President Ramaphosa announces new reform to improve South Africa’s Ports

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President Cyril Ramaphosa, together with Minister of Public Enterprises Pravin Gordhan and Minister of Transport Fikile Mbalula, on Tuesday, announced the establishment of the National Ports Authority as an independent, wholly-owned subsidiary of Transnet in terms of the National Ports Act, 12 of 2005.

This represents a significant reform of the transport sector that will enable the modernisation and transformation of South Africa’s ports system.

Ramaphosa said the establishment of a new subsidiary will fulfil the intentions of the Act to create an independent ports authority. “It will separate the roles of the Transnet National Ports Authority, as the owner of ports infrastructure, and Transnet Port Terminals, as the terminal operator, which are currently operating divisions of Transnet.”

The president added that this reform will enable the reinvestment of port revenues in port infrastructure and will ensure that terminal operators are treated fairly and equally, enabling greater private sector participation in terminal operations.

“The state will remain the sole owner of all port infrastructure through the National Ports Authority, as South Africa’s ports are strategic national assets that belong to the South African people.”

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