SANRAL invests R27.1 billion in road infrastructure for 2023/24

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17-10-2024
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Cape Town Etc
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In the 2023/24 financial year, the South African National Roads Agency SOC Limited (SANRAL) allocated R4.1 billion to toll roads, which was significantly overshadowed by its R23 billion investment in non-toll road infrastructure, Cape {town} Etc reports.

Of the R23 billion that was spent on non-toll roads, R12.3 billion went towards capital projects and R10.7 billion on maintenance, according to the South African Government.

‘The significant investments in both toll and non-toll roads underscore our dedication to enhancing South Africa’s road infrastructure, ensuring safer, more efficient mobility for all,’ SANRAL CEO Reginald Demana.

Total assets rose 17% to R772 billion, with operating and investing activities up by 23% and 7%.

Demana highlighted that many targets were not only met but greatly exceeded.

‘On an engineering level, we set out to resurface 1 200km of our network but had in fact achieved 1 984km. This is significantly up from 687.9km in the previous year and speaks to a robust commitment to maintenance and management of our assets,’ Demana said.

While focused on engineering, SANRAL says it surpassed targets in transformation, job creation, road safety, and capacity building.

According to SANRAL, it achieved 99.6% of Routine Road Maintenance (RRM) by black-owned SMMEs, far exceeding the 75% target.

SANRAL exceeded its target of 1800 SMMEs, reaching 2249, up from 1928 the previous year.

Additionally, 12 652 full-time jobs were created, surpassing the 12 000 goal.

‘Looking at the road ahead, SANRAL is on solid financial standing, with R87 billion allocated by National Treasury for the next three years.’

‘Borrowing capacity has increased to R16.5 billion, allowing for larger-scale project funding. The acceleration of spending on projects is resulting in reduced cash balances through faster project execution,’ the agency said.

Demana attributed the achievement to steady operational and strategic growth.

‘We are a growing organisation with an increasing network size that currently stands at 24 384 km, plus an additional 3 350 km of roads under assessment for transfer from provincial authorities.’

‘SANRAL’s role in creating opportunities, particularly for Black-owned enterprises, remains central to our mission.’

‘As we move forward, we will continue to ensure that our projects contribute meaningfully to job creation, community upliftment, and the economic empowerment of South Africans.’