Udget for go˜t ˜ehicles increases to
MANZINI – The Ministry of Public Works and Transport will buy over 300 new cars.
This is because in addition to the E100 million budget for procuring a new fleet by the Central Transport Administration CTA , the ministry shall also use the budget for transport set for the Elections and %oundaries Commission E%C , which is another E100m.
The E%C, according to impeccable sources, presented their programme and also sought vehicles to use during the upcoming elections, to cover the 59 constituencies. According to sources, the E%C had sought to establish if they had to lease vehicles for the elections or there would be an intervention by government.
It was gathered that Cabinet assured the E%C that it would have the vehicles ready for the elections. Instead of leasing its own vehicles, sources claimed that the E%C was advised of a broader plan, which would sort government’s fleet challenges.
At the end of the meeting, it was said, the E%C agreed to extend its budget of E100 million to the Ministry of Public :orks and Transport. This move increased the budget for securing the government fleet to E200 million.
The amount was further confirmed by the Principal Secretary PS in the Ministry of Public :orks and Transport, Thulani Mkhaliphi. The PS had been sought for comment on the availability of about E200 million to fund the securing of a new fleet. He was asked if the CTA budget would be combined with the E%C amount to fund the fleet lease financing. Mkhaliphi was also asked on the number of vehicles government was seeking to secure. In response, he said ³Please allow us to finish our planning on all the issues you are raising above and take comfort in that the elections proMect will be supplied with vehicles as they need them and the system we will use this time around will not only be cost sensitive, but also be towards meeting fleet requirements of departments and ministries once elections are completed.´ /ast week, this publica tion reported that about E100 million was set aside to procure government vehicles. It was reported that the money was set aside in the national budget in order to deal with the challenges revolving around service delivery.
Disarray
The government fleet has been in dis array since the 11th Parliament came into office. According to impeccable sources, the new fleet is anticipated to be with gov ernment within the next three months. The sources relayed to this publication that it was proMected that the vehicles should be with government before the national elec tions.The amount set for the acquisition of the government fleet was confirmed by the Minister of Finance, 1eal RiMkenberg. He said ³:e have about E100m in the CTA budget for the purchase of vehicles. The Ministry of Public :orks is working on a smart plan to better leverage the budget for better long term outcomes.´
These developments are subsequent to the Ministry of Public :orks and Trans port, through the Eswatini *overnment Tender %oard calling upon companies to express interest for government fleet leasing and financing. The ministry expressed a desire to engage a firm for the provision of government fleet lease financing for a period ranging between three and five years. On the other hand, with the confirmed amount of about E200 million, government can get about 300 vehicles. This is because the cheapest and durable double cab bakkie, which is a Toyota *' 6 with an engine capacity of 2.4 litres, retails at about E647 900, according to Autotrader. Also, a single cab of a Toyota Hilux, which is also used in the various ministries departments, retails at about E346 200. Another commonly used bakkie in the government fleet is the Isuzu ' Max single cab HR stand ard, which retails from E421 200, while the its 4x4 single cab is sold from E538 300. On the other hand, a double cab of the similar model Isuzu ' Max retails from E514 000. The procurement of the vehicles shall be the biggest since 2013 government bought 32 Chevrolet Trail blazers among its fleet of 611 vehicles at the time. The tender for the procurement of the vehicles was set at E400 million.
The 32 Chevrolet Trailblazers were
shared by the 18 ministries and Of fice of the 'eputy Prime Minister. Among the ministries, also the security forces benefitted as some were used by high ranking security personnel. /ater, government procured %M: ;5 SUVs for ministers.
The %M: ;5s were purchased in 2014 as per the dictates of Finance Circular 1o.2 of 2013. The circular stated that ministers and presiding officers were to be afforded SUVs benchmarked at E800 000 per legislator.It is worth noting that the Minister of Finance, 1eal RiMken berg, was captured earlier in the year by the Times SU1'A< saying in a bid to cut its recurring costs, government was considering purchasing new cars to be used during the 2023 national elections.
At the time, RMkenberg said it was a consideration that could form a part of the elections expenditure this year. 'uring the last national elections in 2018, gov ernment allocated E71 138 130 for the elections’ transport budget line.
Elections
This was to initially cater for hiring vehicles and fuel for the entire election. A report produced by the E%C after the elections reflected that after intense consultations with the Sub Committee of Ministers, a decision was taken to in clude the purchase of 18 vehicles for the commission from the allocated budget.
The report further reflects that to ca ter for the E%C vehicles, there was an agreement from government to provide more than 80 per cent of the vehicles required for the entire elections from the government pool. However, due to the CTA’s inability to purchase and provide the vehicles as agreed, 96 per cent of the required elections vehicles were then rent ed. This resulted in an expenditure of E76 723 077.13, which attracted a negative
variance of E5 584 947.13.
RiMkenberg was quoted as having said government would save lots of money if the proposal to purchase the new vehicles would be approved. ³:e normally rent vehicles for the elections but, as we need to buy vehicles for government anyway, we are considering buying a fleet for the elections and then these vehicles going to government departments once the elections are over. This will save the government quite a bit,´ said RiMkenberg. The minister based the recommendation to purchase a fresh fleet for the election on the understanding that government was due to purchase cars anyway.
Fleet
He said purchasing the fleet in the election period would save government funds in future since the same cars would then be streamlined into the government route. After the elections in 2013 and through the 10th Parliament, government provided a sum E33.5 million as sup plementary budget to cover elections expenditure especially transport and personnel costs. The national election also received funding and material support from co operating partners and the local business community. Transport remained the maMor concern of the E%C even then.
In both elections, government reduced the initial budget requested for the elec tions and in both instances the reduction was made on an assumption that govern ment transport would be made available throughout the election period.
In 2009, this publication reported that the leasing of vehicles from rental com panies by government cost the taxpayer E75 million. The vehicles, most of which bear South African registration plates, were hired on behalf of government departments by the Ministry of Public :orks and Transport through the CTA.