The security challenges in the Democratic Republic of Congo (DRC) have demonstrated an urgent need for a well-equipped and responsive South African National Defence Force (SANDF), and the necessity of collaboration between the state and the private sector.
This is according to General Rudzani Maphwanya, Chief of the SANDF, who was speaking on Friday at the second Public Private Partnerships (PPPs) for Defence and Security Conference in Pretoria.
“The evolving security landscape at home and across the continent demands we explore innovative and sustainable solutions to strengthen our defence capabilities,” he told conference attendees.
Maphwanya highlighted the funding challenges facing the SANDF, which have impinged its ability to modernise and maintain high operational standards. “Our technology budget is insufficient and our capital acquisition budget is vastly insufficient,” he said. “I once said that peace is the enemy of defence, although defence is responsible for bringing up peace because in peace we prepare for war. It is during peacetime that defence is placed in the background and not recognised as a priority.”
The Chief reiterated that funding remains a significant challenge for the SANDF, but welcomed President Cyril Ramaphosa’s commitment to increase defence spending from .7% of GDP to 1.5%, which will help make meaningful the partnership between industry and defence.
“To ensure the SANDF remains fit for purpose, innovative funding models including PPPs must be considered. That is the view of the SANDF, to not rely solely on the fiscus to resolve one or many challenges we encounter,” Maphwanya said.
“Collaboration between the SANDF and the South African defence industry is no longer an option but a crucial prerequisite to ensure the SANDF is adequately capacitated. By leveraging private sector resources we can improve supply chain efficiency, and enhance force preparedness.”
Maphwanya said the defence industry can become involved in the SANDF’s Journey to Greatness, as the SANDF cannot walk this journey alone. “We have an organised and formidable military industrial complex central to which is the defence industry. The journey to greatness plan must define equipment requirements. Industry must be allowed to react to the individual requirement statements.”
For industry, partnering with the SANDF and developing products for it will mean it can export those products for a “visible dividend” as export customers always prefer if equipment is in service with the manufacturer’s military. “If we use your equipment we are also marketing your equipment,” Maphwanya said.
With regard to defence PPPs, Maphwanya said “the purpose of the relationship is for the industry to provide something the SANDF cannot buy outright or does not have the skills to operate. Also to contract a service that the industry can deliver more cost effectively than the defence force can.”
“The real public-private partnership value lies in converting latent into real value for both entities,” Maphwanya said, adding that in many cases a third entity, a financier, is required who is willing to inject capital in the industry “as industry and defence don’t have the muscle.” He cautioned that as many things go wrong, “the financier must be rewarded for the risk.”
Maphwanya acknowledged that the SANDF has experienced difficulty realising PPPs in the past, but industry has demonstrated its ability to execute such partnerships, and National Treasury has reviewed regulations to make them more applicable to projects. “PPP implementation will require a strong regulatory framework. This conference is a platform to discuss the best way for implementation.”
Key focus areas that Maphwanya would like the defence industry to focus on include asymmetric and future warfare threats. This would include enhancing intelligence, surveillance and reconnaissance, and cyber capabilities, as well as enhancing logistics and supply chain management. “The incidents in the DRC highlight the necessity of robust logistical support, and rapid response capability,” he said.
“Through public-private partnerships we can enhance the SANDF’s ability to effectively participate in peacekeeping and peace enforcement missions, and humanitarian missions,” the SANDF Chief stated.
“If the PPP approach delivers, we will be introducing a new era in our country for the SANDF and the defence industry as well as the South African economy,” Maphwanya emphasised.
Maphwanya concluded by pushing for tangible outcomes from the conference, and concrete action. “Together we can build a resilient, well-equipped, future-ready defence force capable of delivering on our people’s expectations,” he stated.