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Cape Town - The South African National Roads Agency Limited
(Sanral) has received another unqualified audit report from Auditor-General Terence Nombembe for the financial year ended March 31 2012.
The clean bill of health is Sanral’s ninth consecutive
unqualified report and demonstrates commitment by the Sanral management to
promote ethical behaviour and strict adherence to International Financial Reporting
Standards and the requirements of the Public Finance Management Act of South
Africa (PFMA) at the state-owned company.
Sanral CFO Inge Mulder said: “The unqualified report and
Sanral’s unblemished financial integrity are a result of principled financial
management and budgetary resourcefulness.
"While every accolade raises the bar,
we will not rest on our laurels but will always work hard to maintain Sanral’s
position as a well managed and accountable company.”
“Sanral’s board and staff recognise that it is vital for the
organisation to function as a credible custodian of taxpayers’ money and
investor funds.
"Always improving corporate governance and financial efficiency
therefore remain key to Sanral’s conduct and day-to-day operations,” said
Mulder.
Sanral’s core activities are in the provision of a well-maintained and safely engineered national road network. Mulder recognises that
this sector is particularly vulnerable to malpractice, primarily due to the
involvement of many role players and the magnitude of funds involved.
"We are acutely aware of our exposure to, and the
dangers, of fraudulent and corrupt activities that might affect our business,
particularly within the transforming South African economy," she said.
"Our financial control and records are therefore reviewed by internal
auditors, independent auditors from time to time, and our financial statements
are audited by the auditor general annually."
The auditor-general’s opinion is that all financials were
presented fairly.
However, he did emphasise that the toll income from the Gauteng Freeway Improvement Project (GFIP) is significant to Sanral's ability to service its current and future obligations. This may cast
significant doubt on its ability to fund its obligations, until such
time as tolling commences.
The auditor-general indicated that he did not identify any instances of material non-compliance with specific matters in key applicable laws and regulations, and he did not identify any deficiencies in internal control.
The inter-ministerial committee on the GFIP said on Wednesday that the committee would make an announcement on Friday on how the e-tolls would be implemented.
