by ICAO;

Separation of the Air Safety Investigation Unit from the CAA

5.1 - Challenge5.1 - Challenge

International Regulatory ComplianceInternational Regulatory Compliance

Ministerial Task Team and CAA Project team formed and is

functioning to ensure speedy resolution of audit findings

Corrective Action Plans for both FAA and ICAO audit findings

are monitored tracked on a 2 weekly basis

Implementation of TGM and SMS to be addressed through

industry training and workshops;

Independence of Air Safety Investigations to be addressed

through amendments to regulations (Draft Bill Aviation Act 2008)

5.1 - Interventions5.1 - Interventions

Oversight IssuesOversight Issues

Roles and functions of the Commissioner and CEO of

SACAA to be clearly defined;

Oversight of the Non Type Certified Aircraft (NTCA) sector

remains a big challenge for the SACAA;

Adequate oversight of numerous SA operators and

organizations based in foreign countries


Oversight Issues (continued)Oversight Issues (continued)

Oversight of foreign operators coming into the country;

Enforcement action against non-compliant industry players;

Compulsory registration of all airstrips in the country


5.2 CHALLENGE – OVERSIGHT IMPACT5.2 CHALLENGE – OVERSIGHT IMPACT

The following graph indicates accidents statistics which is one of the indicators of oversight performance.

The graph will further indicate a general decrease in accidents during the 2007/8 year with the exception of Gauteng. This situation is attributed to the increase in air traffic movement in Gauteng.

Current statistics are not based on accidents / incidents per 1000 flights because many general aviation flight do not file flight plans. This will be addressed in the current year.

5.2 CHALLENGE - ACCIDENTS GRAPH5.2 CHALLENGE - ACCIDENTS GRAPH

06/07 VS 07/08 Accidents Statistics

10

3

34

11

18

11

17

6

12

6

13

9

48

1614

9

14

5

8

13

0

10

20

30

40

50

60

E. Cape Free State Gauteng KZN Limpopo Mpumal North West NorthCape

W. Cape Overborder

06/07 Fin Year

07/08 Fin Year

Prov-ince

E/Cape F/State Gauteg KZN Lim-popo

N/West N/Cape W/Cape O/B

Oct – Dec 06

20 615 3 723 72 342 20 449 1 897 2 140 4 164 26 614 N/A

Oct – Dec 07

21 183 3 703 86 160 20 936 1 884 2 218 4 659 31 496 N/A

5.2. Interventions to address challenges5.2. Interventions to address challenges

Oversight IssuesOversight IssuesDraft bill has been submitted for public comment addressing the roles of the CEO and Commissioner.

New NTCA Strategy has been developed to re-organize the oversight of NTCA sector;

SA operators based in foreign countries: Enhanced oversight by the SACAA where local authorities do not have oversight capability and entering into Memoranda of Understanding (MOUs) to transfer regulatory responsibilities (article 83 bis);

Foreign operators coming into SA: Enhanced ramp aircraft inspections and closer scrutiny of aircraft documentation;

5.2. Challenge 5.2. Challenge


Industry readiness for the implementation of the Global

Navigation Satellite System (GNSS);

Improving the quality, depth and scope of our industry

surveillance programme;

Lowering the aircraft accident and incident rate in SA and

improving safety standards;

Apply appropriate enforcement action against non-compliant

industry players, such as suspensions, penalties and

laying of criminal charges;



Amendments to current CARS and CATS to ensure registration of

all airstrips in the country;

Conduct industry education and readiness workshops for the

implementation of SMS and GNSS;

Resolution of safety concerns emanating from aircraft accidents

and incidents;

Recruitment and training of key technical personnel to enhance

industry surveillance programme and improve safety standards.

5.3. Challenge5.3. Challenge

Civil Aviation RegulationsCivil Aviation Regulations

Finalization of all outstanding regulations and technical

standards;

Revamping of CARCOM processes to ensure speedy

promulgation of regulations;

Speedy implementation of Part 108 (Security

Regulations) without compromising aviation security.


Civil Aviation Regulations Civil Aviation Regulations

Identify and draft all outstanding CARS and CATS;

Streamline the regulations development processes to

ensure speedy promulgation of civil aviation regulations

by chairing CarCom self and more frequent meetings;

Conduct industry workshops to ensure smooth

implementation of Part 108 and solicit industry support

and commitment. Aviation Security Managers Forum.

6. ORGANISATION OVERVIEW6. ORGANISATION OVERVIEW(Key Drivers of Strategy)(Key Drivers of Strategy)

The following are the Authority’s Objectives according to the SACAA Act:

Oversee functioningOversee functioning & developmentdevelopment of the civil aviation industry;

Specifically, to controlcontrol, regulateregulate & promotepromote civil aviation safety & security.

