Update on task Team Efforts to Resolve RSA/Lesotho Passenger Transport Operations

(December to date)

Presented by Mr C Hlabisa

22 October 2013

PRESENTATION OUTLINE1. Purpose2. Introduction & Background 3. Problem Statement4. Implications 5. Brief Recap on Normalisation Initiatives Undertaken6. 2012/13 Proposed Special Dispensation Model(SDM)7. Select Committee Inputs and Concerns8. Call for Review of Strategy9. Summary of Review Process10. New Thinking on Possible Solution11. Provincial Operators’ Suggestions12. Cross Border Operators’ Suggestions13. Findings of Verification Process14. New Proposal – Desired Model15. Progress Against Implementation Plan16. Progressive Challenges Despite Efforts for Normalisation17. Wayforward and Recommendations

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PURPOSEPURPOSE

• To update Select Committee on all activities that were conducted (after 28th May to date) in a bid to resolve passenger transportation challenges between RSA and Lesotho;

• To brief the Select Committee for Public Services on new developments in relation to the RSA/Lesotho Passenger Transportation Challenges

• To propose a way forward

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INTRODUCTION & BACKGROUND• Challenge of taxi operators’ “fight” over access to RSA/Lesotho

cross border market has been in existence for over 12 years,• Many attempts were made to resolve this matter until

September 2011 when Free State Operators brought existing challenges related to cross border transportation to the attention of Select Committee,

• Following a mandate from Select Committee, NDoT ( under leadership of DG : George Mahlalela) set up a Task Team to establish a model that can be used as a solution to the problem,

• Model was presented to Free State MEC for Police, Roads and Transport in August 2012, and

• Further presented to Select Committee in September 2012• Select Committee was not impressed with progress made by

December 2012 and May 2013, hence mandated intervention by NDoT’s DDG for Road Transport, Mr Chris Hlabisa.

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PROBLEM STATEMENT• Problem surfaced in 1998 when CBRTA was established and started regulating

market access through permit issuance, • The Free State Operators complained about economic bypass,• Some RSA based (e.g Gauteng) obtained cross border permits and formed

partnerships with Lesotho operators, only after 2009 whilst the Free State operators signed operating agreements in 2004 and 2005 which integrated the operators from the Mountain Kingdom of Lesotho and RSA in an attempt to bring stability on the route

• Free State operators experienced a loss in terms of a portion of the market share,

• The situation at the border towns is not stable and the information was not reliable as demonstrated by verification process and consequently instability ensued at the borders.

• Problem is aggravated by different approaches to law enforcement by provincial and cross border officials

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IMPLICATIONS OF PROBLEM• Non-compliance to domestic legislation, i.e. Cross-Border Road

Transport Act and the National Land Transport Act and other pieces of legislation;

• Impeded flow of passenger traffic: cross-border operations terminating at the ports of entry of the respective jurisdictions and passengers walking through the border posts;

• Congestion which leads to compromised border control operations and security integrity.

• Compromised diplomatic and trade relations between RSA and Lesotho;• Non-compliance to provisions of Southern African Customs Union

Memorandum of Understanding on Road Transportation;• On-going violence, criminal activities and unpleasant trade conditions.

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BRIEF RECAP ON NORMALISATION INITIATIVES UNDERTAKEN

• 2004/5 - MoA between South African Bus Association (SABOA), South African National Taxi Council (SANTACO), Lesotho Passenger Transport Cross Border Association (LPTCA), Cross Border Bus Operators to Lesotho and Cross Border Taxi Operators to Lesotho (NB Agency and/or National Government were not signatories to this agreement).

