DANIËL ELOFF: Half-hearted privatisation is not a step forward
While Transnet may invite private capital it is unlikely to relinquish real operational control
If history is any guide, South Africans should temper their optimism about Transnet’s recent embrace of private partnerships. The state-owned logistics giant has announced its intention to involve private investors in rail and port infrastructure, a move that at first glance appears to be a shift towards welcome economic liberalisation. But if past experience — most notably the botched semi-privatisation of SAA — has taught us anything, it is that half-measures rarely deliver meaningful change.
Transnet recently announced a series of partnerships aimed at bringing private investment into transport corridors, including the Durban-to-Gauteng rail route and the expansion of port terminals in Richards Bay and Ngqura. Though all SA ports fare poorly in the global Container Port Performance Index (Ngqura at 404, Durban at 398 and Gqeberha at 391), the Transnet port in Cape Town ranks the worst in the world at 405 out of the 405 measured ports. ..
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