The Establishment of a

Transport Authority for the

Gauteng Global City RegionMr. Jack van der Merwe

CEO: Gautrain Management Agency18th July 2018

A: The Global Environment

we Operate in

• According to Professor Nick Binedell, the previous Dean of the

Gibbs Business School, we are Globally driven by the following

three “C’s’’:

– Change, we are living in a world that is continuously changing (now and in

the future) and with these changes they bring new challenges to the

workforce, especially the changing of the skills-set that is required. It is said

that people:

• Who Change after Change – will survive;

• Who Change with Change – will succeed; but

• People who cause Change – will lead

– What is not said is people or companies that don't change will become irrelevant

and fall behind

Global Environment

• According to Professor Nick Binedell, the previous Dean of the Gibbs Business School, we are Globally driven by the following three “C’s’’:– Complexity, we are living in a world that is extremely complex, with an

overload of data & information, the so-called “big-Data”. Based on a study in 2015 by Aureus:

• 90 per cent of the data in the world today has been created in the last two years alone

• The worlds Data volume is expected to grow by 40% a year

• Data lakes are expected to bring cost reductions by as much as 10 -100 times.

– Very few traditional methods of addressing problems and issues are still applicable. Again this will require new thinking and concomitant skills requirements.

Global Environment

• According to Professor Nick Binedell, the previous Dean of the

Gibbs Business School, we are Globally driven by the following

three “C’s’’:

– Competition, we are living in a competitive global village where processes

and procedures must be upgraded continuously to ensure growth and

survival. The period of having a competitive edge on the competition is

growing shorter by the day. While you are sleeping your competitors are

working on a plan to deliver your product or service, quicker, cheaper and

with superior specifications.

Global Environment

• I would like to add two more “C’s”

– Collaboration – we cannot work in silos as we did in the past. In future we

will have to focus on people, profit and planet and we could be required to

take a less profitable decision for our company or organisation if that will

have a greater benefit for a sustainable world. In planning one should

always have a ‘Plan B’ but unfortunately we don’t have an Earth B

Global Environment

• I would like to add two more “C’s”

– Communication & Consultation – How do we operate in an environment

where members of the community are beter informed and require to be

constantly informed and to be part of the decision making process for issues

or plans that affect them. How do we handle social media that has shown

that it could be used to topple Governments? How do you ensure that false

text messages are not spread?

Global Environment

B: Forces that are Shaping

Transport

• A: Globilisation:

– UITP estimates that by 2025, 60% of the World’s population will be living in

urban areas, this will result in:

• Rapid urbanisation & economic development that will increase the demand for the

movement of people, goods & services;

• Global trend is towards private vehicles as the preferred mode of transport;

• 6.2 billion private motorised trips will be made every day in cities worldwide;

• Gridlock, pollution, road traffic accidents & greater dependency on fossil fuels;

Forces Shaping Transport

• A: Globilisation:

– It is estimated that by 2025, 60% of the World’s population will be living in

urban areas, this will result in:

• If left unchecked by 2025 worldwide transport related greenhouse gas emissions will be

25% higher than 2005 levels, this will:

• Put us firmly on the path towards potential catastrophic climate change;

• Transport energy bills will skyrocket;

• Higher levels of energy consumption could pose a threat to global energy security;

• Traffic congestion will bring cities worldwide to a standstill; and

• Half a million people will be killed in road traffic accidents every year.

Forces Shaping Transport

Gauteng Global City Region (GGCR)

• A: Globilisation:

• The Provincial Government has decided to:

– Function as a single GCR;

– Continue to upgrade and maintain the key infrastructure systems;

– In order to address the spatial distortion of the past, cities and dormitory

towns must be linked with a well functioning transport system.

– Focus must be on public transport, with the emphases on passenger rail

• B. The Environment, pollution and Greenhouse gasses;– There seems little doubt left that climate change is one of the most

significant threats to the future of humanity. There is also a great consensus on the important role that the transport sector plays in this matter, since it is responsible for 18% of all man-made greenhouse gas emissions. If we take into account that the global car fleet is expected to Tripple by 2050, emissions from transport are projected to grow faster than any other sector.

– Public transport is at the forefront of this fight against climate change, as it is three to four times more energy efficiency per passenger than private cars. It must play a major part in providing greener mobility solutions to reduce CO2 emissions, it must take the responsibility to offer new technologies, business models and opportunities to help decision makers achieve their objectives.

Forces Shaping Transport

Transport the Biggest Contributor to Climate Change

Transport contributes the

largest amount to Green

House Gas (GHG)

emissions compared to

any other urban activity

globally.

Green Infrastructure: Priority Modes of Transport

This can only be

achieved is there is co-

ordination between:

Land-use Planning;

Transport Planning; and

Economic Planning

• C: The 4th Industrial Revolution

– Before I address you on the Fourth Revolution and how we think it will

impact on mobility you may ask;, if we are now looking at a “fourth

revolution” what were the previous three industrial revolutions

– The First Industrial Revolution (1784) witnessed the emergence of

mechanization, a process that replaced agriculture with industry as the

foundations of the economic structure of society.

