FF Plus supports Gordhan in his fight to save public enterprises

12 July 2019

The EFF's disruption of the budget vote debate of the Department of Public Enterprises is shocking and the FF Plus will support all the attempts by the Minister, Pravin Gordhan, to call those who were implicated in state capture to account.

Genuine political will is what is needed to save South Africa's public enterprises, the fiscus and the economy as well as to take action against the looters and ensure that it does not happen again.

The Minister may not be held hostage by the ANC's allies and especially not by the trade unions that are trying to keep the Minister from taking decisive action in his endeavour to turn the enterprises around.

In this regard, it would be meaningful to draw a comparison between a formerly state-owned entity, Telkom, and the current public enterprises. At present, Telkom is only partly (40,5%) owned by the government and now it is profitable.

The latest figures show that Telkom's profit, after tax, has increased with 11,5%. It paid R1,2 billion in taxes as well as a dividend of R750 million to the government. That stands in stark contrast to the SAA that will need R22 billion over the next three years and Eskom that needs R69 billion to save it from utter ruin.

The change at Telkom did not happen overnight, but it has to start somewhere so that all these enterprises can be turned around. The trade unions may not be allowed to thwart these attempts.

It is equally important that the Minister does not allow ideological ideas to keep him from doing what needs to be done. He must be brave enough to take the steps that are needed to save South Africa's important public enterprises from ruin.

The FF Plus's victory in the by-elections in Stilfontein is significant. It confirms and drives the tendency that became apparent in the recent national elections as voters made it clear that they have faith in the FF Plus to contribute meaningfully to the process of getting South Africa back on the right economic track for the sake of all its people.

Issued by Wouter Wessels, FF Plus MP and chief spokesperson: Public Enterprises, 12 July 2019, 12 July 2019