Is it working?

Corporatisation is not yet in place, so its impact cannot be measured. Continued delays - now extended to at least September 2025 - have raised doubts about TNPA’s legal status, with some arguing that contracts signed since 2006 could be challenged as the authority still operates as a division, not a subsidiary as the law requires. The immediate risk is prolonged regulatory limbo that deters investment and delays broader logistics sector reforms, requiring urgent ministerial intervention to either resolve the financial blockages or redesign the corporatisation model.

Actions

• The National Ports Act of 2005 was enacted, providing the legal mandate
• Presidential announcement and ministerial approval were secured
• Transnet Board has approved disposal plans for non-core assets as part of the process
• The Ports Regulator has developed regulatory frameworks and methodologies
• A ministerial task team has been appointed to address financial sustainability concerns
•Work is under way on the memorandum of incorporation and registration documentation.

Are there plans?

Yes, forms part of freight logistics roadmap and OV2.0. In May 2025, after missing the April deadline, the transport minister appointed a task team to find solutions that protect Transnet's financial sustainability but no new timeline has been established. Technical preparations continue with the memorandum of incorporation under development and asset disposal plans approved, though Transnet has yet to finalise its non-core asset list.

Is it on the agenda?

Corporatisation remains firmly on the agenda, backed by the Sona framework, Operation Vulindlela, the Freight Logistics Roadmap and National Treasury’s conditions for Transnet guarantees. The legal framework exists, the Ports Regulator has set asset valuation rules and tariff methods and Transnet is preparing the memorandum of incorporation and registration. The Transnet board has approved disposal of non-core assets to support the shift.

Goals

The corporatisation of Transnet National Ports Authority (TNPA) aims to make it financially independent, generate its own revenue and attract investment to boost port efficiency and trade competitiveness. Separating the port owner and operator into distinct subsidiaries is intended to strengthen TNPA’s regulatory oversight, foster private sector competition, cut costs and lift South African export competitiveness.

References

• Reference Link One

Departments / Govt Institutions

Department of Transport Transnet

Is it working?

Too early for any visible impact .

Actions

TFR has separated the infrastructure manager from freight operations, and will be responsible for the master schedule of the whole system.

Are there plans?

The interim Infrastructure Structure manager needs to be made a permanent entity.

Is it on the agenda?

Part of the freight logistics roadmap and strategy emanating from the White Paper on National Rail.

Goals

Create permanent infrastructure manager to create a level playing field for public and private operators on the rail network. .

Departments / Govt Institutions

Transnet