Opportunity Issue 109

www.opportunityonline.co.za MAY/JUNE/JULY 2024 • ISSUE 109

TECH TRENDS FOR ’24

Small business owners

are embracing the cloud

BORDER MANAGEMENT

AUTHORITY MARKS ONE-

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WHEN TECHNOLOGY

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CONFERENCING

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BOMBELA OPERATING

COMPANY – A JOINT

VENTURE LED BY RATP DEV

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to innovate, reduce carbon

footprint and deliver worldclass

public transport systems

TRANSFORMING SPACES, PEOPLE AND

THE ECONOMY THROUGH MOBILITY

THE GAUTRAIN MANAGEMENT AGENCY’S NEW CHIEF EXECUTIVE OFFICER,

TSHEPO KGOBE, BELIEVES THAT HIRING GOOD PEOPLE IS THE ROOT OF SUCCESS

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Contents

ISSUE 109 | MAY/JUNE/JULY 2024

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EDITOR’S NOTES

SACCI NEWS

SACCI held a series of Post-Budget Speech events in conjunction with Mazars and has

a busy programme of events ahead, including a first Absa-SACCI Women-in-Business

Directors Training Programme and the organisation’s Annual Convention.

TRANSFORMING SPACES, PEOPLE AND THE ECONOMY THROUGH MOBILITY

The Gautrain Management Agency’s New Chief Executive Officer, Tshepo Kgobe, believes

that hiring good people is the root of success.

LEVERAGING GLOCAL EXPERTISE TO DELIVER WORLD-CLASS PUBLIC

TRANSPORT SYSTEMS

Nthabiseng Kubheka, CEO of Bombela Operating Company (a joint venture led by RATP

Dev) is proud that Gautrain can be used as a benchmark of what localised world-class

public transport systems can look like.

RAIL IS THE SUSTAINABLE SOLUTION

A new report captures the socio-economic impact made in a financial year by Alstom,

the group whose Gibela Rail Consortium is making the X’trapolis Mega Train from 30%

lighter steel.

HARNESSING PRIVATE EXPERTISE FOR WORLD-CLASS PUBLIC

INFRASTRUCTURE

The best way to tackle South Africa’s water woes is through public-private partnerships,

says experienced P3-infrastructure developer, the Gap Infrastructure Corporation.

UNITING EDUCATION AND EMPLOYMENT, A TRUE CATALYST FOR PROGRESS

Jacques Farmer, Managing Director of Prisma Training Solutions, argues that

for the country to really move forward, skills development must be a bridge to

employment opportunities.

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BUDGET EVENT

Post-Budget Speech

2024/25 event

Mazars, in partnership with SACCI, hosted an exclusive and “new look” 2024/25 Budget breakfast event.

From the discussions, several

key takeaways emerged:

• Insights into the Budget's implications

for different sectors and industries.

• Understanding the current economic

environment and its impact on

economic growth.

• Exploring strategies for enhancing

revenue collection efficiency and

addressing supply-side constraints.

• Assessing government strategies

aimed at minimising expenditure and

promoting fiscal sustainability.

This gathering provided a deep

dive into the National Treasury’s

Budget, exploring the theme

"Election Year: Balancing Rands

and Sense." We delved into how the Budget

proposals would affect both the country

and attendees' businesses.

The upcoming national elections were

highlighted as pivotal moments shaping

fiscal policy and the business landscape

in South Africa. The Budget proposals

outlined by the National Treasury

reflected the government's priorities and

challenges, as well as opportunities and

risks for the private sector. Business leaders

were urged to grasp the implications of

these proposals and adapt accordingly.

Our esteemed panel comprised a diverse

group of prominent experts who shared

invaluable insights on the Budget. They

offered perspectives from various angles,

including political, socio-economic, tax

policy and business realms.

These topics provided a rich foundation

for further discussion and strategic

planning among attendees, ensuring

they were well-equipped to navigate the

evolving economic landscape in the wake

of the Budget speech event.

www.opportunityonline.co.za | 5

Contents

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FACILITATING SKILLS DEVELOPMENT FOR SUSTAINABLE LIVELIHOODS

The chemical industry’s sector education and training authority is pursuing partnerships

based on innovation, collaboration, digitisation and transformation, says Yershen Pillay,

CEO of CHIETA.

EMPOWERING PROGRESS THROUGH DIVERSITY

Gender inclusivity needs to be fostered in South Africa's energy transition, writes

Maagatha Kalavadakken, Financial and Market Analyst for Wärtsilä Energy in

Southern Africa.

IF A MINING COMPANY TWEAKS A TECHNOLOGY TO SUIT ITS OPERATIONS,

WHO OWNS THE IP?

Hogan Lovells partner Deepa Vallabh speaks about the legal issues that arise when new

technologies are used – and adapted – on a mine. Mining companies also have to find the

right balance between efficiency and complying with social and environment guidelines.

TECH TRENDS FOR ’24

Small business owners are embracing the cloud, according to Xero’s State of Small

Business report. James Bergin, Executive GM, Technology Strategy and Integration at Xero,

describes the five top tech trends likely to have a big impact.

A SURGE IN HYBRID AND REMOTE WORK IS FUELLING DEMAND FOR

EXCEPTIONAL VENUES

Nine things to look for when choosing a conference venue at a time when coming

together is even more of a special occasion than it used to be, pre-Covid. Premier Hotels

& Resorts lay out the most important factors to consider when booking a conference or

exhibition venue that ticks all the new boxes.

SOUTH AFRICAN BUSINESS RANK INFRASTRUCTURE BLACKOUTS AS

BIGGEST RISK

The Allianz Risk Barometer 2024 asses the top risks to business in South Africa. Critical

infrastructure blackouts, cyber security and disruptions to business operations such as

supply chains top the list of the concerns.

ECONOMIC DATA

The latest economic data issue by SACCI: Business Confidence Index (BCI) and Trade

Conditions Survey (TCS).

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A member of the Sturrock and Robson Group

EDITOR'S NOTE

Civics, voting

and taxes

In the old days schoolchildren were subjected to something called “Youth

Preparedness”. Depending on how committed, bored or crazy the teaching

staff might be, children would either be marched up and down a sports field

in cadet uniforms, lectured on the evils of communism or shown movies on

the evils of smoking.

The modern South African school pupil is taught “Life Orientation”, a broad subject

that is intended to address a range of issues that include the self, the environment and

career choices. With South Africa voting in an important election on 29 May, young

South Africans can express through the ballot box what they learnt in Life Orientation

(LO) classes devoted to the part of the curriculum called “responsible citizenship”.

However, voter apathy among young people is growing. In the 2019 national and

provincial election 20% fewer voters exercised their democratic right than in 1994. All

indications are that this trend is set to continue in 2024. Attempts to get young people

to register have largely failed and even then, less than half of those registered to vote

actually turn up to vote.

Perhaps “responsible citizenship” can be deployed to persuade young people to vote

when they get the chance. But then the message from this Civics class needs to be clear:

voting is about deciding who gets to spend the tax money that you give to the state.

Modern politics at home and abroad is often framed as being about identity and social

issues. The reality is that politicians who win majorities get to decide how tax revenue

is spent. That simple fact should be drummed home to young people – and adults.

In this issue

Several of the interviews and articles in this issue deal with infrastructure, which is what

a significant portion of tax money is spent on, or should be. The Gautrain Management

Agency’s new CEO, Tshepo Kgobe, has vast experience in the private and public sectors

and speaks passionately about what one should expect from a rail service. His thoughts

on consequence management for non-performance help to explain why the Gautrain

has become such a successful operation.

Water and education are two subjects that often are discussed purely in terms of the

public sector. Roelof van den Bergh of the Gap Infrastructure Corporation argues that

public-private partnerships are the best way of tackling water infrastructure problems

and Jacques Farmer, Managing Director of Prisma Training Solutions, contends that

for the country to progress, skills development must be a bridge to employment

opportunities.

This topic is expanded on by Yershen Pillay, CEO of the Chemical Industries Education

and Training Authority (CHIETA) in an insightful interview. Aiming to be fully digitised,

CHIETA is also firmly focussed on bridging the digital divide for young people living in

rural areas. Maagatha Kalavadakken, Financial and Market Analyst for Wärtsilä Energy

in Southern Africa, provides insights into progress being made in terms of gender

inclusivity in South Africa's energy sector while Xero’s James Bergin unpacks the

company’s State of Small Business report. The Allianz Risk Barometer 2024 asseses the

top risks to business in South Africa. Hogan Lovells partner Deepa Vallabh speaks about

the legal issues that arise when new technologies are used – and adapted – on a mine.

Premier Hotels & Resorts lay out the most important factors to consider when

booking a conference or exhibition venue that ticks all the new, post-Covid, boxes.

John Young, Editor

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arising out of, or in connection with, the contents of this book. The publishers

would like to express thanks to those who support this publication by their

submission of articles and with their advertising. All rights reserved.

FINANCIAL PSYCHOLOGY

Prying through the

frontiers in financial

psychology

Professor Prince Sarpong, associate professor at the School of Financial Planning Law at the University

of the Free State, outlines some of the key features contained in a new book on financial psychology.

