23.06.2023 Views

Service Magazine Issue 83

Service magazine addresses key issues related to government leadership and service delivery in South Africa.

Service magazine addresses key issues related to government leadership and service delivery in South Africa.

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

ISSUE <strong>83</strong><br />

JUNE/JULY/AUG 2023<br />

L E A D E R S H I P I N G O V E R N M E N T<br />

GREEN HYDROGEN<br />

INFRASTRUCTURE<br />

INVESTMENT<br />

WASTE MANAGEMENT<br />

OIL AND GAS<br />

SHAPING AFRICA’S TOMORROW<br />

Siboniso Duma, MEC for Economic Development,<br />

Tourism and Environmental Affairs, KwaZulu-Natal<br />

AFRICA’S TRAVEL INDABA


contents<br />

S<br />

IN THIS ISSUE | SERVICE <strong>83</strong> | JUNE/JULY/AUGUST 2023<br />

SERVE AND DELIVER<br />

News and updates<br />

3<br />

AFRICA’S TRAVEL INDABA IS THE<br />

BIGGEST TOURISM EXHIBITION<br />

SHOW IN AFRICA<br />

MEC Duma speaks to <strong>Service</strong> about the<br />

economic benefits that the Indaba brings to<br />

the province<br />

14<br />

WOMEN IN GOVERNMENT<br />

Celebrating our women leaders<br />

AFRICA’S TRAVEL INDABA<br />

The Indaba highlights how tourism has<br />

become SA’s economic panacea<br />

6<br />

TRANSFORMING LIVES<br />

<strong>Service</strong> speaks to Leslie Ndawana, chief and<br />

principal executive officer of the National<br />

Fund for Municipal Workers<br />

16<br />

REBUILDING KWAZULU-NATAL<br />

FOR AFRICA AND THE GLOBE<br />

MEC for Economic Development, Tourism<br />

and Environmental Affairs, Siboniso Duma,<br />

opens Africa’s Travel Indaba breakfast<br />

10<br />

IF YOU RISE, BRING SOMEONE<br />

WITH YOU<br />

Many of the heroes of our liberation movement<br />

are gallant women whose stories are<br />

often not told<br />

18<br />

CONFIDENCE GROWS IN OIL AND<br />

GAS SECTOR<br />

Petroleum Agency SA’s five-year planPetleum<br />

Agency SA’s five-year plan<br />

20<br />

THE GREEN HYDROGEN FRONTIER<br />

Neocolonialism, greenwashing or just transition?<br />

24<br />

GOOD NEWS<br />

New jobs, the best city in Africa and a digital<br />

IDP plan<br />

A BETTER FUTURE<br />

Johannesburg Business School is in the<br />

business of reimagining your future<br />

28<br />

THINK WASTE MANAGEMENT IS A<br />

WASTE OF TIME?<br />

Effective waste management plays a pivotal<br />

role in our daily lives<br />

22<br />

THE NATIONAL INFRASTRUCTURE<br />

INVESTMENT PLAN<br />

The Minister of Public Works and<br />

Infrastructure, Sihle Zikalala, on the<br />

progress in implementing the National<br />

Infrastructure Investment Plan<br />

30<br />

DON’T LET PLASTICS END UP IN<br />

THE OCEAN<br />

Plastics SA says that not everything in the<br />

ocean is as beautiful as the creatures that<br />

live in it<br />

34<br />

38<br />

40<br />

<strong>Service</strong> magazine | 1


S<br />

editor’s note<br />

We can do no more<br />

than tell our story<br />

A<br />

Africa’s Travel Indaba highlights how tourism has become South<br />

Africa’s economic panacea and has always provided an indicator of<br />

the health of the industry. With the 2023 Indaba having wrapped up<br />

in May, tourism has returned with a big bang (page 6).<br />

MEC for Economic Development, Tourism and Environmental<br />

Affairs in KwaZulu-Natal, Siboniso Duma, says on page 10 that<br />

tourism is a cornerstone in supporting economic growth and job<br />

creation. Domestic figures for the festive season indicated that the<br />

return of KwaZulu-Natal’s tourism sector is well on it way, having<br />

recorded a recovery of R2.5-billion during the festive season, and stats<br />

recently released by SA Tourism show that KwaZulu-Natal attracted<br />

7.6-million tourists with the overall economic benefit for the province<br />

of over R19-billion. <strong>Service</strong> speaks to MEC Siboniso Duma on page 14.<br />

There is much excitement around green hydrogen these days.<br />

Governments and industrial polluters around the world have<br />

become interested in green hydrogen because of its potential to<br />

lower carbon emissions in sectors that are difficult to decarbonise<br />

such as the steel and chemical industries. With its first-class solar and<br />

wind resources, South Africa is often said to be uniquely positioned<br />

as a supplier of green hydrogen to the global market. Yet, there are<br />

serious risks that the development of a green hydrogen economy in<br />

South Africa may follow neocolonial patterns and fall short of what<br />

is needed for a just transition (page 24).<br />

Minister of Public Works and Infrastructure, Sihle Zikalala,<br />

discussing the progress of the National Infrastructure Investment<br />

Plan says that government envisions a new economic architecture<br />

where job creation and the participation of local suppliers are<br />

regarded as norms rather than exceptions. He says that government<br />

programmes must contribute to reversing spatial exclusion and lead<br />

to the empowerment of women, people living with disabilities and<br />

youth-owned companies in the property and infrastructure sectors<br />

(page 30).<br />

In our article celebrating the nation’s women leaders on page 18,<br />

the words of Albertina Sisulu are recalled: “We are each required to<br />

walk our own road and then stop, assess what we have learnt and<br />

share it with others. It is only in this way that the next generation can<br />

learn from those who have walked before them. We can do no more<br />

than tell our story. Then it is up to them to make of it what they will.”<br />

What will the next generation of South Africans learn from us?<br />

Alexis Knipe<br />

Editor<br />

Editor: Alexis Knipe | Publishing director: Chris Whales | Managing director: Clive During | Online editor: Christoff Scholtz | Design: Brent Meder,<br />

Salmah Brown & Monique Petersen | Production: Yonella Ngaba | Ad sales: Venesia Fowler, Tennyson Naidoo, Graeme February, Tahlia Wyngaard<br />

and Vanessa Wallace | Administration & accounts: Charlene Steynberg, Kathy Wootton, Sharon Angus-Leppan<br />

Distribution & circulation manager: Edward MacDonald | Printing: FA Print<br />

<strong>Service</strong> magazine is published by Global Africa Network Media (Pty) Ltd | Company Registration No: 2004/004982/07<br />

Directors: Clive During, Chris Whales | Physical address: 28 Main Road, Rondebosch 7700<br />

Postal: PO Box 292, Newlands 7701 | Tel: +27 21 657 6200 | Email: info@gan.co.za | Website: www.gan.co.za<br />

No portion of this book may be reproduced without written consent of the copyright owner. The opinions expressed are not necessarily those of<br />

<strong>Service</strong> magazine, nor the publisher, none of whom accept liability of any nature arising out of, or in connection with, the contents of this book. The<br />

publishers would like to express thanks to those who Support this publication by their submission of articles and with their advertising. All rights<br />

reserved.<br />

Member of the Audit Bureau<br />

of Circulations<br />

2 | <strong>Service</strong> magazine


snippets<br />

S<br />

SERVE AND DELIVER<br />

WORD FROM CABINET<br />

Water<br />

The Blue, Green and No Drop Watch reports, which were last<br />

conducted in 2013 and 2015, have been reintroduced. The<br />

programmes are regulatory mechanisms of the Department of<br />

Water and Sanitation as the national water sector. The aim of this<br />

uniquely South African regulatory tool is to improve municipal<br />

drinking water quality, wastewater management as well as water<br />

conservation and demand management.<br />

The reports indicate a decline in drinking water quality and an<br />

increase in non-revenue water since 2015.<br />

Energy<br />

Electricity minister has secured additional power from Mozambique<br />

to support our national grid. In the immediate term, Mozambique<br />

can provide 80MW and a further 1000MW over the medium term.<br />

Operation Vulindlela<br />

Operation Vulindlela has implemented structural reforms in<br />

the areas of energy supply, logistics network and infrastructure,<br />

digital communications and the visa regime. The number of<br />

completed reforms has risen from three to 11 and a further 14<br />

are on track.<br />

Batyi Automotive Component Supply Facility (BACS)<br />

The opening of the facility in Pretoria cements the country’s<br />

position as a global player in the automotive sector. BACS is a<br />

product of an incubation centre by Ford Motor Company and<br />

Motherson, a components supplier.<br />

Government And Organised Business<br />

A partnership has been initiated between government and<br />

organised business to actively work towards removing obstacles<br />

to inclusive economic growth and job creation.<br />

District Development Model (DDM)<br />

The seventh DDM Presidential Imbizo is taking place in June<br />

2023. Government will interact with residents on service delivery<br />

challenges and plans for development.<br />

Cabinet meeting, 7 June 2023<br />

EMPLOYMENT EQUITY<br />

Since Ramaphosa signed the Employment Equity (EE)<br />

Amendment Bill into law in April 2023, there has been<br />

significant confusion in industry. Likewise, the gazetting of<br />

the draft sectors and sectoral targets by the labour minister<br />

in May 2023 has caused strong reaction and a variety of<br />

understandings of how the targets should be interpreted.<br />

Once the final sectoral targets have been gazetted, employers<br />

will need to develop employment equity plans which will meet<br />

those targets over a five-year period. The sectoral targets should<br />

be treated as the minimum interim objectives on the road to<br />

ultimately meeting the Employment Assistance Programme<br />

(EAP) targets – the EE plan targets should aim for somewhere<br />

between the sectoral targets and the EAP targets.<br />

Frik Boonzaaier, senior human capital transformation<br />

consultant at The BEE Chamber, advises: “Continue to aim for<br />

the EAP demographics and you will meet the sectoral targets.”<br />

On to the second issue: Where does that leave us regarding the<br />

BEE management control targets?<br />

These remain intact.<br />

“So, for example, based on the latest EAP targets (from the<br />

22nd Commission for Employment Equity Report), to score full<br />

points for senior management, a measured entity needs to have<br />

a 60% alignment with EAP. The result, after having calculated<br />

the adjusted national EAP (which excludes the White portion of<br />

EAP) would be a BEE target of 28.68% to score full points on<br />

the senior management line item. This methodology has been<br />

in place since the amendment of the BEE Codes in 2013. The<br />

gazetting of the Employment Equity sectoral targets has no<br />

bearing on this, considering that the 60% alignment target is still<br />

based on the full EAP targets, and not on any sectoral target.”<br />

It is important to understand a particular distinction between<br />

Employment Equity and BEE legislation. The Employment<br />

Equity Act has had, and will continue to have, a punitive measure<br />

in the form of fines should a company fail to comply, including<br />

complying with the sectoral targets. BEE, on the other hand, is<br />

not a compliance issue. Points are awarded for meeting certain<br />

targets and the overall BEE level attained for ownership,<br />

management control, skills development, enterprise and supplier<br />

development and socio-economic development have an impact<br />

on a company’s ability to attract and retain clients. This pressure<br />

comes from clients, not from government.<br />

Boonzaaier concludes: “Once we have final sectoral targets,<br />

these will be interim targets to move companies closer to EAP<br />

alignment, which is the ultimate benchmark. Therefore, should<br />

a company aim for alignment with EAP, they will also meet the<br />

lower sectoral and BEE management control targets. EAP is still,<br />

and will continue to be, victorious.”<br />

www.bee.co.za<br />

<strong>Service</strong> magazine | 3


S<br />

snippets<br />

SERVE AND DELIVER<br />

PUBLIC SERVICE AND ADMINISTRATION (DPSA)<br />

“The people are our strength. In their service we shall face<br />

and conquer those who live on the backs of our people. In the<br />

history of mankind, it is a law of life that problems arise when the<br />

conditions are there for their solution,” said Walter Sisulu (1976).<br />

We reflect on the great collective journey of serving people,<br />

ensuring that no one is left behind and remain inspired by these<br />

wise words that bring to life the Constitutional injunction to<br />

improve the quality of life of all citizens and free the potential<br />

of each person.<br />

The Professionalisation Framework for the Public Sector is a<br />

gamechanger in government’s pursuit of building of a capable,<br />

ethical and developmental state. DPSA invites the National<br />

Council of Provinces (NCOP) to partner on its oversight role<br />

to ensure full implementation of the framework by all sectors,<br />

including the 10 legislatures, local governments, national and<br />

provincial departments and all government-owned entities.<br />

Meritocracy is at the heart of professionalisation, and it is being<br />

institutionalised through extending pre-entry examinations and<br />

competency assessments to the whole of the public service. We<br />

are also revising the effective management of performance,<br />

productivity and development of staff.<br />

In his SoNA the president said, “A professional public service,<br />

staffed by skilled, committed and ethical people, is critical to an<br />

effective state and ending corruption, patronage and wastage”.<br />

The Public <strong>Service</strong> Commission (PSC) is a critical partner in<br />

the implementation of the professionalisation framework as<br />

it ensures that the public service is ethical in recruitment and<br />

employment and that there is good governance, leadership<br />

and management. The PSC Amendment Bill was approved by<br />

Cabinet in May 2023 with the aim of securing its enactment into<br />

law in 2023/4.<br />

In 2023/4, the PSC will assess various HR practices that are central<br />

to the professionalisation of the public service. Furthermore, the<br />

PSC conducts service delivery inspections and a citizen-focused<br />

community outreach programme across provinces. Strategic<br />

partnerships with the Gauteng and North-West provincial<br />

legislatures are being entrenched to improve governance.<br />

National School of Government (NSG)<br />

A budget of R229-million has been allocated to NSG for 2023/4,<br />

which will sustain the following capacity-building flagships:<br />

• The Local Government Leadership Development Programme.<br />

Accredited by the Local Government Sector Education and<br />

Training Authority (LGSETA) which 19 City of Johannesburg<br />

councillors successfully completed.<br />

• The Ethical Leadership and Executive Oversight Programme.<br />

A critical intervention plan to help build a culture of ethical<br />

leadership in government.<br />

• The DDM. A course on joint decision-making and implementation<br />

through the DDM, which will be replicated across the country.<br />

The training programmes target members of boards of stateowned<br />

entities, public representatives and traditional leaders<br />

to undertake the much-required capacity building.<br />

Provincial and local government introduced the following<br />

initiatives in line with the professionalisation agenda:<br />

• Induction and onboarding. This is A compulsory programme<br />

for all new public service employees from salary levels one to<br />

16, and 4 540 participants were orientated nationwide.<br />

• Youth development. A programme that prepared 2 038<br />

jobless graduates to access employment opportunities in<br />

the public service.<br />

• Frontline service delivery. A total of 503 employees were<br />

trained in citizen-centred service delivery during 2022/3.<br />

• Financial management. As part of continuous development,<br />

556 officials were trained for bid committees as envisioned<br />

in the Public Finance Manage Act (PFMA) and Municipal<br />

Finance Management Act (MFMA) in 2022/3. In<br />

collaboration with the City of Cape Town, we trained 100<br />

officials on bid committees (MFMA).<br />

• Socio-economic development. A total 150 traditional<br />

leaders have been inducted to build an active citizenry. The<br />

comprehensive approach to all levers of governance and<br />

service delivery is clear for all to see.<br />

Building an ethical public service<br />

The Department provides technical assistance to provinces to<br />

implement lifestyle audits and discipline management. Provinces<br />

conducting these audits improved drastically from 47 to 89 out of<br />

103 provincial departments in March 2023. KwaZulu-Natal and<br />

the Western Cape had a 100% compliance rate.<br />

Presidential-minister priorities<br />

We are concluding the implementation of the current Medium-<br />

Term Strategic Framework (2019-2024) with priority on:<br />

1. Conducting a skills audit throughout the public service.<br />

2. Establishing a single register for disciplinary cases and<br />

processes across all spheres of government.<br />

3. Completing lifestyle audits for members of senior management<br />

public service.<br />

Addressing Challenges<br />

DPSA through working with the Department of Planning,<br />

Monitoring and Evaluation, National Treasury, the Presidency<br />

and cooperative governance departments has identified over 256<br />

reporting requirements that departments have to comply with.<br />

We are working to fast-track digitisation, roll out the future of<br />

work project, eGovernment and e<strong>Service</strong>s to free departments<br />

from a high compliance burden.<br />

We are addressing the aging public service by increasing youth<br />

representation through strengthening the graduate recruitment<br />

programme and enabling specialist skills enlistment.<br />

Walter Sisulu says, “During a liberation war there are many<br />

long and dark days… But a people who want freedom, who are<br />

prepared to fight for it, are capable of super-human efforts. We<br />

face a powerful enemy, but never can it match the strength of the<br />

people”. Kea leboga! Inkomu! Ndiyabulela!<br />

Delivered by Minister for Public <strong>Service</strong> and Administration,<br />

