RTIA Annual Report E-Book

Road Traffic Infringement Agency Annual Financial Statements for the year ended 31 March 2024 __________________________________________________________________________________________________________________________________________________________ Notes to the Annual Financial Statements Figures in Rand 2024 2023 15. Service in-kind In terms of the AARTO Act section 4 (6), the Agency must establish an information management system and databaseb which is connected to the national contraventions register to create, process and maintain records. Upon the establishment of the In terms of the AARTO Act section 4 (6), the Agency must establish an information management system and database which is connected to the national contraventions register to create, process and maintain records. Upon the establishment of the Agency, an arrangement was made by the Department of Transport that granted the right of use to the Agency to utilise the services of the Natis system as the national key point system for all the AARTO related transactions without establishing its own system. The RTIA continues to receive the benefit of the services in kind from the Road Traffic Management Corporation (RTMC) for the shared utilisation of the Natis system, the system was transferred to RTMC in terms of section 42 by the Department of Transport. Additional services that have been added include the AARTO Application and the AARTO website, both of which are utilised at no cost to the RTIA. 16. Commitments For the year ended, the Agency had a firm committed towards the serving of AARTO notices. The South African Post Office is a strategic key driver in serving of AARTO related documents by registered mail in terms of section 30 of the AARTO Act read in conjunction with regulation 21 of the AARTO Regulations. This relationship is managed through the renewable three-year service level agreement to serve all AARTO notices. The value of this agreement is forecasted at R126 million (without AARTO roll-out) for the next twelve months based on infringement notices, courtesy letters and enforcement orders that will be issued. At year end the Agency concluded the following agreements and thus made a commitment towards the goods or services: Acquisition of new office space through leasing arrangement to the value of R52.6 million. Capital expenditure commitment towards furniture and fittings of R5.5 million and computer equipment of R6.9 million respectively. Operating leases - as lessee (expense) Minimum lease payments due - within one year - 493 757

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Road Traffic Infringement Agency • Annual Report 2023/24