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SANRAL’s response to a Moneyweb article

MEDIA RELEASE
SANRAL’s response to a Moneyweb article

Pretoria, 3 March 2022 – The story titled “Sanral delays awarding tenders worth at least R16bn” which appeared in Moneyweb on 3 March 2022 refers.

Before we respond to the substantive issues raised in the article, let us point out that Moneyweb had sent us a list of questions on 2 March 2022 and published the article the same day at midnight. In email exchanges between SANRAL and Moneyweb, the latter acknowledged receipt of our request to delay publication as our responses were going through internal approval processes. This was not a breaking a story and ours was a reasonable request, we thought, and to which Moneyweb did not object.

But Moneyweb could not resist the possibility of facts getting in the way of a juicy story and so it decided to go ahead and publish without a response from SANRAL, or verifying facts. One of the first things any rookie journalist learns in the profession is how important it is to be fair. Reporters must always include the other side.

Sometimes, though, there is no other side. In the case of SANRAL, the other side was there and had been in touch with Moneyweb’s journalist – not for the first time. He knows we always honour our commitment to respond to his questions. But this time around the facts might have gotten in the way of his innuendos dressed up as journalism.

Worse still, his effectiveness as a hired gun might have been blunted. This is also not the first time this journalist has published a factually incorrect statement, which after checking with SANRAL was proven to be inaccurate. We refer to the article published in November 2021 regarding SANRAL allegedly taking a loan from the New Development Bank of R7 billion.

Here are the facts responding to the substantive issues raised in the Moneyweb article.

SANRAL is dealing with a significant backlog in procurement, which is widely known and published, caused by the following:

  1. The clarification process of the 30% subcontracting between SANRAL and National Treasury took 18 months to complete, including the interpretation of “local”, which led to the stalling of 64 SANRAL projects caused by community disruptions.
  2. The rollout of the Supply Chain Management (SCM) reform to comply with the Treasury Regulations on Procurement, issued under the PFMA.
  3. COVID-19 lockdown required changes to tender procedures, which had to be considered and published.

All the above conspired to create a significant backlog which resulted in 258 projects (R31.7 billion), planned to be awarded in 2020/21, being rolled over to the current Annual Procurement Plan of 2021/22. The 2021/22 plan included a further 312 projects (R30 billion) to commence with the procurement process in this financial year.

To provide perspective on the impact the SCM reform has on the administrative processes that must be concluded, it is noteworthy that in 2020/21, 212 contracts were awarded. However, this represents 4 180 tender submissions, which had to be checked for compliance in terms of eligibility criteria and the Regulations, before they could be evaluated for functionality, price and preference.

One must bear in mind that any administrative error will result in the award being declared irregular.

We can confirm that the delay is not due to a lack of funding, as projects will not be planned until the funding is secured.

We can also confirm that the delays had nothing to do with the SANRAL Board. As a matter of good governance, the Board does not get involved in the procurement process. The Board only reviews an award, post evaluation and adjudication by Management, when a tender exceeds the threshold of R750 million, as per the SANRAL Delegation of Authority. In such instances, the Board must satisfy itself that all due processes have been followed. Otherwise, all other bids are finalised and awarded at the Management Bid Adjudication Committee (MBAC) level. The Board does not sit at MBAC.

Since 1 April 2021 to 28 February 2022, 267 contracts have been awarded, which represent R33 billion. Some 69 contracts have been evaluated, and are in various stages of adjudication/award. A further 148 projects are currently under evaluation, of which 35 closed more than 6 months ago. Of the total of 570 listed in the Annual Procurement Plan for 2021/22, 256 advertisements have closed and 16 are currently advertised.

It must also be indicated that the majority of projects are not delayed between adjudication and award, but rather between closing of advertisement and completing of the evaluations.

For 2021/22, 267 awards have already been made – Bid Adjudication Committees meet on a weekly basis to consider recommendations from the various Bid Evaluation Committees and continue to make awards. These awards are published on the SANRAL website and others, as per the requirements.

