South Africa’s minister of public enterprises will soon introduce a bill in parliament to establish a government firm that will own and manage at least 13 of the country’s state-owned companies.
The National State Enterprises Bill will establish the State Asset Management Company and provide for the phased transfer of state enterprises to the holding company, according to an explanatory note dated 9 January in the Government Gazette.
Many of South Africa’s state-owned companies, including power utility Eskom, rail and ports operator Transnet and arms maker Denel, have been plagued by mismanagement and corruption.
These firms are currently overseen by the Department of Public Enterprises.
The bill listed the following entities for potential transfer to the new holding company:
- Air Traffic and Navigation Services Co. Ltd
- Airports Co. Ltd.
- Broadband Infraco SOC Ltd.
- CEF (Pty) Ltd.
- Sentech SOC Ltd.
- South African Airways SOC Ltd.
- South African Forestry Co. SOC Ltd.
- South African National Road Agency Ltd.
- South African Nuclear Energy Corp. Ltd.
- South African Post Office SOC Ltd.
The State Asset Management Company will replace the Department of Public Enterprises as the government’s shareholder representative for the country’s state-owned enterprises.