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DOT HEARINGS: PTI AND PTNO APPLICATION 10 SEPTEMBER 2013 Slide 2 1.Executive Summary 2.Polokwane IRPTS Current context and response Full network design Transit oriented land use Institutional arrangements with Province Management capacity, political support and stakeholder buy-in 3.2012/13 Progress and Spending PTI allocations, rollover and spending 4.2013/14 Progress and Spending Current year progress on spending 5.Plans for 2014 MTEF Worst-case scenario Best case scenario Slide 3 Slide 4 Phase 1 &2 Intervention Focus: High quality public transport system facilitated by dedicated infrastructure Regenerate the CBD High density development Promote spatial in-filling Phase 2 Phase 1 Phase 3 Phase 4 Phase 3 & 4 Intervention Focus Build on current systems Restructure Public Transport Operational Grant (PTOG) & achieve industry transformation Provide reliable, safe, scheduled, public transport BUT not entrench current spatial and mobility patterns BRT High Quality PT Slide 5 Slide 6 More pictures Increase in our institutional capacity Projected expenditure Slide 7 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R456R261R211R299R171R148 PTNOR0 R44R151R148R171R202 TOTALR199R456R301R362R447R342R350 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Slide 8 Slide 9 40km 20km Population: 630 000 Mean Monthly HH Income: R2000 Summary: Low income, mixed density, mixed urban - rural Large number of rural remote settlements connected by subsidised buses & MBTs Residential pop. concentration in NW (10km - 20km out) Fast growing urban area with strong CBD Slide 10 Public transport provides an opportunity to address our urban and spatial planning challenges Slide 11 Phase 1 &2 Intervention Focus: High quality public transport system facilitated by dedicated infrastructure Regenerate the CBD High density development Promote spatial in-filling Phase 2 Phase 1 Rapid Transit Slide 12 Phase 3 Phase 4 Phase 3 & 4 Intervention Focus Build on current systems Restructure Public Transport Operational Grant (PTOG) & achieve industry transformation Provide reliable, safe, scheduled, public transport BUT not entrench current spatial and mobility patterns Restructured Transit Slide 13 The Dual Approach Phase 1 & 2: Rapid transit system encourages spatial infilling between Seshego & CBD Phase 3: Establishes Mankweng as an economic hub, while linking it with the CBD Phase 4: Provides essential service to city Infilling between Seshego and CBD Development of stand alone urban hub Essential services in rural areas Slide 14 E Phase 1 Phase 2 PIRPTS System Description Trunk & Trunk Extension Design 80% of route residential, 54,000hh 20,000 pax/peak period 80% of hh within 500m of PIRTN 4 million vehicle kms/year 12.5 million passenger trips/year PIRPTS Vehicles 151 x solo buses (65 capacity) 35 x midi buses (25) Total: 186 Slide 15 E Phase 1 Phase 2 PIRPTS Infrastructure 12 km trunk lane 6.6 km of trunk dedicated lane 7 trunk extensions 5 feeder routes 6 trunk stations Church Street pedestrianized & dedicated to public transport 2 Depots Slide 16 E B C Current Situation Dual carriage way to CBD Main access road with increasing congestion Interventions Explored: Mixed Traffic (no dedicated lane) An Off-Peak Contra-Flow Lane Single Median Bus Way Two Dedicated Lanes (B to C) Full trunk dedicated lanes Full trunk, strengthened dedicated lanes Recommendation: Two Dedicated Lanes Travel time advantage A differentiated service Lower enforcement challenges Lower safety risks Lower costs Slide 17 Design: Feeders to centralised Mankweng interchange Trunk route running to CBD 17 MANKWENG CENTRAL NODE Focus: Formalise and integrate current Mini-Bus Taxi (MBT) & Bus Services Use existing vehicles Offering operational efficiencies Improve connectivity, peak & off-peak availability Safe and reliable Restructuring current PTOG contracts Integrated Fare Management 60 Standard Buses providing 15 000 pax trips per day on Polokwane to Mankweng trunk route. Slide 18 Design: Feeders to Koloti Interchange or to edge of Perskebuilt Trunk route through running to CBD To Moletjie Focus: Formalise and integrate current Mini-Bus Taxi (MBT) & Bus Services Use existing vehicles Offering operational efficiencies Improve connectivity, peak & off-peak availability Safe and reliable Restructuring current PTOG contracts Integrated Fare Management Restructure existing 25 Buses + 35 MTBs to feed into transfer terminal of PIRPTS at Moletjie. Approx. 