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The Department of Trade and Industry (dti) dismisses Claims of Extravagance

The Department of Trade and Industry (dti) dismisses Claims of Extravagance

The Department of Trade and Industry on Sunday clarified and put into perspective that the R1.26 million it had spent on the purchase of two official vehicles to serve the official duties for Minister Rob Davies in Cape Town and Pretoria is well below the amount as prescribed by the ministerial handbook.

Reports on the purchase of the Toyota Fortuners also omitted to mention that the vehicles that Minister Davies were using, had exceeded the 120 000 kilometres and that one had done nearly 200 000kms and its use was deemed to be in violation of security regulation and transport policy for Executive Authorities.

The sale of old models will substantially reduce the net expenditure.

In the process leading up to the purchase of the two vehicles, care was taken to ensure that there was no extravagance associated with the purchase of the official vehicles for Minister Davies.

The amount spent on the purchase of the two official vehicles are well within the limit of the purchase of one vehicle as the Ministerial Handbook allows for Ministers to purchase official vehicles at 70% of their inclusive annual remuneration package which currently equates to approximately R1.6 million. The Department is therefore of the view that the purchasing of the two vehicles does not amount to extravagance on the part of Minister Davies nor the department.

The Minister’s choice of the vehicles purchased promoted local content as both vehicles are manufactured locally.  

Distributed by APO on behalf of The Department of Trade and Industry, South Africa.

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Written by African Business Magazine

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