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

16. Commitments (Continued) Operating lease - as lessee (expense)

The Agency operating lease contracts that were operational during the current year comprise of the office rental premises, office rental machines, rental of offsite storage, rental of standing breeze coolers, rental of hygiene services equipment, and CRM customer solution respectively. Office rental premises The current office space lease rental of the premises for RTIA refers to the building together with the parking bays namely: Waterfall Edge, Bekker Road, Midrand. The contract is currently on three to six monthly extension interval period pending the acquisition of the new office space. The last contract extension period is from the 14 December 2023 to 13 April 2024 at a value of R3.1 million. The Agency further extended the contract at year end with contract value of R2 million. Printer rental machines The rental of printers is through a transversal contract of National Treasury, the contract commenced from 16 October 2023 for 36 months at a contract value of R1.4 million. The value in respect of offsite storage, rental of standing breeze economy cooler, and the hygiene sanitiser equipment is not material to warrant a separate disclosure. This has not been included in the above disclosure. The lease contract has no escalation costs therefore it is not material. Integrated customer Relationship Management The Agency concluded an agreement on 26 May 2023 with the service provider to deliver centralised CRM solution which is cloud based hosted. The contract is for a period of 5 years at a value of R1.9 million. Rental of offsite storage The Agency entered into an agreement for offsite backup storage for a period of 36 months beginning on 18 January 2024. The contract value over the period is R121 524.

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Road Traffic Infringement Agency • Annual Report 2023/24