The Department of Communications has begun preparations to examine the feasibility of transferring Telkom`s share ownership from it to another government department, a top official says.
The department`s CFO Harry Mathabane made this statement when answering a question from Democratic Alliance MP Dene Smuts after his department presented its annual report to the Parliamentary Portfolio Committee yesterday.
Smuts` question centred on the need to transfer the direct government responsibility for its 38.5% stake in Telkom currently exercised by the Department of Communications to another department, possibly the Department of Public Enterprises, in order to lessen incidences of conflict of interests.
Mathabane replied: "We have begun preparing documents about this to take to and brief Cabinet."
Later Mathabane told ITWeb that such a transfer would be in line with the department`s role as a developer of policy.
"I can`t see any reason why the department would oppose such a move. We have become far more of a developer and facilitator of policy," he said.
The issue of transferring the shareholder responsibility from the department has been bubbling for some time. Most recently Smuts proposed it during the debates on the ICASA amendment and the Electronic Communications Bills last week in the National Assembly.
In her reply, minister of communications Ivy Matsepe-Casaburri said she would take such a proposal to Cabinet.
Legal representatives of the second national operator (SNO) made such a recommendation during their presentation on the ICASA amendment Bill before the Portfolio Committee earlier last month.
No mention was made whether government`s 30% stake in the SNO would also be moved from the department.
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