Parliament briefed on SAA, Alexkor

Thursday, September 19, 2019

Parliament’s Portfolio Committee on Public Enterprises has been briefed on the state of affairs at South African Airways (SAA) and Alexkor.

“SAA briefed the committee on progress made in addressing governance challenges and advancing its developmental objectives. The committee welcomed the long-term turnaround strategy presented by SAA,” said the committee on Wednesday.

The committee committed itself to monitor the implementation of the strategy closely, in order to make it effective and improve the airline towards recovery.

The committee also noted with concern how successive SAA boards have not achieved the desired outcomes, despite the board members’ expertise.

At the same time the committee expressed its concern about the state diamond company Alexkor.

Like SAA, Alexkor falls within the ambit of the Department of Public Enterprises (DPE)

This as the committee was briefed by the DPE on governance and financial challenges faced by the company on Tuesday.

During the session, committee members expressed concern that the company is under administration.

In December 2018, Alexkor RMS PSJV (Pooling Sharing Joint Venture) informed the department that the company was unable to pay salaries for the month and urgent financial assistance of approximately R5 million was requested.

“Members of the committee said it notes the challenges at Alexkor; hence the call for Alexkor to appear before the committee today so that the committee can provide necessary oversight,” said the committee.