Frontiers in Financial Psychology, published by LexisNexis

SA, brings together insights from leading practitioners

and researchers in South Africa, taking into consideration

unique financial challenges and cultural factors to provide

a unique perspective to the field of financial psychology.

In this book, we cast our gaze beyond conventional boundaries,

drawing from research and practical strategies to help advisors

connect with clients on a deeper level where advice provided is

in harmony with clients’ unique life stories. Avoiding the danger

of a single story [1] and the problem of speaking for others [2],

the book transcends a singular perspective and ropes in the

viewpoints and expertise of diverse contributors. I start off in

Chapter 1 with an overview of the field of financial psychology

and provide alternative viewpoints to financial well-being through

the lens of African psychology. I cover the psychology of retirement

in Chapter 7, and in Chapters 9 and 10, co-authored with Ayanda

Sarpong, we explore the intersection of personal finance and

various identities and tackle the complex topic of Black Tax and

its financial implications.

Across Chapters 3, 4, 5 and 6, Paul Nixon, Head of Behavioural

Finance at Momentum Investments, dissects the science of financial

decisions and unpacks the complexities of investor risk behaviour

and the psychology behind risk profiling. Bringing his expertise

in both research and practice to bear, Paul provides invaluable

insights into understanding the cognitive biases and emotional

Professor Prince

Sarpong.

factors that influence investment choices. In Chapter 8, Prof Liezel

Alsemgeest, Director of the School of Financial Planning Law,

explores the link between financial socialisation, money scripts and

financial conflict. Drawing on the impact of financial socialisation

and deeply ingrained money scripts, she unravels the root causes

of financial conflict to help us better understand and address them

with greater understanding and empathy. Fundhouse’s Head of

Strategic Advisory Services, Rob Macdonald, in Chapters 11, 12

and 13, emphasises the crucial role of effective communication in

building trust with clients, explores the principles of sound financial

counselling and coaching, and delves into the art of building

trust – all essential skills for empowering clients and fostering

lasting client-advisor relationships. In Chapter 14, renowned

financial coach Hendrick Crafford focuses on sustainable financial

planning. In this chapter, we learn how to navigate the increasingly

intertwined financial, environmental and social considerations

in financial planning and how to guide clients towards a more

sustainable financial future. Finally, Kim Potgieter, Director and

Head of Life Planning at Chartered Wealth Solutions, masterfully

rounds up the book in Chapter 15 and advocates for a "life planning"

approach that integrates financial planning with broader life goals

and aspirations, the essence of financial psychology. This holistic

perspective acknowledges the interconnectedness of various

aspects of life and entreats financial planning professionals to

guide clients towards a more fulfilling and meaningful financial

future. Kim argues that financial

planning professionals are in a

unique position to guide people to

live their lives to the fullest and in a

way that does not compromise their

balance sheet. Weaving together

insights from practitioners and

academics, the book makes

an important contribution to

literature in financial planning

and equips financial planning

professionals with the knowledge

and tools to serve their clients

effectively and holistically.

[1] Renowned novelist Chimamanda Ngozi Adichie in her July 2009 TED talk “The Danger of a Single Story” warns that relying on a single, simplistic

narrative about another person or culture leads to harmful stereotypes and hinders understanding.

[2] Latin-American philosopher and professor of philosophy, Linda Alcoff, in her article “Problem of Speaking for Others” stresses the ethical complexities

and challenges inherent in representing and articulating the experiences and perspectives of marginalised groups by people outside those groups.

| 9

STRAPLINE

News & snippets

Industry insights from the past quarter

Fuelling business with solar

The Astron Ruhamah fuel station in Roodepoort, Gauteng, is now able to open at all

hours after the installation of a hybrid battery system with 64.6kWp solar photovoltaic

(PV), 48kW battery inverters and 60kWh of battery capacity. SolarSaver has connected

over 500 businesses across the country through grid-tied rent-to-own solar solutions that

reduce power costs as well as hybrid-battery installations that also provide a backup for

when the grid is down. The hybrid nature of the installations gives customers like the fuel

station the benefits of solar panels that remain connected to the grid and a backup battery

system to store excess power. Ross MacGregor, representing the fuel station, says that the

hybrid solar system from SolarSaver has had a massive impact on his business. "For a petrol

station that runs a lot of HVAC equipment, refrigeration, ATMs and retail, consistent power

is essential. From a business continuity perspective, it’s been wonderful," says MacGregor.

Stellantis boost for Eastern Cape automotive sector

Automotive manufacturer Stellantis has confirmed its intention to develop a greenfield

manufacturing facility at the Coega Special Economic Zone in Gqeberha, with the

Industrial Development Corporation (IDC) and the Department of Trade, Industry and

Competition (the dtic). The Minister of Trade, Industry and Competition, Ebrahim Patel,

and Samir Cherfan, Stellantis Middle East and Africa Chief Operating Officer, signed a

Memorandum of Understanding at a meeting in Cape Town in September 2023. The

manufacturing plant will boost the automotive component of the Coega SEZ and

construction of the project is planned to be complete by the end of 2025. The first

vehicle expected to roll off the assembly line in 2026 will be a one-ton pick-up truck

with volumes expected to reach up to 50 000 completely knocked down (CKD) units

annually, including vehicles which are intended for export.

Reliable delivery

Sasol and Transnet Freight Rail (TFR) have signed a public-private partnership to improve rail

transport reliability in South Africa. TFR is an operating division of Transnet, the owner of South

Africa’s railway, ports and pipeline infrastructure. Under the five-year agreement, Transnet will

deliver ammonia from Sasol’s Secunda and Sasolburg facilities to the company’s customers

through a dedicated fleet of 128 ammonia rail tankers. In turn, Sasol will fund Transnet’s

maintenance and repair programme for the fleet. TFR and Transnet Engineering (TE), who will

execute the Sasol ammonia fleet’s maintenance and repair work, expect additional revenue

generation from anticipated increased haul volume and the Sasol-funded maintenance and

repair work. The Transnet Freight Rail network and rail services provide strategic links between

ports, freight terminals and production hubs. Sasol Chemicals produces and sells more than

540 000 tons of ammonia annually. It is used to make a variety of fertilisers and industrial

chemicals for the agriculture, mining, textile and metalworking industries.


Joint energy conference

set to attract investors

The Middelburg Chamber of Commerce and Industry (MCCI) and the Steve

Tshwete Local Municipality (STLM) are jointly hosting an Energy Conference

designed to attract investors interested in green energy opportunities.

SACCI MEMBER PROFILE

What are the reasons for investing in Middelburg,

Mpumalanga? Are there sustainable investment

opportunities in the region? What can companies

invest in? Discover green energy investment

opportunities at MCCI and STLM's Energy Conference.

Governments, NGOs and researchers sometimes disregard the

Highveld economy. Insufficient information prevents accurate

scrutiny of national and international activities whereas with the

correct information, it soon becomes clear that there are rich

potential investment opportunities. The Steve Tshwete Local

Municipality in Middelburg is home to three Eskom power stations

and over 150 mines within a 100km radius. One of many local

manufacturers is a top South African exporter and also supplies

local manufacturers, such the motor industry. Between 1996

and 2020, companies in STLM contributed R48-billion to GDP, an

increase of 2%. In 2022, the coal industry employed 90 977 people

and generated a turnover of R252.3-billion with a production of

231.2-million tons.

The Just Energy Transition

If you talk about electricity or coal mining in this region, people

immediately dismiss it as a national responsibility, and it is

assumed that people in the region should not have an opinion.

The impact of the Just Energy Transition (JET) on the Highveld

region in Mpumalanga is being ignored and is ineffective. JET

projects continue. An example is the repurposing of the Komati

power station. Government and big business have recognised that

the repurposing of Komati has been a failure but JET organisations

are failing to learn lessons from the Komati project. JET supports

consultants and non-profit organisations in Mbombela, Gauteng

and Cape Town through grants for research projects. These

organisations have no interest in the Mpumalanga Highveld

and their projects have limited effect. MCCI President Moeketsi

Mpotu said at the AGM of the organisation in March 2024 that local

businesses need to be the voice of reason. The current JET strategy

will have a negative impact on STLM and Emalahleni businesses,

including all businesses that supply, transport, export and provide

services from the Gauteng region.

What does STLM offer investors?

Agriculture, manufacturing, mining and power generation are

our strongest sectors. Creditors are better paid by Middelburg's

businesses, with a rate of over 60%. Our per-capita reserve of

technical skills is one of the highest in Africa. Skilled artisans and

engineers are in abundance in our community.

In addition, STLM has:

• A designated economic zone in Mpumalanga

• Available land for manufacturers (working on opportunities to

serve new investors)

• One of the top four performing municipalities in the country

• Consistent economic growth for decades

Infrastructure

One hour's drive from the industrial areas of Gauteng. Airfield is

able to (and does) host jet aircraft. Middelburg is at the junction of

the N4, N12, N11, R104 and R555, bypassing any blockage on the

N3 to Durban harbour or to the Zimbabwe border. The MCCI has

a rich history since 1903 of engaging businesses worldwide and

has insights into local business intelligence.

