CROSS-BORDER ROAD TRANSPORT AMENDMENT BILL [B 51B

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CROSS-BORDER ROAD TRANSPORT AMENDMENT BILL B 51B
2007
PRESENTATION TO THE SELECT COMMITTEE ON PUBLIC
SERVICES (NATIONAL COUNCIL OF PROVINCES) 28 MAY
2008
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BACKROUND
Department of Transport

• The Cross-Border Road Transport Act No. 4 of 1998
  came into force on 1 April 1998
• The Act create the Cross-Border Road Transport
  Agency and gives effect to various International
  Agreements and regulates cross-border road
  transport
• After implementation of the Act, some issues that
  required some amendments aroused.

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Department of Transport
BACKROUND TO AGREEMENTS

• Cross-border road transport must be regulated
  differently because of international Agreements
• The following agreements exist
• The MOU with Botswana, Lesotho, Namibia and
  Swaziland
• Bilateral agreements with Malawi, Mozambique,
  Zimbabwe and Zambia
• The Agreements are attached to the Transport
  Deregulation Act, 1988, and remain in force under
  the Cross-Border Act

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BACKGROUND TO AGREEMENTS (CONT.)
Department of Transport

• The Agreements usually have quotas, i.e. states
  must equalize the no. of operators
• Joint Route Management Committees and similar
  structures are established
• Different considerations apply than with domestic
  transport under the NLTTA
• The Agency must apply the Act and the relevant
  Agreement(s)

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OBJECTS OF THE BILL

Department of Transport

• To amend the Cross Border Road Transport Act No.
  4 of 1998 so as to insert the table of contents.
• To amend and insert certain definitions.
• To authorize the Cross Border Road Transport
  Agency to levy and collect tolls on behalf of
  SANRAL.
• To simplify the procedure for the appointments of
  the Board Members.

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OBJECTS OF THE BILL (CONT)
Department of Transport

• To regulate the granting of Cross Border permits.
• To update reference to traffic legislation.
• To create certain offences.
• To amend certain provisions of the NLTTA, 2000.
  (Act No. 22 of 2000)
• To provide for matters connected thereto.

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SECTION 1 (DEFINITIONS)
Department of Transport

• Table of contents inserted to facilitate reading
  the Act
• Def of Cabotage
• or changed to and to make it clear that it
  refers to both on- and offloading
• Def of cross-border road transport
• Add and personal effects to stop loading of
  freight
• Cover persons carried in course of business
  operators evade the Act by saying they are
  carrying workers

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Department of Transport
SECTION 1 (DEFINITIONS CONT)

• Def of foreign carrier
• Add cabotage to close the technical loophole
  that arose in the Airey High Court case
• Def of permit
• Maximum validity period changed to 5 years, from
  3 months, 6 months or 1 year?
• To be in line with NLTTA
• Admin costs too high for short period permits

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Department of Transport
SECTION 1 (DEFINITIONS CONT)

• Def of reward
• Add non-monetary reward to close gap for hiring
  schemes etc?
• Def of unauthorized transport
• Technical change to simplify Act
• Def of vehicle
• To make it clearer that the 3500 kg limit applies
  to the whole combination of vehicles and not only
  the truck tractor
• To make it clearer that for cabotage a single
  permit is needed for each component of a vehicle
  combination

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SECTION 4 POWER TO COLLECT TOLLS
Department of Transport

• Other SADC states have cross-border road user
  charges
• SA operators complain that playing fields are
  not level
• Engagement with SANRAL possibility to declare
  roads near borders as toll roads
• CBRTA will be empowered to collect toll as agent
  of SANRAL as a road user charge?
• The power will only be used if the Minister
  approves and SANRAL agrees

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SECTION 23 25 - CABOTAGE
Department of Transport

• Act not clear enough on the cabotage issue
• Cabotage is where a foreign carrier
• Operates inside South Africa, or
• Picks up in SA to go to a 3 rd country
• Amendment makes it clear that
• the Agency regulates cabotage and
• a permit is required for cabotage

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SECTION 27 FACTORS TO CONSIDER IN ISSUING
PERMITS
Department of Transport

• Transfers not necessary the new operator can
  just as well apply for a new permit
• Will stop consultants from peddling permits
• Tax clearance required as with NLTTA (the Agency
  is in discussion with SARS on this issue)
• Conditions imposed by a Joint Committee to be
  considered (to bring Act in line with agreements)

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SECTION 27 FACTORS TO CONSIDER IN ISSUING
PERMITS (CONT.)
Department of Transport

• Board must take BEE SMME considerations into
  account brings Act into line with BBBEE Act etc?
• Combination of vehicles a single permit is
  issued for vehicle combinations for C-B
  transport, but not for cabotage (see def of
  vehicle)

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SECTION 28 FACTORS TO CONSIDER IN ISSUING
PERMITS (PASSENGERS)
Department of Transport

