As Operation Vulindlela continues to move forward, the latest dashboard indicates that 67% of the reform progress is on track, while 7% of the reform work has been completed, 6% facing significant challenges and 20% delayed.
With regard to energy reforms, the report indicates that, while 60% of reform progress in the sector remains on track, 20% still requires intervention.
Speaking at the launch of the fourth-quarter progress report on April 22, the Presidency’s project management office head Rudi Dicks highlighted key milestones achieved during the quarter, including the establishment of the Eskom Restructuring Task Team (ERTT).
During the briefing, acting chief director of the microeconomic policy team at the National Treasury Aalia Cassim discussed progress made in the energy sector during the quarter, including the submission of the Market Code for regulatory approval to the National Energy Regulator of South Africa (Nersa) by the National Transmission Company of South Africa.
Cassim also discussed the establishment of the ERTT to lead the process toward the establishment of a fully independent Transmission System Operator (TSO), highlighting some of the core principles guiding the ERTT, including ensuring full independence of the TSO from all market participants.
She explained that the TSO is expected to be completed by December 31, 2027.
Additionally, Cassim also mentioned the project by international energy company EDF Power Solutions that commissioned its 420 MW Koruson 1 wind farm cluster project, procured through Bid Window 5 of the Renewable Energy Independent Power Producer Procurement Programme.
She added that Nersa’s project registration pipeline continues to grow, with over 1 GW registered in the first two months of this year.
Additionally, the credit facility of about $350-million, or about R5.6-billion for the capitalisation of the Credit Guarantee Vehicle (CGV) through the International Bank for Reconstruction and Development was confirmed.
“Government remains focused on advancing the transition to a competitive electricity market by launching the South African Wholesale Electricity Market and finalising the Electricity Distribution Industry Reform Roadmap,” the report says.
LOGISTICS
Meanwhile, in the freight logistics reform sector, the report indicates that 40% of reforms are on track, while 60% of reforms are delayed.
The report notes that progress was made with regard to the implementation of institutional reforms during the period with Cabinet’s approval of the publication of the National Rail Master Plan (NRMP) for public comment.
Following the conclusion of the technical assessment on the corporatisation of the Transnet National Ports Authority (TNPA) in the previous quarter, the report explains that a detailed implementation plan has been developed for consideration by Transport Minister Barbara Creecy, which will guide the process and timeframes for the establishment of the National Ports Authority as an independent entity.
Additionally, further progress was made towards the establishment of the Transport Economic Regulator (TER), and the award of capacity on the freight rail network to 11 private train operating companies has paved the way for investment in new rolling stock to enable third party operations, with several companies announcing firm commitments in this regard.
“Transport reforms have moved quite slowly and what’s important to mention is that even though there’s been a slow pace of reforms, we still have seen a sustained improvement in terms of the recovery in volumes at Transnet,” Cassim said during the briefing.
She pointed out that Transnet’s recovery in volumes continues, with the 2025/26 rail volumes estimated to be about 168-million tonnes, compared with 160.1-million tonnes reported in the previous financial year, with the aim of reaching 180-million tonnes in the 2026/27 financial year.
“So we are seeing some improvement, which is significant,” she said.
To achieve Transnet’s medium-term goal of reaching 250-million tonnes on the rail network, Cassim said the utility will continue to implement its recovery plan, adding that rail volumes will also be supported by operations from new train operating companies which, following the first slot allocation process, can add 20-million tonnes from financial year 2027/28.
WATER, SANITATION, VISAS
Additionally, the report indicates that 100% of the reform progress for water and sanitation are on track, noting that reforms related to institutional restructuring, stronger regulation and the promotion of infrastructure investment gained significant momentum over the period.
This includes the announcement by President Cyril Ramaphosa on the establishment of the National Water Crisis Committee to promote the overall coordination of the response to the water crisis as well as the effective implementation of the National Water Action Plan.
Also during the quarter, the report notes that regulatory approvals and institutional developments that promote investment in water infrastructure through central financing and project derisking advanced.
Specifically, it highlights the National Water Resources Infrastructure Agency Amendment Bill was adopted by the National Council of Provinces; the project pipeline developed by the Water Partnerships Office increased meaningfully; and groundwork was laid for the establishment of the Infrastructure Finance and Implementation Support Agency.
Importantly, the publication of the Blue Drop, Green Drop and No Drop water-quality monitoring assessments resumed, which presents a clear diagnosis of critical areas that require intervention.
Meanwhile, the report also notes progress made regarding visas, with the Electronic Visa Authorisation (ETA) system fully implemented, enabling applicants from non-visa waiver countries to apply online, capture biometrics and receive approvals in real-time.
The revised White Paper on Citizenship, Immigration and Refugee Protection was approved by Cabinet, which formalises the changes introduced during the first phase of Operation Vulindlela, including the introduction of new visa categories for remote work, start-ups and skilled workers, as well as the introduction a new, merit-based points-based system for certain visas and permanent residency.
“Overall, reforms in critical areas such as energy and water are being pursued with greater urgency, reflecting the direct impact of service delivery failures on South Africans and on the country’s economy.
“Sustained progress in implementing reform commitments has strengthened policy credibility and supported growing investor confidence in South Africa’s growth trajectory.
“Looking ahead, the emphasis will be on translating this momentum into measurable outcomes – completing outstanding regulatory processes, operationalising new institutions, and accelerating project implementation so that the benefits of reform are felt by all,” the report says.