Page 64 - Provincial Treasury Estimates.pdf

Overview of the Provincial Revenue and Expenditure (OPRE) Financial Year 2023/24

In the 2022/23 Medium Term Budget Policy Statement (MTBPS), the Eastern Cape Provincial
Government referred to a Property Investment Conference that was held on 31 March 2022 to attract

private sector investors, developers and financing. That conference showcased a Bid Book with hundred
and ninety-five (195) properties. The Department of Public Works and Infrastructure as the lead

department has contracts that are at various stages of procurement as part of the department’s bid book
targeted to yield the most revenue whilst also improving access and inclusion of small players in the
property market.

Acknowledging the complexity of this undertaking, the procurement process and understanding the

challenges of access to funding by most youth and previously disadvantaged group the Provincial Treasury
(PT) has set up an ad hoc committee consisting of the officials in the relevant departments. This committee
will enable the unblocking of any hindrances of approvals within the departments and thereby accelerating

the procurement process and contractual agreements on property revenue matters.
The property portfolio of the department is instrumental to unlocking the revenue potential of the province
and revenue of R11.063 million in 2024/25 and 2025/26 have been included from the lease of

19 properties. Other new sources include telecommunication sites which will generate R19.661 million in
2023/24, 2024/25 and 2025/26 with the implementation of new tariffs as old contracts lapsed, while
billboards will contribute R2.667 million in 2023/24, 2024/25 and 2025/26. In addition, closed and

underutilised schools that are identified by the Department of Education and DPWI will continue to be
advertised for rental and development.

The Department of Transport collects revenue through collection agents namely municipalities and the
South African Post Office (SAPO) mainly from motor vehicle license renewals. Online electronic collection

systems were introduced by the Road Traffic Management Corporation (RTMC) and by SAPO for online
transactions meant to improve efficiencies in revenue collection by government. These electronic systems
bring efficiencies as well as easing the process of license renewals by motorists.

In the 2022 MTBPS, PT mentioned the progress made with the rollout of the Drivers and Learners Testing
Centres (DLTCs) by the Department of Transport at the Komani and Struandale DLTCs which have been

operational since the 2021/22 financial year and two additional DLTCs namely Elliotdale and Zwelitsha
that have progressed with the completion of renovations. The latter two DLTCs will start operations after

the grading by national Department of Transport have been approved. The DLTCs that are operational are
the Komani and Struandale as well as the original Wilsonia DLTC has been operational for some time.
The DLTCs are performing functions of drivers’ learners or license and personalised number plates

applications. In addition to the existing traffic control centres at Mthatha and Kinkelbosch, the department
is continuing with the Middleburg traffic control centre which is funded in the 2023/24 financial year.

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