Reserved Postal Services: Small Parcels Removed from SAPO Monopoly

Posted 15 December 2025 Written by Acts Online
Category Communications & Digital Technologies

Brought to you by SA Legal Academy: A new ministerial directive has extended the South African Post Office (SAPO) mandate for reserved postal services for one year but has formally removed parcels weighing less than 1kg from this exclusive category.

In terms of the Postal Services Act, No. 124 of 1998, the Minister of Communications and Digital Technologies, Solly Malatsi, has gazetted a directive following a regulatory review process. While the directive allows SAPO to continue providing reserved postal services for an additional twelve-month period, it specifically terminates the monopoly previously held over the delivery of small parcels.

The removal of small parcels follows a public consultation process initiated in March 2025, which sought comments on proposals contained in a departmental discussion document. The decision effectively opens the market for items weighing less than 1kg to private couriers and other postal service providers, ending SAPO’s exclusive statutory right to these items.

Legislative and Oversight Context

The directive has met with opposition from the National Assembly’s Portfolio Committee on Communications and Digital Technologies. Committee chair Khusela Diko issued a statement requesting urgent clarity from the Minister, asserting that the decision to terminate the less-than-1kg parcel reserved service poses a threat to SAPO’s financial sustainability and its ability to meet universal service obligations.

According to the Portfolio Committee, the final directive deviates from a resolution taken by the committee on 27 May 2025 regarding the draft version of the document. The committee had expressed concerns regarding the impact of such a policy shift on SAPO’s ongoing turnaround strategy.

What this means for you, your business, or your clients

  • For yourself: No direct individual compliance obligations; however, professionals should note the change in the legal status of small parcel delivery when advising on logistics or postal regulations.
  • For your business: Firms that previously relied on or were legally bound to use SAPO for documents and small items under 1kg may now formally utilize private courier services for these specific weight categories without regulatory risk.
  • For your clients: Clients in the e-commerce, courier, and logistics sectors can now legally compete for the delivery of parcels weighing less than 1kg, as these items are no longer classified as reserved postal services under the Postal Services Act, No. 124 of 1998.

Originally published at https://legalacademy.co.za/news/read/reserved-postal-services-ministerial-directive-removes-small-parcels-following-review

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