Noxolo Kiviet, 16 May 2023.<br />

4 | <strong>Service</strong> magazine


snippets<br />

S<br />

SERVE AND DELIVER<br />

MUNICIPAL FINANCE AUDIT OUTCOMES<br />

The MFMA audit outcomes indicate that 142 (55%) municipalities<br />

received clean audits in 2021/2. These municipalities were<br />

responsible for over R351-billion (66% of the local government<br />

budget of R530-billion).<br />

SALGA calls on the municipalities that received poor audit<br />

outcomes to turn around their financial management and<br />

governance to accomplish the same outcomes that have been<br />

achieved by most municipalities. This calls for a renewed approach<br />

to enforce accountability and consequence management. A<br />

carrot and a stick approach – where excellence is rewarded while<br />

mediocrity and maladministration are punished – is what is<br />

needed to turn local government around.<br />

SALGA asks municipalities to take stern actions towards<br />

non-submission of financial statements and eliminating<br />

and recovering monies lost through irregular and wasteful<br />

expenditure. Municipal leadership must set targets for achieving<br />

this outcome during their term of office. No fruitless expenditure<br />

amount should remain unactioned at the end of 2023/4. Nonsubmission<br />

or late submission of financial statements for audit<br />

purposes must be a thing of the past.<br />

The Auditor General of South Africa (AGSA) congratulates all<br />

municipalities that achieved positive audit outcomes. The pockets<br />

of excellence, who have consistently, without fail, achieved clean<br />

audits since the 2016/17 financial year-to-date are acknowledged<br />

for their exemplary work. These are the municipalities whose<br />

control systems must be emulated:<br />

• Midvaal Local Municipality (GP)<br />

• Okhahlamba Local Municipality (KZN)<br />

• Cape Winelands District Municipality (WC)<br />

• Overstrand Local Municipality (WC)<br />

• Witzenberg Local Municipality (WC)<br />

• Cape Agulhas Local Municipality (WC)<br />

Drivers of excellence<br />

Stable leadership is key to attaining positive audit outcomes.<br />

Councils must fill all vacant senior positions as a matter of urgency<br />

by employing ethical people who are technically skilled in the duties<br />

they are required to perform. Mayors and Speakers must always<br />

act in the public interest, hold the administration accountable and<br />

enforce consequence management without fear or favour.<br />

Consumer Debt<br />

As of 31 December 2022, municipalities were owed R306-billion<br />

for services consumed. The impact of the inability to collect debts<br />

has resulted in a gradual but steady regression in the financial<br />

health of local government overall and has seen a marked<br />

deterioration in certain municipalities. The current trajectory<br />

needs to be arrested urgently or it will result in a further<br />

deterioration of financial health and negatively impact service<br />

delivery, financial management and governance.<br />

Local Government Fiscal Framework<br />

The country’s fiscal framework perpetuates the structural<br />

factors that continue to impede municipalities in realising their<br />

constitutional mandate. Their ability to raise local revenue is<br />

severely eroded by the actions of government institutions such as<br />

Eskom who refuse to support municipal credit control measures<br />

in their areas of supply and by failure to pay for rates and<br />

municipal services by government departments.<br />

<strong>Service</strong> magazine | 5


S<br />

tourism<br />

Africa’s Travel Indaba highlights<br />

how tourism has become<br />

SA’s economic panacea<br />

The well-established, annual Africa’s Travel Indaba in Durban has always provided an indicator of the health<br />

of the industry. With the 2023 edition having wrapped up in May, tourism has returned with a big bang.<br />

O“Over 21 000 meetings between buyers and exhibitors, 1 023<br />

exhibitors and over 1 700 buyers.” These are some of the early<br />

statistics received from South African Tourism (SAT), which<br />

organises the Travel Indaba. Adding context, the newly appointed<br />

chairperson of the SAT interim board, Tim Harris, formerly CEO<br />

of Wesgro, Western Cape tourism, trade and investment promotion<br />

agency, noted that there was a 60% increase in meetings and a<br />

“dramatic recovery in the level of interest in the South African and<br />

African tourism offer”.<br />

HALLELUJAH<br />

Indeed, this year’s Travel Indaba was pure good news and happiness,<br />

a few days’ escape from the host country’s blackout reality (until<br />

the lights in the halls went out, eliciting a collective “ooh” from<br />

tour operators flown in from overseas, followed by an “aah” from<br />

assembled exhibitors when the generators kicked in).<br />

Everyone attending “Indaba”, as it’s known, wore smiles, excited at<br />

the chance to show off their respective products (from luxury lodges<br />

and experiences to the latest in canvas safari tents), reconnect with<br />

colleagues from distant lands and to do business again.<br />

Among those showing off were the mostly high-end<br />

accommodation establishments and a couple of intra-African<br />

airlines gathered under the Africa Travel & Tourism Association<br />

(ATTA®). Association executive director Chris Mears, speaking in<br />

London after his return from Indaba, says the demand from its<br />

members for participation at the 2023 travel show was strong “from<br />

the moment” that ATTA® opened the doors to them to participate<br />

in the experience.<br />

YEEHA!<br />

Mears says the number of exhibiting member companies (70)<br />

was nearly double 2022’s participation. Federated Hospitality<br />

Association of South Africa (Fedhasa) chairperson Rosemary<br />

Anderson says she was encouraged by the increased engagement<br />

between the public and private sector, referring to the “fantastic<br />

job” new tourism minister Patricia de Lille did in engaging<br />

with exhibitors and visitors, “seeking to<br />

understand the challenges the tourism<br />

industry faces”.<br />

SAT CEO Nomasonto Ndlovu, a former<br />

Limpopo Tourism CEO and highly regarded<br />

by that province’s experienced tourism<br />

heavyweights, says she received at Indaba<br />

“a clear sense from various stakeholders of<br />

a greater commitment for industry to work<br />

together and to grow the sector back to<br />

beyond pre-Covid levels”.<br />

Patricia de Lille engaging with<br />

exhibitors and visitors at the Indaba.<br />

FAR NORTH OF THE LIMPOPO<br />

While noting that the Travel Indaba<br />

provides a powerful platform to showcase<br />

the best of what is effectively Sub-Saharan<br />

Africa’s tourism sector, Ndlovu said the 22<br />

African exhibiting countries from the rest<br />

of the continent cemented this year’s theme<br />

of Unlimited Africa.<br />

Such an example, perhaps as extreme as<br />

“unlimited” in the geographical sense, would<br />

be Sangha Lodge, located on a riverbend<br />

deep in the Central African Republic<br />

rainforest. This is Africa’s Amazon. While not<br />

6 | <strong>Service</strong> magazine


tourism<br />

S<br />

only home to the BAaka people, the forest<br />

around the lodge hosts picathartes, about<br />

13 primate species, black-bellied pangolins<br />

and the famed forest elephants of Dzanga<br />

Bai – made famous by a National Geographic<br />

cover story. Indaba provides a platform for<br />

Tourism speaks to and touches<br />

all aspects of life.<br />

lodge owner and bird guide Rod Cassidy to<br />

share Sangha’s remarkable narrative, which<br />

involves a cast of characters as compelling as<br />

the forest and its inhabitants.<br />

“Everything was better, this was the best<br />

Indaba I’ve attended,” says Cassidy, noting<br />

that he had over 50 meetings and that he<br />

felt the interest shown would “definitely be<br />

converted” into bookings.<br />

SOUTH OF THE LIMPOPO<br />

Looking inward, Ndlovu speaks of tourism<br />

as “one sector that can meaningfully<br />

contribute to youth empowerment”, noting<br />

the young people from various tourism<br />

educational institutions working at Indaba<br />

while gaining first-hand exposure to the<br />

industry. Picking up on the theme of<br />

Ndlovu’s experience and passions, veteran<br />

Lowveld safari guide, mentor and lodge GM<br />

Michel Girardin says tourism routes such as<br />

Limpopo’s Ribola Art Route were a major<br />

focus for Ndlovu.<br />

Tourist products and motivated<br />

entrepreneurs provide employment and<br />

careers in rural, geographically rich yet<br />

typically “poor” regions of the country, such<br />

as along the above-mentioned, thoroughly<br />

“authentic” – to use industry jargon – Ribola<br />

route. Especially in the northern parts.<br />

Kylie Henn-Murray, co-founder and MD of<br />

Traditional African Homestays Southern<br />

Africa (TAHS-SA), works in those northern<br />

areas. She says her organisation uses tourism<br />

as a vehicle to uplift local communities, even<br />

when not neighbouring a game reserve or a<br />

park. Henn-Murray cites the Soutpansberg<br />

village of Makushu, which is not on a tourism<br />

route and more than an hour’s drive from<br />

the Kruger National Park. “It’s completely<br />

remote and in the mountains; yet Makushu<br />

hosts international visitors every week,<br />

people looking to immerse themselves in<br />

an authentic cultural experience, before or<br />

after they visit a park.” TAHS-SA has caught<br />

THE POWER OF COLLABORATION<br />

In a world that is becoming increasingly connected, the significance of<br />

international events that bring together diverse industries and cultures<br />

cannot be overstated.<br />

By Anton Gillis, CEO, Kruger Gate Hotel<br />

By facilitating dialogue and highlighting the rich cultural<br />

heritage and natural wonders of South Africa, the Indaba<br />

served as an important tool in showcasing the country's<br />

potential to the world.<br />

One key takeaway from Africa’s Travel Indaba was the<br />

importance of collaboration and partnerships within the<br />

industry. The tourism sector has faced unprecedented<br />

challenges in the wake of the Covid-19 pandemic, and<br />

the road to recovery demanded collective action. It was<br />

heartening to see that the industry embraced this ethos,<br />

which allowed it to make significant strides in the past year.<br />

South Africa welcomed 5.7-million tourists during the period<br />

of January to December 2022, marking a remarkable<br />

increase of 152% compared to the previous year.<br />

Anton Gillis, CEO,<br />

Kruger Gate Hotel.<br />

Arrivals from other African countries constituted the most<br />

substantial source of visitors, with over four-million arrivals<br />

during this period. These figures underline the importance of a united approach in driving<br />

South Africa’s tourism recovery.<br />

However, it is essential to address the challenges that still loom large over South Africa’s<br />

tourism landscape. The difficulty for international travellers to obtain visas and extend their<br />

stays remains a significant hurdle. It is crucial for the government and relevant authorities<br />

to streamline visa processes and create an environment that encourages longer visits. This<br />

will not only attract more tourists but also enable them to explore the diverse offerings of the<br />

country thoroughly.<br />

International buyers have also expressed concerns about South Africa’s crime rates and<br />

the persistent issue of loadshedding. While these challenges need to be acknowledged, it<br />

is equally important to highlight the steps being taken to address them. Through proactive<br />

measures, such as increased security efforts and investments in sustainable energy solutions,<br />

South Africa can alleviate these concerns and create an environment that fosters trust and<br />

confidence in visitors.<br />

Moreover, the weakening of the rand can no longer be relied upon as the sole motivation<br />

for international travellers to visit South Africa. It is essential for operators to elevate their<br />

offerings and create world-class experiences that captivate visitors from around the globe.<br />

Despite these challenges, a shining light emerged from Africa’s Travel Indaba, the prevailing<br />

spirit of collaboration and partnerships. While competition within the hospitality industry is a<br />

natural aspect of business, it was encouraging to witness the willingness of industry players<br />

to work together for the greater good.<br />

This collective effort to promote South Africa strengthens the industry as a whole, uplifts local<br />

communities and solidifies the country’s position as a premier travel destination.<br />

By providing a platform for knowledge sharing and innovation, Africa’s Travel Indaba propels<br />

South Africa’s tourism sector forward. Through collective efforts, we can shape the trajectory<br />

of our future and position the continent as a compelling and sought-after destination.<br />

Together, we will continue to strengthen South Africa’s position in the global travel market,<br />

offering unforgettable experiences and leaving a lasting impression on all who visit our<br />

beautiful country. Africa’s Travel Indaba serves as a catalyst for this transformation, enabling<br />

us to showcase the best of what South Africa has to offer to the world.<br />

<strong>Service</strong> magazine | 7


S<br />

tourism<br />

The tourism minister engaged with stakeholders in the sector<br />

in an effort to understand the challenges they face.<br />

the eye of “conscious” overseas tour operators, precisely because it<br />

makes the proverbial difference, focusing on including communities<br />

in the value chain, creating a multiplier effect within them.<br />

“Small micro-economies are created, which enhances the income<br />

and opportunities within these rural villages.” Henn-Murray is also<br />

working with villages in Mpumalanga and KwaZulu-Natal and has<br />

received requests from other areas to implement her model.<br />

HIGH-END BOOM<br />

ATTA®’s Mears says luxury and high-end travel to Sub-Saharan<br />

Africa is booming, with demand coming from all markets to<br />

varying degrees. “Sub-Saharan Africa has a fantastic quality tourism<br />

product with world-leading hospitality on offer. On top of this, the<br />

wider destination ticks a number of boxes in terms of post-Covid<br />

travel, with many seeking space, luxury, multi-generational travel<br />

opportunities and big ticket ‘bucket list’ items.”<br />

Essentially, the income from visitors seeking world-class experiences,<br />

says Mears, provides the opportunity for “re-capitalisation of<br />

businesses during this all-important recovery period”.<br />

BIG FIGURES VERSUS REALITY<br />

Fedhasa’s Anderson puts the 2023 Travel Indaba into perspective,<br />

“Tourism accounted for 8.48% of GDP in 2006 and 6.4% in 2019.<br />

The contribution to GDP for 2022 is sitting at 3.7%.”<br />

The trajectory of these figures seems at odds with the deputy<br />

minister’s reiteration in his speech of the government’s ambition – as<br />

articulated in its National Development Plan – to achieve “21-million<br />

arrivals and a 10% GDP contribution to the economy by 2030”. He<br />

I am pleased to welcome ministers and tourism leaders from across<br />

our beautiful continent to Africa’s Travel Indaba and this dialogue<br />

as we show our friends from around the world what the continent<br />

has to offer.<br />

Africa offers the loud thunder of the mighty Zambezi River that<br />

powers through Zambia and Zimbabwe but turns gentle in<br />

Mozambique. It is the mighty Nile, the Limpopo, the Congo and<br />

the Niger. Africa offers a home to the tiny meerkat that rules the<br />

silent expanse of the Kalahari Desert of South Africa, Botswana<br />

and Namibia. It offers the silence of a cheetah on the hunt in the<br />

national parks of Kenya, the Kruger or Tanzania.<br />

Africa offers the loud beats of an amapiano song on a rooftop bar in<br />

Joburg, a kizomba slow number in Luanda and an Afrobeat banger<br />

in Lagos. Africa offers the solemn call to prayer at the N’Djamena<br />

Mosque in Chad and in the cobbled streets of Bo-Kaap, Cape Town.<br />

Africa offers a home to the business traveller and conference-goer<br />

in Kigali, Cairo or Durban.<br />

Minister of Tourism, Patricia de Lille, African Dialogue on<br />

Tourism, 9 May 2023.<br />

8 | <strong>Service</strong> magazine


tourism<br />

S<br />

LATEST TOURISM STATISTICS<br />

International arrivals to SA for Q1 [January to March 2023]<br />

An impressive 2.1-million visitors, a 102.5% increase compared to the same period in 2022. While still 21.5% lower than 2019 levels, we're gaining<br />

ground rapidly. The African continent led the way again with 1.6-million arrivals, followed by Europe’s 387 000 and the Americas’ 104 000 visitors.<br />