Article by Anna-Marth Ott (CEO) and Moeketsi Mpotu

(President) MCCI.

We invite you to our conference on 25 July 2024 in the STLM

Banquet Hall. Book your place:

Tel: 013 243 2253 | Website: www.middelburginfo.com

Moeketsi Mpotu, MCCI President.


SACCI EVENTS

SACCI’S UPCOMING EVENTS

Absa-SACCI Inaugural Women-in-Business

Directors Training Programme

The objective of the Absa-SACCI Inaugural Women-In-Business

Directors Training Programme is to identify qualifying women who will

undergo a Board Training Programme aimed at equipping them with

the knowledge and skills they need to thrive as business leaders. The

four-day programme will include topics such as governance, strategic

planning, financial management and leadership development. Two

sessions will be in-person and another two sessions will be virtual.

PHOTO: christina@wocintechat on Unsplash

Absa Ambassadors

Roundtable Breakfast

We are organising a distinguished breakfast

engagement aimed at strengthening

and enhancing our relations with key

ambassadors from the African continent, who

serve as invaluable strategic representatives

of their respective governments.

SACCI regularly meets with international

delegations.

SACCI Annual Convention

The SACCI Annual Convention is the highlight of the South African business

calendar where a range of issues of importance to the South African

economy and our 20 000 business members is debated. We anticipate an

attendance of 150 delegates representing business, government, labour

and the diplomatic corps and wide media coverage of the event. We are

currently actively engaged in organising the logistical aspects of our

eagerly anticipated event. Stay tuned for additional information, which will

be promptly shared on the SACCI website, www.sacci.org.za, and through

our various social media platforms.

CEO Alan Mukoki addresses the SACCI Convention.

Absa-SACCI National SMME Summit

The Absa-SACCI National SMME Summit,

themed “Empowering Entrepreneurs in the

SMME Landscape”, is scheduled for 21 May

2024, in Johannesburg. This significant event

is designed to bring together entrepreneurs,

industry experts and key stakeholders

to discuss challenges, opportunities and

growth strategies within the SMME sector.

Absa is the main sponsor of the summit,

which is designed to facilitate essential

dialogues, presentations and networking

opportunities, fostering a collaborative

environment for knowledge sharing and

innovation. This initiative reflects Absa’s

dedication to empowering small businesses,

contributing to national economic solutions

and promoting a conducive environment for

entrepreneurial success. Speakers will provide

valuable insights into business development,

market access, funding, the digital economy

and sustainability. The summit will feature

comprehensive presentations, Q&A sessions

and networking opportunities, aiming to

create collaboration, knowledge exchange

and support for SMMEs.

Small business needs a helping hand.

PHOTO: Dan Burton on Unsplash


Boosting continental

trade via rail

SOUTHERN AFRICAN RAILWAYS ASSOCIATION

The 2024 Southern African Railways Association (SARA) Conference and Exhibition

will focus on how rail can boost continental trade through investments in the African

rail network, thus ensuring the sustainable development of the continent.

EVENT SUMMARY

The Southern African Railways Association (SARA) is pleased to

announce the forthcoming annual Conference and Exhibition,

scheduled for 20-23 August 2024 at the Sandton Convention

Centre, Johannesburg. This year's event, themed "Boosting

Continental Trade via Rail: Investments in African Railways for the

Sustainable Development of the Continent”, aims to spotlight the

critical role of railways in driving economic growth, enhancing

trade and promoting sustainable development across Africa.

VENUE: Sandton Convention Centre, Johannesburg

DATES: 20-23 August 2024

EVENTS:

19 August – Build up

20-22 August – Conference and exhibition

20 August – Gala dinner

23 August – Golf day at Royal Johannesburg Golf Club

ORGANISERS DETAILS

For more information and to get involved, please contact the SARA team.

Southern African Railways Association (SARA)

Phone: +27 11 452 4991 | +27 84 516 6834

Email: info@sararailconference.com

Website: https://www.sararailconference.com/

LinkedIn: https://www.linkedin.com/company/sara-rail/ @ SARA Rail Facebook:

https://www.facebook.com/Sararailconfere @ SARA Rail C

X (Twitter): @SaraRail_Org

About the Southern African Railways Association (SARA)

Established in 1996 with its headquarters in Harare, SARA

operates as a specialised subsidiary of the Southern African

Development Community (SADC). The organisation is dedicated

to promoting and enhancing rail transport services across the

SADC region. SARA comprises a variety of railway operators,

both public and private, along with rail-industry stakeholders

from the Southern African region. It serves as a central hub for

railway trade and regional integration. By providing a platform

for collaboration, networking and knowledge sharing among its

members, SARA coordinates rail stakeholder dialogues to advance

the sector's interests. As the holder of the mandate for rail policy

advocacy, SARA takes an active role in regional policy-making. Its

efforts are centred on harmonising regulations across different rail

systems, facilitating coordination of rail corridors and promoting

infrastructure development.

SARA is unwavering in its commitment to enhancing rail

competitiveness and advocating for equitable intermodal

competition. The core programmes of SARA are aimed at

augmenting various aspects of rail transport. These include

initiatives to improve operational efficiency and safety in

corridors, promote rail investments and adapt to international

best practices. By implementing these programmes, the

association aims to ensure that rail transport is competitive,

reliable and a fundamental part of the region's transport

logistics chain. SARA's ultimate goal is to foster a robust and

efficient rail network throughout Southern Africa. This objective

is integral to stimulating economic growth, facilitating regional

integration and promoting the socioeconomic well-being of the

region's inhabitants. By enabling infrastructure development

and enhancing rail competitiveness, SARA plays a vital role in

bolstering regional economic development and trade.

URBAN MOBILITY

Gautrain: pioneering

towards innovation and

future sustainability

The new CEO of the Gautrain Management Agency believes that failures to deliver must

have consequences. As he sets out to create “railtroplises” around Gautrain stations, Tshepo

Kgobe is convinced that the public-partnership model where a “knowledgeable public party”

ensures that high standards are maintained is the best model for mass public transit.

What is your mandate?

The mandate of the Gautrain as it stands now in the GMA Act is

for us to implement the project, then manage the project and its

assets and to ensure that we secure the finances of the entity itself.

We need to ensure that we create financial sustainability over the

long term and create jobs. Socio-economic development is a big

part of what we do. To integrate with other transport modes the

process allows the MEC to require us to assist on any projects that

are public transport and rail related. Somebody might ask, ”Why

are you building a taxi rank?” and I will tell them it is a mandate

from the MEC, it’s public-transport related. We are assisting PRASA

in some of their operations and in resuscitating their operations

here in Gauteng and in other parts of South Africa, and that comes

from that mandate. When we get asked to assist other entities, we

do exactly that.

To whom do you report?

The MEC is the shareholder. We need to demystify this thing: the

Gautrain as an entity and its assets are actually owned by the

Gauteng Provincial Government. They are owned by GPG and

they own those assets through the Department of Roads and

Transport. The Gautrain Management Agency is the custodian of

the assets on behalf of the Gauteng Provincial Government and

the Department of Roads and Transport.

So there are no private shareholders?

No, none of the assets are privately owned. It is operated by a

private entity, an operation where we contracted somebody

privately to operate it but the assets are fully owned and paid

off. Gautrain is a R45-billion asset that is owned by the Gauteng

Provincial Government.

Please tell us more about what you are doing

related to integrated transport.

The most interesting one is a partnership we have with the

taxi industry. The taxi industry is contracted to provide lastmile

services. Our distribution and feeder services in stations

like Marlboro station in Alexandra and the surrounding areas

are provided by them. In Centurion and other stations, they are

provided by the Tshwane taxi industry. We contract the one part

of the transport industry that nobody wants to touch, and it’s

one of our most successful partnerships. We have integrated

with the minibus taxi associations to provide scheduled services

for the Gautrain. People always ask us whether taxi drivers

do not fight with us over our taking their routes. They don’t,

because we contract the taxi association that owns the route

to operate on that route. We’ve been running this for 13 years

and it runs like clockwork because we do our due diligence.

We check through the registration system in the Department,

we check with the cities, we get concurrence from both the

provincial departments and authorities in various cities that

that particular route is owned by this particular taxi industry.

The lines are very clear.

How are passenger numbers post Covid, are you recovering?

We’re recovering but it took a while. With the work-from-home

culture, it took a while for the numbers to recover. In the last

week of February, we breached 60% and went onto 64% of our

previous numbers. But the freeway is full. A lot of companies have

instructed their employees to return to work on a full-time basis.

We are seeing the effects of it but we want it to translate fully

back to about 50 000 passenger trips per day and then we will be

satisfied. Not happy, but satisfied.

What does that represent in percentage terms?

That will be about 94% of pre-Covid numbers and then at 55 000

to 57 000 we will be back to 100% of pre-Covid numbers.

Do you know the total numbers?

A total of 175-million passengers have been carried on the Gautrain

since its inception.