• Amendment of the Cross-Border Road Transport Act in order to deal with the Free State border town challenges;

• Opportunity for operators to convert old order permits and operating licenses that purport to authorize cross-border transport to cross-border permits within the legislated timeframe (before 28 February 2009);

• Upliftment of moratorium against the issuance of cross-border passenger permits – March 2009;

• 2010 – Lesotho transport department, DoT, CBRTA, Free State Transport Department, and City of Johannesburg had a meeting where a Task Team led by CBRTA was formed,

• Task Team visited Free State on a fact finding mission and compiled a report,

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BRIEF RECAP ON NORMALISATION INITIATIVES UNDERTAKEN

• Visit by General Cele to inspect security situation at various borders; • Inspection in loco at Van Rooyen’s Gate and Maseru Bridge and • Removal of illegal ranking facilities at Van Rooyen’s Gate border.• 2011- Free State operators presented their case to parliamentary

committee on Transport and the Select Committee on Public Services,• Select Committee requested DoT to intervene and for Free State to

present outcome by November 2011.• Intervention by NDoT - DG, Mr G. Mahlalela , current Task Team

formed

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2012/13 PROPOSED SPECIAL DISPENSATION MODEL

• The Task Team agreed on approach and shared understanding of the problem,• Identified and analysed five possible options ; 1st –Special Dispensation, 2nd Stringent

Compliance, 3rd Legislative Mandate, 4th Transition Window and 5th Special Emergency Measures

• Presented to Honorable MEC , Mr Komphela on 21st August 2012 where a decision to merge options 1,4 and 5 was taken,

• The three options formed basis of a proposal that was presented to Select Committee on the 18th September 2012.

• Feasibility of model was understood to be subject to the following;-– clear rules and timelines developed to guide the implementation of the special

dispensation,– the transition and conformance to the SACU MoU. – Any laudable efforts also precipitate consultation with all stakeholders, i.e. the

Ministry of Transport (RSA & Lesotho), National Department of Transport, relevant transport authorities (C-BRTA & Free Trans), cross-border passenger carriers and inter- and intra-provincial passenger carriers operating from ports of entry.

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SELECT COMMITTEE INPUTS AND CONCERNS

• Select Committee supported thinking but sensitised Task Team on the need to conduct thorough consultations,

• Select Committee instructed Task Team to put in place a mechanism/plan that would contain violence from December 2012,

• Among other commitments that Task Team undertook and presented in September 2012 but failed to deliver were the following;- – To develop an action plan that will ensure implementation of the

model from December 2012, – To address legal compliance process (streamline law enforcement

processes),• In December 2012, an update was presented to Select Committee,• Select Committee expressed disappointment in progress made.

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SELECT COMMITTEE INPUTS AND CONCERNS

• Task Team worked on a “Festive Plan”- evidence of distribution to traffic inspectors exists yet it cannot be confirmed if this was ever sent to Select Committee,

• There had been very little Task Team activities aimed at normalisation between January and April,

• Efforts reported in May 28th were met with displeasure,

• Selected Committee mandated NDoT to intervene, hence DDG for Road Transport, Mr Hlabisa started to lead the Task Team.

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CALL FOR REVIEW OF STRATEGYPost May 28th meeting with Select Committee, a review of SDM commenced under leadership of the DDG, Mr Hlabisa. Review was due to the following;-•Task Team members that coined the thinking showed displeasure in the model;•The model was not sustainable neither was it explained as it still referred to options 1, 4 and 5•Cross Border operators proposed and insisted that compliance should be applied;•Free State operators wanted status quo maintained;•Lesotho Transport Ministry expressed intentions to maintain what is in the Bilateral Agreement.

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SUMMARY OF REVIEW PROCESS6th June 2013• Task Team meeting, chaired by MEC for Roads, Transport and Police, Honorable Mr Komphela, attended by CEO of C-BRTA & team, NDoT represented by Mr Hlabisa and the Department’s Chief Director Legislation, Advocate Masombuka. •Purpose was to set the correct tone and agree on a way forward;•An agreement to proceed with Special Dispensation Model based on three options was made;•Also agreed on conducting verification and screening of operators, vehicles and permits to root out double dipping tendencies.

7th June 2013 •Meeting with both provincial and cross border taxi operators, chaired by Honorable MEC. •Operators were invited to share their challenges and what they perceive as possible solutions air their views before the MEC, DDG and the Task Team.•The MEC directed that status quo should remain until a permanent solution is found.