– The Second Industrial Revolution (1870) - nearly a century later at the end

of the 19th century, new technological advancements initiated the

emergence of a new source of energy: electricity, gas and oil. As a result,

the development of the combustion engine set out to use these new

resources to their full potential.

Forces Shaping Transport

• C: The 4th Industrial Revolution– The Third Industrial Revolution (1969) - nearly a century later, in the second

half of the 20th century, a third industrial revolution appeared with the emergence of a new type of energy whose potential surpassed its predecessors: nuclear energy. This revolution witnessed the rise of electronics—with the transistor and microprocessor—but also the rise of telecommunications and computers.

– And here we are… we are living in the Fourth Industrial Revolution that is unfolding before our eyes. Its genesis is situated at the dawn of the third millennium with the growth of the Internet. This is the first industrial revolution rooted in a new technological phenomenon—digitalization—rather than in the emergence of a new type of energy. This digitalization enables us to build a new virtual world from which we can steer the physical world.

Forces Shaping Transport

Some Elements of

the

4th Industrial

Revolution

(Disruptive

Technologies)

The Journey

C: South Africa’s Political

Imperatives

• South Africa has two main challenges that will determine the focus

and priorities in the country for the next 20 years:

– Fighting poverty; and

– Fighting unemployment

• The strategy adopted by Government to address these two

challenges is the roll-out of the National Development Plan (NDP)

South African Political Imperatives

D: The Establishment of a Transport

Authority for the Gauteng GCR

• Governance of the TA

– The TA will be governed by a Board of 12 Directors, which will be representative

of the authorities it is coordinating.

– The Directors will be appointed from:

• 6 Representatives of the provincial municipal government

• 6 transport specialists with expertise in transport planning, transport infrastructure

development, road-based and rail transport operations, transport economics,

intelligent transport systems, non-motorised transport, and legal, financial and

human resources management

Transport Authority for Gauteng GCR

Governance

Structure

Board of Directors

CEO

Panel of Experts

Stakeholders Forum

Gauteng GCR Transport Authority

Premier’s Coordination Forum

Co-ordinationof Planning

Optimisation of Operations

EnforcementFunding & Advocacy

Contracts and Standards

CommsCorporate Legal

Gauteng’s Executive Council

Metropolitan Mayoral Committee’s

Roles & Functions of the TA for the Gauteng GCRB C D E

Co-ordinate

Planning

Integrated PT

Operations

Enforcement Contracts, Norms &

Standards

Funding &

Advocacy

Common Vision

Develop a Pool of

scarce Skills,

Could help

entities if asked

Optimisation of

PT system

Create commuter

forums

SLA with law

Enforcement

agency

Develop standard

Contracts for

Buses, BRT and all

Taxi’s

Collate all

subsidies &

prioritise

Review ITP’s,

IPTNP’S and

IDP’s for

integration and

advise MEC

PLTF

Common Info:

▪ PT

Information

▪ Ticketing

▪ Fare

harmonisatio

n

Create law

enforcement

capacity (in

future)

Set minimum

norms & standards

for all PT modes

and common PT

branding

Single point of

contact with

Treasury on

OPEX & CAPEX

priorities

Advisory service

to Permit &

Permission

Boards

Modal transfers

ITS / ICT

People with

Special needs

Special PT

Courts &

Prosecutors

Develop Contracts

& Project

Management

Capacity for CAPEX

projects

Manage

Transport Fund

Modeling &

updating Data

Common

Branding

Coordinate &

Liaise - PT

Police

Stakeholder

Management

Communication

& Marketing

Time Frames for the Establishment of the Gauteng

GCRAction Period

Enabling Legislation (GMA and NLTA

Amendments)

June 2016 to Feb 2018

Develop a Business Plan February 2018

Consultation June 2017 to March 2018

Approval Policy & Legislation (draft Bill) April/May 2018

Legislative process Jun. - Nov 2018

Establishment of TA January-March 2019

• The policy has been approved by the Executive Council

• The Draft TA legislation has been drawn up and has been published in

the Provincial Gazette for comments

• The GMA Bill has been approved by the Gauteng Executive Council

• The GMA Bill has been referred to the Gauteng Legislature for

processing and approval

Progress

E: Closure

The Seven Stages of a PPP Project

• Enthusiasm

• Promises & Programmes

• Disillusionment

• Panic

• Hunt for the guilty

• Punishment of the innocent

• Reward for those who had nothing to do with it

Whatever it is that hits the fan will not be

evenly distributed.No. 2 Law of Probable Dispersal

Thank You

“The philosophers have only interpreted the world, the

point however is to change it”

Karl Marx

“”The Future is not for the faint hearted.”

R Reagan

“”It always seems impossible until it’s done.”

Nelson Mandela