The world is rediscovering South Africa, and together we’ll not only reach, but surpass pre-Covid numbers. Our determination and unity will light<br />

the way to a brighter future for South African tourism.<br />

From a domestic perspective, we have seen an incredible resilience with Q1 2023 performance surpassing pre-pandemic levels and those of<br />

Q1 2022.<br />

Foreign spend and tourism impact<br />

In the first quarter of 2023, foreign direct spend soared to an astounding R25.3-billion, marking a 143.9% increase compared to Q1 of 2022.<br />

Tourists from Europe contributed the most spend of R10.8-billion, followed by Africa with a collective spend of R9.3-billion. The overall foreign<br />

spend figure for quarter one this year is tantalisingly close to the R25.6-billion spent between January and March 2019 and showcases the<br />

industry’s unwavering resilience. We witnessed remarkable growth in spending from our Zimbabwean and Mozambican visitors, with Q1 2023<br />

figures reaching R4.4-billion (50% above 2019 performance) and R1.1-billion (12% above 2019 performance) respectively. However, spend from<br />

UK visitors dipped by 27% to R3.2-billion, while visitors from the US contributed a robust R2.6-billion, surging 28% above 2019 performance.<br />

Minister of Tourism, Patricia de Lille, African Dialogue on Tourism, 9 May 2023.<br />

compassionate entrepreneurs – will be the catalyst for job creation,<br />

increased visitors to our country and foreign currency spend. If the<br />

provincial and national tourism authorities adopt such tried-andtested<br />

thinking – and action – it can be assumed that vision on the<br />

road ahead will be clear and achieve goals that serve both citizens<br />

and visitors. Win-win.<br />

Anderson says early feedback from Fedhasa members suggests<br />

that exhibitors are planning to return for Indaba 2024. S<br />

The wall mural forms part of a legacy project that South African<br />

Tourism, as hosts of the Indaba, introduced. The mural is a<br />

representation of KZN’s lifestyle, showcasing the culture in the<br />

region and is intended as a catalyst for conversations about<br />

the importance of telling stories through the arts.<br />

Government is focusing on developing<br />

tourism infrastructure to attract more<br />

visitors to South Africa.<br />

noted that the government is “also focusing on developing tourism<br />

infrastructure to attract more visitors to South Africa”.<br />

Anderson says focusing on the recovery of tourism, “ensuring<br />

that we implement solutions that will expedite growth and<br />

stimulate the economy” – which was so beautifully demonstrated by<br />

certain accommodation establishments, experiential products and<br />

<strong>Service</strong> magazine | 9


S<br />

tourism<br />

10 | <strong>Service</strong> magazine


tourism<br />

S<br />

Rebuilding KwaZulu-Natal<br />

for Africa and the globe<br />

MEC for Economic Development, Tourism and Environmental Affairs,<br />

Siboniso Duma, opens Africa’s Travel Indaba breakfast with his keynote address.<br />

I<br />

It is here, at this Africa’s Travel Indaba, that we are part of shaping<br />

Africa’s tomorrow, through the connections we make over the next<br />

three days. I say this, ladies and gentlemen, because tourism is a<br />

cornerstone in supporting economic growth and job creation and<br />

this iconic event plays a vital role in growing tourism across the<br />

continent. It is particularly important for us, as it plays a big role in<br />

putting South Africa and our province KwaZulu-Natal on the map<br />

of Africa and the world.<br />

Despite the challenges faced by the province during and post the<br />

Covid-19 pandemic, the tourism sector has not just survived, it has<br />

reignited and bounced back with vigour. We are now focusing on<br />

our growth pillars and are rebuilding our sector in line with the<br />

provincial tourism recovery plan.<br />

Our domestic figures recently released by SA Tourism show<br />

that KwaZulu-Natal is the country’s favourite holiday destination,<br />

attracting 7.6-million tourists. To put this in perspective, we had<br />

about 6.2-million tourists in 2019 and the last time we reached<br />

the seven-million mark was 2017. The overall economic benefit for<br />

KwaZulu-Natal was over R19-billion.<br />

On the international front we are still in the recovery phase.<br />

KwaZulu-Natal attracted 9.4% of the international visitors coming<br />

to South Africa in 2022, which provided a total economic spend of<br />

R4.2-billion.<br />

I believe our key to this success was the coming together of<br />

government and the tourism sector in keeping our name and brand<br />

top of mind, instilling confidence in visitors about their safety when<br />

visiting us, ensuring that tourism products are affordable and that<br />

our service, hospitality and warmth are of the highest levels.<br />

We are also aware that a lot of the tourist activity is revengebuying<br />

from the two-year travel restrictions and that this will<br />

come to an end. So, we are redoubling our efforts in marketing<br />

KwaZulu-Natal. We continue to work closely with our trade and<br />

strengthen our relationships with travel buyers and operators,<br />

as we build on our achievements to establish KwaZulu-Natal on<br />

the international travel stage. And this is where all of you come in,<br />

especially our international buyers and visiting media, who play a<br />

key role in packaging tours to KwaZulu-Natal and promoting the<br />

province and its travel offerings to the world.<br />

NOW IS THE TIME TO REROUTE TO KWAZULU-NATAL<br />

If you are planning a birding tour, reroute to KwaZulu-Natal; if<br />

it’s safaris you are after, reroute to KwaZulu-Natal for a big-five or<br />

big-six (whale watching) experience; if you are planning a trip for<br />

history buffs, reroute to KwaZulu-Natal; if culture is high on the list<br />

of travel itineraries, reroute to KwaZulu-Natal.<br />

We continue to offer the world’s travellers incredible value for money<br />

due to exchange rates in their favour. We are among the world’s few<br />

destinations that enjoy great weather almost all year round. We have<br />

an unparalleled range of offerings with something for everyone,<br />

immense cultural diversity, a rich historical heritage as well as some<br />

of the most beautiful landscapes and natural wonders. So much so<br />

that we can confidently say, “KwaZulu-Natal has it all”.<br />

Air traffic activity over King Shaka International Airport continues<br />

to increase with South African Airways, Turkish Airlines, Qatar<br />

Airways and Emirates flying long-haul routes directly to Durban,<br />

giving the world easy access to what we deem as the exceptional Zulu<br />

Kingdom. Regionally, Proflight Zambia has reinstated its Lusaka-<br />

Durban route and Airlink is flying a Durban-Harare, Zimbabwe<br />

route and in May this year we welcomed the inclusion of Durban on<br />

the Eswatini Air flight schedule.<br />

This opening of air access between SADC members will<br />

significantly boost traveller volumes between these countries. As<br />

<strong>Service</strong> magazine | 11


S<br />

tourism<br />

we continue to open air routes, improving our connection to the<br />

African continent, we open doors for businesses across all sectors. It<br />

also creates the opportunity for greater cohesion between countries,<br />

fostering better relationships and a greater appreciation of what<br />

each country has to offer. Thereby, we need to help to grow the<br />

African economy together so that we can ultimately rise to be an<br />

economic giant amongst global economies.<br />

Right here in KwaZulu-Natal, we are upgrading and developing<br />

nine airports, which will improve connectivity between key cities and<br />

tourism areas, making access for travellers far easier.<br />

In 2022, we opened Mkuze Airport in northern KwaZulu-Natal,<br />

one of the country’s most densely-populated game reserve areas.<br />

This region is home to the country’s top private game reserves,<br />

offering five-star luxury stays. Establishments such as Thanda Safari<br />

Lodge, Amakhosi Safari Lodge, Pakamisa Private Game Reserve and<br />

Ghost Mountain Inn are perfect getaways for international travellers.<br />

There are many other reserves rated at four-stars which are also just<br />

as exceptionally magnificent.<br />

CRUISE TO KZN<br />

The development of the new purpose-made cruise terminal at the<br />

Durban harbour will play a key role in attracting more international<br />

cruise liners. This is already evident in the 2022/3 cruise season<br />

which brought some 26 000 passengers to the province between<br />

October 2022 and April 2023.<br />

We know that international travellers are increasingly seeking<br />

genuine cultural exchanges, and there are many new and<br />

emerging opportunities for our buyers to explore. Travellers will<br />

benefit from authentic cultural experiences – traditional cuisine,<br />

arts and crafts, dance and music as well as age-old customs – and<br />

will take home unforgettable memorable experiences when they<br />

leave our shores.<br />

As the provincial government and our tourism entity Tourism<br />

KwaZulu-Natal, we continue to seek new tourism trade partnerships<br />

and we look forward to robust engagements with our trade partners.<br />

EXPLORE OUR HIDDEN GEMS<br />

Developing new tourism product owners and service providers is<br />

vitally important if we are to spread the benefits of tourism across<br />

our province and open the sector to a greater number of businesses.<br />

Our magnificent province is indeed a safe destination in which<br />

to enjoy well-needed getaways, along the 600km coastal shores, at<br />

one of many game reserves surrounded by magnificent wildlife and<br />

tranquil nature in the Drakensberg Mountains or visiting cultural<br />

and historical sites such as the Battlefields in Ladysmith.<br />

I hope we will be together as we rebuild KwaZulu-Natal for Africa<br />

and the globe. S<br />

We have an unparalleled range of offerings<br />

with something for everyone.<br />

12 | <strong>Service</strong> magazine


tourism<br />

S<br />

<strong>Service</strong> magazine | 13


S<br />

tourism<br />

Africa’s Travel Indaba is the biggest<br />

tourism exhibition show in Africa<br />

MEC for Economic Development, Tourism and Environmental Affairs, Siboniso Duma<br />

speaks to <strong>Service</strong> about the economic benefits that the Indaba brings to the province.<br />

Why is it important for KwaZulu-Natal to host<br />

an event like Africa’s Travel Indaba?<br />

Hosting an event like Africa’s Travel Indaba assists us in positioning<br />

KwaZulu-Natal as an international brand and a must-visit destination.<br />

Africa’s Travel Indaba is attended by over 6 000 delegates from all<br />

over the world that come to the Indaba to look for destinations to<br />

sell and package to their clients back home.<br />

We have the benefit of hosting Africa’s Travel Indaba right here<br />

in our province and in that way international buyers experience<br />

first-hand what we have on offer. They get to sample our tourist<br />

experiences, stay in our hotels, meet our people and experience<br />

our cuisines. They get a realistic view of how easy it is to access our<br />

destination.<br />

What are some of the economic benefits for KwaZulu-<br />

Natal to host an event like Africa’s Travel Indaba?<br />

The total direct spend generated by Africa’s Travel Indaba in 2022<br />

was R41.5-million with a provincial gross domestic product (GDP)<br />

contribution of R120.7-million and an annualised employment<br />

contribution of 243. Considering that this was the first Africa’s Travel<br />

Indaba after the global Covid-19 lockdowns, I was confident that this<br />

year we would be bigger and better. It lived up to all expectations.<br />

How do ordinary citizens of the province benefit from events<br />

such as Africa’s Travel Indaba?<br />

When we host events of such magnitude, the tourism sector remains<br />

a key economic driver as hotels are full, restaurants are buzzing with<br />

patrons and car-hire services and shuttles have an ongoing flow of<br />

clients. So, tourism’s value chain becomes economical. Therefore, the<br />

sector can retain much-needed jobs and the people of KwaZulu-<br />

Natal can reap boundless paybacks from a robust economy.<br />

Are there any platforms for emerging tourism entrepreneurs<br />

from KwaZulu-Natal at Africa’s Travel Indaba this year?<br />

Yes, we had 15 emerging tourism business entrepreneurs exhibiting<br />

at Africa’s Travel Indaba. They showcased their businesses to<br />

14 | <strong>Service</strong> magazine


tourism<br />

S<br />

Hosting an event like the Indaba<br />

assists us in positioning KwaZulu-<br />

Natal as an international brand and a<br />

must-visit destination.<br />

international buyers that were keen to sell KwaZulu-<br />

Natal and are looking for exciting and innovative<br />

tourism products to package and promote to their<br />

markets. Additional SMMEs exhibited at the “Unique<br />

Experiences Village” with the national Department of<br />

Tourism. There was a “Sustainability Village” where<br />

young business owners, such as crafters and fashion<br />

designers, sold their products to Indaba delegates.<br />

What are some of the opportunities that have<br />

been given to young people, especially those that<br />

wish to be part of the tourism sector at Africa’s<br />

Travel Indaba?<br />

Through Tourism KwaZulu-Natal, we have an<br />

ambassador programme that targets tourism students<br />

and graduates where about 40 worked during Africa’s<br />

Travel Indaba to assist delegates with information and<br />

how best to navigate through the Indaba as well as to<br />

engage them on tourism experiences that they should<br />

explore while visiting KwaZulu-Natal. S <strong>Service</strong> magazine | 15


S<br />

local government<br />

Transforming lives<br />

<strong>Service</strong> speaks to Leslie Ndawana, chief and principal executive officer of the National Fund for Municipal Workers,<br />

a retirement fund with approximately 55 000 members and R27-billion of assets under management.<br />

Please tell us about your personal career trajectory to this point.<br />

I have been in the retirement funds industry for over a decade,<br />

mainly in advisory and fiduciary capacities. I currently serve<br />

the retirement funds industry as a director of Batseta Council<br />

of Retirement Funds and as a member of the Financial Sector<br />

Transformation Council's Reporting Working Committee. I have<br />

a Chartered Principal Executive Officer (CPEO) qualification<br />

and designation with other various qualifications that include<br />

postgraduate diplomas in financial planning and investments as<br />

well as a master of business administration degree. I am charged<br />

with the responsibility of driving strategy and direction of the Fund,<br />

providing leadership and engaging stakeholders.<br />

What is your personal objective in your role as CPEO?<br />

At the level of Principal Executive Officer, it is difficult to separate<br />

your personal objectives from your professional objectives.My<br />

objective is to meaningfully transform the lives of our Fund members,<br />

our employees as well as our communities and broader society. My<br />

passion and understanding in the field of development finance,<br />

impact investments, leadership and organisational behaviour will<br />

assist me to achieve these personal and professional objectives.<br />

The National Fund for Municipal Workers turned 25 years old<br />

last year. Please tell us about the Fund, its history, background<br />

and the celebrations last year.<br />

The National Fund for Municipal Workers was established in<br />

1997 as the South African Association of Municipal Employees<br />

(SAAME) Retirement Fund. The name of the Fund changed to<br />

the Independent Municipal and Allied Trade Union (IMATU)<br />

Retirement Fund and was registered with the Financial Sector<br />

Conduct Authority (FSCA), the then Financial <strong>Service</strong>s Board, in<br />

