‘No sinister motive’ in Zuma role

THERE was nothing sinister about President Jacob Zuma taking over stateowned companies‚ the Presidency said yesterday.

“There has been intense speculation since the announcement this week‚ with some commentators and journalists suggesting some sinister motives behind the establishment of the council.

“Such speculation is baseless and false‚” the Presidency said, insisting that the new structure under the president would not directly run projects or “usurp responsibilities” of line-function ministers.

On Monday‚ after a cabinet lekgotla it was announced that Zuma would directly oversee the strategy of state-owned companies and any government intervention made in them through the creation of the special presidential co-ordinating committee that he would chair.

The decision to place Zuma at the apex of decision making in state-owned companies came amid tension within the government over state-owned companies, particularly between South African Airways and Denel and the Treasury. The presidency yesterday said the recommendation to establish a stateowned companies council of ministers was made by a presidential review committee on state-owned companies appointed in 2010.

This committee’s recommendations were approved by cabinet in April 2013.

Three years later‚ the interministerial committee recommended that the presidential state-owned companies co-ordinating council be established to give effect to the presidential review committee’s recommendations for a stateowned companies council of ministers.

The presidency also said Zuma chaired other co-ordinating structures such as the Infrastructure Co-ordinating Commission.

It reiterated that an interministerial committee chaired by Deputy President Cyril Ramaphosa was responsible for overseeing the reform of state-owned companies.

“The role of these structures‚ including the newly established council on state-owned companies‚ is only to coordinate and oversee and ensure that all work together and not in silos‚” the presidency said. — BDlive

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