The Public Servants Association (PSA) has raised strong objections to the proposed establishment of the South African State Digital Infrastructure Company. The new state-owned entity is intended to consolidate fibre networks from various organisations, including Sentech, Broadband Infraco, Transnet, and Eskom.
PSA spokesperson Claude Naiker warned that creating yet another state-owned enterprise (SOE) would place an additional financial burden on taxpayers, who are already grappling with the consequences of mismanagement and repeated bailouts of existing SOEs.
“Statistics show that many state-owned entities suffer from poor governance, lack of accountability, and ongoing corruption,” said Naiker. “Adding another entity is likely to deepen these challenges rather than solve them. Consolidation of digital infrastructure can be achieved by improving the efficiency and oversight of existing SOEs, without the need to establish a new one.”
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