1998. In July 2001, the Fund became independent and its name<br />

2020<br />

More than 90% of the<br />

Fund’s assets managed<br />

and invested through<br />

transformed investment<br />

managers with a B-BBEE<br />

NFMW key milestones over the past 25 years.<br />

level of 2 and above.<br />

R124 million paid in risk<br />

scheme profits since the<br />

introduction in 2012.<br />

2021<br />

Key Milestones<br />

Remained fully<br />

operational during the<br />

Adoption of NFMW<br />

business and<br />

organisational strategy.<br />

COVID-19 lockdowns.<br />

IRFA WINNER<br />

A new organisation<br />

emerges.<br />

2022<br />

2019<br />

Best in class – Investment<br />

practices, Best in<br />

Launch of impact<br />

Appointment of INfund<br />

and Portfolium for<br />

Launch of NFMW<br />

class – Governance,<br />

investing programme.<br />

member individual<br />

investment transformation<br />

Best practices in<br />

financial counselling<br />

2016<br />

NPFMW s14 transfer<br />

2018<br />

programme.<br />

IRFA WINNER<br />

transformation, Best<br />

practices in financial<br />

management and<br />

IRFA WINNER<br />

Overall winner -<br />

Governance, Best<br />

and advice.<br />

Move to self-insurance<br />

to NFMW.<br />

2018 IRFA<br />

Financial management<br />

reporting and Best<br />

practices - Investments<br />

resulting in the Fund<br />

Overall winner<br />

and reporting, governance,<br />

practices in stakeholder<br />

and Best practices in<br />

saving 35% in premiums<br />

Self-administration<br />

communication<br />

investment practices, and<br />

engagement<br />

stakeholder engagement<br />

from the previous<br />

(Sanlam 13B-licence).<br />

strategy.<br />

a Gold Standard-award.<br />

and education.<br />

and education.<br />

insured arrangement.<br />

100% increase in assets under management from R12 billion in 2016 to R24 billion in 2022<br />

16 | <strong>Service</strong> magazine


changed to the National Fund for Municipal Workers (NFMW) and<br />

serves municipal employees nationally.<br />

Celebrating 25 years of service to our members was an important<br />

milestone for the Fund. More could have been achieved in the early<br />

years of the Fund’s existence. However, over the last five years, the<br />

Fund has transformed, with the last two years defining a new path,<br />

partnering with our stakeholders to provide practical solutions and<br />

a strong value proposition to our members. We are now positioned<br />

to share value with all our stakeholders, with our members at the<br />

centre of our operating model.<br />

submitted to the Regulator (FSCA) within the required timeframe.<br />

Additionally, even though the law requires that retirement funds<br />

conduct actuarial valuations once in three years, the Fund performs<br />

an actuarial valuation every year to ensure strict monitoring of costs,<br />

an annual review of benefits and to consider recommendations from<br />

the Fund’s valuator (actuary). This helps build trust between the<br />

Fund and its stakeholders, especially the members who contribute<br />

to the Fund and confirms our commitment to good governance,<br />

financial compliance and effective internal controls. S<br />

What is the Fund’s vision and mission?<br />

Our Mission. To be a trusted custodian who grows members’ investments<br />

and keeps them informed along the way to a secure retirement.<br />

Our Vision. To positively impact the lives of our members, their<br />

families and communities, today and tomorrow.<br />

Our Values. Excellence, Professionalism, Integrity, Benevolence<br />

and Responsibility.<br />

The Fund adopted a new organisational strategy, which also<br />

shifted the focus of the Fund’s investment strategy to the broader<br />

societal needs for sustainable development over the long-term, and<br />

it being part of a solution to societal challenges and contributing<br />

towards socio-economic prosperity in various meaningful ways.<br />

The Fund has won numerous awards over the years. Please tell<br />

us about these awards.<br />

We won several industry awards in the past, including one in 2021<br />

when the Institute of Retirement Funds Africa recognised the<br />

NFMW as the overall winner (best in class award) for governance<br />

across retirement funds in South Africa.<br />

The awards we have won over the years are as follows:<br />

2018 Overall winner communication strategy<br />

2019 Financial management and reporting, governance, investment<br />

practices and a Gold Standard award<br />

2020 Best in class – investment practices and governance, Best<br />

practices in transformation, financial management and<br />

reporting as well as in stakeholder engagement and education<br />

2021 Overall winner – governance, Best practices in investments and<br />

in stakeholder engagement and education<br />

In 2022, we decided not to participate in industry competitions.<br />

Our focus now is on delivering the benchmarks we have set for<br />

ourselves. Members and society will receive the “award” for our<br />

efforts.<br />

Please outline the various categories within the Fund.<br />

The Fund caters for members with various needs by offering choices<br />

that meet these needs. The NFMW has different member categories<br />

which offer competitive benefits and excellent long-term investment<br />

track records.<br />

The Fund received a clean audit for the 2021/22 financial year.<br />

Please tell us about the significance of a clean audit and what it<br />

means to NFMW.<br />

The NFMW did not only receive a clean audit for the 2021/22<br />

financial year but for the last six years. These financial statements were<br />

BIOGRAPHY<br />

Leslie Ndawana has been in the South African retirement funds<br />

industry for well over a decade, mainly in advisory and fiduciary<br />

capacities. Ndawana is a professional member of Batseta, with a<br />

Chartered Principal Executive Officer (CPEO) qualification and<br />

designation. In addition, he holds a post graduate diploma in financial<br />

planning and an advanced post-graduate diploma in Investments,<br />

both obtained from University of the Free State. Ndawana also has<br />

a master of business administration degree and is currently studying<br />

for a master’s degree in development finance at the University of<br />

Stellenbosch in 2023.<br />

<strong>Service</strong> magazine | 17


S<br />

women<br />

If you rise, bring someone with you<br />

Many of the heroes of our liberation movement are gallant women whose stories are often not told or acknowledged for<br />

their contribution. Gertrude Shope, Helen Joseph, Albertina Sisulu, Lilian Ngoyi, and Ruth Mompati are just some of the<br />

women upon whose shoulders we stand.<br />

C<br />

Charlotte Mannya Maxeke was born 152 years ago and is often<br />

considered the mother of black freedom and a pioneer of women’s<br />

education and emancipation. Maxeke was an iconic leader – a<br />

woman of great courage and fortitude and a true daughter of the<br />

soil. By memorialising her life, our goal is to inspire generations of<br />

women who will embody her values in a meaningful way.<br />

Before I elaborate on the inspiring life and achievements of<br />

Maxeke, I would like to draw your attention to some of the other<br />

great African women leaders who lived around the same time as<br />

her, who are often only mentioned in passing in history textbooks,<br />

European documents or through oral histories and artworks. The<br />

turbulent years following West and Central Africa’s initial contact<br />

with Europe were marked by the emergence of women revered<br />

for their formidable political skills and social vision. We know of<br />

these women – women such as Ana Nzinga, queen of Ndongo; Dona<br />

Beatriz, Kongo prophet and Idia, queen mother of Benin.<br />

Perhaps more well-known was the warrior queen, Yaa Asantewaa,<br />

queen of the prosperous Ashanti Empire, in now modern-day<br />

Ghana. As queen, she was the official protector of the empire’s most<br />

sacred object, the Golden Stool. Made of solid gold and believed to<br />

house the soul of the nation, the stool represented the royal and<br />

divine throne of the empire. When British troops invaded in 1886,<br />

and demanded possession of the sacred object, Asantewaa refused.<br />

Instead, she led an army against them. “I shall call upon my fellow<br />

women. We will fight the white men. We will fight until the last of us<br />

falls in the battlefields,” Yaa Asantewaa had said.<br />

For months, starting in 1900, Asantewaa’s troops laid siege to the<br />

British occupying forces, who very nearly collapsed. Only after the<br />

British brought in several thousand additional troops and pounds<br />

of artillery, were they able to defeat Asantewaa’s army. Asantewaa<br />

fought alongside her people until the very end and was captured<br />

and exiled to the Seychelles until her death in 1921. Her bravery<br />

and resistance despite the impossible odds have made her one of<br />

history’s most famous warrior queens to this day.<br />

We are each required to walk our own road<br />

and then stop, assess what we have learnt<br />

and share it with others.<br />

Our very own Maxeke did not earn her fame on the battlefield,<br />

but through her pen and political activism. She was a visionary,<br />

intellectual, an internationalist, a teacher and a fearless servant of<br />

her people. Maxeke, the internationalist, travelled to at least two<br />

continents at the turn of the 19th century when travelling abroad<br />

was both slow and difficult. This gave her an upper hand and<br />

A young Charlotte Maxeke, 29 November 2017.<br />

unparalleled exposure to other cultures and a broader view of the<br />

world beyond the limitations of South Africa.<br />

In the context of the conduct of international relations today, she<br />

is an early proponent of people-to-people diplomacy. Through the<br />

African Jubilee Choir tour, she went on to the US, she exchanged<br />

ideas with her contemporaries, shared information, utilised art to<br />

bring South Africa to the world and used other aspects of culture<br />

in order to foster mutual understanding. Maxeke also worked with<br />

suffragists both in Europe and the US during this time.<br />

In 1894, she stayed in the US and pursued her studies at the<br />

Wilberforce University in Cleveland, Ohio. Her studies made it<br />

possible for her to be groomed by an American sociologist who<br />

contributed immensely to shaping her outlook of the world. In<br />

1901, she graduated with a BSc degree, becoming the first woman<br />

in Southern Africa to graduate from a university.<br />

Maxeke returned to South Africa to educate her people and<br />

became an important weapon for empowerment. Learning from<br />

her own experience abroad, she dedicated her life to the upliftment<br />

of others as well as the struggle for liberation of black South<br />

Africans. Maxeke was a fierce opponent of the dompas for black<br />

women and men and helped to organise the anti-pass movement<br />

in Bloemfontein. In 1913, Maxeke led the first women’s march in<br />

18 | <strong>Service</strong> magazine


women<br />

S<br />

We can do no more than tell our story.<br />

Bloemfontein against the extension of passbooks for women and<br />

led a delegation to Prime Minister Louis Botha to discuss the issue<br />

of passes for women.<br />

Maxeke was not afraid to enter traditional male spaces and<br />

challenge the status quo. She was the only woman in the room at the<br />

founding meeting of the SANNC (now ANC) in 1912. She sat there<br />

quietly while her participation was being discussed, despite being<br />

more intellectually advanced than most men in that room.<br />

Maxeke co-founded the Bantu Women’s League and became<br />

its first president, later arousing public opinion against the<br />

disgusting practice of medical inspection of black women before<br />

entering domestic service. She was also involved in protests on the<br />

Witwatersrand about low wages and participated in the formation<br />

of the Industrial and Commercial Workers’ Union in 1920.<br />

Maxeke saw education for Africans as a vehicle to liberation. She<br />

was asked by the Ministry of Education to testify before several<br />

government commissions in Johannesburg on matters concerning<br />

African education. She taught at a primary and secondary school<br />

she co-founded called Wilberforce Institute in Evaton in the Vaal,<br />

which still exists today.<br />

Maxeke is the embodiment of what an empowered woman can<br />

achieve for her people, and an excellent example of what education<br />

can do for a girl child in Africa and elsewhere in the world.<br />

While being the first black woman in the many spaces she<br />

operated in, she understood that for meaningful representation of<br />

women, she needed to rally other women to amplify their voices in<br />

the struggle for gender equality. We salute the ethos that Charlotte<br />

Maxeke stood for of human solidarity, compassion and sacrifice<br />

for the common good, as well as a people-centred approach to<br />

development and self-reliance.<br />

To honour the legacy of this trailblazer, as the Department of<br />

International Relations and Cooperation, we have developed a<br />

bold, transformative and concrete programme that will anchor<br />

South Africa’s contribution to the Global Accelerated Plan for<br />

Gender Equality.<br />

This programme is called the Charlotte Maxeke African Women’s<br />

Economic Justice and Rights Initiative, which was launched in<br />

2021. The initiative is being implemented through six flagship<br />

programmes aimed at making a real impact on gender equality and<br />

women’s empowerment.<br />

South Africa recognises that while more efforts have gone towards<br />

safeguarding the civil and political rights of women, the economic<br />

rights of women and girls have largely been neglected. Through<br />

the implementation of this initiative, South Africa seeks to mobilise<br />

the global community to support women’s leadership across all<br />

the action coalitions of the Generation Equality Forum. The focus<br />

is on economic justice and rights through education, training and<br />

mentorship for women and youth, as well as creating opportunities<br />

in economic participation, networking, diplomacy and trade.<br />

We can all learn important lessons from the life of Charlotte<br />

Maxeke, and I would like us to remember her wise words when she<br />

said to her compatriots:<br />

“This work is not for yourself, kill that spirit of self, and do<br />

not live above your people but live with them. If you rise, bring<br />

someone with you.”<br />

Let us also recall the words of another great woman who came<br />

after her, Albertina Sisulu, who said,<br />

“We are each required to walk our own road and then stop, assess<br />

what we have learnt and share it with others. It is only in this way<br />

that the next generation can learn from those who have walked<br />

before them. We can do no more than tell our story. Then it is up to<br />

them to make of it what they will.”<br />

Address by Dr GNM Pandor, Minister of International Relations<br />

and Cooperation, at the Charlotte Maxeke African Women<br />

Leadership Awards, Sandton Convention Centre, Johannesburg,<br />

25 March 2023.<br />

Dr Pandor, Minister of International Relations and Cooperation.<br />

<strong>Service</strong> magazine | 19


S<br />

women<br />

Women Ministers of Parliament<br />

Agriculture, Land Reform<br />

and Rural Development<br />

Angela Thokozile Didiza<br />

Basic Education<br />

Matsie Angelina Motshekga<br />

Cooperative Governance<br />

and Traditional Affairs<br />

Thembi Nkadimeng<br />

Defence and Military Veterans<br />

Thandi Ruth Modise<br />

Forestry, Fisheries and<br />

Environment<br />

Barbara Dallas Creecy<br />

Human Settlements<br />

Mmamoloko Kubayi<br />

International Relations and<br />

Cooperation<br />

Dr Grace Naledi Mandisa Pandor<br />

Presidency for Planning,<br />

Monitoring and Evaluation<br />

Maropene Lydia Ramokgopa<br />

Presidency for Women,<br />

Youth and Persons with<br />

Disabilities<br />

Dr Nkosazana Dlamini-Zuma<br />

Public <strong>Service</strong> and<br />

Administration<br />

Noxolo Kiviet<br />

Small Business Development<br />

Stella Ndabeni-Abrahams<br />

20 | <strong>Service</strong> magazine


women<br />

S<br />

AN EPITOME OF SUCCESS<br />

The name Charmaine Mabuza has of late<br />

become synonymous with profound,<br />

phenomenal excellence in the world<br />

of business. The unassuming ITHUBA<br />

Group CEO, Charmaine Mabuza was<br />

recently announced as a winner in the<br />

Businesswoman of the Year Award.<br />

Social Development<br />

Lindiwe Daphne Zulu<br />

Tourism<br />

Patricia De Lille<br />

The Annual Premier Black Business Quarterly<br />

Awards (BBQ Awards) were held in March<br />

2023. To be considered a finalist under the<br />

Businesswoman of the Year category required<br />

entrants to display elements of original<br />

entrepreneurship and leadership, strongly<br />

backed by demonstratable diversification and<br />

innovation within specific areas of operation as<br />

well as proven involvement and commitment<br />

to several sustainable community initiatives<br />

with a socio-economic environmental impact,<br />

especially in disadvantaged communities.<br />

These qualities resonate very much with<br />

Mabuza. Raised in Empangeni in KwaZulu-<br />

Natal, Mabuza was raised by a single parent<br />

who instilled in her the values of hard work,<br />

self-reliance and consistency, which helped<br />

shape her view and drive to succeed despite<br />

societal barriers.<br />

Through ITHUBA, Mabuza has successfully<br />

transformed a traditional retailer-dominated<br />

business model with fixed terminals in-store into<br />

a digitally driven organisation by implementing<br />

ITHUBA Group CEO, Charmaine Mabuza.<br />

an integrated solution across multiple platforms.<br />

Mabuza’s passion in the gaming sector had a<br />

spill-over effect in the form of socio-economic development, directed to those that did not have the<br />

