In the stimulus allocation, Sanral received the allocation of R2 billion in 2019/20 and R1,58 billion 2020/21. Sanral then utilised this to accelerate the implementation of 21 Sanral projects to the value of R12,1 billion. The implementation of this Sanral stimulus projects is all dependent on having all the normal required National Treasury and other departments' regulatory approvals, for instance environmental mining water use in place before the tender for construction can be used.
To date Sanral has been able to issue construction tenders for four major projects to the estimated value of R4,85 billion that are linked to stimulus packages. A further 13 construction tenders are planned to be issued in November 2019 with the remainder to follow in early 2020. The tenders issue to date have already contributed to reviving economic activity in the construction industry with regard to tendering processes.
The largest part of the direct benefits will however only occur once work on site commences in early 2020. The indirect economy benefits will only be realised once the projects are completed and road users are benefiting from the reduced road user costs. Travel time and accident causes which will contribute to lowering cost of doing business and thus able to stimulate economic activity. Thank you Chair.