Page 676 - Demo

Estimates of the Provincial Revenue and Expenditure (EPRE) - 2025/26 Financial YearFurthermore, the department derives its mandate from the following key frameworks and policies: %uf0b7 Expanded Public Works Programme Framework and Guidelines 2015; %uf0b7 Framework for Infrastructure Delivery Procurement Management, 2019; %uf0b7 Integrated Transport Sector Broad Based Black Economic Empowerment (B-BBEE) Charter, 2009; %uf0b7 National Commercial Ports Policy, 2002; %uf0b7 National Land Transport Strategic Framework, 2006; %uf0b7 One Infrastructure Delivery Management System Framework, 2020. %uf0b7 Provincial Infrastructure Delivery Framework, 2011; %uf0b7 Road Infrastructure Strategic Framework for South Africa [RISFA], 2006; %uf0b7 Taxi Recapitalisation Policy, 2009; and %uf0b7 White Paper on National Policy on Airports and Airspace Management, 1997. Budget decisions The revised inflation projections (CPI) of 4.5 per cent in 2025/26, 4.5 per cent in 2026/27 and 4.5 per cent in 2027/28, were utilised in the determination of the baseline over the 2025 MTEF. The department continues to adopt an approach of prioritising core programmes to resource allocation, which considers the prescripts around austerity measures and allocative efficiency while ensuring that key strategic priorities are met. The department has developed a circular on the cost containment measures, which is aligned with the one issued by the Provincial Treasury, with the aim of curbing increasing expenditure, with a particular focus on %u201cnon-core%u201d budget items. The department also aims to explore new methods of delivering services, taking into account the impact of the recent economic challenges such as power outages and logistical constraints at ports and in freight. The cost containment measures are enforcing controls in all the non-core items except for site visits, audits, investigations, asset verification and social facilitation engagements. The department held its strategic planning session and engaged on the priorities per programme of which there is not much change due to the limited resources. The department has allocated funds to key activities per programme mainly focusing on existing contracts and has adjusted the budgets for Mayibuye Transport Corporation (MTC) and Africa%u2019s Best LTD (AB350) to align with the 2025 MTEF allocation letter. The budget for scholar transport budget baseline has been protected and it amounts to R760.917 million in 2025/26 for the transporting of leaners. The provision of quality transportation infrastructure is constrained by the backlog that can be attributed to the climate change and funding constraints. Only 9.0 per cent per cent of provincial roads are surfaced compared to the average of 25 per cent for the entire country. This amounts to a backlog of over 1 358 kilometres of provincial surfaced roads in order to bring the Eastern Cape into alignment with the average of the other Provinces. The department will continue to strengthen the Traffic Infringement Management Centre to ensure it is effective and is further contributing to provincial revenue enhancement. The department will further enhance road safety awareness and contribute towards poverty alleviation through community-based programmes and expanded public works programmes. However, creation of sustainable job opportunities remains a priority. Due to the economic challenges that are facing government in general, focus has been directed towards creating more labour-intensive projects in respect of development and maintenance of the existing infrastructure, utilising the available limited resources. 655