As for the suggestion or advice by WBHO Group CEO Wolfgang Neff that the SANRAL Board “may not have the correct experience to determine whether a bid is competitive or not and whether the contractor will be able to compete the work” we find such remarks unfortunate and revealing about his understanding of how SANRAL procurement works. These issues are determined through an extensive evaluation and adjudication process, which includes many specialists in engineering, procurement and legal fields. The Board merely seeks clarity where it has any concerns on the award made by MBAC.

Thus, Mr Neff’s suggestion about the role that consulting engineers must play is, unfortunately, incongruent with SANRAL’s corporate governance position on the matter of conflict of interest.

Early engagement on N1 upgrade between Worcester East and Glen Heatlie

MEDIA RELEASE
Early engagement on N1 upgrade between Worcester East and Glen Heatlie

Western Cape, 4 March 2022 – The South African National Roads Agency SOC Limited (SANRAL) recently held an information session in Worcester, as part of its stakeholder engagement priorities in planning the upgrade and capacity improvement of the N1 between Worcester East and Glen Heatlie.

The project is currently in the preliminary design phase, where the engineers are considering the design options that would best service the road user. It is envisaged that the upgrade will result in the development of additional lanes to increase capacity and tie in with the long-term dual carriageway vision towards Laingsburg.

“We specifically wanted to ensure we reach the relevant and affected stakeholders in terms of the necessary investigations for the design development. This involves surveys and soils sampling that need to happen for us to complete the preliminary designs. The investigations are likely to require access to private land, on the farms adjacent to the road reserve,” said David Le Cordeur, SANRAL Project Manager in the Western Region.

To this end, the project and its various design options were introduced to the stakeholders. This was the first of a series of stakeholder engagements in accordance with the project timeline. It is envisaged that the detailed design will be completed in 2024.

The project was welcomed by Raymond Esau, Director Strategic Support Services, of the Breede Valley Municipality who said: “This project brings good news to our people, and we are happy that SANRAL is recognising the importance of stakeholder engagement right at the start of the process.”

“Our Board has publicly committed that no SANRAL project will commence without engaging the relevant stakeholders in the communities affected by infrastructure development upgrades, and we intend to honour that commitment. Once we get into the construction phase, we will again engage the community to talk about project participation opportunities for local labour and SMMEs. For now, our focus is on getting the designs approved so we can begin with this much-needed upgrade of the N1,” said Randall Cable, SANRAL Western Region Manager.

TRANSPORT MINISTER FIKILE MBALULA SAYS REOPENING OF R61 ROAD IN EASTERN CAPE IS A STERLING EXAMPLE OF GOVERNMENT DELIVERY

MEDIA RELEASE

28 February 2022

 TRANSPORT MINISTER FIKILE MBALULA SAYS REOPENING OF R61 ROAD IN EASTERN CAPE IS A STERLING EXAMPLE OF GOVERNMENT DELIVERY

Eastern Cape, 28 February 2022 – Transport Minister Fikile Mbalula says the reopening of the R61 Tsomo junction road between Cofimvaba and Ngcobo is an excellent example of government delivering on its promises. During a site inspection on 4 February 2022 of construction works to repair a culvert which had collapsed at the end of December last year, Minister Mbalula promised that the road would be reopened by the end of February. Minister Mbalula praised the South African National Roads Agency Limited (SANRAL) for ensuring that the construction work was completed ahead of schedule.

“The R61 is a critical economic artery for the transportation of goods and people through this region of the Eastern Cape and therefore it was an absolute priority for us to fix this culvert and reopen the road. This is a sterling example of government service delivery to our people, and I want to commend SANRAL for delivering on our promise to reopen this important road by the end of February 2022,” said Minister Mbalula.

“Under the leadership of President Cyril Ramaphosa, the South African government has embarked on a massive infrastructure build programme as part of our efforts to stimulate economic growth and to create jobs in partnership with the private sector. National government has allocated an additional R9.9 billion for SANRAL’s non-toll road portfolio, showing the extent to which we are determined to ensure that our road network is well-maintained and expanded,” he said.