means to sustain themselves. As a philanthropist, she has independently set up a series of social<br />

corporate responsibility projects.<br />

Another passion project she has firmly in place is the ITHUBA bursary programme, which caters<br />

to students from underprivileged backgrounds who have unparalleled interest to study in the fields<br />

of marketing, information technology and commerce. Other significant programmes she established<br />

to date include the Supplier Enterprise Development funding programme initiated to alleviate the<br />

impact of Covid-19.<br />

Transport<br />

Sindisiwe Chikunga<br />

As her success is evident from hard work, determination and boldness to break the ceiling, Mabuza<br />

concludes by saying that her journey will not stop anytime. “I have plans in place. And that is to grow<br />

as an entrepreneur and an internationally recognised businesswoman.”<br />

<strong>Service</strong> magazine | 21


S<br />

oil and gas<br />

Confidence grows<br />

in oil and gas sector<br />

A five-year plan put in place by Petroleum Agency South Africa (PASA) to ensure<br />

that the state agency mandated to evaluate, promote and regulate oil and<br />

gas exploration and production activities in South Africa is paying off.<br />

Shutterstock<br />

TTimeframes in the oil and gas sector tend to be longer rather than<br />

shorter. Exploration efforts can take years to produce results and<br />

the processes that follow are also measured in years rather than<br />

months: environmental assessments, fundraising and sourcing<br />

offtake agreements. When the processes are adhered and when all<br />

the regulations have been followed, the rewards can be considerable.<br />

Whereas it took nine years to find the R1.2-billion needed to<br />

fund the first phase of the Virginia Gas Project in the Free State,<br />

investors are now looking keenly at its prospects. A total R3.6-billion<br />

has been invested by Ivanhoe Mines to secure some offtake rights<br />

and the Central Energy Fund has purchased a 10% stake in Tetra4<br />

for R1-billion. This type of development and inward investment is<br />

promoted and encouraged by Petroleum Agency SA (PASA).<br />

The process started in 2007 when exploration rights to the<br />

Virginia area were granted to a company which later became Tetra4,<br />

a wholly-owned subsidiary of Renergen. Various other rights,<br />

licences and reports were granted and made on the project and a<br />

full Environmental Impact Assessment was completed in 2017.<br />

In 2022, the company achieved several milestones and in<br />

September of that year, commercial operations of the company’s<br />

LNG plant began. In January 2023, the announcement was made<br />

that helium production had begun – a first for South Africa.<br />

The Tetra4 Virginia Gas Project is the only holder of an onshore<br />

petroleum production licence issued by the Department of Mineral<br />

Resources and Energy (DMRE) through PASA. The production<br />

right area covers 187 000 hectares around the towns of Welkom,<br />

Virginia and Theunissen.<br />

WORLD-CLASS DISCOVERIES<br />

The large offshore Brulpadda and Luiperd discoveries made<br />

by TotalEnergies and their partners in the last few years have<br />

opened up a world-class hydrocarbon play in the deep ocean<br />

off South Africa’s south coast. These discoveries are extremely<br />

encouraging and all evidence suggests far more potential<br />

in the area. The fact that the project leaders have applied<br />

to convert their exploration right into a production right<br />

confirms the value of the prospect. PASA’s stated goal is to move<br />

beyond exploration to development and production, and so<br />

TotalEnergies’ application is welcome.<br />

In addition, the recent successes offshore Namibia are<br />

extremely significant and encouraging for South Africa as the<br />

same geological sedimentary basin continues into South African<br />

territory, extending from the border with Namibia to offshore<br />

Cape Town, and far out to sea, comprising an area of over<br />

160 000 square kilometres. Shell holds exploration acreage in<br />

the South African southern sector of the basin together with<br />

partners TotalEnergies and PetroSA.<br />

TotalEnergies holds further acreage in the South Africa sector of<br />

the Orange Basin with partners Sezigyn in ER343 and Impact Africa<br />

in ER335. To the east and north-east of these blocks is ER339 where<br />

Eco Atlantic holds an interest.<br />

Further investment in oil and gas exploration<br />

both on and offshore could lead to increased<br />

energy security.<br />

The progression from discoveries at Brulpadda and Luiperd to<br />

production of these hydrocarbons will boost investor confidence<br />

enormously. In addition, Minister Mantashe has made it clear<br />

that South Africa’s indigenous oil and gas resources have a role to<br />

play in South Africa’s future energy mix. More recently, President<br />

Ramaphosa has paved the way for independent power production<br />

which could give a major boost to investment in developing gas<br />

discoveries for electricity generation.<br />

Bringing the Brulpadda and Luiperd discoveries to production<br />

will secure thousands of jobs in the Mossel Bay area directly involved<br />

in midstream and downstream, while the surrounding region’s<br />

economy will benefit.<br />

Further investment in oil and gas exploration both on and<br />

offshore could lead to increased energy security or even energy<br />

independence for the country, with obvious consequences for<br />

economic growth.<br />

22 | <strong>Service</strong> magazine


THE ENVIRONMENT<br />

AND INVESTORS<br />

As custodian, PASA ensures<br />

that companies applying for gas<br />

rights are vetted to make sure<br />

they are financially qualified,<br />

technically capable and have<br />

a good environmental track<br />

record. Oil and gas exploration<br />

requires enormous capital<br />

outlay and can represent a risk<br />

to workers, communities and the environment. Applicants are<br />

therefore required to prove their capabilities and safety record and<br />

must carry insurance for environmental rehabilitation.<br />

Applicants must demonstrate that they have the technical<br />

capability and financial resources to carry out the work programmes<br />

agreed, as well as any future development that may ensue. A track<br />

record of experience, a good health and safety record, environmental<br />

compliance record and compliance with oilfield practice is essential.<br />

At the same time, PASA is determined to increase involvement<br />

of local companies in the upstream industry and to develop local<br />

capacity. One way of achieving this is through partnerships between<br />

international and local companies.<br />

A major issue affecting existing investors is the current public<br />

negativity towards any activity related to oil and gas exploration.<br />

Together with the DMRE, PASA is doing its utmost to educate and<br />

inform the public of the many potential benefits that exploitation<br />

of indigenous oil and gas resources could bring. There is currently<br />

a major series of public consultation and engagement initiatives<br />

underway to achieve this.<br />

PASA strongly believes that the development of indigenous<br />

hydrocarbons, and especially gas, have a role to play in building<br />

South Africa’s economy and to facilitate a just transition to new<br />

energy sources.<br />

The enactment of the Upstream Petroleum Resources Development<br />

(UPRD) Bill will put PASA in a strong position to attract further<br />

investment in the upstream sector and we are preparing for this<br />

by constantly evaluating prospectivity and preparing for future<br />

licensing rounds and new data acquisition. S oil and gas<br />

PASA’S FIVE-YEAR STRATEGY<br />

PASA’s strategy is built around five pillars to ensure delivery<br />

on the agency’s mandate. These are:<br />

• Increasing exploration activity. Initiatives that help us to attract<br />

and retain exploration companies.<br />

• Sustainability. To ensure that the company has sufficient financial<br />

and human resources to carry out its responsibilities.<br />

• Advocacy. To improve our influence and ensure that our<br />

contribution is understood and recognised.<br />

• Digital transformation. To seamlessly adopt new technologies,<br />

automation and integration of systems.<br />

• Operational excellence. To ensure efficiency of processes.<br />

S<br />

PASA: EXPLORATION AND PRODUCTION<br />

Petroleum Agency SA evaluates, promotes and regulates oil and gas<br />

exploration and production activities in South Africa and archives all<br />

relevant geotechnical data. The Agency acts as an advisor to the<br />

government and carries out special projects at the request of the<br />

Minister of Mineral Resources and Energy.<br />

South Africa’s energy mix is changing to include more gas through<br />

importing liquefied natural gas (LNG), using shale gas if reserves<br />

prove commercial and developing infrastructure for the import of<br />

LNG. Petroleum Agency SA plays an important role in developing<br />

South Africa’s gas market by attracting qualified and competent<br />

companies to explore for gas. Another major focus is increasing the<br />

inclusion of historically disadvantaged South African-owned entities<br />

in the upstream industry.<br />

Currently, natural gas supplies just 3% of South Africa’s primary<br />

energy. A significant challenge facing the development of a major<br />

gas market is the dominance of coal. Opportunities for gas lie in the<br />

realisation of South Africa’s National Development Plan (NDP) and<br />

the Integrated Resource Plan (IRP).<br />

Renergen<br />

<strong>Service</strong> magazine | 23


S<br />

energy<br />

The green<br />

hydrogen<br />

frontier<br />

Neocolonialism, greenwashing or just transition?<br />

T<br />

By Tobias Kalt and Makoma Lekalakala*<br />

There is much excitement around green hydrogen these days. It is<br />

often said to have great potential for combating climate change while<br />

creating jobs and economic prosperity in South Africa. Yet, there are<br />

serious risks that the development of a green hydrogen economy<br />

may follow neocolonial patterns and fall short of what is needed for<br />

a just transition.<br />

Hydrogen is a gas made from water through a process called<br />

electrolysis. This requires large amounts of energy that can come<br />

from different sources. Most hydrogen in the world is “grey”<br />

hydrogen because it is made from fossil fuels. If renewable energy is<br />

used as an energy input, this creates “green” hydrogen. It can then<br />

be converted into derivatives such as green ammonia which allows it<br />

to be shipped around the world.<br />

Governments and industrial polluters around the world have<br />

become interested in green hydrogen because of its potential to<br />

lower carbon emissions in sectors that are difficult to decarbonise<br />

through solar and wind power alone. This is the case in the steel<br />

and chemical industries. Or think of the difficulty of using electric<br />

batteries for long-distance sea or air transport. Because producing<br />

green hydrogen needs large amounts of energy, land and water, the<br />

Global North wants to meet much of its demand with imports from<br />

the Global South. With its first-class solar and wind resources, South<br />

Africa is often said to be uniquely positioned as a supplier of green<br />

hydrogen to the global market.<br />

It almost sounds too good to be true. South Africa can do all at<br />

once: export green hydrogen, combat climate change and create new<br />

jobs. Where’s the catch?<br />

GREEN ENERGY IMPERIALISM?<br />

The primary target for South Africa is the export market. Estimates<br />

are that South Africa could capture up to 10% of the global export<br />

market share. In its soon-to-be-published commercialisation strategy,<br />

the South African government prioritises the export of green<br />

hydrogen. The focus is on securing partnerships with international<br />

governments and businesses to receive foreign investments and tax<br />

revenues from exporting green hydrogen.<br />

South Africa’s flagship export project is led by Sasol in Boegoebaai<br />

in the Northern Cape. The megaproject, which is still in its feasibility<br />

24 | <strong>Service</strong> magazine


energy<br />

S<br />

Article courtesy Daily Maverick<br />

phase, aims to house 9GW of renewable energy and to expand this<br />

to 80GW by 2050 to produce green ammonia for export. This would<br />

make Boegoebaai one of the world’s largest green hydrogen projects.<br />

The key question is: will South Africa benefit from exporting<br />

green hydrogen?<br />

In a globally unequal system, benefits from the green hydrogen<br />

trade risk being captured by the Global North and the national<br />

elite in South Africa, while the majority lose out. South Africa’s<br />

international partners, most prominently Germany which is<br />

Energy democracy may be the way forward to<br />

solve the energy crisis in South Africa.<br />

intensively engaging with South Africa on green hydrogen, want to<br />

cash in twice. Once from importing green hydrogen at low prices,<br />

and a second time by selling the technology needed for producing<br />

green hydrogen to South Africa. This would allow Germany to<br />

become a green technology leader and to make sure its energyintensive<br />

industries can continue to operate as usual. German<br />

economy minister Habeck is aware that Germany’s grab for green<br />

hydrogen could become the target of criticism.<br />

One of the risks associated with the export of green hydrogen is<br />

financial. The South African government hopes to benefit financially<br />

from a revenue stream from green hydrogen exports. Yet, export<br />

projects will be in Special Economic Zones that give tax breaks to<br />

project developers, thus lowering the revenue share that the state<br />

receives. Furthermore, the government sees its role in building an<br />

enabling infrastructure, such as ports needed for shipping hydrogen<br />

around the world. Because private investors would not finance such<br />

high upfront investments in an uncertain market, the state steps in<br />

and takes on debt and market risks.<br />

Almost half of the funding requirements for green hydrogen in<br />

the government’s Just Energy Transition Investment Plan (JET-IP)<br />

is earmarked for port developments. Funding commitments have<br />

been made by international governments through the Just Energy<br />

Transition Partnership (JETP), announced at COP26. Yes, it makes<br />

sense that infrastructure for exporting green hydrogen is financed<br />

by those who will benefit from importing green hydrogen. However,<br />

97% of JETP funding comes as loans in hard currency. Though<br />

most will be at below-market interest rates, it may nevertheless create<br />

new financial dependencies and increase South Africa’s debt burden.<br />

There are also risks that the social and environmental<br />

costs of green hydrogen megaprojects will be borne by local<br />

<strong>Service</strong> magazine | 25


S<br />

energy<br />

communities. In Boegoebaai, land conflicts have already<br />

erupted. Communities that just recently successfully reclaimed<br />

their communal land are now at risk of losing it again to the<br />

construction of the export facility.<br />

The building of a deep-water port and of desalination plants to<br />

supply water for the electrolysers risk negatively impacting marine<br />

ecosystems and fishing communities in the area.<br />

At the Green Hydrogen Summit in 2022, Minister of Public<br />

Works Patricia de Lille spoke of “fierce international competition”<br />

and promised to get green hydrogen projects up and running<br />

quickly by gazetting them as Strategic Integrated Projects. This<br />

allows for fast-tracking environmental impact assessments and<br />

community consultations. As adhering to social and environmental<br />

standards increases the total costs for producing green hydrogen,<br />

community interests are likely to clash with governments and<br />

investors that seek to supply green hydrogen at low cost. While<br />

Will South Africa benefit from exporting<br />

green hydrogen?<br />

during the session on sustainability at the summit panellists<br />

agreed on the importance of social and environmental standards,<br />

it remains unclear if comprehensive standards for green hydrogen<br />

production will be implemented in South Africa.<br />

In addition, green hydrogen deals are shrouded in secrecy.<br />

Negotiations with international partners and the drafting of<br />

the JET-IP took place behind closed doors. While industry was<br />

involved in formulating the national hydrogen strategy, civil<br />

society, trade unions and communities were almost completely<br />

left out of the process.<br />

To sum up, there is a risk of green neocolonialism if South Africa<br />

takes on the role of the fuelling station for the Global North. Former<br />

trade unionist Dinga Sikewbu summed it up at a COP27 side-event<br />

on green hydrogen: “If the needs of people, if their concerns about<br />

water, about jobs are not taken care of… decarbonisation will be not<br />

viewed different to previous cycles of energy transition where the<br />

Global South was seen as sites for extraction by the Global North.”<br />

EXPORTING ELECTRICITY DURING AN ENERGY CRISIS?<br />

Green hydrogen requires a lot of renewable energy. The wind and<br />

solar power capacity that is envisioned only for the Boegoebaai<br />

project is significantly higher than all South Africa’s currently<br />

installed electricity capacity together.<br />

As everyone knows, South Africa faces a severe energy crisis with<br />

energy shortages and rising energy poverty. Now, imagine the social<br />

uproar if large amounts of renewable energy were installed in South<br />

Africa, but instead of improving energy access for the South African<br />

population, this would be used to produce cheap green hydrogen<br />

for export. Exporting electricity, while South Africans continue to<br />

struggle with rolling blackouts and rising electricity bills, will be a<br />

hard sell to the people. Energy expert Clyde Mallinson is right to<br />

ask: “Why would you sell sunshine in the form of low-cost green<br />

hydrogen to Germany? Why not invest in low-cost renewable energy<br />

for the locals?”<br />

GREEN INDUSTRIALISATION AS AN ALTERNATIVE?<br />

As an alternative to neocolonialism, a larger share of the benefits<br />

from green hydrogen could indeed be captured in South Africa.<br />

The country’s strong manufacturing base could be at the centre of<br />

a green hydrogen economy. For example, South Africa could use<br />

green hydrogen to produce value-added products such as green<br />

steel instead of exporting green hydrogen as a primary commodity<br />

at low prices. Examples of this are plans to reopen a mothballed steel<br />

plant in Saldanha Bay to produce green steel.<br />

Other industrial linkages could come from the local manufacture<br />

of fuel cells that allow vehicles to run on green hydrogen. South<br />

Africa could also own and export the technology to produce green<br />

hydrogen if it developed its own electrolyser industry, using key<br />

resource inputs from its own platinum mines. This would mean<br />

26 | <strong>Service</strong> magazine


energy<br />

S<br />

not having to rely on electrolyser imports from German or Chinese<br />

suppliers. Green hydrogen’s need for large amounts of renewable<br />

energy also improves the case for setting up manufacturing<br />

industries for wind and solar components in South Africa, which<br />

could create many more jobs.<br />

If Global North governments are serious<br />

about their climate ambitions, they should<br />

focus on expanding renewable energy supply<br />

in South Africa.<br />

While the government would like to see green industries<br />

developing, the short-term focus is on export. This creates<br />

questions around whether and when the shift to a domestic green<br />

hydrogen economy will happen and if the new industries will then<br />

be globally competitive. Furthermore, building up or transforming<br />

industries requires a lot of investments. Yet, in the JET-IP only 7.9%<br />

of green hydrogen funding is allocated to green steel and less than<br />

1% to fuel cells.<br />

Cancelling South Africa’s debt, especially Eskom’s debt, and<br />

providing financial reparations to South Africa could be one way for<br />

the Global North to pay its climate debt and enable South Africa to<br />

invest in its own green hydrogen economy.<br />

THE RISK OF GREENWASHING<br />

While green hydrogen is an essential part of the energy transition,<br />

some scepticism may be in order when looking at who is pushing<br />

the green hydrogen agenda. In South Africa, this is fossil fuel and<br />

mining industries.<br />

Some accuse the fossil fuel giant Sasol of using green hydrogen<br />

merely as a fig leaf to greenwash its fuel production, the bulk of<br />

which will still be made from fossil fuels. The mining company<br />

Anglo American wants to see the hydrogen economy expand<br />

to keep its platinum mines open. Yet, it’s unclear if this is in the<br />

interest of affected communities that have long struggled against<br />

mining companies for negatively impacting livelihoods and<br />

exploiting workers. Green hydrogen may also be used for greening<br />

the domestic fertiliser industry, an industry that food sovereignty<br />

activists are opposed to because industrial fertilisers reduce soil<br />

fertility and worsen the food crisis.<br />

The risk of greenwashing means that environmentally destructive<br />

industries can continue business as usual while it distracts from the<br />

need for systemic alternatives.<br />

Coming back to the issue of energy. In a situation in which South<br />

Africa desperately needs stable and affordable energy supply, new<br />

electricity capacity that comes online should support these goals<br />

first. Once there is excess electricity, it could be used to produce<br />

green hydrogen.<br />

Studies also show that feeding renewable energy into the grid<br />

rather than into green hydrogen production is a more effective<br />

way of reducing carbon emissions. If Global North governments<br />

are serious about their climate ambitions, they should focus on<br />

expanding renewable energy supply in South Africa instead of<br />

financing green hydrogen for export. It is a question of prioritisation<br />

and resource allocation.<br />

Instead of an investor-driven green hydrogen economy, energy<br />

democracy may be the way forward to solve the energy crisis in<br />

South Africa. Energy democracy is a systemic alternative to green<br />

capitalist development. It would mean to decentralise, democratise<br />

and decarbonise energy production, to put ownership of energy<br />

into the hands of the people, and to end energy poverty and<br />

energy racism. The call may well be for energy sovereignty first,<br />

hydrogen second.<br />

Energy democracy is a systemic alternative to<br />

green capitalist development.<br />

Green hydrogen is a new topic in South Africa. Yet, there’s already<br />

a flurry of activity. The policy and regulatory frameworks are being<br />

put in place, finances are made available and agreements are signed<br />

with global investors and customers. South Africa is at a crossroads.<br />

The next few years will decide whether green hydrogen will<br />

bring economic sovereignty or neocolonial dependencies, whether<br />

industries will really transform or merely greenwash their fossil fuel<br />

business, and whether energy poverty is tackled or not.<br />

*Tobias Kalta is a visiting German scholar-activist at Wits<br />

University. Makoma Lekalakala is the director of Earthlife Africa<br />

and a board member of Natural Justice. She was the joint recipient,<br />

with Liz McDaid, of the 2018 Goldman Environmental Prize for<br />

Africa and the SAB Environmentalist of the Year 2018. S<br />

<strong>Service</strong> magazine | 27


development<br />

S<br />

Partnering for a better future<br />

As the world continues to navigate the rapidly changing business landscape,<br />

it is more important than ever for organisations to focus on sustainable<br />

solutions that drive financial success and positive social impact.<br />

Organisations need employees with the appropriate skills and<br />

expertise to drive digital transformation and sustainable development.<br />

By leveraging digital transformation and technology, businesses<br />

can streamline processes, increase efficiency and improve<br />

decision-making. And when done with sustainability in mind, digital<br />

transformation can also reduce waste, minimise environmental harm<br />

and promote social wellbeing.<br />

Investing in digital transformation skills for business leaders is more<br />

than just a trend, it is necessary for a sustainable future and success.<br />

By embracing digital transformation and making sustainability a top<br />

priority for your organisation, you can achieve business and societal<br />

success. The future is bright, and the Johannesburg Business School<br />

(JBS) is here to help you get there.<br />

We believe in the power of digital transformation to drive<br />

sustainability and create a better world for humanity. That is why<br />

we partner with organisations from the private and public sectors to<br />

design and deliver tailored programmes and learning solutions that<br />

develop existing and future leaders.<br />

We co-create executive education programmes that significantly<br />

improve individual and organisational performance, ensuring that your<br />

organisation succeeds and positively impacts the world.<br />

JBS also understands that real progress means empowering all<br />

members of society, so we work with companies, philanthropists<br />

and government to co-create entrepreneurship programmes that<br />

advance economic transformation, reduce unemployment and<br />

increase economic participation for previously disadvantaged<br />

groups.<br />

By partnering with JBS, you will have access to our expertise and<br />

innovative approaches to executive and entrepreneurship education.<br />

We are in the business of reimagining your future. Partner with us<br />

and elevate your organisation, employees and South Africa to the<br />

next level. S<br />

We work with companies,<br />

philanthropists and government<br />

to co-create entrepreneurship<br />

programmes that advance economic<br />

transformation.<br />

Contact us today to learn more.<br />

www.jbs.ac.za<br />

marketing@jbs.ac.za<br />

011 559 7570<br />

JBS Park, 69 Kingsway Avenue, Auckland Park, Johannesburg<br />

JBS. The Business of Reimagining Your Future


S<br />

infrastructure<br />

The National<br />

Infrastructure Investment Plan<br />

Statement by the Minister of Public Works and Infrastructure, Sihle Zikalala,<br />

on the progress in implementing the National Infrastructure Investment Plan [April 2023].<br />