What is the percentage of the airport

traffic of your general traffic?

Pre-Covid, the airport service carried about 10% of our ridership

and the General Passenger Service carried 90% of our services all


URBAN MOBILITY

throughout the day. We have three services running over the

line: the Airport Passenger Service runs from the airport

directly into Sandton. Then the service that runs on the

same line from Rhodesfield into Sandton and finally the

North/South GPS service from Hatfield in Pretoria all

the way to Park in the Johannesburg CBD. Passengers

can transfer from one service to the other in whatever

direction they’re travelling.

How far advanced are the plans

to expand the network?

The Premier in his recent State of the Province

address announced that all three planned new routes

will be expanded to all corners of the province. We have a

short-term plan, which is the Soweto line that takes off from

Sandton and then goes out to Randburg and on to Cosmo

Junction, through Little Falls, through the Roodepoort ridge

into Roodepoort and all the way to Jabulani. That becomes the

Phase 1 line.

Are the finances in place?

Part of the process is for us to be able to look at the structuring

of the finances and the important part is that we will have to

relook at the finances. We want to ensure that the government’s

contribution to the building of the extension is reduced as

compared to last time. We’re looking at the division of revenue

at allocation coming down to being at most 30% to 33% and

then we would have private investors being 33% and then land

value and station optioning and property development making

up the other 33%. We are intentionally developing properties

or transit-related developments in and around our stations. You

have the aerotropolis which is a city around an airport; we are

setting out to develop a “railtropolis”.

Property prices have gone up around

Gautrain stations, not so?

Yes definitely. In the last economic impact study, we showed that

for properties within a 5km radius, property prices grew at market


URBAN MOBILITY

The concession has a fixed term?

It has a 15-year term. The old concession had the construction and

the development period included, so it was a 19-and-a-half-year

term with four-and-a-half years for the development part. We are

going into another 15-year concession at the end of March 2024.

We have put the bid out into the market.

GAUTRAIN IMPACT

Typical construction year

added to GDP

Typical post-construction

year added to GDP

Median sales values within

2km radius of stations

R3.3-billion

R6.6-billion

Office: +45%

Retail: +32%

Residential: +52%

You were involved in the engineering details of the

foundation of the Gautrain. What were the biggest

challenges that you and your teams faced back then?

There were multiple challenges that we faced. In today’s context of

looking at the extensions we are planning, it seems that sentiment

towards public transport hasn’t changed in 20 years. When you say

you are going to build a railway line, everybody says, “No, not in

my backyard.” And then there are those who have experienced the

Gautrain and you are getting a sentiment that says, “Why is it not

coming into my backyard?” We are caught between the NIMBYS

and the WIMBYS, as they now call the people who are asking, “Why

not in my backyard?” As CEO, how do I work with this to satisfy

everybody? The biggest challenge originally was the line location.

Where my office is right now is not where the Midrand line was

supposed to run. It was supposed to be on the western side of the

freeway because that’s where the residential areas are but because

there was such great fear of what kind of a system we were going

to bring, that was the biggest challenge. It is the mental shift of

being able to get people to understand that we are bringing a

world-class system. A lot of businesses would now rather have

their back wall being the Gautrain because they know that secures

their businesses.

plus 5% greater than any other sector. Even in the 10km radius,

property prices still grew decently above the market growth.

Are you buying new rolling stock?

We are acquiring more rolling stock but we are acquiring it

not as a standalone project but we are doing it as part of the

re-concessioning of the system itself.

Please unpack the concessioning system.

A concession agreement allows the private operator to

operate the assets on our behalf and for that we pay them

some part and then they get part of that money from their

revenue earnings. The question we have had to ask now that

the Gautrain has been built is, are we going to operate the

systems ourselves?

We have the assets and we have had success in having the

separation of duties. You have an asset owner who gives an asset

out for operations and levies penalties on the person if they do

not operate the system properly. Then you have an operator who

earns a fee for operating the system itself. We thought this is the

best method possible of being able to get the best practice out

of operating railway lines. On most days we operate at 100%

availability and 100% punctuality, which is unheard of in South

African terms.

Anyone who has travelled on the Gautrain can’t but be

impressed. What are the key pillars to the Gautrain’s success?

The fundamentals of a good transport system is that it must be

functional. The availability of the system, the punctuality of the

system, the punctuality of supporting systems such as the buses

and the minibuses, the escalators and all of that, that basic product

has to be functional before you add fancy technologies. The basic

product – which is a train ride – must be safe and it must be reliable.

A lot of things fall into what we call hygienic factors. When they

are in the background rather than them being the issues we argue

about, then you then can superimpose technology on it. A good

ticketing system will enhance the customer experience because

the customer has the ability to be able to manage their own access.

They can reload their card on an app or on a website or even travel

with their bank card. We recently upgraded the technology so that

you don’t need to buy a ticket, you can just show up with your

debit card or with your credit card and ride on the system. That

ease of access is the next level.

Gautrain is known for the professionalism of

operations and staff who seem to care about what

they are doing. How do you get that right?

Under concessioning I raised the issue of the separation of duties.

First and foremost, it is a fallacy that the private sector would


URBAN MOBILITY

do this on their own. You have the kind of system that we have

now because there is a knowledgeable public party (an agency

such as ours) that ensures that these things happen. You need an

agency that without fear or favour will lay penalties on anybody

who does not live up to the contract. Then you need a contract

that is enforceable. Our contract is enforceable and the penalties

are big if the services do not operate. We don’t want a contract

that is penalty prone but it must be service prone, it is pro-service

more than anything else. As I tell the team here, I am not in the

business of penalties, I am in the business of providing services.

The penalties have to incentivise service.

So there are consequences?

There are big consequences and expensive consequences.

How do you maintain that kind of excellence

within your organisation?

I was told by an old mentor of mine, “Hire good people.” The

rest of it takes care of itself. We hire the best. For our general

interviews the minimum is a two-hour interview. We only bring

the best to come and work with us. We source from both public

and private but we only take the best in the market and that has

always been my mantra. I will always hire for skill and capability

and the rest of the things like employment equity come after the

skill; the skill has to be there first and then we can talk about the

other transformational issues.

What are your short- and medium-term goals as CEO?

The short-term goal is for us to be able to move the business

with great speed to becoming self-sustaining. The operations

of the entity have to completely come off the fiscus. We have to

make our own money, so commercialisation is a big part of what

we have to move with. We’ve already started with drivers’ licence

and testing centres where you can get your new licence, you can

register your car and you can get all sorts of other government

services. That is turning out to be big business. I am meeting

with Treasury to confirm additional funding for us to roll out

these centres all around the province. We are an agency that is

gearing itself to be of great use not only to transport people,

but to the greater public. We are also looking at developing a

lot of properties around our stations and bringing on additional

services. We will be self-sustaining and from then onwards we

will start clawing back the amount of subsidy that is paid by

government to subsidise the commuter. I want to ensure that

any money we get from the state goes directly into subsidising

the commuter and maintaining the asset, not working to

sustain the agency.

And the expansion projects of the new

lines form part of your plans?

We have already started the process. I have had a meeting with the

project steering committee and it is all at full speed. We also are

looking at putting the new contract in place, another key issue.

We also have to close out the current concession. The amazing

thing is that in and around South Africa there isn’t anybody who

has closed out a concession similar to ours. We are the first, so

we are creating new knowledge and as we continue with that,

we have to make sure that we manage the knowledge and we

have it recorded so that it can be shared with other people when

they do this later on.

You have worked overseas and you’ve worked in

the private sector. How have those experiences

informed your approach to being CEO?

When I left the private sector, I explained to people who questioned

my decision that my idea is to build public companies that are

similar to private companies out there. If I can do that, then I would

have served my country well. That becomes important: how do you

meld in the capability that comes from the private sector with the

rigour of spending public money? We have done that well enough

at GMA so that we had 11 clean audits and I have been involved

in nine of those.

BIOGRAPHY

Tshepo Kgobe is an engineer with more than two decades of experience in managing

complex projects and operations with diverse technical requirements in infrastructure,

energy and mining. A graduate of UKZN and Henley Business School (BSc, Civil Engineering,

and diplomas and certificates in business management), Kgobe has also worked on strategy

related to BBBEE, transformation and corporate social investment and marketing. His

experience in the private sector includes serving as an Executive Director on the board of

Hatch Africa and a period in the UK with Corus Rail Consultancy. He also worked at

Metrorail. Tshepo was responsible for the engineering and project management

of the trackwork subsystem in the Gautrain Rapid Rail Link project. He then

held the position of Senior Executive responsible for all technical and project

services in GMA and was until recently the Chief Operating Officer of the

Gautrain Management Agency, responsible for the everyday running of the

agency. He assumed the role of CEO in February 2024.

CEO of the Gautrain Management Agency, Tshepo Kgobe.

SMART MOBILITY

Gautrain: More than just a train!

Gautrain has been delivering passengers – and economic growth – since 2010.