4500 pax trips per day. Slide 19 Cycle and Pedestrian Networks Urban Greening Slide 20 The initial draft Universal Design Access Plan will be available at the end of September. Thereafter, a Universal Design Workshop will be held for all team members and stakeholders to introduce the concepts of Universal Design and Accessibility. Engagement of local organisations and groups of Passengers with Categories of Special Needs is being planned. Slide 21 13/1414/15 15/1616/1717/1818/1919/20 13/1414/15 15/1616/1717/1818/1919/20 Year 1 2 3 4 5 6 7 PIRPTS Full Network 2 2 Moletjie- CBD 3 000 vehicle seats 21 000 pax/day Moletjie- CBD 3 000 vehicle seats 21 000 pax/day 4 4 North West CBD 5 000 vehicle seats 20 000 pax/day North West CBD 5 000 vehicle seats 20 000 pax/day F Public Transport Restructuring Stream Phase 1: Seshego - CBD 6 000 vehicle seats 42 000 pax/day Phase 1: Seshego - CBD 6 000 vehicle seats 42 000 pax/day 1 1 3 3 Mankweng - CBD 5 000 vehicle seats 20 000 pax /day Mankweng - CBD 5 000 vehicle seats 20 000 pax /day Rapid Transit Stream Slide 22 13/1414/15 15/1616/1717/1818/1919/20 13/1414/15 15/1616/1717/1818/1919/20 Year 1 2 3 4 5 6 7 PIRPTS Full Network 2 Moletjie- CBD 3 000 vehicle seats 21 000 pax/day 4 North West CBD 5 000 vehicle seats 20 000 pax/day F Public Transport Restructuring Stream Phase 1: Seshego - CBD 6 000 vehicle seats 42 000 pax/day 13 Mankweng - CBD 5 000 vehicle seats 20 000 pax /day Rapid Transit Stream Dual rollout approach sees parallel implementation of the Rapid Transit system and the Restructured Public Transport system Slide 23 13/1414/15 15/1616/1717/1818/1919/20 13/1414/15 15/1616/1717/1818/1919/20 Year 1 2 3 4 5 6 7 PIRPTS Full Network 2 Moletjie- CBD 3 000 vehicle seats 21 000 pax/day 4 North West CBD 5 000 vehicle seats 20 000 pax/day F Public Transport Restructuring Stream Phase 1: Seshego - CBD 6 000 vehicle seats 42 000 pax/day 13 Mankweng - CBD 5 000 vehicle seats 20 000 pax /day Rapid Transit Stream Allows for the establishment of the full network, over a relatively short period Supports rapid service improvement and delivery to the public Facilitates a smooth transformation and transition process with the industry Slide 24 Partnership with Provincial government Agreement on responsibilities for the PIRPTS To lead to possible Inter-Government Agreement (IGA) Significant effects on Great North Transport (GNT) Requires restructuring following introduction of the PIRPTS Phase 3 and 4 affects 2 private bus operators contracted to Province (under PTOG subsidy) The contracts will need to be devolved to Municipality and restructured Cooperation around operating licenses Slide 25 PIRPTS Management Unit has been established Significant capacity created Diverse skills sets and background Supported by strong and capacitated municipal administration Strong political buy-in and support Dedicated political structures MMC is the IRPTN political champion Personal attention and priority of Executive Mayor Extensive industry engagement Frequent industry engagements (monthly with each association) Provincial leadership structures engaged (ITEEC) Successful study tour Industry strongly informed and involved A dual approach of technical and institutional - transformation rollout Lessons from elsewhere in SA that institutional / transformation issues delay successful rollout Slide 26 Bus purchases will be financed through debt and repaid with PTI over 5 years Phase 1 : Seshego Infrastructure build Phase 2: Moletji Infrastructure build Phase 3 : Mankweng Infrastructure build Phase 4: NW Infrastructure build Vehicle Repayments for Seshego buses & Moletji buses Slide 27 Slide 28 2011 - 2013 FINANCIAL YEAR Challenges Internal Capacity, Procurement Delays & Late Appointments, Limited Contract Periods, Project Communications, Under-Expenditure. Alignment of Workstreams, Extension of Contracts, Project Office, Under-Expenditure, Terms of Reference limitations.Resolutions Establishment of Transportation Directorate, Clear Project Structure, Project Office, Internal Capacity Building, Contract Extensions, Procurement Priority Appointment of Panel of Experts over 5 year period, Annual Performance Review of every Workstreams and annual setting of scope of works, Full commitment of funds. Slide 29 WorkstreamDescriptionProgress Systems & Operational Planning Technical Operational Plan Phase 1 & 2 detailed plan Phase 3 & 4 concept plan Business & Financial Planning Business and Financial Plan Detailed full financial model Costs and revenues over 12 years Business structures and contractual arrangements Organizational, capacity and governance requirement Marketing & Communications Integrated Marketing and Communications Strategy Project Brand complete to be approved by Council in June Website and other key branding material Industry Transition & Engagement Industry Transformation and