8 June 2006
Over the past two weeks there has been much public debate, speculation and even acrimony about a private sector iniative to establish a monorail in Gauteng. The project was announced by the MEC for Finance and Economic Affairs and the MEC for Public Transport Roads and Works on 16 May 2007.
Let me say at the outset that public debate and discussions on matters affecting the public is welcome and should always be encouraged. However, we feel it is important to set the record straight from the provincial government's point of view.
The Gauteng Executive Council on Wednesday 6 June 2007 received a report on and discussed the proposed monorail project and has reached certain conclusions on the way forward, which I will elaborate on.
As we have indicated on a number of occasions in this house, our economic growth strategy is a central pillar of our continued efforts to tackle poverty, underdevelopment and joblessness in our province. In achieving this we have prioritised a range of initiatives to stimulate investment in and growth and job creation in key economic sectors. In line with our provincial Growth and Development Strategy and Asgisa, we have paid particular attention to investing in strategic economic infrastructure which has improved our economic performance and stimulated further private sector investment. Public transport corridors in particular can play an important role in stimulating development and investment in underdeveloped areas.
It is against this backdrop that the proposed monorail project should be viewed.
Allow me to provide you with some background. In November 2005 the MEC for Public Transport, Roads and Works received a request from the national Department of Transport to meet with a Malaysian investor who was interested in public transport opportunities including monorail projects. The MEC duly met with the investor and a process then ensued which included
Given the size and nature of the project as a private sector investment, the Gauteng Economic Development Agency was also brought on board and the two MECs then held a media briefing to announce the progress regarding the initiative.
Subsequently it became clear that the Minister of Transport and the City of Johannesburg mayoral committee had not been fully consulted. The two MECs then met with the Minister and the Mayor and reached agreements on the way forward.
The Executive Council has accepted that the failure to consult with both the Minister and the Mayoral Committee was an oversight and that there was no malice intended in this regard. We are also in full agreement with the outcomes of the meeting with the Minister and agreed that further work should be undertaken to further develop the business case for the project. In addition, in consultation with all the relevant stakeholders, we will further explore options around the integration of monorail projects as part of the broader public transport system and integrated transport plan in the Gauteng city region.
As the Minister of Transport indicated in his address to the National Council of Provinces on Wednesday 6 June 2007, "We all agreed that the proposed monorail would be put on hold until such time that the necessary process including consultation has been undertaken. We also agreed that the proposal should be open, transparent and it must take into account approved and funded transport plans aimed at enhancing the efficiency of the current rail, bus and taxi operations within the public transport system. This means that the Gauteng province will review the proposal and develop a sound business case. Thereafter there will be broader consultation with national, provincial and local government. The proposal will be subjected to the normal processes of government and then submitted for my consideration, in due course."
In addition, I am pleased to announce that the Executive Council has agreed that the Gautrain political committee should be tasked with addressing these matters over the next few months. The political committee is chaired by the MEC for Finance and Economic Affairs and also includes the MEC for Public Transport Roads and Works, the MEC for Local Government, the Provincial Director General, the Premier's legal adviser and the HOD for the Provincial Treasury.
We remain committed to redouble our efforts in working hand in hand with national and local government and civil society stakeholders to building a safe, reliable, affordable and efficient public transport system in Gauteng. I am confident that together we can make this happen.