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Johannesburg - The Democratic Alliance's shadow minister of science and technology, Marian Shinn, apologised on Tuesday for her criticism of government's bid to acquire up to 60% of commercial satellite manufacturer SunSpace.
SunSpace is planning to launch another satellite as part of South Africa's space programme.
Shinn slammed the department of science and technology's proposed acquisition, following cabinet approval of the plan last week. She also questioned the costs of launching South Africa's second satellite, SumbandilaSat, estimated to cost more than R32m to build and launch.
The acquisition of shares in SunSpace by government will amount to about R100m.
Shinn's apology was addressed to SunSpace MD Bart Cilliers.
"I would like to apologise unreservedly for my statement made last week that SumbandilaSat was a failing venture," she said.
"While it is common knowledge that there have been problems since its launch, the expertise of your staff has ensured that the best possible use can be made of the satellite for the rest of its life cycle."
Concerns over state shareholding
Shinn went on to outline the DA's policy on government shareholding: "The DA is opposed in principle to government shareholding in commercial enterprises, and this view still stands.
"We feel that the growth of innovative enterprises is best left to dynamic management to exploit market opportunities, rather than being inhibited by the bureaucratic and regulatory processes of government," said Shinn.
"The minister of science and technology's decision not to supply the costs of the project in response to my question, or to justify the return on investment as she promised last year in the National Assembly last year, aroused my concerns, hence my statement."
Nonetheless, Shinn said she now appreciates the need for taxpayer investment in SunSpace.
"I accept that, once government owns the major stake, orders from other governments will be secured and South African firms will be eager to piggyback onto the manufacturing process and extend their technological expertise," she said.
"May they profit enough from this venture to buy out government's shareholding one day.
"I accept that cabinet's decision to acquire the majority stake in your company is likely to proceed and I will make no further comments on this pending purchase. I hope SunSpace becomes a pioneering state-owned enterprise by becoming profitable soon and setting an example to the others."
SumbandilaSat is an earth observation satellite named after the Venda word for "lead the way". The satellite will serve as a research tool to investigate the viability of affordable space technology.
Data gathered using the satellite will also be used to monitor and manage disasters such as flooding, oil spills and fires within southern Africa.
- Fin24.com