Our government envisions a new economic architecture where<br />

job creation, participation of local suppliers into the construction,<br />

maintenance and property management value chains is regarded as<br />

a norm rather than an exception. Our programmes must contribute<br />

to reversing spatial exclusion and lead to the empowerment of<br />

women, people living with disabilities and youth-owned companies<br />

in the property and infrastructure sectors.<br />

The Department of Public Works and Infrastructure (DPWI)<br />

must not be associated with poor delivery and spending. We will<br />

respond swiftly to project delays and remove obstacles hindering<br />

infrastructure delivery in South Africa.<br />

Minister of Public Works and Infrastructure, Sihle Zikalala.<br />

A CATALYST FOR JOB CREATION<br />

In 2020, Cabinet approved the Infrastructure Investment Plan, a<br />

credible pipeline of projects from all three spheres of government,<br />

state-owned entities and the private sector. It is an integral part of<br />

the Economic Reconstruction and Recovery Plan introduced by<br />

President Ramaphosa. In tandem, Cabinet established Infrastructure<br />

South Africa (ISA) as a centre of excellence and single point of entry<br />

for infrastructure planning, management and delivery.<br />

The Plan articulates the country’s need for an infrastructure-led<br />

economic recovery and has identified projects in all provinces<br />

that will be able to attract private sector funding. The focus is on<br />

sustainable, reliable and affordable infrastructure that will enable<br />

economic growth across a swathe of economic sectors like water,<br />

network, agricultural, social and human settlement infrastructures.<br />

UPDATE ON PROJECTS<br />

In this 6th administration, the government gazetted 88 Strategic<br />

Infrastructure Projects (62 projects in July 2020 and a further 26<br />

in December 2022). Through ISA, we have amassed a pipeline of<br />

green hydrogen projects with a value of over R300-billion, which is<br />

undergoing project preparation support for implementation.<br />

The Boegoebaai Green Hydrogen project in the Northern<br />

Cape (NC) will boost the Boegoebaai Port and Rail Programme<br />

and has the potential to create 35 000 work opportunities once<br />

it commences and all feasibility studies are completed.<br />

The Prieska Power Reserve Project in NC will begin producing<br />

green hydrogen and ammonia in 2026 and is anticipated to initiate<br />

over 10 500 jobs.<br />

Various road projects in KwaZulu-Natal (KZN), the Free State (FS)<br />

and Limpopo have been completed. Housing projects in Gauteng<br />

and many other projects across the country are in construction and<br />

procurement phases, including:<br />

• Phase 2 of the Welisizwe Rural Bridges Programme. We plan to<br />

build 96 bridges in total and three per quarter to enable rural<br />

communities in the Eastern Cape (EC), KZN, Mpumalanga,<br />

Limpopo, FS and the North West to safely access schools,<br />

workplaces and public amenities. A sum of R3.8-billion is<br />

allocated for the programme over the medium term.<br />

30 | <strong>Service</strong> magazine


infrastructure<br />

S<br />

• The construction of enabling bulk infrastructure, such as<br />

roads and water components for the Lufhereng mixed-use<br />

development (Gauteng) begins in June 2023 and will support<br />

the development of 31 000 mixed housing units.<br />

• Access roads for the Mzimvubu Water Project in EC are nearing<br />

completion. The construction of the Ntabelanga Dam, which is a<br />

part of this project, will start in 2023.<br />

• Site establishment for the Clanwilliam Dam raising project<br />

(Western Cape) is completed. All surface and 15% of concrete<br />

works will be finished by end-2023.<br />

The public sector is projected to spend<br />

R903-billion on infrastructure over the<br />

medium term.<br />

PROJECT SPECIFICS<br />

N2/N3 Highway upgrades<br />

Overall progress indicates that the construction upgrading on the<br />

Sanral N3 highway is progressing well with most milestones achieved.<br />

Works on the N3 Ashburton Interchange to Murray Road upgrade<br />

and capacity improvement on the N2/N3 EB Cloete Interchange<br />

were due to start in May 2023.The draft design report for the<br />

upgrade of the N3 from Mariannhill Toll Plaza to Key Ridge (KZN)<br />

was submitted in December 2022 and outstanding design issues<br />

are being finalised. A new tender for the N2 Wild Coast Highway<br />

Mtentu Bridge was issued, evaluated and approved by the DBSA as<br />

per Sanral Board resolutions. The contract handover took place in<br />

January with work starting in May 2023.<br />

Vaal River System including Phase 2 of the Lesotho<br />

Highlands Water Project<br />

The construction of advanced infrastructure is in progress.<br />

Construction of the Polihali and Saddle Dams started in November<br />

and the Polihali to Katse Transfer Tunnel in December 2022.<br />

uMkhomazi Water Project<br />

This R24-billion water augmentation project (KZN) is at an advanced<br />

stage of preparation. The environmental authorisations were approved<br />

pre-construction and environmental management programmes are in<br />

place for water conveyance infrastructure and the Smithfield Dam<br />

Other Projects<br />

Installation of bulk infrastructure is ongoing for Pretoria’s Salvokop<br />

precinct project including the earthworks, trenching and reservoir<br />

works underway. The raising of Hazelmere Dam wall by seven<br />

metres is finished and will now augment water supply to the KZN<br />

North Coast. The public sector is projected to spend R903-billion<br />

on infrastructure over the medium term. The largest portion of this<br />

(R448-billion) will be spent by state-owned companies, public entities<br />

and through public-private partnerships.<br />

REPOSITIONING THE DPWI<br />

The DPWI will become the implementing agent of choice and<br />

is responsible for all government properties. The Department<br />

is a target of unscrupulous service providers who at times fleece<br />

the Ministry through shoddy workmanship, project stoppages,<br />

liquidation claims, poor contractor execution and many other issues<br />

that impact negatively on the DPWI’s performance and affects our<br />

service delivery to client departments and the community.<br />

We are introducing interventions to remove the stigma and<br />

corruption that the DPWI has assumed and are setting new standards<br />

to inform service level agreements with leased buildings especially<br />

focused on maintenance and smart facilities. Going forward, we will<br />

account for all our planned infrastructure projects, introduce early<br />

warning systems and respond timeously to project blockages.<br />

<strong>Service</strong> magazine | 31


S<br />

infrastructure<br />

PORTS OF ENTRY<br />

The construction and maintenance of ports fall under the control<br />

of the DPWI. The state of our ports of entry and the level of<br />

infrastructure rendering our borders porous is receiving priority<br />

attention from government departments and the SANDF.<br />

The six ports of entry selected to improve border management<br />

and security include Beitbridge (Zimbabwe border); Ficksburg<br />

Bridge, Kopfontein and Maseru Bridge (Lesotho border); Lebombo<br />

(Mozambique border) and Oshoek (Eswatini border).<br />

STATE OF SMALL HARBOURS<br />

Under Operation Phakisa, the DPWI has been rebuilding and<br />

refurbishing small, declared harbours along the four coastal<br />

provinces of our country. To date, the DPWI has spent R500-million<br />

on the proclaimed fishing harbours in the Western Cape. The entire<br />

programme has created 672 jobs and empowered local SMME<br />

companies to the value of over R61-million.<br />

HIJACKING OF PROJECT SITES<br />

We are meeting with the SAPS Economic Sabotage Unit to<br />

deal with economic crimes including the rising phenomena of<br />

so-called construction mafia who invade, intimidate and disrupt<br />

delivery of projects on the ground. We will engage communities<br />

on how they can benefit from construction projects and the entire<br />

value chain. Equally, we will mobilise communities to work with<br />

law enforcement to fight corruption, crime and the construction<br />

mafia who are sabotaging the delivery of infrastructure and<br />

hampering job creation.<br />

UPDATE ON LAND RELEASES<br />

The DPWI, as custodian of national state-owned land, is often<br />

requested to release land to settle claims for restitution, human<br />

settlements development and redistribution as part of government’s<br />

land reform programme. Land redress is one of the key drivers to<br />

achieve spatial and socio-economic justice and ensure that public<br />

land is used for public good.<br />

REQUEST FOR PROPOSAL<br />

The DPWI together with the Ministry of Electricity supported by<br />

National Treasury’s government technical advisory centres have<br />

announced the release of a Request for Proposal (RFP) for the<br />

first procurement round (phase 1) of the integrated Renewable<br />

Energy and Resource Efficiency Programme (iREREP). This will be<br />

the largest renewable energy and resource efficiency procurement<br />

programme for public facilities on the African continent. It was<br />

gazetted as a Strategic Integrated Project in 2020 as part of the<br />

Infrastructure Investment Plan.<br />

The release of the RFP comes at an opportune time with<br />

government remaining steadfast in eradicating the electricity and<br />

water supply challenges and the rampant landfill shortages in<br />

our country.<br />

iREREP will introduce about 3 740MW of equivalent capacity<br />

through renewable energy and energy efficiency initiatives,<br />

while saving 47-million kilolitres of water and reducing<br />

waste to landfill by one-million tons. With the alleviation of<br />

megawatts from the national grid, the government building<br />

portfolio could potentially add the same capacity as two<br />

Koeberg power plants, reducing loadshedding by three to four<br />

stages. iREREP has potential to achieve significant savings<br />

in government expenditure and contribute towards socioeconomic<br />

transformation over its 30-year term. Benefits from<br />

the programme include:<br />

• Almost R1.3-trillion direct contribution to the GDP<br />

• The creation of over 13 100 small businesses (mostly black-owned<br />

enterprises) and an estimated 503 000 jobs<br />

• Skills development for over 475 000 people<br />

• Lowering energy use intensity by 22% and 45% as well as water<br />

use intensity by 30% and 55% in the public sector<br />

• A decrease in waste and diversion from landfill sites of 50%,<br />

saving 12-million tons<br />

• A reduction in CO 2<br />

and other greenhouse gas emissions by over<br />

54.5 megatons.<br />

We are committed to the work of growing our economy through<br />

infrastructure delivery. S<br />

32 | <strong>Service</strong> magazine


infrastructure<br />

S<br />

THE FATE OF FLEETS<br />

Government’s most recent pledges to begin the procurement of<br />

services in extensive new build and upgrade of road infrastructure<br />

offers a glimmer of hope to businesses in the transport and<br />

construction industries.<br />

The N11 highway in KwaZulu-Natal.<br />

The N2 Wild Coast highway in the Eastern Cape.<br />

Part of the reality with South Africa’s failing electricity and water systems is<br />

that the facilities in place were not originally designed to serve as large a<br />

population as today relies on them to live. The roads bear an even greater<br />

burden due to the disrupted rail network provider currently working to<br />

rescue routes and refurbish equipment. This should make these revamped<br />

rail routes more relevant to modern mining, industrial and commercial<br />

operations that could benefit from its potential cost-effectiveness. Over the<br />

coming three years, according to the 2023 Budget Speech, government<br />

will be spending an estimated R903-billion on hard infrastructure. Most of<br />

this will be focused on strategic transport and logistics as well as water<br />

and sanitation.<br />

Earlier in 2023, the South African National Road Agency<br />

(Sanral) announced that it had awarded four long-overdue, major<br />

construction tenders for projects on the new N2 Wild Coast highway in<br />

the EC and the N11 in KZN. Politics aside, these should be welcomed, as<br />

these provinces have each suffered their own challenges related to their<br />

roads and traffic.<br />

Now, stepping into a new economic era driven by knowledge, creativity<br />

and design, industrially manufactured and locally designed goods, from<br />

artworks to high-tech equipment for a variety of sectors, will grow in scale<br />

as the South African resources sector undergoes its own transformation,<br />

with reserves remaining an unknown projection.<br />

Sanral’s investment creates much-needed capacity in the country’s<br />

major coastal economies, boosting the construction industry while<br />

opening a key artery of trade. It forms part of a broader government<br />

programme mandated to uplift economic growth of KZN and EC. The<br />

roads agency states: “The much shorter and quicker N2 route will<br />

