Chairperson, firstly I would like to welcome the Minister in the House. We haven't seen much of him and I trust that while he is in the precincts of this Parliament, he will go to his office and pick up some pressing correspondence that I have sent to him recently.
The Bill before us is the culmination of a process that started some time ago and, as has been said by the two speakers before me, this was brought about as a result of and compliance with the Regulations of the International Civil Aviation Association, and to address matters of concern which were raised by the FAA.
Both these agencies report on and audit the aviation safety and security status of some 89 states worldwide to ensure that they are compliant with international standards and, in South Africa's case, that we meet our obligations applicable to the conventions and agreements that we have signed.
During the 2007-08 financial year both these reports gave South Africa Category 1 status, which is of major strategic importance to South Africa. Failure to maintain this status would have resulted in the closure of routes and the prevention of aircraft being flown by our carriers to the USA and abroad, and would have severe implications for our preparations for the Fifa World Cup in 2010.
To this end, the Bill repeals, consolidates and amends the current aviation laws whilst providing for a newly structured and independent Aviation Investigation Board, the appointment of a director reporting directly to the Minister and in so doing separating the current dual function of the chief executive officer/commissioner of the Civil Aviation Authority, CAA.
The role of the CAA's present board now changes from one of being purely the accounting authority of the entity under section 49(2)(a) of the Public Finance Management Act, in other words, oversight of the corporate governance element of the CAA, on the one hand.
The director, on the other hand, is now tasked with oversight powers and functions as embraced in the Bill before us, including all technical civil aviation safety standards. His or her financial responsibilities will be held to account through the normal Auditor- General's reporting function whilst one of his or her prime roles will be, through the Department of Transport, to monitor, implement and enforce the National Aviation Security Program, Nasp, and to serve on the National Aviation Security Committee. This body comprises aviation and security personnel from the state entities and also relevant government departments.
The object of this committee would be to advise the director with regard to Aviation Security Policy and co-ordinate the proper and diligent implementation of the Nasp. The success of any such programme relies heavily on the support of the aviation industry and it would be imperative for the director to meet regularly with these stakeholders that our chairperson spoke about to ensure that they conform to international and domestic standards and regulations which may be introduced from time to time.
One of the more positive aspects of the Bill was that it removes any chances of conflict of interest or opportunity of corruption by any person appointed to perform any function in terms of this Bill. Clearly, the authors have learnt from the history of this authority and all the problems associated with the likes of Messrs Trevor Abrahams, Myeza and Naidoo, who cost the CAA and our taxpayers millions in corruption. Also, in trying to get rid of them, we had to pay them millions of rands.
One aspect which stood out in deliberations on the Bill was the apparent need for the establishment of the Aviation Regulatory Authority, which my chairperson has already covered, and this would take care of the nearly R180 million in the form of user fees, fuel levies and aircraft safety charges that come into the CAA every year. This is something that needs really good control and independent regulation if it is to avoid a budget balancing exercise which the CAA may try to introduce. But more importantly, it will prevent the payment of excessively high salaries to personnel and the acquisition of plush offices and fancy cars for its management.
The DA will be keeping a very close eye on this type of expenditure until something is enacted to regulate the level of levies and what they can be used for.
The DA will nonetheless be supporting the Bill, you will be pleased to know, Mr Minister. Thank you.