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Nelson Mandela Bay will receive R498.8 million for the 2012/13 financial year as its share of the Public Transport Infrastructure Systems (PTIS) Grant, according to figures provided by the Department of Transport.
This is more than R200 million less than the figure published in the Division of Revenue Bill that was tabled with the National Budget.
The Metro’s PTIS grant was also cut in 2011/12 from R400 million to R298.7 million by the Department of Transport due to delays in the implementation of the Integrated Public Transport System.
A recent report to Council said that National Treasury had emphasised the need to use the existing funds allocated to the Metro by July 1, adding that if this did not happen there was a huge risk that funding allocated over the three-year cycle for the IPTS would be allocated to other municipalities.
In addition, Treasury and the National Department of Transport had said the 2010 buses must be used or the Metro would risk further reduced funding in the following financial years.
As a result, the first routes in Port Elizabeth and Uitenhage will start operating on July 1 between Motherwell, Njoli Square and Greenacres and Uitenhage and KwaNobuhle.
(Source: Metro Minute - Subscribe at metminutes@iafrica.com)
