The Presidency and National Treasury have yesterday, Wednesday 14 December 2022, released a progress report on the implementation of economic reforms to mark two years since the establishment of Operation Vulindlela.
Operation Vulindlela was established in October 2020 as a joint initiative of the Presidency and National Treasury to accelerate the implementation of structural reforms. By fostering collaboration and coordination across government in support of the reform agenda, Operation Vulindlela has achieved significant progress in a short space of time.
The report provides a detailed update on progress in the implementation of priority reforms in the electricity, transport, water, and telecommunications sectors as well as reforms to the visa regime.
It highlights the following key achievements to date:
✓ Paving the way for private investment in electricity generation for the first time, with reforms underway to establish a competitive electricity market
✓ Clearing the backlog of water use licenses and re-engineered the license application system, unlocking billions of Rands in investment
✓ Ending a more than ten-year delay in the auction of high-demand spectrum, enabling substantial new investment in telecommunications
✓ Facilitating the introduction of private sector participation in container terminals, to crowd in investment and improve the efficiency of port operations
✓ Undertaking a comprehensive review of the work visa system, with recommendations to overhaul the work visa system and attract skills and investment
✓ Published a new Critical Skills List for the first time since 2014, with new occupations in IT and other sectors with a need for skills
✓ Adopted a new National Rail Policy to guide the modernization and reform of the rail sector, including the introduction of third-party access to the rail network
✓ Developing and/or passing legislation to create a transport economic regulator, reform the electricity sector, and establish a National Water Resources Infrastructure Agency.
The report also provides details on new reforms which have been prioritised by Operation Vulindlela to drive inclusive economic growth, including creating an enabling legislative framework for hemp and cannabis, developing a devolution strategy for passenger rail, and addressing the backlog of title deeds for subsidized housing.
The full report can be downloaded at https://www.stateofthenation.gov.za/operation-vulindlela