The 8th of June 2010 marked a historic moment for South

Africa as the first Gautrain ride for commuters left Sandton

Station for OR Tambo International Airport Station, just

in time for the 2010 FIFA World Cup. Members of the

Gautrain project and the public braved the cold to be present for

this momentous journey.

Fourteen years later, the Gautrain Management Agency (GMA),

an agency established by the Gauteng Provincial Government to

manage the implementation of the Gautrain Project, is recognised

as a centre of excellence in the rail and public transport industry. The

Gautrain has also proven to be more than just a transport project;

it is an economic development project focusing on reaching the

objectives of stimulating economic growth and job creation,

promoting investment and new development. The system was

a major employer of Gauteng residents in its construction stage

and this has continued through to the operational phase. A total

of 10 900 direct jobs and 61 000 indirect jobs have been supported

during operations.

Cleaner, greener public transport

South Africa’s first and only rapid rail network is a forerunner in

promoting smart mobility, helping to reduce road congestion,

harmful carbon-dioxide emissions as well as noise pollution by

providing a cleaner, greener public transport option. A 2018

independent economic impact study commissioned by the GMA

found that a commuter who uses the Gautrain every working day,

to and from work between Johannesburg and Tshwane, saves

around seven hours and R1 300 in petrol and car-maintenance

costs a month. Furthermore, an average single trip on the Gautrain

saves 2.8 kilograms of carbon dioxide (CO2) per passenger trip

when compared to a private car.

In the 14 years since the Gautrain first opened its doors

for passengers, 125-million train passenger trips have been

undertaken and every day there are fewer cars on Gauteng roads.

The arrival of Gautrain stations in communities has influenced

local development and commercialisation decisions; R46-billion

has been added to the total gross domestic product (GDP) of the

provincial economy due to property development induced by the

Gautrain, further contributing to another 245 000 jobs.

There has been a significant mushrooming of commercial

and residential properties around Gautrain stations. The

Gautrain route also breaks city boundaries and connects

the metropolises of Johannesburg, Tshwane and Ekurhuleni,

as well as linking to Africa’s largest airport, OR Tambo

International Airport. This has not only led to the integration

of communities but has also opened up opportunities for job


SMART MOBILITY

seekers, entrepreneurs and investors. Well-connected cities

mean access to businesses, workers, residents and supply

chains, reducing transaction costs, improving productivity

and facilitating economic growth.

Integrated transport system

Alongside the railway operation, Gautrain has a Dedicated Feeder

and Distribution Service, consisting of both dedicated buses and

midibuses in partnership with taxi associations, provided to

improve accessibility to the train stations and to limit road traffic to

the stations. The Gautrain Midibus Service has been a critical game

changer in unlocking the potential of the minibus taxi industry

to operate scheduled, safe and reliable public transport services.

In 2011, GMA formed an innovative contracting model with taxi

associations operating in the Linbro Park area.

Since 2022, more midibus routes have been introduced and are

operating at Gautrain Marlboro, Centurion and Hatfield stations.

Part of GMA’s mandate is to enhance the integration of the

Gautrain system with other public transport services within the

Gauteng province through initiatives such as the Midibus Service

which commuters can use for just R12. The GMA continues to

ensure that the Gautrain is an inclusive service and accessible

for people living with disability. All Gautrain buses are equipped

with electronic ramps to enable accessibility to persons living with

disabilities and Gautrain bus drivers have been trained to assist

passengers, including helping with boarding, disembarking and

providing information about the journey. The Gautrain also offers

discounts to students through the Gautrain Student Card and has

a multi-tiered fare structure that offers favourable fares to frequent

and off-peak travellers.

It is evident that the Gautrain, a national strategic asset valued

at R45-billion at replacement value, has not only changed the

perception of public transport in Gauteng, but most importantly

has enhanced economic growth in the province. As the first publicprivate

partnership of its scale in South Africa, the Gautrain has

also been commended internationally and much interest has

been shown in the lessons learnt from this contractual form and

its application to other projects throughout the world.

For more information on Gautrain follow:

X: @TheGautrain

Instagram: @TheGautrain

LinkedIn: Gautrain Management Agency

Facebook: www.facebook.com/gautrain

Website: www.gautrain.co.za

Call Centre: 0800 42887246

SMS alert line: 32693


WORLD-CLASS TRANSPORT

Leveraging global expertise

to create local excellence

Nthabiseng Kubheka, CEO of Bombela Operating Company (a joint venture led by RATP Dev),

is proud that the Gautrain can be used as a benchmark of what localised world-class public

transport systems can look like in the Southern Africa region. She discusses the importance

of partnerships, building strategic leadership, economic inclusion and the commitment

of employees to a vision of delivering on a dream of an efficient fast-train service.

How did you come to be involved in the world of transport?

My career spans over 27 years working mainly in energy, a key

sector of South Africa’s economy, where I was overseeing the

efficient and successful implementation of mega-infrastructure

projects, initially for our power utility Eskom, and later for the

Power business of General Electric (GE: NYSE).

Both opportunities have afforded me the privilege of being

mentored by industry leaders while actively contributing to

building a better-resourced South Africa, which for me is a countryduty

that I hold with the highest regard. The transportation sector

is an equally important and strategic sector of our economy,

one that is key to unlocking socio-economic development and

contributing to a carbon-free world by 2050 through moving

people and goods from road to rail in mass.

When the opportunity to roll up my sleeves and lead BOC

presented itself, I took it with both hands knowing that delivering

on the efficient and successful day-to-day running of the Gautrain

project would be a game changer for my career.

I am a patriotic South African who wants to see us progress into

a super economy in Africa and beyond. My decision to leverage

the lessons and skills acquired in the energy sector to contribute

to building much-needed capacity in the rail transportation



sector was a no brainer. It made perfect sense. As a country we

should take pride in building our economy from the bottom up

by prioritising leading from the front while training and upskilling

as many of our people to occupy strategic positions as possible.

This is our country, we need to build it ourselves, no-one will do

that for us.

What previous experience have you found most useful to

your role as CEO of BOC, a joint venture led by RATP Dev?

At Eskom I learnt the project management of complex build

projects; it taught me the importance of starting with the end in

mind. Clarity of strategy and implementation ensures that you

deliver on time and within costs as you have an immediate and

long-term view of the impact of your day-to-day tasks.

At General Electric I learnt the importance of partnering with

the best in the world and localising global expertise to benefit

your local context. Countries and companies that are globally

recognised for making gigantic strides in their growth have done

so by collaborating, partnering and in some instances developing

“glocal” (global and local) best practices.

Today we look back with pride at how we have leveraged our

parent company RATP, the third-largest integrated transport

leader globally and world leader in high-capacity rail networks.

Today the Gautrain is globally recognised as a mode of transport

that visitors and locals alike trust because of its predictability

and consistency.

Nthabiseng Kubheka, BOC CEO.

All of which has been influenced by the lessons learnt from other

RATP Dev operations across Africa and beyond. For example, some

of the Gautrain’s achievements to date include:

• 98% service availability and on-time performance.

• Over 131.6-million passenger trips since inception, 1.3-million

of which were connecting travellers to OR Tambo International

Airport.

• 24 200 fewer cars, contributing to reduced emissions and access

to efficient public transport.

• An estimated R1.7-billion contribution to economy year-on-year.

• A R46-billion total contribution to GDP; 245 000 jobs added

through property development.

We are privileged to have been a part of the collective team

that has delivered on the above. None of this would have been

achieved without collaborating with all our other partners and

without the unwavering commitment of our employees.

Together this collective is flying South Africa’s flag high. To them

we say Thank you, Enkosi, Siyabulela.



If you were able to tell your 15-year-old self what position

you have now achieved, would she have been surprised

or would she have thought, “That’s about right”?

Probably she would have thought “That’s about right” with a

disclaimer that “There is still a whole lot more to do”. The country

is not where we envisaged it would be by now, despite making

significant gains in our 30 years of democracy. A fully fledged

and integrated transport system, a lower carbon footprint and

a reduction in unemployment, especially among the youth and

women, not to mention a fully diversified energy mix, are now

needed to take our economy to significant growth levels.

Who have been inspirations to you along

the path towards where you are now?

First and foremost, I am inspired by the resilience of the human

spirit. Secondly, my parents, who have imparted in me the values

of hard work, respect and paying it forward. Lastly, throughout my

career I have had colleagues and bosses who have encouraged me

to stay focused and lift others while I rise.

How would you describe your leadership style?

I am a fair and a firm leader who is empathetic and believes in

accountability and integrity.

As an award-winning company in gender empowerment,

please tell us what are the things you do or what is in your

company environment that contributes to that achievement?

Diversity, equity and inclusion are important for any country and

for businesses operating in a market. For us in South Africa, this

is further compounded by the need to fast-track the inclusion

of more of our people into the economic value chain. Therefore,

prioritising the segments of our population that are underrepresented

in the economic value chain is an imperative that is

at the heart of how we deliver value to South Africa.

The concept of “Ubuntu” (I am because you are), is a reminder that

we owe our existence to all South Africans and those that came

before us.

