OPERATION VULINDLELA PHASE 2: LATEST QUARTERLY REPORT PUBLISHED

Local government reform initiatives are gaining ‘significant momentum’, according to Operation Vulindlela Phase 2’s fourth 2025/26 quarterly progress report. Recently published by the Presidency, the report focuses on interventions intended to ‘reduce input costs, improve competitiveness and create opportunities for private investment in key sectors of the economy’.

Regarding electricity:

  • an Eskom restructuring task team has been established ‘to lead the transition toward a fully independent state-owned transmission entity’, and
  • work continues on establishing a credit guarantee vehicle ‘in preparation for issuing the final request for proposals for the first phase of independent transmission projects’.

This is noting government’s ongoing commitment to ‘advancing the transition to a competitive electricity market’.

Turning to freight logistics:

  • following the conclusion of a technical assessment of Transnet National Ports Authority corporatisation, ‘a detailed implementation plan has been developed … to guide the process … with timeframes’, and
  • 11 private train operating companies have been awarded freight rail network capacity, paving the way for ‘investment in new rolling stock to enable third party operations’.

On the water and sanitation front, among other things work continues on:

  • the ‘regulatory approvals and institutional developments’ necessary to ‘promote investment in water infrastructure through central financing and project derisking’
  • the ‘groundwork’ is in place for establishing an infrastructure finance and implementation support agency, and
  • the resumption of blue, green and no drop water quality monitoring assessment reporting is expected to assist the process of diagnosing critical areas requiring intervention.

Going forward, the focus will be on measurable outcomes by:

  • ‘completing outstanding regulatory processes’
  • ‘operationalising new institutions’, and
  • ‘accelerating project implementation’.

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