The Portfolio Committee on Public Enterprises welcomes the Cabinet announcement terminating the Takatso Consortium deal.

The committee regards this decision as an important development given its ongoing processes on the matter. The committee has been engaged in examining and evaluating the proposed Takatso deal, in the interests of promoting transparency and accountability, and with the best interests of the public in all matters relating to the deal.

Committee chairperson Mr Khaya Magaxa said: “We welcome the decision by the Cabinet to terminate the Takatso Consortium deal. This allows us to re-evaluate and refine the processes we have been undertaking to ensure the best outcomes for our South African Airways. We remain committed to promoting transparency and accountability in the sector.”

The Cabinet’s termination of the deal aligns with the committee's objective of safeguarding the public interest. The committee acknowledges the importance of a thorough and comprehensive evaluation of any proposed partnership or agreement involving government as a shareholder in state-owned companies. This termination allows for further scrutiny and exploration of alternative options that will ensure the sustainability and growth of South African Airways.

At the time of the termination of the contract, the Office of the Speaker of the National Assembly instructed the committee to initiate an investigation based on a petition brought by the former Director-General of the Department of Public Enterprises, Mr Kgathatso Tlhakudi. The petition alleges misconduct on the part of Minister Pravin Gordhan and led to Mr Tlhakudi’s expulsion from the department. The Office of the Speaker mandated the committee Chairperson to investigate the allegations relating to the South African Airways transaction.

The committee remains dedicated to promoting good governance, transparency and accountability within the public enterprises sector. The committee will closely monitor the developments following the termination of the Takatso deal and will actively engage with relevant stakeholders to ensure the best outcomes for the sector and the public at large.

Mr Magaxa said: “We remain committed to promoting transparency and accountability in the sector as we continue with the investigation, as instructed by the Office of the Speaker. Our aim is to uncover the truth and ensure that the best interests of the public are protected.”