Notes to the consolidated annual financial statements | Note 24

  Rm 2017   2016  
24. Commitments        
24.1 Capital commitments1        
  Capital expenditure contracted for but not yet incurred 2 361   3 987  
  Capital commitments for property, plant and equipment and computer software will be financed through internal cash generation and bank funding.        
 
    Note:
  • The Group entered into a facilities leasing, services and roaming agreements with Wireless Business Solutions (Pty) Limited which will result in R1 740 million future capital expenditure for the Group. The majority of this expenditure is non-current. Capital commitments do not include the aforementioned.
        
24.2 Operating lease commitments        
  Future minimum lease payments under non-cancellable operating leases comprise:        
     Within one year 1 992   1 712  
     Between one and five years 7 031   4 697  
     After five years 3 975   3 282  
    12 998   9 691  
 

Operating leases include leases of certain transmission and data lines, offices, distribution outlets, sites, buildings, office equipment and motor vehicles. The remaining lease terms vary between three months and 15 years (2016: one and 10 years) with escalation clauses that vary from an annual fixed escalation rate between 7.0% and 10.0% (2016: 2.0% and 10.0%) per annum or an annual variable consumer price index rate. Various options to renew exist.

The total of future minimum sublease payments expected to be received under non-cancellable subleases is R1 533 million (2016: R1 403 million).
24.3 Other commitments
  Other commitments include commitments for purchases of handsets and other goods and services. In the prior year, retention incentives, activation bonuses and activation commissions were also included.

As at 31 March 2017, purchase commitments amount to R11 089 million (2016: R10 247 million) of which R6 704 million (2016: R6 368 million) relate to payments due within 12 months.