The Minister also stressed the importance of close cooperation between relevant government departments and provincial government structures, particularly as it relates to delivering services in the rural areas of the country. President Ramaphosa’s announcement in the State of the Nation Address (SONA) that the Welisizwe rural bridges programme would be upscaled to deliver 95 bridges a year, up from the current 14 per annum, was a case in point.

“As the national government we are not only working closely with our agency SANRAL but also with the South African National Defence Force and all provincial governments to expand the Welisizwe programme to ensure that heavy rains in rural areas do not stop school children from getting to school and stopping people from getting to markets and accessing social services.

In this province we are also working closely with the Provincial Government of the Eastern Cape to transfer several provincial roads to SANRAL, which will then be responsible for maintenance and repairs on those roads totaling some 371km.

Minister Mbalula was speaking after inspecting the work done to repair the road accompanied by Eastern Cape MEC for Transport, Safety and Liaison, Weziwe Tikana-Gxotiwe, as well as the Chairman of the SANRAL Board, Themba Mhambi, and the Acting CEO of SANRAL, Lehlohonolo Memeza.

MEC Gxotiwe said the Tsomo Junction was a key economic node for the province. “The Eastern Cape Provincial Government will continue to work closely with the National Department of Transport and SANRAL to ensure that the provincial and national road network facilitates economic activity and growth,” she said.

The culvert was replaced by the existing SANRAL routine road maintenance contractor, the black-owned Rainbow Civils, who are normally responsible for the day-to-day maintenance of the R61. The budget for the repairs is estimated at R2.3 million. The main contractor made use of local labour sourced from nearby villages.

 

Road closure on a section of the N3 in Lions River

TRAFFIC ADVISORY

Road closure on a section of the N3 in Lions River

Pietermaritzburg, 15 February 2022 – The South African National Roads Agency SOC Limited (SANRAL) would like to inform motorists of the partial road closure of the National Route 3 (N3) in the areas of Howick and Lions River. The closure is detailed in the table below:

  Dates Morning Road Closure Afternoon Road Closure Area/Location
Start date: Monday, 7 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River
  Tuesday, 8 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River
End date: Wednesday, 9 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River
Contingency dates
Start date: Monday, 14 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River
  Tuesday, 15 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River
End date: Wednesday, 16 March 2022 10h00 – 12h-00 14h00 – 16h00 Lions River

“These partial road closures are required to allow Eskom to perform essential work necessary to perform the overhead transmission lines and conductor which supplies electricity to the area,” said Dumisani Nkabinde, SANRAL’s Eastern Region Manager.

Road Traffic Inspectorate (RTI) from both Mpofana and Umngeni Municipalities will be deployed to manage and monitor the diversion of traffic and ensure minimal disruptions. Light motor vehicles will be diverted to R103 for a detour route for a total distance of approximately 45 kilometers as follows:

  • N3 Northbound Howick/Midmar (Exit 103) Interchange when travelling towards Johannesburg.
  • N3 Southbound Nottingham (Exit 132) Interchange when travelling towards Durban or Pietermaritzburg.
  • Heavy Motor Vehicles (HMV) will be stacked on both the northbound and southbound.

The closure may need to be adjusted depending on weather conditions on the day. If need be, a second notice with information of the new times will be made available. Contingency dates have already been set aside.

“Motorists travelling along the N3 highway are urged to make use of the alternative routes, plan and adjust their route trips on time and proceed with caution and adhere to speed limits,” said Nkabinde.

Road users are advised to obtain real-time traffic information and route status updates during the abovementioned road closure dates.

“SANRAL would like to apologise for the temporary inconvenience and disruption these operations will cause to the travelling public. However, the roads agency takes seriously the mandate from government to manage and maintain the national road network. The construction team appreciates your patience,” said Nkabinde.