dramatically reduce traffic carbon emissions, travel time and costs.<br />

The one-and-a-half-hour to three-hour reduction in travel time for lightto-heavy<br />

vehicles using the current N2 and R61 routes between KZN<br />

and EC will result in a projected time cost saving to the economy of<br />

Justin Manson,<br />

Sales Director, Webfleet.<br />

R1.5-billion per annum. The new<br />

route will also open access to<br />

the unique but underdeveloped<br />

Pondoland region, boosting<br />

regional and local socio-economic<br />

development, particularly in<br />

tourism and agriculture.”<br />

The 410km N2 Wild Coast<br />

highway, running between the<br />

N2 Gonubie Interchange and<br />

the Mtamvuna River bridge, is<br />

a key step in government’s SIP<br />

South-Eastern Node and Corridor<br />

Development. While new roads<br />

are well-desired, refurbishment<br />

of existing infrastructure will<br />

drastically improve the safety of<br />

passing motorists. In the recently<br />

published Webfleet Road Safety Report, where we surveyed a large<br />

sample of fleet operators, it emerged that 7% of accidents are caused by<br />

poor road conditions. If we can bring this down by 2% to 3%, we would<br />

save thousands of lives each year.<br />

Fleet owners should be preparing for a massive evolution in South<br />

African logistics. They will have to contend with more customers upholding<br />

stricter contractual conditions, like large multinationals. Lack of insurance<br />

or vehicle telematics, for instance, will be a non-starter. Managers and<br />

those utilising their service will want to keep an eye on the live on-board<br />

diagnostics data, which will be relayed back to central command for<br />

directors and customers to see the entire operation in detail, making for<br />

quicker and better decisions on live route-planning, vehicle health and<br />

driver wellbeing.<br />

The job now during the construction of this new infrastructure is to<br />

collect as much data as we can throughout the development, ensuring<br />

that live traffic information is captured and fed back to road users<br />

as close to real-time as possible. Eventually, through technological<br />

refinement, devices fitted to monitor vehicle statistics will become so<br />

sensitive, they will pick up that a vehicle has gone through a pothole.<br />

If this can be mapped out, it could expedite local government’s<br />

maintenance schedule to further improve urban roads, the very heartbeat<br />

of the economy.<br />

<strong>Service</strong> magazine | 33


S<br />

good news<br />

Jobs Fund project creates<br />

669 permanent new jobs<br />

The Craft + Design Institute is celebrating the close-out of a five-year R48.5-million project,<br />

funded mainly by the National Treasury’s Jobs Fund, which enabled 50 SMMEs to create<br />

669 new permanent jobs and fast-tracked 23 South African innovations.<br />

T<br />

The total project funding also included matched funding from<br />

the Technology Innovation Agency (an entity of the Department<br />

of Science and Innovation) through its Seed Fund Programme,<br />

the Western Cape Department of Economic Development and<br />

Tourism (DEDAT), the Michael & Susan Dell Foundation and<br />

SMME contributions. The project was managed by CDI Capital, a<br />

niche emerging impact funder and subsidiary of the CDI non-profit<br />

organisation.<br />

Named the CDI Innovation Project, the programme offered<br />

SMMEs bridging finance and working capital to purchase<br />

business inputs such as raw materials, product testing and key<br />

personnel during their business growth phase. It also offered<br />

mentoring and professional technical services, which supported<br />

the commercialisation of new products and services. Participating<br />

businesses have developed 23 innovations to date, many of which<br />

have won awards and attracted global investors.<br />

The JF6 project, implemented from 2018 to 2023, exceeded all<br />

targets. It attracted 1 094 applicants (target 120), created 669 new<br />

permanent jobs (target 600) and produced 741 trained beneficiaries<br />

(target 6<strong>83</strong>).<br />

“The SMMEs achieved these milestones despite the<br />

exceptionally difficult trading conditions of the Covid-19<br />

pandemic and post-pandemic economic conditions, both local<br />

and global, the July 2021 unrest and persistent loadshedding,”<br />

says CDI Group CEO Erica Elk.<br />

“The sustainability of the 669 new jobs will be monitored over the next<br />

two years. However, when one considers that earnings before interest,<br />

Johanna<br />

Slingers, team<br />

leader, with<br />

hand‐poured<br />

dinner candles<br />

at the Kapula<br />

Candles<br />

handcraft<br />

factory.<br />

Liquid Medical:<br />

Kristin McJarrow<br />

left, regulatory<br />

affairs and quality<br />

manager Kobela<br />

Malesela, financial<br />

controller.<br />

tax, depreciation and amortisation grew by R7-million, a growth of<br />

53% since the project inception, the outlook appears positive.”<br />

Capital was disbursed to SMMEs through several funding vehicles:<br />

the CDI Growth Fund, CDI Design Innovation Seed Fund (DISF),<br />

working capital loans and a blended Covid-19 Relief Fund. These<br />

supported business growth and job creation through the entire ideato-market<br />

and market-expansion business processes.<br />

“The strategy of a blended mix of financing options – catalytic<br />

growth for jobs, working capital support and grants for precommercialisation<br />

innovation – has proven its veracity,” says Ryan<br />

Rode, manager of CDI Capital.<br />

Rode says the CDI Innovation Programme built on lessons learnt<br />

during an earlier CDI Jobs Fund project, implemented from 2012<br />

to 2015, which created 464 new jobs. A total R14.5-million was<br />

invested in 45 companies, helping these businesses to improve their<br />

products, processes and competitiveness as well as to expand into<br />

local and international markets.<br />

Najwah Allie-Edries, head of the Jobs Fund, says: “The Craft +<br />

Design Institute (CDI) has achieved outstanding results during their<br />

partnership with the Jobs Fund. They have clearly demonstrated<br />

that appropriately structured financial products combined with<br />

technical support are key factors when supporting innovation and<br />

SMME growth. In this they are aligned with the Jobs Fund in that as<br />

a Fund we believe that to support SMME growth and sustainability<br />

34 | <strong>Service</strong> magazine


good news<br />

S<br />

The Wren Design<br />

left to right:<br />

Cynthia Sithole,<br />

Danielle-Terri<br />

Alexander<br />

and Fernanda<br />

Tobias.<br />

we must tailor the support to address specific needs and the support<br />

in the very least must comprise of a package which includes access to<br />

markets, technical support and finance.”<br />

Vusi Skosana, TIA acting executive Innovation Enabling, says:<br />

“TIA has been in partnership with CDI to support innovationbased<br />

startups with funding to enable technology development<br />

and commercialisation through the DISF. We are proud to see the<br />

impact of the initiatives we supported contributing positively to<br />

solving national challenges and improving the quality of lives of<br />

South Africans. Collaborations are vital to cultivating a culture<br />

of innovation. Through partnerships with institutions such as the<br />

CDI, we can identify and support startups that will change the<br />

course of South African enterprises. Innovations supported by<br />

TIA and its partners are a catalyst for economic growth, creation<br />

of enterprises and thus job creation.<br />

“To affirm the role of TIA as an active funder, connector, facilitator<br />

and enabler, it is important that the agency continues to collaborate<br />

with implementing partners who share our vision of a South Africa<br />

galvanised by a knowledge economy,” he adds.<br />

Thashlin Govender, senior director at the Michael & Susan<br />

Dell Foundation says: “We are humbled to have been part of this<br />

project which not only created permanent job opportunities for<br />

South Africans eager to enter the job market, but continues to<br />

support the development of innovations that create additional<br />

earning opportunities.<br />

“The work of organisations like CDI, who are committed to<br />

making inroads in youth unemployment, are essential to creating<br />

lasting impact in our economy.”<br />

The businesses supported in the CDI Innovation Programme are<br />

diverse in size, sectors, products and services and include 23 earlystage<br />

innovations that would normally not find it easy to access funds<br />

from traditional banks and funding agencies.<br />

“The successful conclusion of this programme is a testament to<br />

the hard work put in by CDI staff and the SMMEs to ensure the<br />

funding achieved such an incredible impact,” adds Elk.<br />

“We believe that SMMEs are vital in growing our economy<br />

and creating jobs, and that with meaningful, socially responsible<br />

investment we can maximise the potential of local entrepreneurs,<br />

building a generation of South African innovators, and a strong,<br />

inclusive economy,” he concludes. S<br />

www.thecdi.org.za<br />

Cape Aerospace<br />

Technologies<br />

provides the<br />

micro and small<br />

gas turbine<br />

industries<br />

with various<br />

propulsion<br />

system<br />

solutions.<br />

Photo: Charl Steenkamp.<br />

South Africa’s<br />

first All-Women<br />

Wildland<br />

Firefighting<br />

Crew, a special<br />

initiative by NCC<br />

Environmental<br />

<strong>Service</strong>s.<br />

Photo: Fanus Ferreira.<br />

NCC<br />

Environmental<br />

<strong>Service</strong>s baboon<br />

rangers.<br />

<strong>Service</strong> magazine | 35


S<br />

good news<br />

Cape Town named Africa’s<br />

best city; Joburg close behind<br />

Cape Town is ranked as Africa’s best city brand and 60th globally, followed by<br />

Johannesburg in 72nd spot, according to the inaugural Brand Finance City Index.<br />

TThe rankings are based on a global survey of close to 15 000<br />

members of the public conducted in April 2023 in 20 countries on<br />

all continents to measure perceptions of the world’s top 100 cities.<br />

The Index has named London as the best city brand in the world,<br />

followed by New York and Paris.<br />

Cape Town’s position as a continental leader can be attributed to<br />

its status as South Africa’s most visited city, with a high reputation<br />

and consideration as a destination to visit. The city’s natural beauty,<br />

with its stunning coastline, mountains and diverse landscapes, make<br />

it one of the world’s most attractive tourist destinations. The city<br />

offers a rich cultural heritage, ranking 33rd for being diverse and<br />

multicultural, warm hospitality and adventurous attractions. It<br />

also ranks 15th for affordability and 18th for its weather, further<br />

enhancing its popularity among tourists from around the world.<br />

To arrive at a comprehensive assessment of the city brands in<br />

the ranking, alongside measuring familiarity, the survey asked<br />

the respondents about the general reputation and their personal<br />

consideration of each city as a place to live, work locally, work<br />

remotely, study, retire, visit or invest in. The evaluation of preferences<br />

across these seven dimensions was complemented by perceptions of<br />

45 underlying city brand attributes, grouped under seven pillars,<br />

such as business, investment, sustainability and transport.<br />

While Cape Town continues to face socioeconomic challenges, it<br />

ranks positively for the attribute of future growth potential, in 18th<br />

position globally. This is largely attributed to its growing tourism<br />

industry, which presents opportunities for economic growth and job<br />

creation. Further, Cape Town’s strategic location as a major port and<br />

transportation hub in South Africa offers a gateway to trade and<br />

investment opportunities, especially with emerging markets in Africa.<br />

Cape Town’s strategic location as a major port<br />

and transportation hub in South Africa offers a<br />

gateway to trade and investment opportunities.<br />

hand, like Cape Town, Johannesburg also ranks highly for future<br />

growth potential, at 25th globally. Although not as popular as Cape<br />

Town among tourists, Johannesburg is widely recognised as the<br />

economic powerhouse of South Africa and a significant financial<br />

and business hub in Africa. The city has a robust economy, a large<br />

and skilled workforce and many universities. S<br />

Top 10 best city brands 2023.<br />

Below Cape Town and Egypt’s Cairo (67th), Johannesburg is<br />

ranked as the 72nd best city brand in the world and third in Africa<br />

in the Index. Experiencing higher crime rates compared to other<br />

areas in South Africa, Johannesburg is held back by a relatively<br />

low ranking for perceptions of crime levels (76th). On the other<br />

36 | <strong>Service</strong> magazine


good news<br />

S<br />

The IDP in your Pocket<br />

Swartland Municipality creates the first online Integrated Development Plan in the Western Cape.<br />