As part of our business strategy, we prioritise our communities

and within them our youth, women, people with disabilities and

the elderly. This we do through our corporate social investment

projects, intentionally supporting their small and medium

enterprises, the creation of quality and sustainable jobs and skills

development programmes.

• We employ over 500 locals, 35% of whom are the youth and

50% are women.

• We provide mentorship, 250 hours of tutoring per year and

three-year scholarships to the youth of Alexandra township

through our Sizanani mentoring programme.

Who are the shareholders of BOC?

The Bombela Operating Company’s shareholders are RATP Dev

(63%) and our local partner SPG (37%).

What is the main mandate of BOC?

Bombela Operating Company (BOC) currently operates and

maintains the Gautrain, which is a 160km-per-hour high-speed

train that safely and efficiently connects Johannesburg and

Pretoria in just 42 minutes. As part of the operations, we manage

10 stations, associated parking spaces, security control centres,

125 Gautrain buses, 23 midibuses and an adaptative Operations

Control Centre, which is our centre of operational excellence.

The Gautrain is a best-practice case study that may be used as a

benchmark of what localised world-class public transport systems

can look like in the Southern Africa region and beyond.

To whom or what does BOC report? Or who is the client?

The Gauteng Management Agency is our client and they represent

the Gauteng Provincial Government.



What are you most proud of in terms of BOC’s operations?

Serving our customers and seeing their satisfaction with every trip

that we make. Also having an experienced local team that is willing

and capable of meeting the demands of our operations.

How many staff are employed at BOC?

Over 500 directly and many more indirectly.

Do BOC leaders engage in national, continental and

international forums on issues relating to public

transport (eg Africa Rail, the SARA Rail Conference)?

We participate in industry events as part of adding our voice to

building the sector and ensuring that we promote local expertise

and capabilities.

What role can RATP Dev play in supporting South Africa’s

vision of building world-class cities in South Africa?

The parent company RATP is 70 years old and RATP Dev has

been in existence for 20 years. It is the third-largest provider of

integrated transport systems and a global leader in high-capacity

rail networks. It has 24 000 employees across 15 countries and

makes over 3.8-billion travels every year. South Africa can leverage

the experience that RATP Dev already has in the South African and

African markets and globally to deliver on its vision of building

world-class cities. For example, RATP manages the metro lines in

Paris and the surrounding areas, which is one of the densest multimodel

networks in the world, doing 10-million trips a day post-

COVID. That massive scale means that there are lots of lessons and

expertise that can be borrowed from this wealth of experience.

In addition, as our leaders plan for the imminent extension

of the current Gautrain line and for essential issues such as

democratisation, RATP Dev can provide valuable insights on their

experiences in this regard. For example:

• Across various types of transit systems such as the automated

metros which are currently being generalised in Paris in the

context of the Olympic Games to a wide range of buses operated

across Europe, the US and the MENA and Africa region.

• Important topical issues such as the future of transport and

the role it can play in climate-change mitigation; increased

efficiency and operations through digitalisation and apps

(helping to track fraud, improve security, etc); as well as predictive

maintenance and improvement of working conditions for

workers (exoskeletons, VR, etc).

• Public Private Partnerships are essential in fast-tracking

infrastructure development and growing the economy. This

has been very evident with the success of the Gautrain project.

What are some of the lessons you have learnt

through delivering on the Gautrain project?

Through the Gautrain project we have appreciated the learnings

on the importance of partnering with a long-term commitment

in mind, being agile and adaptive when the situation calls for

it. For example, during the Covid-19 pandemic we had to adapt

to the new reality of reconfiguring how we deliver our best

service in a very challenging, fast-changing and very restrictive

environment. The Gautrain serves as an example of how PPPs

can effectively tackle transportation challenges and respond

to the community’s expectations. While governments might

not always have the expertise or funds to enhance transport

infrastructure and service offering, setting clear objectives to

private operators with a strong track record can be a powerful

tool. Under the vigilance of strict performance metrics, operators

can deliver an excellent service.

What advice would you give to South

Africa’s next generation of leaders?

Prioritise education, humble yourself and be willing to learn from

those who have been there before you and always do good at

home, in the community and ultimately for your country. Good

deeds attract good opportunities from people you may not have

thought would notice you.


ENERGY-EFFICIENT TRANSPORT

Rail is the sustainable solution

A new report captures the socio-economic impact made in a financial year by Alstom,

the group whose Gibela Rail Consortium is making the X’trapolis Mega Train from

30% lighter steel. Alstom is the majority shareholder in a further three joint ventures

in South Africa: Alstom Ubunye, Bombela Maintenance and Alstom BTSA.

Rail transportation is one of the most energy-efficient

transport modes and will remain the backbone of mobility

in a sustainable world. The average passenger cars in South

Africa emit 148gCO2e/km, which is 18.9 times more than

riding a train.

The X’trapolis Mega Train being produced at Gibela for

Passenger Rail Agency South Africa (PRASA) is made from 30%

lighter steel than trains made of carbon steel. The stainless

steel translates to less energy consumption which results in

lower greenhouse gas emissions. In addition, 99% of the train

components are recoverable and 96% of them are recyclable, thus

decreasing the likelihood of end-of-life impact.

Alstom, a global leader in sustainable and green mobility

solutions, has released a report in collaboration with Ernst & Young

(EY) capturing the company’s socio-economic contributions from

April 2021 to March 2022. It highlights the support of over 9 000

jobs and R3.9-billion injected into South Africa as Alstom continues

to grow its local presence.

“We have been in South Africa for at least 10 years now and our

commitment to South Africa goes beyond the manufacturing of

trains or railway components. We are a reliable local growth partner

and are actively participating in the development of an inclusive

and sustainable rail industry through localisation, job creation and

skills development. This report creates a baseline understanding

of the impact of our work to date and acts as a tool to measure our

progress moving forward,” said Bernard Peille, Managing Director,

Alstom Southern Africa.

Alstom’s strategy in South Africa is illustrated by significant

investments in the country, which include Alstom Ubunye, Gibela

Rail Consortium and most recently with Bombela Maintenance and

Alstom Rolling Stock South Africa.

“Alstom’s commitment to eco-design is centred on minimising

the environmental footprint of its solutions throughout the

lifecycle. This approach is already applied to more than 50% of

Alstom products globally with a target of having 100% of all new

products by 2025,” says Peille.


ENERGY-EFFICIENT TRANSPORT

Supporting local industry

“When we started our journey 10 years ago, the

rail industry in South Africa was dormant and a

significant effort was put into building Gibela’s

supply chain which now consists of over 90 South

African suppliers and 65% of the train’s content

is supplied locally. Gibela also has over 1 000

talented employees and has delivered more than

100 locally made trains to PRASA," said Andrew

DeLeone, President of Alstom in Africa, Middle

East and Central Asia. Alstom’s actions also extend

to freight; it is contracted to supply electric Traxx

locomotives to Transnet, locomotives which will

contribute to reducing heavy vehicle traffic on

South Africa’s roads.

ON TRACK

Alstom has supported over 9 000 jobs in South Africa, according to EY

• R3.9-billion GDP contribution to South Africa’s economy

• 99% local hires, 35% women

• 65% X’trapolis train content supplied locally

• 91% less gCO2/passenger.km by train compared to cars

for its customers but more importantly, to build

local capability.

World-class skills training

In terms of skills and rail expertise development,

Alstom invested in multiple skills transfer

programmes and sent South African employees

to various Alstom sites around the world including

France, the United Kingdom, Sweden, Australia

and India, among others. Alstom’s South African

employees regularly undergo technical and

behavioural skills training to ensure they operate

at the same level as any Alstom employee at any

site globally. In addition, Alstom also supports

educational initiatives in South Africa focusing

on science, technology, engineering and

mathematics (STEM) subjects in high school and

up to university level. Through its joint ventures,

partnerships with universities are in place to

advance railway-specific skills development,

expand scientific and research capacity and

attract and retain excellent researchers, students

and scientists.

Employees at Alstom Ubunye.

“In 2022, we expanded our manufacturing

capabilities and can now produce locomotive car

body shells in South Africa. Growing these unique

locomotive skills locally is in line with our longterm

growth strategy to introduce much-needed

state-of-the-art freight solutions to the rest of the

Southern Africa market. Reduced heavy vehicle/

truck traffic on our roads also leads to less carbon

emissions and improved safety,” added Peille.

Enhancing the local economy

According to the report, Alstom South Africa

purchased R3.6-billion of goods and services

over the reporting period, 79% of which are from

South African suppliers. The company’s dedication

to local economic development has resulted

in increased partnerships and support for local

business enterprises. Alstom collaborates with

over 500 suppliers in South Africa, who provide

components for Alstom trains and services to

projects across the country. Fully 99% of Alstom’s

new employees have been local hires in South

Africa, of which 90% are black Africans and 45%

fall into the youth category. The company is

committed to gender diversity and inclusion.