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SUMMARY OF REVIEW PROCESS cont./… 13th-14th June 2013 – Workshop held with following purpose;•To asses all proposals raised on the 6th and 7th June 2013, •To weigh proposals against the legal instruments; and •To plot a plan on how the normalisation process should unfold.

20th June 2013 – Meeting between MEC and Task Team members. This meeting was aimed at aligning thoughts on what was to be presented to operators the following day.

21st June 2013 – Follow-up meeting. Operators briefed as follows;-•Model will be implemented subject to verification process; •Double-dipping not to be tolerated;•Operator found to be double dipping will be given an option to choose one operation because one vehicle cannot have two authorities / permits on it. •Implementation plan – activities and estimated time frames were highlighted.14

SUMMARY OF REVIEW PROCESS cont./…

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2nd -3rd July 2013 – Task Team Workshop•First draft of verification findings were presented to task team by systems team,•Report implied that any operator that was not on OLAS was an illegal operator, as cross border operations were not taken into consideration;•This position contradicted cross border’s legal framework that grants a permit on the basis that a vehicle is solely used for cross border operations. •Agreement that further verification whereby cross border conditions are taken into consideration.

12th July 2013 – Task Team Meeting•Presentation of verification findings were accepted by the whole team. •Operators on those routes are those who verified during Special Legalization Process (SLP) and Be Legal Campaign (BLC). •A team to update model was mandated to update on the basis of verification done.

SUMMARY OF REVIEW PROCESS cont./… Frequent unavailability of key members slowed down progress.

The following is a record of meetings that could have possibly yielded much progress but were postponed;•Meeting planned for 1st August was postponed as NDoT, particularly the co-ordinator and convener was not available;•5th September meeting was postponed on request by Free State DPRT as the HOD could not make it to the meeting.•18th September meeting also had to be postponed after DPRT reported that the MEC was not available and aim was to brief him on progress. •Emergency meeting following violence that erupted in Fouriesburg on the 25th September – both DDG and majority of CBRTA Task Team members were unavailable.•Emergency meeting called on 2nd October. The DDG, CEO and other CBRTA members were not available for the meeting.

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NEW THINKING ON POSSIBLE SOLUTION

• A team to updated was set and they managed to draft a model;

• The team took into consideration operators suggestions, feasibility based on legal prescripts and various factors that were raised during engagements;

• Key to note that the “new model” has not yet been presented to the MEC and operators owing to challenges expressed;

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PROVINCIAL OPERATORS SUGGESTIONS

PROPOSALS•The operations (inter/intra-provincial) at the mouth of the border should continue as is (MOU 2009 Agreement). All operations leaving for Lesotho should be dropped at border gate.•Government to build ranking facilities at all border towns.•Control of cross border permits – they must be gazetted to ensure that they don’t duplicate existing permits and acknowledge the current operators

FEASIBILITY & LEGAL IMPLICATIONS•Normalising the passenger transportation should involve crossing the border as per the C-BRTA legislation and acquiring the necessary authorisation.•Proposed operations contravene the prescripts of legal instruments, i.e. Constitution, SACU MoU, C-BRT Act, etc.•Legality of public transport facilities at borders to be determined.•Operators plying their trade within a 2km radius from the border to obtain operating license and cross-border permit, as determined by the NLTA.

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CROSS BORDER OPERATORS SUGGESTIONS

PROPOSAL•Operators are willing to re-absorb former members from Thaba-Bosieu, Morning Star etc who were previously cross border operators•Determine who is who in Ficksburg, Manyatseng, etc. and redeploy them back to their associations.•Determine how many members in the FITA are active and interested in doing cross border, how can they be accommodated.•Take all those that are interested in cross border, without disrupting their inter- and intra-provincial operations.

FEASIBILITY BASED ON LEGAL IMPLICATIONS•Will involve issuing of cross-border permits to inter- and intra-provincial permits.

