On March 13, 2024, Ms. Johanna Mulaudzi, Chief Executive Officer of the Ports Regulator of South Africa (PRSA), and Mr. Tshediso Matona, Commissioner of the Broad-Based Black Economic Empowerment (B-BBEE) Commission, signed a Memorandum of Understanding (MoU) aimed at fostering economic transformation in the Ports Sector.

The partnership between the PRSA and the B-BBEE Commission seeks to address the slow progress of transformation in the sector. According to the PRSA’s report on the “Implementation of Broad-Based Black Economic Empowerment in South Africa,” Black ownership in port terminal operations, leases, and services and facilities remains below 20%, 18%, and 12%, respectively. Ownership by Black women in the sector is alarmingly below 15%.

Meanwhile, the B-BBEE Commission’s National Trends and Status report on B-BBEE for 2022 reveals that although the Integrated Transport sector achieved 58% Black ownership by JSE listed entities and 25% for Black women in 2022, the Ports sub-sector lags behind. This underscores the challenge of enforcement and accountability for non-compliance with the B-BBEE Act faced by both the PRSA and the B-BBEE Commission.

The B-BBEE Commission is expected to play a key role in strengthening accountability and enforcement, aligning with its powers and functions outlined in the B-BBEE Act, to support the transformation initiatives of the PRSA. The collaboration between the two entities is anticipated to improve monitoring of transformation activities within the Ports Sector, ensuring that black operators and port users benefit in the future.

The MoU facilitates exchanges of information, strategies, expertise, and research related to B-BBEE and transformation, along with engaging in awareness and advocacy programs concerning B-BBEE as needed.