Women compete equally for all roles and as

a result 35% of the workforce is now female

and this number will grow in the coming years

through deliberate efforts. Alstom is committed

to developing greener, smarter and safer mobility

Alstom’s outlook for South Africa

By 2025, Alstom will grow its employee base by

10%, increase female representation up to 40%

in the management, engineers and professionals

category; optimise manufacturing to produce 62

X’trapolis Mega Trains per annum and intensify

operational capacity to produce up to 50

locomotives per annum.

ABOUT ALSTOM

Leading societies to a low-carbon future, Alstom

develops and markets mobility solutions that

provide sustainable foundations for the future

of transportation. From high-speed trains,

metros, monorails and trams to turnkey systems,

services, infrastructure, signalling and digital

mobility, Alstom offers its diverse customers the

broadest portfolio in the industry. Over 150 000

vehicles in commercial service worldwide attest

to the company’s proven expertise in project

management, innovation, design and technology.

In 2021, the company was included in the Dow

Jones Sustainability Indices, World and Europe,

for the 11th consecutive time. Headquartered

in France and present in 70 countries, Alstom

employs more than 74 000 people. The Group

posted revenues of €15.5-billion for the fiscal year

ending on 31 March 2022.

Website: www.alstom.com


SECURITY SOLUTIONS

Armscor, your strategic

partner of choice for defence

and security solutions

Delivering innovative defence solutions.

The Armaments Corporation of South Africa SOC Limited

(Armscor) is an acquisition agency for the South African

Department of Defence (DOD) and other organs of state

and entities. Armscor's mandate is to provide the armed

forces with state-of-the-art defence matériel, delivering innovative

defence solutions efficiently and effectively. The organisation

manages the strategic capabilities of the DOD, producing research

and vanguard technological solutions required to provide safety

and security for South Africa, its citizens and the continent.

Armscor’s core businesses

Acquisition

One of Armscor’s core businesses is acquisition. Its key functions

include requirements analysis, technology development, design

and development of products and product systems and the

industrialisation and manufacturing of mature products and

product systems that fully meet user requirements. It also entails

procurement of existing and qualified products, as well as the

acquisition of product-system support for user systems during

the operational lifetime of the systems.

Research and development

Armscor, through its Research and Development, is able to

conduct defence research and scientific research, test and

evaluation services, technology management, analysis and

industrialisation and intellectual property management services.

The organisation has the capability to perform independent,

centralised coordination and fulfil a management role for

technology acquisition and technology commercialisation.

Naval dockyard

The dockyard provides repair and maintenance services to the

SA Navy on various product systems from tugs to small craft,

frigates and submarines. Maintenance and repair services

cover both planned and ad-hoc projects. It is one of South

Africa’s strategic national capabilities, where the country’s

naval defence maintenance, repair and overall capabilities

are housed.

For more information contact

Corporate Communication Division

370 Nossob Street, Erasmuskloof X4, Pretoria

Tel: +27 12 428 1911

Email: info@armscor.co.za

Website: www.armscor.co.za

BORDER SECURITY

Preventing threats while

stimulating trade and

legitimate movement

The Border Management Authority (BMA) is celebrating its one-year mark since inception with

a mandate to tackle security threats, streamline migration processes, enhance safety measures,

alleviate congestion and mitigate long transit times at South Africa’s ports of entry.

With its inaugural year marked by significant strides,

the BMA is intensifying its efforts to stimulate

trade activities and facilitate legitimate movement

of persons and goods across the region while

preventing serious threats against the Republic of South Africa.

Since the deployment of the Border Guards in 2022, more than

300 000 people have been intercepted across the various ports

of entry.

The notion of consolidating border management under a single

authority faced initial resistance. Not everyone was convinced

that it was the right approach. However, since the BMA became

operational in April 2023, there appears to have been a notable

turnaround. Initially, there was some uncertainty and even some

anxiety about the entity, its purpose and the government's

intentions behind it. The BMA had to invest significant time

engaging with the private sector to ensure clear communication

about the BMA's mandate and role. The establishment of the

organisation has facilitated greater coordination and collaboration

among various government departments and agencies involved

in border management.

Collaborative effort

The BMA Act mandates a collaborative effort with various

government departments and agencies involved in border

management, including the South African National Defence

Force, South African Police Service and South African Revenue

Service (SARS), responsible for customs. During operations,

as we collaborate and coordinate efforts with a multiplicity

of agencies, local traffic authorities across the country play a

significant role for managing corridor movement towards the

port of entry. For the effective management of the movement

of children across the ports, the BMA cooperates with the

Department of Social Development. All BMA activities are

overseen by members of the Border Technical Committee (BTC),

who are heads of entities and Directors General, as well as the

Inter-Ministerial Consultative Committee (IMCC) on border

management. The approach of contextual collaboration is

making a major difference at our ports. The BMA has undeniably

brought stability and certainty to border posts and we remain

committed to making further strides moving forward.

Where we come from

The BMA has been focusing on its capacitation and undertaking

final processes for the integration of staff members from the four

government departments operating at the ports of entry (DHA,

Agriculture, Health and the Environment).

The BMA has applied all critical departmental policies and

procedures.

The formative year of the BMA’s existence was sealed by its

official launching by his Excellency, President Cyril Ramaphosa,

in October 2023.

In this period, the BMA actively reached out to various

stakeholders to ensure that there is a grasp of the functions and

objectives of the BMA. Considerable progress was made and

there is now a much greater sense of certainty. Our operations

in this first year adopted an approach of not solely managing

this from the top down and this has been pivotal. The BMA has

dedicated significant time on the ground, first-hand witnessing

border operations, understanding challenges and brainstorming

solutions. Additionally, our continuous collaboration and dialogue


BORDER SECURITY

with the private sector has played a crucial role. By actively seeking

their input, the entity was able to address their needs effectively

and ensure the delivery of viable solutions.

Congestion solution

One example is at the Lebombo border post between South Africa

and Mozambique where persistent congestion had been causing

delays and increasing costs. In response, the BMA partnered with

SARS to implement a joint-processing system under canopies on

a bypass at the border post. This innovation streamlined truck

movement by allowing officials to process trucks without drivers

needing to disembark. By bringing the processing directly to the

trucks, rather than having drivers navigate various buildings for

cargo clearance and immigration, the BMA significantly reduced

truck turnaround times.

The 2024/25 financial year signifies the first year of BMA’s

full operation as an autonomous schedule 3(A) public entity. It

is crucial to recognise that coming to border management and

addressing issues at the various ports of entry, there is no one-sizefits-all

solution for the challenges at ports. Each port of entry differs

in layout, infrastructure and volume of traffic, making it essential

to tailor solutions accordingly. Central to finding these solutions

is the understanding that addressing issues cannot be done

solely from an office in Pretoria. Over the past year, the BMA has

prioritised on-site visits to border posts, gaining insights into their

unique layouts and identifying infrastructure gaps. This approach

emphasises addressing problems directly from the ground level.

The Lebombo border post solution underscored the need for

innovation, collaboration and location-specific solutions.

Ports of entry cannot be treated as isolated entities; a corridor

approach is essential for effective trade facilitation. This means

considering the entire route, not just the individual border points.

Specifically focusing on ports of entry, the first step is to address

infrastructure to create environments conducive for lawful trade

while curbing illicit activities. South Africa's ports of entry, originally

designed for security during apartheid, now need revamping

to facilitate regional and international trade more effectively.

To achieve this, the BMA initiated requests for proposals for the

redesign and development of six ports: Beitbridge, Lebombo,

Maseru Bridge, Ficksburg, Kopfontein and Oshoek. Through this

initiative, the aim is to enhance cross-border movement efficiency,

promote regional economic integration and provide better

support for the African Continental Free Trade Area (AfCFTA).

The establishment of a single entity for industry to engage

with, rather than multiple government agencies, has yielded

positive results thus far and has significantly streamlined border

operations. The BMA has sought to strike a balance between

security imperatives and the facilitation of lawful movement of

people and goods.

Modernising infrastructure

In the near future, the BMA will be modernising border

infrastructure and deploying advanced technology to improve

border management capabilities. Investments have been made in

biometric systems that will provide us with detailed travellers data.

Automated clearance processes, body cameras, drones and hi-tech

surveillance equipment will also enhance border surveillance,

identification and processing procedures.

The celebration of the BMA’s first anniversary coincides with a

momentous time of the 30-year anniversary of our freedom and

democracy. The BMA continues to demonstrate a commitment

to upholding the rights and dignity of individuals crossing South

Africa’s port of entry, including refugees, asylum seekers and

vulnerable groups. By ensuring that border control activities are

conducted in accordance with national and international laws, the

BMA has worked hard to adhere to constitutional principles.

A happy one-year anniversary to the BMA!

Dr NM Masiapato,

Commissioner

and CEO, BMA

Ms MJJ Thupana,

Deputy

Commissioner:

Corporate

Services, BMA

Major General

David Chilembe,

Deputy

Commissioner:

Operations, BMA


WATER INFRASTRUCTURE

Harnessing private

expertise for world-class

public infrastructure

The best way to tackle South Africa’s water woes is through public-private partnerships,

says experienced P3 infrastructure developer, the Gap Infrastructure Corporation.

Water infrastructure is under pressure.