•Operators plying their trade within a 2km radius from the border to operating license and cross-border permit, as determined by the NLTA.

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FINDINGS OF VERIFICATION PROCESSCategory 1 – Dual Authority. •operators who are double-dipping – doing both inter and intra provincial operations as well as cross border operations with the same vehicle. •Practise contravenes both NLTA and C-BRT Act. •A total of 31 vehicles were identified. Category 2 – Leased Vehicles. •Operators who have cross border permit but the vehicle not registered in that person’s name. •Contravenes the NLTA (section 50) and RAF Act. •However, cross-border operators are not subjected to the NLTA requirements. •C-BRT Act is not sub-servient to the NLTA, whilst both are national pieces of legislation with clearly defined mandates. •In terms of NLTA operator should have the permit in his / her name, the permit should have the details the vehicle registered in the names of the owner and the vehicle should have certificate of fitness •A total of 15 vehicles were identified.

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FINDINGS OF VERIFICATION PROCESS cont./…

Category 3 – Shared Registration. •Operators who have more than one cross border permit on the same vehicle. •Operators using vehicles not registered in their names but with permits linked to those vehicles.•Permits issued are temporary and issued for 14 days, one after the other not concurrently. •In terms of Section 54 (5) (a) of the National Land Transport Act, 5 of 2009; Applications for permit or licences must be made on the basis of one application per vehicle , but in terms of this spread sheet the CBRTA is issuing permits in contravention of the National Land Transport Act•A total of 8 vehicles were identified. Category 4 – Cross Border Operators. •Operators who have a cross border permit only, as they are not listed on the inter or intra provincial operations. •The vehicles were also not picked up on the e-Natis system. •C-BRTA does not issue a permit if the vehicle is not on e-Natis. •Cross border operation is not subjected to the NTTT process and was not covered in its scope. •As explained in the report the NTTT was aimed at regularising road based public transport•A total of 27 vehicles were identified.

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FINDINGS OF VERIFICATION PROCESS cont./…

Category 5 – Inter and Intra Provincial Operators. •Operators who breach the 2km radius as per the NLTA and C-BRT Act. •They mix local and cross border passengers in one vehicle which violates the provisions of the NLTA and C-BRT Act.•The total number of this category is yet to be determined by the systems team, and the group verified.•The intra provincial operations are not intended for cross border operations as are in the main aimed at transporting commuters within the province including those residing at border towns.

Category 6 - Domestic permits with unauthorized destinations to border towns. •Operators with cross border permits transporting passengers to Lesotho but dropping at border towns. •This category is also in possession of the domestic permit.

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THE NEW PROPOSAL – DESIRED MODEL cont./…

OPERATOR CATEGORY• Category 1: Dual Authority.

PROPOSED OPERATIONS• Operators to be stopped immediately if

found double dipping.• Operators to choose which operation

they need to do with the one vehicle.• Acquire an additional vehicle for the

second operation (if they choose to do both).

• Operators to be allowed 90 days starting from the date of the general meeting with the operators to provide another vehicle.

• Integrating systems to curb against double dipping using one vehicle.

• These are some of the complaints lodged with the NCOP. Furthermore, Operators must remain in their primary provincial operations

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THE NEW PROPOSAL – DESIRED MODEL cont./…

OPERATOR CATEGORYCategory 2:-Leased vehicles

Category 3: Vehicles carrying more than one cross border permit.

PROPOSED OPERATIONS• C-BRTA to stop issuing temporary

permits to operators who do not have vehicles registered in their names. (effect from 1st August 2013).

• Once these permits have expired, C-BRTA will no longer issue temporary permits to operators who lease vehicles from other operators.

• C-BRTA will no longer issue

temporary permits to this category, as in category 2.

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THE NEW PROPOSAL – DESIRED MODEL cont./…OPERATOR CATEGORYCategory 4: Operators only in possession of a cross border permit.

Category 5 : Inter and Intra Provincial Operators.

Category 6 : Domestic permits with unauthorized destinations to border towns.