Road closures on the N1 due to sinkhole rehabilitation

Traffic Advisory
Road closures on the N1 due to sinkhole rehabilitation

Pretoria, 23 February 2022 – The South African National Road Agency SOC Ltd (SANRAL) wishes to notify road users to expect road closures on the N1 North bound between Botha Avenue and N1/R21 (Flying Saucer interchange) in Centurion to allow for rehabilitation work on the sinkhole.

The lane closures on the N1 section 21 at Km 22.1 will be implemented as follows:

  • Wednesday 23 February 2022 at 22h00 to Thursday 24 February 2022 at 04h00.
  • Thursday, 24 February 2022 at 22h00 to Friday, 25 February 2022 at 04h00.

Progress Hlahla, SANRAL’s Northern Regional Manager, said the closure is required for gravity survey testing taking place in the lanes of the northbound carriageway as part of the geotechnical investigations required for the remediation works on the sinkhole.

During this period only two lanes will be open. The duration of the closure will be kept as short as possible.

“Motorists are requested to plan their trips accordingly, consider alternative routes and use caution when making use of the roads,” said Hlahla.

SANRAL apologises for any inconvenience caused during this period and will continue to provide updates to road users as information becomes available.

SANRAL announces toll tariff adjustment effective 1 March 2022

Media Release
SANRAL announces toll tariff adjustment effective 1 March 2022

Pretoria, 22 February 2022 – The South African National Roads Agency SOC Limited (SANRAL) wishes to notify the public of the increase in toll tariffs effective from 1 March 2022.

The tariffs are adjusted annually in line with the Consumer Price Index (CPI) as obtained from Statistics South Africa (Stats SA). The CPI percentage that was applied to determine the new tariffs is 5%, as published in the Government Gazettes of 11 February 2022.

Vusi Mona, SANRAL General Manager of Communications, said toll monies are applied to maintain, operate and improve toll roads, as well as to service debt incurred to implement a toll road project. The funds go a long way to ensuring that the roads agency fulfils its mandate of delivering quality road infrastructure that adds value to South African citizens

“We are counting on the public to support us in this endeavour, because without this key alternative source of funding, we would not be able to carry out some of our major works,” he said.

Mona said economic infrastructure such as the national road network is a precondition for providing basic services such as electricity, water, sanitation, telecommunications and public transport, and it needs to be robust and extensive enough to meet industrial, commercial and household needs.

“The roads agency sympathizes with the South African public considering the current state of the economy. However, it’s equally important to introduce the adjustments to ensure that it continues to deliver quality roads and services to the benefit of the public,” said Mona.

For details on the applicable tariffs, please refer to the Government Gazette, volume 680, number 45902, published on 11 February 2022 or contact Customer Services as indicated below:

      • Phone the Call Centre on 0800 726 725 (6am – 10pm, 7 days a week).
      • Visit our Customer Service Centres located in selected malls in Gauteng and along the Gauteng Freeway, as well as at most Toll Plaza Offices across the country.
      • E-mail info@sa-etoll.co.za

Traffic Advisory: Truck damaged bridge in Gqeberha


TRAFFIC ADVISORY
Truck damaged bridge in Gqeberha

Eastern Cape, 20 February 2022: The South African National Roads Agency SOC Limited (SANRAL) would like to notify motorists that a truck carrying a load exceeding a bridge’s height restriction, resulted in a collision with the N2 Motherwell Bridge on the Motherwell Road in Gqeberha (Port Elizabeth) on Saturday, 19 February 2022.

The collision caused structural damage to the bridge. A portion of the road on the bridge deck will be closed off to protect the damaged side.

“Motorists must drive with caution when making use of the road. Our routine road maintenance team is on site with traffic officials,” said Mbulelo Peterson, SANRAL Southern Region’s Regional Manager.