ICAO Critical ElementsICAO Critical Elements determine the international requirements for the functioning of SACAA (8 critical elements shown on graph);

6. ORGANISATION OVERVIEW6. ORGANISATION OVERVIEW(Key Drivers of Strategy Cont..)(Key Drivers of Strategy Cont..)

DOT Performance AgreementDOT Performance Agreement defines the specific

performance contract between the Government and the

SACAA for a period of time;

SACAA Board strategySACAA Board strategy is designed to meet all of

these requirements (5 Strategic Themes);

ICAO CONVENTION & STANDARDS

SA CAA ACT & AVIATION ACTS

DOT PERFORMANCE AGREEMENT

SA CAA ORGANISATIONAL STRATEGY

1. Civil Aviation

Compliance

2. Aviation Industry

Functioning & Growth

3. Effective Systems & Processes

4. Growing Customer

Satis-faction

5. Human Capital

• The Board has identified five strategic objectives based on the SACAA’s mandate.

• These take into account the requirements laid down by ICAO, South African legislation and the Department of Transport

10

6.ORGANISATION OVERVIEW6.ORGANISATION OVERVIEW(5 Strategic Objectives)(5 Strategic Objectives)

7. STRATEGIC KPA’s and KPI’s (2008)7. STRATEGIC KPA’s and KPI’s (2008)

KEY PERFORMANCE AREA KEY PERFORMANCE INDICATORS

Revise Regulations in accordance with ICAO and best practice.

Consolidation of Aviation Acts and Technical Guidance Material Developed.

Compliance with the FAA IASA Maintenance of Category 1 Status

Facilitate Industry Growth locally and in SADC and AFI countries

Local growth at 11% maintained and leadership within SADC (YD etc.)

Implement Systems and Processes to Ensure Operational Efficiency

All Operational Policies implemented and an Integrated System Solution implemented.

Technical Personnel Capacity is DevelopedAppointment of the 9 remaining Airworthiness Inspectors required for surveillance, and retention thereof.

To Create an Information Resource for the Industry

Valuable Statistics available on an Interactive Website, Call Centre Implemented.

To ensure financial viability with current tariffs Status as a “going concern” maintained

9. FINANCIALS9. FINANCIALS

FY 07/08 Year 1 Year 2 Year 3

R(m) R(m) R(m) R(m)

Revenue 201 267 311 360

Total Expenses (210) (281) (301) (329)

Interest Income 5 4 5 5

Net Income (4) (10) 15 36

9. FINANCIALS (NOTES)9. FINANCIALS (NOTES)

The following material Three Year Financial Plan figures discussed in the interest of clarity.

• RevenueRevenue

There was a significant safety charge increase in FY07/08 as a result of a R4 per passenger ticket increase implemented 1 Jan 08. These charges have been constant for many years.

• Staff CostsStaff CostsStaff Costs increased drastically from Jan 08 to Year 1 as result of the recruitment drive gathering momentum in the last quarter of the March 08 and the first quarter of Year 1. Therefore FY08/09 staff costs includes a much higher staff complement at a technical level. There is a global shortage of pilot and technical skills with high demand.

• Operating CostsOperating CostsThe rest of the operational costs have increased as a result of anticipated enforcement action in addition to inflation related increases as well as increased flying activity.

10. FUTURE DEVELOPMENT10. FUTURE DEVELOPMENT

The SACAA is currently undertaking feasibility studies to procure a site that may be developed soon after 2010 before the current lease expires in five years.

Current leases are costing the SACAA R13.5 m per year for the two separate buildings currently occupied.

Maintenance costs account for a further R3,4m

The two separate sites are inherently causing an administrative burden.

Space is becoming a problem even before the recruitment is completed.

The ideal site should be next to an airport for logistical purposes and to provide hangarage for the CAA calibration aircraft.

Current and future short-term reserves are expected to finance the building.

SOUTH AFRICAN CIVIL AVIATION SOUTH AFRICAN CIVIL AVIATION AUTHORITY (SACAA)AUTHORITY (SACAA)

A presentation to the Portfolio CommitteeTuesday, 6 May 2008

Captain Colin Jordaan

Chief Executive Officer: SACAA & Commissioner for Civil Aviation

Budget and Strategic Plan BriefingBudget and Strategic Plan Briefing

south african civil aviation authority (sacaa)

Documents

previous meeting matters

sacaa commissioner

aviation safety

racewhile sacaa

missionthe sacaa

current figures

civil aviationbudget

icao findingssacaa