PROPOSED OPERATIONS• The operators to conduct cross border

operations from point A (RSA) to B (Lesotho) without hindrance.

• (The system team to further verify this category).

• C-BRTA to amend regulations and legislate for

a differentiated tariff structure to accommodate this category.

• All concerned operators have to apply for a cross border permit.

• The intra provincial operations are not intended for cross border operations as are in the main aimed at transporting commuters within the province including those residing at border towns.

• No dropping or picking up in controlled areas (between border gates).

• Operators to choose which operation they would like to conduct, as in 1 above.

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PROGRESS AGAINST IMPLEMENTATION PLANThe following is a highlight of tasks covered to date. The rest of the tasks have not yet undertaken as they are subject to endorsement of model proposed.

TASK PROGRESS TO DATE

Review of Special Dispensation Model (fusion of options)

Done. Task Team has conducted the review, hence new model proposed. See Annexure N.

Verification/authentication of operating licenses and permits.

Done – report on findings was presented on the 12th July to other Task Team members.

Identification of Joint Ventures and Site Visits to Taxi Ranks and Associations

Pending – subject to approval of new model being proposed.

Monitoring of Cross Border Operators Passenger Operations

There are incidences that were reported by CBRTA Regional Manager – Free State and Cross Border Operators. Next slide for more details.

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CONTINUING CHALLENGES DESPITE NORMALISATION EFFORTS

August Incidences •Inter-provincial Traffic officials impounded vehicles based on section 75 of the NLTA •It was alleged that cross-border operators are expected to have both the operator’s license and the cross-border permit.•A case was registered at Fouriesburg court (Ref No : CAS 659/2013),•The court decision was that they are not guilty of any offence and the vehicles that were impounded were released,

September Incidences•Violence erupted, - 22nd September 2013 a quantum vehicle with registration number VTN 751 GP was burned down at Fouriesburg Town after crossing Caledonspoort border with passengers. •Another taxi with registration number CG 06WTGP was smashed/stoned and subsequent to that a case of malicious damage to property was opened at Fouriesburg police station as per CAS 741/2013 and 743/2013. 27

CONTINUING CHALLENGES DESPITE NORMALISATION EFFORTS cont./…

• On the 24th September 2013, provincial transport inspectors and SAPS officers at Maseru, Ficksburg and Fouriesburg border were deployed.

• Their mandate was to stop any passenger vehicle from crossing RSA borders with passengers. • The MEC entrusted with Police, Roads and Transport after realising the violence which ensued on September 22,

2013 tried to restore peace by directing that all operators drop and pick at the mouth of the borders. Before this decision could be taken the MEC attempted to consult all relevant primary stakeholders such as NDoT and CBRTA to no avail. To the contrary the CBRTA issued a supporting affidavit in favour of RSA / Lesotho corridor operators against the principled agreement of the joint MEC meeting

October Incidences• Cross-border operators reported matter to High Court in Bloemfontein to challenge the legality of the decision to

shut down the Cross-border operations.• The High court ruling as per case number 3918/2013 declared the decision by the MEC to be unlawful and invalid • The ruling also prevented Traffic officials from unlawfully preventing Cross-border Operators from crossing the

border between RSA and Lesotho. • Following the High court ruling, a Tata Bus with registration number CL 35RDGP was attacked by Ficksburg

Operators on the 6th October 2013 as it was conveying passengers from Lesotho to RSA through Ficksburg border .• A case of malicious damage to property was registered at Ficksburg SAPS as per case number 62/10/2013.• The MEC in an attempt to restore and maintain peace and stability sustained the Law Enforcement presence in

the border towns. The said incident of October 06, 2013 took place far and out of sight of law enforcement agencies.

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WAY FORWARD AND RECOMMENDATIONS

Given the effort that went into this matter since its inception with no desirable outcome;It is therefore recommended that;-

•Select Committee considers engaging a neutral body to investigate on the matter;

•Detach both C-BRTA and Free State (DPRT) from process of identifying a solution;

THANK YOU!

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