DA calls for full enquiry into failing Great North Transport
LIMPOPO – The Democratic Alliance (DA) in Limpopo is urging the provincial government to establish a full, open, and transparent enquiry into Great North Transport (GNT) amid concerns over its financial mismanagement and dysfunction.
According to the party, the call comes as Limpopo Premier Dr Phophi Ramathuba consider another multi-million rand bailout for the struggling state-owned bus company.
According to Jacques Smalle, DA Provincial Spokesperson for Limpopo Economic Development, the Environment, and Tourism (LEDET), the party believes that all further funding to GNT should be reconsidered pending the outcome of such an enquiry and the implementation of meaningful governance reform.
“Unless the root causes of GNT’s collapse are acknowledged and decisively addressed, any attempt to revive it will simply throw more good money after bad, and enable further reckless governance,” he said.
GNT, which once operated 540 buses across 200 routes and transported 36 million passengers annually, has been reduced to just 23 operational buses.
Despite various turnaround attempts, including a fleet renewal plan in 2013, a formal turnaround strategy in 2017, and another turnaround drive in 2021/2022, the company remains on the brink of collapse.
Smalle indicated that the DA is concerned that efforts are being made to divert R93 million earmarked for bus procurement to cover outstanding debts instead.
He said the Standing Committee on Public Accounts (SCOPA) report adopted by the Limpopo Legislature recently describes GNT as a “fiscal black hole” and raises serious concerns about its viability.
“The SCOPA report highlights chronic governance failures tolerated by the LEDET and the Limpopo Economic Development Agency (LEDA). The report also notes the ongoing failure of Limpopo’s Executive to implement SCOPA resolutions, including repeated calls to halt funding to GNT,” informed Smalle.
He said in the enquiry, the party demands a full, open, and transparent investigation into GNT, a reconsideration of further funding to GNT pending the outcome of the enquiry and implementation of meaningful governance reform, accountability and action from Premier Ramathuba and the ANC over the collapse of GNT.
“The DA believes that further funding for GNT is futile without first cleaning out its governance and administration through a full and transparent enquiry. We are calling on the provincial government to prioritize accountability and good governance over propping up a failing public entity,” concluded Smalle.
