INFRASTRUCTURE DEVELOPMENT
SIPHO PITYANA: Prasa deals show why good policy is fruitless without good governance
Gibela stimulates jobs, empowerment and growth, while court has found the entire Swifambo deal was corrupt, writes Sipho Pityana
One of the most common lamentations about postapartheid SA is that we have some of the best policy frameworks in the world, but fail miserably when it comes to implementation and delivery. It applies to so many areas of daily life, but particularly to our economy, and more specifically to the purported use of infrastructure development projects to stimulate economic growth and create jobs. To illustrate this, it’s useful to look at two infrastructure development projects recently initiated by the Passenger Rail Agency of SA (Prasa). Yet the contrast in outcomes is like chalk and cheese. Let’s start with Swifambo. In July, the High Court in Johannesburg declared that its entire contract was corrupt. As a result, Swifambo’s owners were ordered to pay back every cent they had received from Prasa and to take back their unusable trains. It was a total disaster. The judge said Swifambo was "nothing more than a willing and criminal front for the international rail partner, Vossloh España"....
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.