Engagement Process Extensive engagement over past 12 months (local and provincial level) MOU signed between Municipality and Taxi Associations Highly successful study tour to JHB, NM and CPT completed Bi-Monthly Progress Meeting with General Membership of the Taxi Industry Institutional Establishment of the Transportation Directorate Directorate established and staffed Council approval of TOP and IMCS s33 process completed, s78 Investigation underway Appointment of all required service providers completed Slide 30 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 Slide 31 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 Poor expenditure to July 2012, for various reasons related to slow start-up on the project Slide 32 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 PTI allocation in 2012/13 was R 99m. Municipality requested this allocation be reduced by R 50m to reflect ability to spend Slide 33 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 Includes R 40.546m committed funds, to be spent by October 2013 Slide 34 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 Dramatic improvement in expenditure in 2012/13, reflecting pro-active steps taken by the municipality Slide 35 FINANCE DETAILS 2012/13 R (million) TOTAL PTI transferred to July 201249.070 TOTAL Expenditure to July 201214.792 Expenditure % to July 201230 2012/13 Rollover requested to 2012/1334.276 PTI transferred in 2012/1348.703 TOTAL PTI in 2012/1382.979 TOTAL Expenditure in 2012/13 (incl. commitments) 81.029 Expenditure % in 2012/1398 2013/14 Rollover requested to 2013/1440.546 Rollover of committed funds from 2012/13, to be spent by October 2013. Slide 36 Slide 37 Designs for the full Ph 1 & 2 be completed by Jan 2014 and the tender for construction be awarded by Mar 2014 ITS, Control Centre & Vehicle Specifications completed by March 2014 Technical Specifications Full network Business & Financial Plan to be completed by June 2014 Full Network Business Plan Industry transition engagements across all phases with minibus and bus industry, negotiations begin June 2014 Negotiations Begin The PIRTN brand is finalised by June 2014 and official brand launch Brand Finalization Designs for Mandela Drive dedicated lane (B to C) to be completed in Nov 2013 and construction to begin in Mar 2013 Mandela Drive Designs for full Trunk Slide 38 Slide 39 Expenditure itemAmount (Rm) % of Total Funds received Total expected expenditure to end June 2014 R 199m100% Planning costsR 50m25% Detailed Design & ConstructionR126m63% Stakeholder and industry engagementR 23m12% Slide 40 Expenditure itemAmount (Rm) % of Total Funds received Total expected expenditure to end June 2014 R 199m100% Planning costsR 50m25% Detailed Design & ConstructionR126m63% Stakeholder and industry engagementR 23m12% COMMITTED FUNDS TO DATE R 198m99% Municipality has already committed the full PTI allocation for 2013/14 Slide 41 Since July 2013 SLAs signed and funds committed Technical design underway Phase 1 & 2 Household survey almost complete Conceptual design of Phase 3 & 4 Launch of PIRPTS completed Extensive Industry capacitation programme in place Market survey in implementation Engagements with Province and Bus companies Slide 42 Slide 43 Worst case scenario = ZERO allocations in 2014/15 and 2015/16 Unlikely that the project can continue if outer year funding not secured to keep progress going Extent of funding received can vary, but PIRPTS is not viable if zero allocation remains Slide 44 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Slide 45 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 1 Trunk, extension and feeder roadway works Stations and stops Depots Control centre Slide 46 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 1 No PTNO requirements in 2014/15 Slide 47 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 1 Trunk, extension and feeder roadway works Stations and stops Depots Control centre IFM, ITS and Security equipment Slide 48 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 1 Industry compensation Entity establishment VOC establishment Auxiliary contracts (ITS, IFM) Slide 49 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 2 Trunk, extension and feeder roadway works Stations and stops Phase 1 Principle debt on vehicle fleet Slide 50 Rm2013/142014/152015/162016/172017/182018/192019/20 PTI R 199R396R218R208R299R160R135 PTNOR0 R27R117R108R118R142 TOTALR199R396R245R325R407R278R277 MTEF Current 1 2 3 4 5 6 Year Phase 1: Seshego Phase 2: Moletji Phase 3: Mankweng Phase 4: North West/ Koloti Phase 1 Interest on vehicle purchase Industry compensation Entity establishment VOC establishment Auxiliary contracts (ITS, IFM) Slide 51