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Developing infrastructure through public-private partnership : the case of Maputo corridor / Tshiamo Moleme

The development of infrastructure has always been one of the greatest challenges faced by the South
African government since the advent of democracy in 1994. Recognizing this challenge, government
committed itself to the pursuit of Public-Private Partnerships for the development of infrastructure as
early as 1996. SANRAL and Transnet are the two national agencies responsible for the development of
transportation infrastructure in the country. While both agencies are battling to fulfill their mandates,
SANRAL seems to be the one battling the most. The organization is responsible for all national and
some provincial roads. Between the years 2000-2011, they reported profits for only three periods while
incurring losses for the rest. SANRAL faces a daunting task. Firstly, their annual budget allocation from
government is insufficient to address the backlogs on their non-toll roads network. Secondly, they are
not allowed to cross-subsidize non-toll roads with revenue from the toll roads. Lastly, they have been
requested by parliament to double their roads network.
The aim of this study was to analyse the development of transportation infrastructure through Public
Private Partnerships with focus on the Maputo Development Corridor, a cross-border transportation
corridor initiative implemented by the governments of South Africa and Mozambique through Public Private
Partnerships. The analysis was carried out using secondary research data as well as other data
on the case study. The objectives of this study were adapted from those of the Maputo Development
Corridor and then analysed in terms of the rationale for Public-Private Partnerships, their benefits and
limitations as discussed in the Public-Private Partnerships literature reviewed.
The findings of this study are that in general the purpose of using Public-Private Partnerships for the
Maputo Corridor Development was achieved as there were more high benefits than low benefits.
However, the initiative as a whole has failed to delivery sufficiently on social aspects such as job
creation. The initiative has also failed to mitigate the high negative impacts of the limitations. It should
be noted that the results of this study are an interpretation of the researcher and this interpretation is
based purely on the data obtained. This study calls for further research to be carried out on the socioeconomic
benefits of tolling of roads through Public-Private Partnerships based on the challenges faced
by SANRAL as discussed above as well as the current public opposition to the tolling of roads. / Thesis (MBA) North-West University, Mafikeng Campus, 2012

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nwu/oai:dspace.nwu.ac.za:10394/15990
Date January 2012
CreatorsMoleme, Tshiamo
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis

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