DA welcomes new private sector unit to support struggling ports and rail

24 October 2024

The Democratic Alliance (DA) expresses optimism and support for the establishment of the Private Sector Participation Unit (PSPU), aimed at addressing the financial challenges facing our ports and rail sector.

We welcome the recent announcement by Minister of Transport, Barbara Creecy, regarding the formation of the PSPU, which is designed to harness the renewed interest and capacity of the private sector to support our struggling infrastructure. This new unit will be housed and overseen by the Development Bank of South Africa (DBSA).

The DA has long advocated for strategic partnerships between government and the private sector to accelerate South Africa's developmental goals. We believe leveraging the expertise and investment potential of the private sector is essential for the benefit of all South Africans.

Our commitment to building a capable state, as outlined in the DA's 2024 manifesto, emphasises the government's role in creating an environment where private enterprise can thrive. The creation of the PSPU aligns perfectly with our economic policies.

As part of the Government of National Unity (GNU), we are witnessing a positive shift in the government's approach to engaging with the private sector. It is encouraging to see government increasingly recognise private entities as essential partners in addressing the operational complexities of the state.

However, the DA will continue to ensure accountability and transparency in this process by:
• Formally writing to the Minister of Transport to request that the terms of reference signed with the DBSA be shared with the Portfolio Committee on Transport (PCoT) in Parliament;
• Seeking clarity on the mechanisms the department intends to use to ensure effective oversight;
• Inquiring about the role of government oversight bodies, including Parliament, in monitoring the activities of the PSPU; and
• Requesting the Minister to commit to submitting a monthly report on the PSPU's progress to the Portfolio Committee on Transport.

Issued by Thamsanqa Mabhena, DA Deputy Spokesperson on Transport, 24 October 2024