Parliament, Thursday, 22 February 2024 – The Department of Communications and Digital Technologies updated the Select Committee on Public Enterprises and Communications yesterday on the South African Post Office SOC LTD Amendment Bill, which had been referred to the committee by the National Council of Provinces.
In response to the presentation, the committee emphasised the importance of safeguarding state-owned enterprises and commended the department's efforts to protect the South African Post Office (SAPO). The committee acknowledged that the Bill aims to address existing challenges within SAPO, including expanding its mandate and services, a move welcomed by the committee.
Committee Chairperson Hon Zolani Mkiva highlighted the critical questions and challenges raised by committee members about SAPO, including questions about the potential impact of shedding approximately 600 jobs in the immediate term and the implications this would have for the economy.
Hon Mkiva also had questions about the due diligence process for the appointed business rescue practitioners, seeking assurance about their qualifications and compensation. He stressed the need for transparency in the allocation of funds injected into SAPO, ensuring that the money serves the purpose of improving the post office’s future prospects.
In response, Deputy Minister Mohlopi Mapulane emphasised the importance of fostering partnerships with private operators for the future of the post office, rather than opting for privatisation. He proposed a meeting to provide the committee with a comprehensive progress report on the business rescue plan.
The Deputy Minister clarified that the appointed business rescue practitioners were jointly selected by the court and had diligently worked on finalising a business rescue plan. The plan was published for comments on 23 November 2023 and, following a meeting with creditors on 7 December, the majority approved the plan. As a shareholder, the department welcomed the business rescue plan.
The purpose of the South African Post Office SOC LTD Amendment Bill is to address issues within the SAPO and to expand its mandate and services. The Bill aims to bring about necessary changes and improvements to the operations and functions of SAPO, with the goal of enhancing its efficiency, effectiveness, and overall performance. By amending the existing legislation governing the South African Post Office, the bill seeks to provide a framework for the post office to adapt to the evolving needs of the digital age and to better serve the public.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE SELECT COMMITTEE ON PUBLIC ENTERPRISES AND COMMUNICATIONS, HON ZOLANI MKIVA
For media enquiries or interviews with the Chairperson, please contact the committee’s Media Officer:
Name: Yoliswa Landu
Parliamentary Communication Services
Cell: 081 497 4694
E-mail: ylandu@parliament.gov.za
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