PRASA Challenges & Opportunities Standing Committee on Appropriations 25 th March 2015

Transcription

1 PRASA Challenges & Opportunities Standing Committee on Appropriations 25 th March 2015

2 Agenda A Introduction to PRASA B Funding Allocation and Spending Performance C Strategic Plan D Rail Modernisation Key Projects E Challenges 1

3 PRASA the Passenger Rail Agency of South Africa PRASA Structure PRASA GROUP PRASA RAIL PRASA TECHNICAL AUTOPAX (Long distance coach) PRASA CRES INTERSITE INVESTMENTS R/Stock engineering and maintenance Capital Projects Translux City to City Real Estate Solutions Facilities Management Leverage investment on assets METRORAIL (Suburban) S-MEYL (Long distance) The Primary object of PRASA in terms of the Legal Succession SATS Act is to: Provide Urban Rail Commuter Services in the public interest Provide Long Haul Passenger Rail Services Provide Long Haul Bus Services The Secondary object of PRASA is to: Generate income from the exploitation of assets acquired by PRASA 2

4 PRASA Summary Fact Sheet Total Rail Network Commuter Rail Network Km Number of Metro Coaches Number of MLPS coaches km electrified track Coaches and 124 Locos Number of Buses 458 Mercedes Benz, Man 109 and Old Fleet 150 Passenger Numbers Total Number of Employees ± Stations Metrorail 550 million passenger trips Bus Service 3.1 million passengers SMEYL 1.1 million passengers 498 stations Value of Assets R36bn 3

5 Agenda A Introduction to PRASA B Funding Allocation and Spending Performance C Strategic Plan D Rail Modernisation Key Projects E Challenges 4

6 Funding Allocation 2014/15 Allocation Amount Received Internal Revenue Total Revenue Total Expenditure Current Allocation Current Allocations amounted to 51% of PRASA's total revenue as at 28 February The rest of the revenue is mainly made up of Fare Revenue and Rental Income which are internally generated. Total Expenditure is mainly made up of Employee costs, Energy costs, Material and Maintenance and Municipal charges. Allocation Amount Received Actual Expenditure Capital Allocation Total expenditure for the period that ended on 28 February 2015 exceeds the funding allocation by R785 million. The major spending items were Rolling Stock Fleet Renewal Programme R5.7 billion Acquisition of New Locomotives R1.4 billion General Overhaul of Coached R702 million Integrated Station Access Management Systems R735 million Signalling and Telecommunications programme R488 million 5

7 Budget Framework over the 2015 MTEF Table1: Budget Framework over the 2015 MTEF Budget Fram ew ork 2014/ / / /18 Total R thousands Adjusted Budget Medium-Term Expenditure MTEF Framew ork 2015 MTEF Baseline (after reduction) MTEF Baseline (before reduction) Capital Baseline Reduction Baseline for New Rolling Stock Year-on-year increase 28.0% 5.7% 5.0% Adjustm ent New Rolling Stock Cashflow Adjustment Capital Baseline Reprioritization Baseline for New Rolling stock Commitments Projected commitments into the 2015/ Available budget Notes The Framework was used to guide the budgeting process. Reprioritisation to projects was conducted, based on project priorities, project cash flow requirements and future potential commitments Overall growth in capital expenditure has increased by 11.3% per cent when compared to the 2014 MTEF of R40 billion. 6

8 Investment Outlook Infrastructure vs. Rolling Stock Investment Outlook 42,5% 57,5% Programmes Overview Infrastructure Corridor Modernization Programme Capital Intervention Programme Station Improvement and Upgrade Programme Rail Network Extensions Depots Programme Workplace Improvement Programme Electrical Programme Rolling Stock Rolling Stock Fleet Renewal Programme Accelerated Rolling Stock Programme New Locomotives 7

9 PRASA Corporate Capital Programme 2015/ / /18 Total MTEF PRASA Corporate Rolling Stock Fleet Renew al Programme Signalling and telecommunications Programme ICT Systems Enterprise Resource Planning (ERP) Asset Protection Programme Note: The Integrated Ticketing System Programme is one of the key drivers for ICT over the 2015MTEF R6.5bn R6.9bn R5.0bn 8

10 PRASA Rail Capital Programme 2015/ / /18 Total MTEF PRASA Rail Capital Intervention Programme (minor w orks, safety & SNP) Depots Machinery and Equipments New Locomotives Rolling Stock Adhoc Condition Work Rolling Stock Components R1.7bn R1.7bn R1.8bn 9

11 PRASA Technical Capital Programme 2015/ / /18 Total MTEF PRASA Technical General overhaul of Metrorail Coaches Refurbishment of Smeyl Coaches Depots Modernization (5 depots, incl fencing) Electrical Programme: Substation, New Overhead Lines & OHTE Footbridges, Level Crossings and Structures Metrorail/Gautrain Stray Current Mitigation Station Modernization Programme (135 stations) km Perw ay Programme Green View - Pienaarspoort Project Queenstow n - Umtata Bridge City Motherw ell Rail Extension R4.7bn R4.4bn R4.7bn 10

12 PRASA Corporate Real Estate Capital Programme 2015/ / /18 Total MTEF PRASA Corporate Real Estate Station Improvement Programme Station upgrades/ developmental acqusitions Upgrade of Park Station Workplace Improvement Programme (incl facilities) Property Acquisition Integrated Station Access Management System (ISAMS) Mabopane Station Upgrade R2.8bn R2.3bn R2.3bn 11

13 2015 MTEF Capital Programme Capital Programme 2015/ / /18 Total MTEF PRASA Corporate Rolling Stock Fleet Renewal Programme Signalling and telecommunications Programme ICT Systems Enterprise Resource Planning (ERP) Asset Protection Programme PRASA Rail Capital Intervention Programme (minor works, safety & SNP) Depots Machinery and Equipments New Locomotives Rolling Stock Adhoc Condition Work Rolling Stock Components PRASA Technical General overhaul of Metrorail Coaches Refurbishment of Smeyl Coaches Depots Modernization (5 depots, incl fencing) Electrical Programme: Substation, New Overhead Lines & OHTE Footbridges, Level Crossings and Structures Metrorail/Gautrain Stray Current Mitigation Station Modernization Programme (135 stations) km Perway Programme Green View - Pienaarspoort Project Queenstown - Umtata Bridge City Motherwell Rail Extension PRASA Corporate Real Estate Station Improvement Programme Station upgrades/ developmental acqusitions Upgrade of Park Station Workplace Improvement Programme (incl facilities) Property Acquisition Integrated Station Access Management System (ISAMS) Mabopane Station Upgrade Total MTEF Allocation

14 2015 MTEF Capital Programme 13

15 Economic Development Impacts Job Creation PRASA s Capital Programme s will have a strong emphasis on Job Creation and Economic Development Job Creation will be measured throughout the Programmes, based on the following: o o o Job Creation quantum will be measured throughout the Programmes using consistent measurement principles Quarterly reporting on Job Creation numbers Targets to be set during procurement phase and monitored throughout implementation Furthermore, it is targeted that a full report on Job Creation will be submitted on all key Capital Programmes by the end of the first quarter of 2015/16 Financial Year 14