Chapter 2 - P rogramme 1 - Department of Defence

TRANSFER PAYMENTS FOR FY 2007/08
| Department of Defence |
Details of transfer payments for FY 2007/08 are reflected in Table 1.7.
Table 1.7 Transfer Payments for FY 2007/08
Name of Institution
R’000
Estimated Expenditure Amount Transferred
Special Defence Account 9 079 260 8 235 711
Armaments Corporation of South Africa
Ltd (Armscor)
473 826 473 826
Social Benefits 170 036 170 036
Safety and Security Sector Education and
Training Authority (SASSETA)
8 391 7 729
Regional Services Councils 36 710 36 710
Reserve Force Council 3 202 2 878
Permanent Force Medical Continuation
Fund
275 0
St John’s Ambulance Brigade 120 0
SA First Aid League 50 0
SA Red Cross Society 125 0
Total 9 771 995 8 926 890
CAPITAL INVESTMENT, MAINTENANCE AND ASSET MANAGEMENT PLAN
CAPITAL INVESTMENT
Details of projects currently in progress for FY 2007/08 are reflected in Table 1.8.
Table 1.8 Projects Currently in Progress for FY 2007/08
Location Project Description
Bloemfontein Military Police Agency: Convert building into female detention facility
Bloemfontein Air Force Base Bloemspruit: Upgrading of hardstands, parking areas and taxiways
Bredasdorp Test Flight and Development Centre: New aircraft rinsing facility
Simon’s Town Construction of office block
Jan Kempdorp 93 Ammunition Depot: Upgrading of buildings
Lohatla SA Army Combat Training Centre: Construction of new sickbay
The National Department of Public Works acts as service provider for the DOD and, as such, is in an
advanced stage of appointing contractors to address the abovementioned projects.
Plans to Close Down or Downgrade Current Facilities: The DOD is in the process of handing
back leased and State-owned facilities previously utilised by Army Territorial Reserve Units and Group
Headquarters to the Department of Public Works, a process which must be completed by 2009. These
facilities are transferred to SAPS for further utilisation.
The Current State of the DOD’s Capital Stock: Percentages to indicate poor, fair or good have not been
scientifically investigated. Due to the huge maintenance backlog, it would be reasonable to indicate that the
majority of the capital stock is in a poor condition (80%) and that 20% is in a fair-to-good condition.
Maintenance Backlog: The DOD utilises a large number of State facilities to provide the outputs
necessary to fulfil its constitutional obligations. Many of these facilities no longer conform to functional
or to minimum requirements of the Occupational Health and Safety Act, 1993 (Act No. 85 of 1993). The
current maintenance backlog is estimated at Rb 12. The DOD approached National Treasury to make funds
available to address this backlog during and beyond the next MTEF period. Funds allocated to the DOD for
the 2007 MTEF period are as follows:
15 Annual Report FY 2007 - 2008
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