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Operation Vulindlela: bill to cut energy red tape will be finalised by year-end

Operation Vulindlela promises in its latest progress report that Energy Security Bill will be wrapped up

Picture: 123RF
Picture: 123RF

The government will finalise its Energy Security Bill, which is aimed at reducing red tape, by the end of 2023, Operation Vulindlela, a special unit with the presidency, said on Sunday.

Operation Vulindlela is a joint initiative between the presidency and the Treasury established in October 2020 to remove obstacles to investment and economic growth.

In its latest progress report, it said the Energy Security Bill will be finalised during the third quarter of the government’s financial year, which runs from September 1 to December 31. President Cyril Ramaphosa said in June that the bill will streamline SA’s regulatory framework and called on parliament to process it in record time. Parliament has at times taken years to process legislation, but Ramaphosa urged MPs to expedite the processing of the bill.

During this period, further bid windows will be released for private sector investment in solar photovoltaics, wind, gas and battery storage, and the National Transmission Company of SA will be established as a fully independent entity, it said. The government will also issue a request for proposals for a 750MW load-shedding reduction programme and a 1,000MW cross-border purchase programme

The presidency and the Treasury said in a joint statement that Operation Vulindlela has made considerable progress in the priority reform areas of energy, transport, telecommunications, water and visas.

Key milestones that have been reached include establishing a one-stop shop for energy projects to accelerate private investment in new generation capacity. The one-stop shop will facilitate regulatory authorisation for energy projects, and aims to make the application process fully electronic.

On the telecommunications front, the report noted that the government announced the final date for analogue switch-off for all frequencies above 696 megahertz on July 31, a key reform aimed at improving telecommunication network quality, reducing the cost of data and expanding digital access.

Achievements in the transport and logistics sector include the selection of an international terminal operator to partner with Transnet at SA’s largest container terminal, Durban Pier 2, which handles 72% of the port of Durban’s throughput and 46% of SA’s port traffic. The government has also established a national logistics crisis committee, reporting to the president, to oversee interventions to fix SA’s freight logistics system.

With regard to water, the report noted that the National Water Resource Infrastructure Agency Bill has been approved by the cabinet for submission to parliament. The agency is key to the institutional reforms planned for the water sector, as it will manage and invest in bulk water infrastructure.

kahnt@businesslive.co.za

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