• Consequential amendments to effect the same
  amendments as to s.27
• The factor ability of the applicant amended to
  make it clearer and remove arguments

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SECTION 30 WITHDRAWAL SUSPENSION OF PERMITS
Department of Transport

• Act amended to allow withdrawal or suspension for
  non-compliance with permit conditions to bring
  in line with NLTTA and provincial legislation
• Notifying holder of right of appeal amendment
  suggested by State Law Adviser to comply with
  Promotion of Administrative Justice Act, 2000

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Department of Transport
SECTION 31 - CABOTAGE

• Subsection (1) amended to promote clarity
• Cabotage permits may only be issued if there is
  no conflict with ITPs and other transport plans
  done under the NLTTA
• Amendment to make it clear that a separate permit
  is required for each vehicle component (see
  above)

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SECTION 32 DELEGATION TO CEO TO ISSUE PERMITS
Department of Transport

• The Act is illogical in not extending delegation
  to the CEO for temporary cabotage permits
• Consequential amendment to extend this power to
  permits for carrying workers (see def of
  cross-border road transport)
• Permits issued by the CEO must be ratified by the
  Board

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SECTION 33 PUBLICATION OF APPLICATIONS
Department of Transport

• It is a waste of time and money to publish all
  renewals in the Govt. Gazette
• Act amended to say renewals may be published, and
  must be published only if permit conditions are
  to be amended
• Consequential amendments
• Applications to carry workers need not be
  published
• Remove reference to transfers and simplify section

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Section 35 Consultative structures
Department of Transport

• Provincial and local authorities added to the
  list of stakeholders for route committees etc.

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SECTION 37 38 APPOINTMENT AND POWERS OF
INSPECTORS
Department of Transport

• Act provides for the Board to appoint inspectors
• CEO is in a better position as the CEO is in
  close contact with the HR Division and Law
  Enforcement Division
• Inspectors empowered to confiscate cabotage
  permits (omission in Act)

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SECTION 40 OFFENCES AND PENALTIES
Department of Transport

• Where passengers intend to cross a border, the
  Act defines it as cross-border transport
• Provincial Boards issue permits up to borders
  where passengers walk across
• A presumption is introduced to presume
  cross-border transport where passengers picked up
  or set down within 1 km of a border (discussed
  with State Law Adviser)?
• Hiring out of permits is made an offence (see
  amendment to section 47)

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NEW SECTION 46A EMERGENCY MEASURES
Department of Transport

• New section will empower Minister to suspend
  permits on routes or in areas, e.g. a rank in
  case of violence or unrest
• Such powers are in provincial Acts e.g. the
  Gauteng Public Passenger Road Transport Act, 2001
• These powers are necessary to avoid conflict and
  save lives

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SECTION 47 DUTIES OF PERMIT HOLDERS
Department of Transport

• Holders of permits for more than 1 year will have
  to submit roadworthy certificates, proof of
  insurance etc. annually
• Will become important if permits are issued for 5
  years
• A provision is inserted to prevent hiring out of
  permits
• This will stop peddling of permits and bring the
  Act into line with the NLTTA

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SECTION 49 CONSIGNMENT NOTES AND PASSENGER LISTS
Department of Transport

• Operators have complained that the 21 days
  allowed to submit consignment notes and passenger
  lists is too short
• Period extended to 30 days

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Section 52 Lapsing of unlawful provincial
permits
Department of Transport

• In the past the NTC and provincial Boards issued
  many cross-border permits and operating licenses
  some are indefinite
• The Minister has written letters to the
  provincial Boards to stop this practice
• It has been agreed that these permits should
  lapse within 6 months, and operators should apply
  to the Agency for proper permits

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Section 46 of NLTTA
Department of Transport

• Section 46 of the NLTTA prohibits setting down
  passengers at or near a border where they intend
  to cross the border
• The amendment will extend this to picking up
  passengers to block a loophole

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OTHER CONSEQUENTIAL AMENDMENTS
Department of Transport

• Various other sections are amended to
• Effect consequential amendments, e.g. deleting
  references to transfers
• Update references to the old Road Traffic Act,
  1989
• Change cross-references

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CONSULTATION
Department of Transport

• An Amendment Bill was published for comment in
  May 2000
• A Plenary conference with stakeholders was held
  in Feb. 2002
• Bill to MINCOM (now MINMEC) in April 2003
  referred to provinces other stakeholders for
  further consultation
• Bill approved by State Law Adviser in July 2006
• Bill published again for comment on 5 September
  2006
• Amendments have now become urgent
• JCPS and BCOCC consulted.
• The intention to introduce the Bill in Parliament
  was Published in Government Gazette No. 30485 on
  the 23 November 2007.

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CONCLUSION

• It is recommended that the committee concur with
  the Amendment Bill
• THANK YOU

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