PRETORIA, Thursday 8 October 2026 — The government plans to establish a commission chaired by President Cyril Ramaphosa to coordinate oversight and restructuring of state-owned enterprises after withdrawing legislation that would have placed major public companies under a central holding company.
Minister in the Presidency for Planning, Monitoring and Evaluation Maropene Ramokgopa confirmed the proposed arrangement in comments reported by Bloomberg on Wednesday.
The commission would review the government’s national strategy for state-owned enterprises, strengthen governance standards and coordinate restructuring across institutions.
The announcement marks a change in the government’s approach to managing public companies, including electricity utility Eskom and freight logistics group Transnet.
Government abandons central holding company
The proposal follows the withdrawal of the National State Enterprises Bill, which would have established the State Asset Management SOC as a central holding company.
The legislation was intended to consolidate oversight of strategic state-owned enterprises under a single structure.
However, the proposal attracted criticism over concerns that centralising control could create additional bureaucracy, complicate accountability and increase opportunities for political interference.
The government withdrew the legislation in September after reviewing its proposed institutional arrangements.
Ramokgopa said circumstances had changed considerably since the bill was first drafted.
She indicated that the government concluded the legislation required more substantial changes than could reasonably be achieved through amendments.
Commission to coordinate restructuring
Under the revised approach, the proposed commission would provide strategic coordination without immediately transferring ownership of state enterprises into a new holding company.
Its responsibilities would include reviewing governance arrangements, improving monitoring systems and coordinating the rationalisation of state entities where duplication exists.
The Department of Planning, Monitoring and Evaluation is also developing standardised guidelines for appointments and remuneration of board members and chief executives.
These measures are intended to strengthen accountability and improve the performance of institutions responsible for essential infrastructure and public services.
Ramokgopa said the commission could be established through regulations rather than requiring the lengthy legislative process associated with creating a new company.
She indicated that the government could reconsider a holding company in future if circumstances required it.
Reform follows years of financial pressure
South Africa’s state-owned enterprises have faced longstanding financial and operational challenges.
Several major entities have required financial assistance from the government, while weaknesses in governance and infrastructure investment have affected electricity supply, freight logistics and other services.
The Department of Public Enterprises was disbanded in 2025, with responsibility for individual entities transferred to relevant government departments.
The proposed commission would introduce a central coordinating mechanism while retaining the existing departmental arrangements.
The government has not yet announced the commission’s full membership, establishment date or detailed operating framework.
Its next steps will determine how the proposed structure coordinates ministerial oversight and whether it produces measurable improvements in the performance of state-owned enterprises.