SANRAL lays the groundwork for construction in Giyani

Media Release

SANRAL lays the groundwork for construction in Giyani

Pretoria, 18 February 2022 – The South African National Roads Agency SOC Limited (SANRAL) visited stakeholders in the Greater Giyani Municipality on Thursday 17 February 2022 to talk about upcoming projects in the area.

The visit is part of the roads agency’s stakeholder outreach efforts, which seeks to engage relevant stakeholders on SANRAL projects in the area, and importantly, to promote transformation in the industry by opening doors for SMMEs to participate in the planned projects.

The ‘Taking Sanral to the People’ engagement is a flagship event which was launched with the purpose of building and maintaining relations with stakeholders through effective engagement, and to discuss opportunities for local small, medium and micro-enterprises (SMMEs) to participate in SANRAL projects, said Melba Geca, SANRAL Stakeholder Coordinator.

“As the roads agency, reporting to the national Department of Transport, we should ensure that our strategic planning processes are aligned with that of our stakeholders and that they provide professional and technical support in the delivery of stakeholder projects, including skills transfers,” said Geca.

These engagements are imperative for the roads agency as they help in understanding the sentiments of the communities on the ground which will assist with being more proactive instead of reactive when dealing with issues.

The platform afforded all key stakeholders from the respective sectors to have a voice regarding the challenges and concerns faced, as well as to pledge support and work together and succeed together.

Among those in attendance were Greater Giyani Local Municipality Councillors: Head of Roads and Transport, Cllr MR Mashale; Acting Mayor, Cllr Cedrick Baloyi; Head of Infrastructure, Cllr TJJ Mabunda; members from Roads Agency Limpopo (RAL), members from the Cooperative Governance and Traditional Affairs (COGTA), traditional leaders, local business forums and community members.

SANRAL project managers for the Northern Region, Thabo Mahlakwana, Lawrence Chauke and Lucky Negogogo, unpacked the following planned projects falling within the boundaries of Greater Giyani Local Municipality, which included:

  • Upgrading of Provincial Road D3810, from Thomo to Hlomela from gravel to surface standards, which will include drainage and ancillary works. The total length of the project is 29.5 km. SANRAL is implementing the project on behalf of Roads Agency Limpopo (RAL) as part of the Presidential stimulus projects. The project is currently in the preliminary design stage with the detailed designs expected to be completed by September 2022.
  • Upgrading of Provincial Road D3187, from Mageva to Makhuva, from gravel to surfaced standards. The procurement process to appoint the Engineering Service provider is still underway and expected to be finalised by March 2022.
  • Improvement of National Road R578 Section 1, from Nwamatatani to the junction with the R81 National Road in Giyani: The project is currently in the design stage, and the contractor is expected to be procured in November 2022. The scope of work includes the improvement of intersections, public transport bays, upgrading of all bridge structures, and ancillary works such as fencing, guardrails and traffic signs.

Planned Routine Road Maintenance Projects (RRM)

The following are the planned RRM projects to be conducted by VEA Road Maintenance and Civils (Pty) Ltd, which has a 51% black ownership. The estimated budget is R 8,8 million, at least 50% of this will be sublet to targeted enterprises who meet the requirements.

  • RRM of national road R81 from Molemole municipal boundary to Giyani.
  • RRM of national road R578 from Collins Chabane municipal boundary to Giyani.
  • RRM of national road R529 from Greater Giyani municipal boundary to Giyani.
  • RRM of R36 from Greater Tzaneen municipal boundary through Modjadjiskloof to Molemole municipal boundary.

The Acting Mayor, Councillor Cedrick Baloyi, said he welcomed the engagements by SANRAL as they would bring about much needed progress and growth to the area and give first-hand knowledge of how road infrastructure in Greater Giyani local municipality and the entire Limpopo province would unfold.

“With SANRAL, things are promising. We needed this engagement to lift our spirits and bring hope to our people, because for a long since 2019 there’s been no activities around road infrastructure” said Baloyi.

He further celebrated SANRAL for their consideration and upliftment of local SMMEs and felt assured that there would be transformation in the industry, which will go a long way towards uplifting local businesses and growing the local economy.

