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Governance of Transport Corridors in OIC Member States:

Challenges, Cases and Policy Lessons

65

Corridor Secretariat established

TheMaputo Corridor Logistics Initiative (MCLI) acts as the de facto Secretariat for theMaputo Corridor

and is as such also recognized by both the public and the private sector in South Africa, Mozambique

and Swaziland.

Responsibilities and working principles of transport corridor governance bodies

As mentioned earlier, MCLI does have a Board of Directors. The powers and functions of the Board of

Directors are described in the Constitution of MCLI and include the following: to take such action and

do such things deemed necessary to further defend the interests and to promote the objectives of

MCLI; to provide policy direction by setting and reviewing specific directives and priorities for MCLI;

to monitor implementation; to monitor the operating structure, finances and administration of MCLI

and for this purpose to appoint an audit committee; to determine from time to time new categories of

membership and representation; to determine and approve the operating and capital budgets of MCLI;

to appoint the CEO; to amend the Constitution; to make and amend rules; to do all things for the more

effective achievement of the objectives of MCLI.

MCLI has also an Executive Committee consisting of the Key Member companies of MCLI. The CEO of

MCLI shall attend meetings of the Executive Committee but shall have no right to vote. Meetings of the

Executive Committee shall be held at least four (4) times per year, and at such other times as the

Executive Committee may determine. Any decision taken or act performed by or on the authority of

the Executive Committee shall be of full force and effect, unless it is set aside or amended by the full

Board of MCLI. Each member of the Executive Committee shall have one vote at meetings of the

Executive Committee. In case of deadlock in voting, the chairperson shall not have a casting vote and

dispute should be taken to the vote of the board of directors.

The powers and functions of the Executive Committee include the following:

To make recommendations to the MCLI regarding the fee of the annual subscriptions by members

as well as the dates upon which such fees shall become due and payable;

To make recommendations to the MCLI regarding the rate of interest this will accrue on overdue

subscriptions;

To guide, direct and monitor the CEO;

To authorise the CEO of MCLI to act on behalf of MCLI for the purpose of entering into any contract;

To authorise the CEO to invest monies on behalf of MCLI;

To authorise the CEO to open bank accounts on behalf of MCLI;

To recommend to MCLI the budget as presented by the CEO on an annual basis;

To determine the conditions of employment and emoluments of the CEO, this shall be reviewed

annually;

To appoint persons as representatives of MCLI to serve on other organisations;

To review the monthly management accounts of MCLI.

Participation of the local authorities and the private sector

As we have seen, in the early days of the governance and management of the Maputo corridor (in

particular in the period until 2004), local and provincial authorities had been hardly involved in the

development of the corridor. It was mainly driven by the national public sector, which wanted to build

more efficient infrastructural links between the industrial area in Gauteng and the Port of Maputo in

Mozambique. Local and provincial governments seemed to see no benefit in developing such a corridor

and did not show any interest to participate. After 2004, local and provincial authorities showed more