SAA consultants’ bill is R12m, Brown says

Eskom Spokeperson Khulani Qoma has told the Public Enterprise Enquiry into state capture how The Gupta brothers instructed Public Enterprise Minister Lynn Brown not to suspend former acting Chief Executive Officer Matshela Koko. Picture: MVULA MTHIMKHULU

The consulting company appointed to develop a corporate structure for the alignment of state-owned airlines is charging a total of R12m for the job.

The Minister of Public Enterprises Lynne Brown announced in the National Council of Provinces on November 30 that the three state-owned airlines, SAA, Mango and SA Express, would be merged.

In a written answer to a parliamentary question from DA MP Alf Lees, Brown for the first time named the consultants involved as well as their fees.

“Bain and Company is the consultant appointed for the development of an optimal corporate structure to realign the state-owned airlines,” Brown said.

“The work to be conducted by Bain and Company South Africa entails the development of the said optimal corporate structure in line with the government’s objectives and in cognizance of the industry’s best practices.”

Saying that the full costs of the project were R12.1m, Brown added: “I will not make a statement on the matter.”

Meanwhile, a total of 49 murders on South African farms and small holdings were reported to the police during the 2015-16 financial year, according to a written reply to a parliamentary question by Police Minister Nathi Mthethwa.

Mthethwa said this number was 11 murders less than the total of 60 committed on farms and smallholdings in 2014-15.

He said the South African Police Service had exceeded its target in implementing its rural safety strategy.

In 2016-17, SAPS had determined that 759 of the 879 identified rural and rural/urban mix police stations should have implemented the strategy.

But by the end of the second quarter of the 2016-17 financial year that target had been exceeded by 24.

Mthethwa said that implementing the rural safety strategy was part of SAPS’ annual performance plan, adding that the target for 2017-18 still has to be finalised.