SANRAL has pledged to work with the stakeholders in Giyani to achieve great milestones.

N7 upgrade – A well constituted PLC is of cardinal importance

MEDIA RELEASE

N7 upgrade – A well constituted PLC is of cardinal importance

Western Cape, 18 February 2022 – The South African National Roads Agency SOC Limited (SANRAL) has commenced with the upgrade of the N7 between Rooidraai and Moorreesburg in the Swartland Local Municipality and wishes to assure all stakeholders of its commitment to constitute a Project Liaison Committee (PLC) that is fully representative of all stakeholders impacted by the project.

The upgrade project, which has a contract duration of three years, entails the widening of the road and structures, as well as adding of overtaking lanes.

Following a series of engagements with communities within the Swartland Local Municipality in January 2022, it was evident that communities demand relevant and suitable representation on the PLC.

“We have heard the appeals from several communities and, within the next three weeks, SANRAL will be engaging affected communities to ensure they are able to nominate leaders who represent their interests on the PLC. We will ensure stakeholders are kept informed of progress, so that nobody misses out on any opportunities during this time,” said Petronella Theron, SANRAL Project Manager in the Western Region.

It is also important to note that the members of the PLC representing communities and stakeholders perform an oversight role over the respective SANRAL project. They are not involved or allowed to influence the awarding of subcontractor tenders or who get jobs on those projects.

The primary function of the PLC is to create a platform for project liaison, with regards to works execution, subcontracting and employment facilitation. The PLC also monitors and ensures fairness and transparency in the awarding of subcontractor tenders and employment opportunities.

“Due to potential conflict of interest, members of the PLC may not tender for work on this project or resign from the PLC in order to pursue a subcontractor construction tender. It is therefore important that PLC members simply wish to serve the community and must ensure that timely feedback is given to respective communities and stakeholders that they represent,” explained Theron.

SANRAL will continue to engage with stakeholders in the Swartland Local Municipality and is committed to a well-constituted and fully functional PLC so that nothing derails the progress of this project.

Expected road closures due to sinkhole on R21

Traffic Advisory

 Expected road closures due to sinkhole on R21

 Pretoria, 16 February 2022 – The South African National Road Agency SOC Ltd (SANRAL) would like to notify the public and road users of possible road closures due to a new sinkhole that formed along the R21 near Olifantsfontein.

Two sinkholes formed on Monday afternoon just before 16h00 along the R21 northbound carriageway towards Pretoria, just after the Olifantsfontein interchange at R21 section 2 km3.2, according to Louw Kannemeyer, SANRAL’s Engineering Executive.

“One sinkhole developed just outside our road reserve fence boundary, and the second one immediately adjacent to the edge of the R21, penetrating about two meters underneath the road up to the slow lane and five to six meters deep currently,” said Kannemeyer.

Cracks also formed in the road surface in the outer two slow lanes, which called for the immediate closure of the outer two lanes of the road.

“Preliminary assessments have been performed by SANRAL engineers, and we are currently in process with the emergency appointment of the required geotechnical engineering specialists to assist with the specialist investigations required,” said Kannemeyer.

During this period, SANRAL will be installing New Jersey concrete barriers to ensure public safety (like applied at the N1 sinkhole) while awaiting the outcome of the investigations.

The lane closures will remain in place until the specialist investigations and remedial measures have been implemented, Kannemeyer said. How long that will take is dependent on extent of the sinkhole, which at this stage remains to be quantified.

“The R21 northbound will be reduced to two lanes in the direction of Pretoria just after the Olifantsfontein interchange for the foreseeable future, resulting in associated congestion during peak hour periods.  Road users are advised to take this into account in their daily planning and consider alternative routes such as M18 and M57 which run parallel to the west of the R21 in the vicinity of the affected area,” he said.

SANRAL apologises for any inconvenience caused during this period and will continue to provide updates to road users as information becomes available.