President Cyril Ramaphosa has implemented the ANC resolution to transfer all state-owned entities (SOEs) from the dissolved Department of Public Enterprises to their respective line ministries. This move signifies a significant shift in the administration of SOEs in South Africa.
Ramaphosa signed proclamations for the transfer of the powers and functions of various SOEs to their designated ministries, such as Alexkor, Denel, Eskom, Safcol, SAA, South African Express, and Transnet. Additionally, certain sections of the Overvaal Resorts Limited Act have been vested with the Minister of Water and Sanitation.
The Minister in the Presidency responsible for planning, monitoring, and evaluation has been appointed as the executive authority of the Department of Public Enterprises. This appointment will oversee the transfer of human and financial resources appropriately.
The decision to move SOEs to their line ministries was made during the ANC’s December conference in 2022. The National State Enterprises Bill, proposed by former DPE Minister Pravin Gordhan, will govern the transfer process into the national enterprise holding company.
This strategic move aims to address the collapse of SOEs due to incompetence and corruption, with a focus on advancing economic transformation in South Africa.
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