Background and History of the eThekwini Transport Authority

The White Paper on national transport policy in 1996,  recognised that transport functions and responsibilities were largely fragmented between and within the various spheres of government, that is, the national, provincial, and municipal spheres of government. 

This lead to difficulties with the effective management and co-ordination of providing effective transport services in the metropolitan areas.

As a result, the White Paper encouraged the devolution of transport functions to the lowest appropriate sphere of government by the establishment of Transport Authorities (TAs). It was envisaged that the TA, with appropriate structures and authorities, would provide for the overall provision and management of transport facilities and services.

The National Land Transport Transition Act (NLTTA) (Act 22 of 2000) was enacted in August 2000, giving provision for the establishment of TAs at the municipal sphere of government. The Act provides possible forms of TAs and defines loosely the functions that it is required to perform.

The Founding Statement for the eThekwini Transport Authority (ETA) prescribes the submission of a Business Plan not later than four months before the end of the eThekwini Municipality's financial year. Accordingly, this document provides a business plan for the ETA and estimates the funding (operating) and subsidy requirements for the three financial years starting July 2005.

In terms of clause 14 of the Founding Agreement, the National Department of Transport, Provincial Department of Transport, and eThekwini Municipality shall within 40 days of the date of submission of the business plan by the CEO to the Governing Body, consider the business plan prepared and agree on contributions to be made (refer to clause 14 for the more detailed procedure).