AAnton Bredell, Minister of Local Government, Environmental<br />

Affairs and Development Planning, was recently presented with<br />

the first online Integrated Development Plan for a municipality<br />

in the Western Cape. Dubbed the “IDP in your Pocket”, Swartland<br />

Municipality has launched its new Integrated Development Plan on<br />

a dedicated website and linked it to a QR code.<br />

“I want to congratulate Swartland Municipality for this<br />

innovative solution to an old problem. Integrated Development<br />

Plans are traditionally very large documents, written in technical<br />

language and difficult to access by ordinary people. With this webbased<br />

solution, anyone can access the plan, which is written in an<br />

accessible style and supported by infographics. It also provides<br />

links to national and provincial government documents and<br />

budgets that are of relevance. This innovation will exponentially<br />

increase the local government’s ability to communicate and<br />

engage residents on medium and long-term planning that affects<br />

them in their communities,” says Minister Bredell.<br />

Swartland Executive Mayor<br />

This innovation will<br />

exponentially increase<br />

the local government’s<br />

ability to communicate<br />

and engage residents<br />

Alderman Harold Cleophas<br />

said that the new draft IDP<br />

had recently been adopted by<br />

the Council and that the final<br />

version would serve before<br />

them in May. According to<br />

him, “The use of a website will<br />

give residents easier access to<br />

important information. The<br />

IDP serves as the longer-term strategic plan for the Swartland<br />

Municipality and indicates the goals and initiatives that we will<br />

address in the coming years. It is in effect the municipality’s business<br />

plan. The IDP is compiled with the input of our residents through<br />

extensive public participation processes and updated annually. It is<br />

the steering force behind the annual budget and simply put, if it is<br />

not in the IDP it is not in the budget.”<br />

Minister Bredell thanked Swartland Municipality for taking the<br />

lead with this initiative. “I want to encourage other municipalities to<br />

follow Swartland in adopting technology that supports better service<br />

delivery and community engagement.”<br />

The Swartland Municipality Integrated Development Plan can<br />

be accessed by scanning the QR code. S<br />

I want to encourage other municipalities to<br />

follow Swartland in adopting technology<br />

that supports better service delivery and<br />

community engagement.<br />

Swartland Executive Mayor Alderman Harold Cleophas.<br />

<strong>Service</strong> magazine | 37


S<br />

waste<br />

Think waste management is<br />

a waste of time? Think again.<br />

Effective waste management plays a pivotal role in our daily lives. From reducing unsightly<br />

garbage strewn across the country’s streets to reducing environmental contamination, it is a<br />

critical element in preventing the spread of diseases and promoting public health.<br />

A<br />

According to Sonia Pretorius, national sales manager at 600SA, a<br />

division of CFAO Equipment SA, effective waste management is<br />

crucial to a healthier and cleaner South Africa, particularly given that<br />

the country generates an estimated 122-million tons of waste annually.<br />

“To mitigate the harmful impact of this waste, government<br />

implemented the South African National Environmental<br />

Management Waste Act of 2008, which, to date, has significantly<br />

controlled the country’s waste,” she says.<br />

Some of the developments of the Act include the establishment<br />

of the Waste Management Bureau; the implementation of waste<br />

management plans across all municipalities; the introduction of<br />

waste reduction and recycling initiatives; increased enforcement of<br />

waste management regulations as well as the integration of waste<br />

pickers and an informal waste management system.<br />

Pretorius adds that while many people are apprehensive about<br />

waste pickers, the waste pickers are instrumental in<br />

achieving the country’s 57% overall recycling rate. So<br />

much so that insights from Future Earth suggest that<br />

informal waste pickers collect 80% to 90% of used<br />

packaging and paper that is recycled. In addition<br />

to saving municipalities millions of rands each<br />

year in landfill costs, the waste-picking practice<br />

supports the entrepreneurial livelihoods of<br />

almost 100 000 people.<br />

With a population growth rate of around 1.06%<br />

annually, the need for effective and safe waste<br />

Waste collection on the Disa River and Hout Bay beach by<br />

Friends of the Rivers of Hout Bay.<br />

disposal solutions in South Africa will increase and will bring with<br />

it several challenges that are compounded by a lack of funds and<br />

infrastructure and a need to increase public awareness.<br />

“The mismanagement of waste can lead to significant and<br />

irreversible environmental, economic and social impacts, such as land<br />

degradation, resource depletion, surface and groundwater pollution<br />

as well as an increased risk to public health,” explains Pretorius.<br />

And most municipalities are doing their part, with the industry<br />

seeing an increase in refuse compactor truck orders for wheelie<br />

bins for all domestic use. This has reduced curbside refuse and<br />

the need for refuse bags. Furthermore, many of these wheelie bins<br />

38 | <strong>Service</strong> magazine


waste<br />

S<br />

are manufactured using recycled plastics, further increasing the<br />

sector’s circular economy.<br />

In recent times, refuse compactor trucks have been adapted to<br />

deal with South African conditions such as uneven road surfaces and<br />

overhanging trees, and boast several features such as metal plates<br />

to protect trucks’ hydraulics and bin lifters that are safer and more<br />

efficient, bypassing the need for operators having to lift heavy bags<br />

or place their hands or arms into the hoppers.<br />

To further promote increased safety and efficiency standards,<br />

600SA is investigating the possibility of introducing a fully<br />

autonomous refuse compactor truck to the market. Utilising GPS<br />

and sensors, the truck will allow operators to safely walk beside the<br />

truck and focus on collections rather than climbing in and out of<br />

the vehicle. This, the company believes, will offer the agility and<br />

performance required to steer the industry into the future.<br />

With the current compound<br />

annual growth rate in the South<br />

African waste management<br />

industry estimated to be worth over<br />

R30‐billion, the industry is growing<br />

year by year and is set to continue its<br />

growth trajectory as government continues<br />

to introduce legislation that will reduce waste and<br />

increase recycling.<br />

“Overall, the National Environmental Management Waste Act<br />

of 2008 has facilitated the development of a more sustainable<br />

and formalised waste management sector in South Africa. It is up<br />

to all South Africans to educate themselves fully about recycling<br />

and separation at source to ensure a healthy environment for all,”<br />

concludes Pretorius. S <strong>Service</strong> magazine | 39


leads the charge in<br />

combating plastic pollution on<br />

World Environment Day<br />

and World Oceans Day<br />

Plastics|SA, the umbrella<br />

body representing the<br />

South African plastics<br />

industry, is proud to<br />

announce its commitment to<br />

combating plastic pollution on World<br />

Environment Day on 5 June and<br />

World Oceans Day on 8 June 2023.<br />

“This year's theme, Solutions to<br />

Plastic Pollution, highlights the<br />

urgent need to address the plastic<br />

waste crisis that is damaging our<br />

environment and harming our marine<br />

life. As a responsible industry,<br />

Plastics|SA is taking the lead in<br />

developing and supporting various<br />

initiatives to reduce the amount of<br />

plastic that ends up in the<br />

environment and our oceans,” says<br />

Douw Steyn, Sustainability Director<br />

at Plastics|SA.<br />

To mark World Environment Day and<br />

World Oceans Day, Plastics|SA will<br />

once again be actively participating<br />

and supporting numerous clean-ups<br />

at beaches, rivers, and waterways<br />

across the country. These clean-up<br />

events will bring together volunteers,<br />

community groups, and<br />

organizations to collect plastic waste<br />

and other debris from the<br />

environment and dispose of it safely<br />

and responsibly.<br />

In addition to the clean-up events,<br />

Plastics|SA is also committed to<br />

ongoing education and training<br />

about the dangers of marine<br />

pollution and the importance of<br />

proper waste disposal and recycling.<br />

“Plastics|SA believes in taking<br />

responsibility for our waste and<br />

preventing it from ending up in<br />

nature. As one of our key areas of<br />

focus, we are proud to be working<br />

with various industry partners who<br />

are implementing projects and<br />

initiatives aimed at reducing the<br />

amount of plastic that ends up in the<br />

environment and our oceans," Steyn<br />

says. "We believe that by working<br />

together, we can make a real<br />

difference and protect our<br />

environment and our oceans for<br />

future generations."<br />

"We recognise that plastic<br />

pollution is a global issue<br />

that requires collective<br />

action from all stakeholders<br />

and therefore we will<br />

continue to work with<br />

government, civil society,<br />

and other industries to<br />

develop sustainable<br />

solutions to plastic pollution<br />

that are also cost efficient.”<br />

"We believe that by taking a proactive<br />

approach, we can develop innovative<br />

solutions that will help to reduce<br />

plastic waste and protect our<br />

environment. We are committed to<br />

working with our partners to find<br />

practical solutions to plastic pollution<br />

that are cost-effective, efficient, and<br />

sustainable,” Steyn says.<br />

Plastics|SA is calling on all South<br />

Africans to join the fight against<br />

plastic pollution and support the<br />

initiatives on World Environment Day<br />

and World Oceans Day. By working<br />

together, we can make a real<br />

difference and protect our<br />

environment and our oceans for<br />

future generations.<br />

For more information, please visit<br />

www.plasticsinfo.co.za or<br />

contact Plastics|SA at<br />

info@plasticsinfo.co.za.<br />

ABOUT PLASTICS|SA<br />

Plastics|SA is the umbrella body<br />

representing the South African<br />

plastics industry. It is a non-profit<br />

organization that is committed<br />

to promoting the responsible use<br />

and disposal of plastics, as well<br />

as promoting the development<br />

of the industry in a sustainable<br />

manner. Plastics|SA works with<br />

government, civil society, and<br />

other industries to develop<br />

sustainable solutions to<br />

plastic pollution.


Not everything in the sea is as beautiful as the creatures who live in it.<br />

Carelessly discarded plastic breaks down into small particles that look like<br />

food. When eaten, they harm sea creatures, from tiny fish to large whales.<br />

World Environment Day 5 June 2023 | World Oceans Day 8 June 2023<br />

The Plastics Industry and Partners Taking Action<br />

www.cleanupandrecycle.co.za<br />

www.plasticsinfo.co.za


15 th Annual<br />

Leadership D evelopment<br />

Researched & Developed By:<br />

F or Women<br />

-In Government & State Owned Enterprises, Conference & Career Expo<br />

Date: 26,27 & 28 July 2023<br />

ASK<br />

THE<br />

EXPERT:<br />

Glenda Jumira<br />

Behavioral & Mental<br />

Health Specialist<br />

Coach Refilwe Mongale<br />

Seasoned HR Specialist<br />

Founding Director<br />

REFESEDI TRUE TASK<br />

Adv Clinton Z Muza<br />

Advocate<br />

Gogo Mamabolo<br />

Traditional Healer<br />

Education<br />

Some of OurConfirmed Speakers Include:<br />

Mohanuoa Mabidilala<br />

Chief Director: Gender & Stakeholder,<br />

Response & Recovery<br />

DEPARTMENT OF COOPERATIVE<br />

GOVERNANCE & THE DEPARTMENT OF<br />

TRADITIONAL AFFAIRS<br />

Prof. Mamokgethi Phakeng,<br />

PhD(Wits); Hon DSc(UoB); Hon DEd(UoOttawa);<br />

GCOB (Silver); MASSAf; FAAS; FTWAS;<br />

Thulisile Manzini<br />

Deputy Director-General: Administration<br />

DEPARTMENT OF TELECOMMUNICATIONS<br />

AND POSTAL SERVICES<br />

Empowerment<br />

Ethics<br />

Development<br />

Health<br />

Venue: Gallagher Estate Midrand<br />

Justice<br />

Adv Melissa Ntshikila<br />

Group Head: Equity, Diversity,<br />

Inclusion and Transformation<br />

TRANSNET<br />

Nomonde Mnukwa<br />

Deputy Director-General:<br />

Corporate <strong>Service</strong>s<br />

GOVERNMENT COMMUNICATION &<br />

INFORMATION SYSTEM (GCIS)<br />

Mbali Gumede<br />

Chief Director: Executive Council<br />

GAUTENG OFFICE OF THE PREMIER<br />

4 th Annual<br />

Leadership Development For<br />

Men & Their Role In Social<br />

Transformation<br />

Social<br />

Researched & Developed By:<br />

Transformation<br />

Date: 26, 27 & 28 July 2023<br />

ASK THE EXPERT:<br />

Edward Mechile<br />

TBA<br />

ANGLO AMERICA<br />

Davie Coetzee<br />

TBA<br />

TENDELE COAL<br />

Prof Dr. Johannes<br />

mphelo<br />

Chairperson<br />

AFRICAN NATIONAL<br />

HEALERS<br />

ASSOCIATION<br />

Venue: Gallagher Estate, Midrand<br />

SOME OF OUR CONFIRMED SPEAKER FACULTY<br />

Siyanda Magayana<br />

Senior Officer<br />

GENDER EQUALITY &<br />

ANTI-DISCRIMINATION<br />

OFFICE<br />

Kneo Mokgopa<br />

Manager: Narrative<br />

Development<br />

NELSON MANDELA<br />

FOUNDATION<br />

Luke Lamprecht<br />

TBA<br />

SOUTH AFRICAN MALE<br />

SURVIVORS OF SEXUAL<br />

ABUSE (SAMSOSA)<br />

Sibusiso Phakathi<br />

CEO: Supported<br />

Employment Enterprises<br />

DEPARTMENT OF<br />

LABOUR<br />

Logan Pillay<br />

Corporate consultant on<br />

research and innovation<br />

ESKOM<br />

Sbusiso Malope<br />

Director: Victim<br />

Empowerment<br />

Programme & Prevention<br />

of GBV<br />

DEPARTMENT OF SOCIAL<br />

DEVELOPMENT<br />

Farouk Meyer<br />

chairman<br />

HEART & STROKE<br />

FOUNDATION SOUTH<br />

AFRICA<br />

Gift Netshidzati<br />

Life Coach<br />

Arnold Malotana<br />

TBA<br />

GAUTENG DEPARTMENT<br />

OF HEALTH<br />

Siza Magangoe<br />

Chief Director: Social<br />

Crime Prevention &<br />

Anti- Substance Abuse<br />

DEPARTMENT OF<br />

SOCIAL DEVELOPMENT<br />

For easy registration contact +27 (0) 11 326 2501 or email amrita@intelligencetransferc.co.za<br />

or fax +27 (0) 11 326 2960 or visit: www.intelligencetransferc.co.za

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!