South Africa Budgeted Extra R11 billion to Public Transport

The National Treasury has allocated an extra R11 billion to public transport funding over the next three years ahead of the 2010 FIFA Soccer World Cup.

Tabling his Budget Speech in Parliament on Wednesday, Finance Minister Trevor Manuel said the government was spending more on infrastructure with the upcoming world cup in mind. "Investments in public transport, which are made in partnership with our cities, are already beginning to reshape the urban landscape. "Spurred on by their 2010 FIFA World Cup commitments, our larger cities have begun to modernise public transport arrangements," said Minister Manuel.These reforms, he said will go well beyond the requirements for 2010, and are central to the modernisation and sustainability of our urban environments. In preparation for the world cup, Mr Manuel said government was "intensifying its fight against crime." It earmarked R95.3 billion for protection services, and pumped an additional R10 billion into law enforcement over three years. Police numbers will be increased to more than 200 000 in 2010, and 40 police stations and 18 000 additional prison spaces will be built. Adding to the development of infrastructure and investment, R17 billion has been added to the budgets of the Departments of Housing, Provincial and Local Government, Water Affairs, Sport and Recreation and Transport over the next three years, mainly for infrastructure.The R6.5 billion added to the Local Government, Mr Manuel said extends further the resources available for free basic services to poor households. Transnet will also invest in excess of R78 billion in infrastructure. About 45 percent will be spent on improving freight rail infrastructure and rolling stock. Projects include expanding the coal and iron ore line.

"To increase port capacity, Transnet is widening and deepening the entrance to the Durban harbour, building a new container terminal at Coega, expanding the Cape Town container terminal and buying new equipment to handle increased volumes," said Mr Manuel.

Further projects include completing the automotive supplier park, various tenant factories, a waste sorting station, landscaping and ICT infrastructure.