South Africa’s taps are at risk of running dry as its watersupply

infrastructure comes under mounting pressure. As

millions go without reliable in-home water connections

and water supply infrastructure buckles under the

pressure of population growth, urbanisation and industrialisation,

the 2023 World Water Day theme of “accelerating change” was

especially relevant for South Africans and the Gap Infrastructure

Corporation (GIC).

The lack of access to clean water in many rural areas is

becoming increasingly critical as water scarcity grows, leading to

overcrowding at communal water taps and increased reliance on

dirty or contaminated groundwater sources.

According to the last General Household Survey by Statistics

South Africa, an alarming 12.2% of households used a public tap as

a source of water; 1.9% used a neighbour’s tap; 1.8% used flowing,

stream or river water; 1.7% made use of a water-tanker; 1.6% used

a water vendor; and 1.5% used a rain-water tank, among other

alternative sources.

Adding to the country’s water scarcity woes is below-average

rainfall. South Africa’s annual precipitation is almost half that of the

global average at just 497mm per year. “Given the high demands

on South Africa’s water resources, it is crucial that we prioritise

the development of sustainable and easily accessible water

infrastructure such as boreholes or rainwater harvesting systems,

and invest in upgrading existing water supply systems,” says Roelof

van den Berg, CEO of GIC.

Community education on water conservation and efficient

water use is also vital. Through teaching households water-wise

habits, community education can help reduce the burden on

shared water sources and ensure that more people have access

to safe and clean water in their homes.

“World Water Day called for increased efforts to promote

water conservation, efficient water use and sustainable water

management practices. It also emphasises the importance of

innovative solutions and technologies to ensure that water

resources are used more sustainably.

“Finally, the topic of ‘accelerating change’ was particularly

relevant for GIC as a trusted construction partner in the drive

to roll out reliable water infrastructure for the benefit of all

South Africans.”


WATER INFRASTRUCTURE

technologies and conducting feasibility studies and environmental

impact assessments.

Large numbers of South

Africans use public taps as a

source of water.

Harnessing private expertise for

world-class public infrastructure

In the ongoing quest to improve infrastructure development

nationally, public-private partnerships have emerged as an

invaluable tool. These successfully bring together the expertise

and resources of both private construction companies and

government to deliver enhanced services.

THE FOUR BIG BENEFITS THAT COMPANIES CAN

BRING TO THE PROCESS ARE DIVERSE:

Enhanced infrastructure roll-outs

Public-private partnerships are an effective way of increasing

capacity, ensuring that more projects are undertaken

simultaneously at a high-quality standard. By utilising these

partnerships in the development of water infrastructure, South

Africans can enjoy the benefits of new water-treatment plants

and upgraded water-supply systems, while stimulating job

creation, small business growth and increased investment in

new technology and innovations for world-class water and

sanitation systems.

Professional project management for maximum returns

The private sector can supply government with the required

expertise as well as the qualified and experienced staff needed

to ensure the success of large-scale projects. Infrastructure

development companies can manage construction contractors

and sub-contractors, liaise with numerous suppliers and control

operations to ensure that projects are completed on time and

within budget.

Community education and partnerships

Private companies can assist in launching and managing important

learning and awareness programmes with communities, sharing

responsibility with public entities for education and upliftment. For

example, companies involved in water infrastructure development

may roll out programmes teaching community members about

water conservation and efficient water use and provide technical

training and upskilling to local workers in the construction,

operation and maintenance of water and sanitation infrastructure.

Many of our country’s water issues, current and future, can be

resolved in large part by upgrading the country’s ailing water

system and constructing new infrastructure in previously underserved

areas. Public-private partnerships are the most suitable,

sustainable and beneficial way to ensure that quality infrastructure

is developed sooner rather than later.

Expert planning and design

Through proper planning and design, infrastructure development

companies help to ensure that projects are initiated and managed

in environmentally sustainable and cost-effective ways. Drawing

on deep infrastructure development expertise and experience,

companies such as GIC further work to ensure that projects meet

the needs of specific communities. This includes developing

comprehensive water and sanitation plans, identifying appropriate

Roelof van den Berg, CEO of GIC

PHOTOS: GIC www.opportunityonline.co.za | 31

WATER SECURITY

Collaboration and co-creating

sustainable solutions

Coca-Cola Beverages South Africa believes in collaboration to ensure water sustainability.

We are focused on delivering on our purpose, to

accelerate our collective action to address challenges

that impact our business and the communities we

serve. Our approach is centred around people. While

the focus must be on how best to achieve key sustainability goals,

as a collective we need to be mindful in our responses of the varied

needs and changing circumstances of communities around us.

The answer lies in collaboration and co-creation of sustainable

solutions. As the Coca-Cola system, we use our industry leadership

to be part of the solution to achieve positive change and to build

a more sustainable future for our planet. Importantly, we want

to create greater shared opportunity for the business and the

communities we serve, across our value chain.

Water

Water is a priority for the Coca-Cola system because it is essential to

life, our beverages and the communities we serve. The Coca-Cola

Company’s 2030 Water Security Strategy focuses on increasing

water security by investing in water initiatives that benefit nature

and communities. This includes projects that provide benefits

to local watersheds that supply water for drinking, agriculture

and manufacturing, restore and conserve habitats for plants and

animals and offer opportunities for local economic development.

As part of this work, we collaborate with partners to understand

the complex link between water, climate, agriculture and

biodiversity. In addition, many of our water replenishment projects

have additional co-benefits such as helping to improve soil health,


WATER SECURITY

The Graaff-Reinet Cokeville megaproject will supply

between 27-million and 30-million litres of water every

month.

sequester carbon, conserve water, restore degraded

lands, contribute to biodiversity and mitigate climate

change. We are focused on accelerating the actions

needed to increase water security where we operate,

source ingredients and touch people’s lives. We do

that by contributing towards sustainable, clean water

access that improves livelihoods and wellbeing while

protecting against water-related disasters.

We continue to replenish the water we use in

our finished beverages to nature and communities.

We have set three key goals designed to achieve

our vision:

• Achieve 100% regenerative water use across our facilities in

areas identified as facing high levels of water stress by 2030

• Improve the health of watersheds identified as most critical for

our operations and agricultural supply chain by 2030

• Continue to return water to nature and communities. Ensuring

the health of watersheds is a major part of this.

For example, as CCBSA we successfully implemented Project

Lungisa in Grabouw in the Western Cape, where the municipality

was losing a significant amount of its potable water due to leaks and

failing infrastructure. Through this partnership, we trained young

community members in plumbing to support the rehabilitation

of water infrastructure, including fixing leaks in informal areas.

In response to a looming Day Zero in parts of the Eastern Cape,

CCBSA launched an ambitious project to work with the local

municipality and other key stakeholders to assist vulnerable

and distressed communities. Since 2020, CCBSA deployed an

off-grid, solar-powered groundwater harvesting and treatment

initiative called Cokevilles. In the region, a total of nine systems,

or boreholes, have been deployed in Gqeberha with a potential

of replenishing a minimum of

90-million litres per annum at no cost to the beneficiaries. Last

year the company unveiled a R12-million groundwater harvesting

Cokeville project, to supply the entire town of Graaff Reinet in the

Eastern Cape with potable water. The Cokeville mega project was

installed to feed directly into the municipality’s infrastructure and

is able to supply between 27-million and 30-million litres of water

every month to the town and surrounding communities. Since the

inception of our borehole groundwater harvesting programme, we

have managed to replenish hundreds of millions of litres of water

in Limpopo, KwaZulu-Natal, Gauteng, Free State and the Eastern

Cape provinces, benefitting thousands of households.

Building resilience through partnerships and innovation

We understand that no entity can solve the water challenges

alone. We believe in collective action and partnership to tackle

development issues. It is important that all relevant stakeholders

have a voice, an investment and a shared understanding of the

outcomes to ensure we deal with the lack of access to safe water.

As CCBSA we believe in and are committed to solution-driven

conversations for a better future for all.


“Transformed into a sought-after craftsman.” Limpopo

resident Lucky Ndou qualified as a diesel mechanic

through Murray & Roberts Cementation's training

initiative at the De Beers Venetia Underground Project.

Uniting

education and

employment,

a true catalyst

for progress

As South Africa votes in national elections

for the seventh time since the democratic

dispensation began, Jacques Farmer,

Managing Director of Prisma Training

Solutions, argues that for the country to really

move forward, skills development must be

a bridge to employment opportunities.

As the 2024 national election draws near, South

Africa stands at a crossroad. The air is filled with a

sense of expectation, where hope for a better future

mingles with anxieties about the challenges ahead.

Citizens are hungry for leaders who will confront the man on

the street’s most pressing challenges – unemployment and

the skills crisis.

The nation grapples with a staggering unemployment rate

of 33.9%. These figures aren’t just numbers; they represent

the harsh reality endured by millions, leading to widespread

poverty, social unrest and a deep-seated sense of despair.

To break free from this crippling stagnation a revolution is

needed, not just political, but a revolution of education,

skills and opportunity.

Bridging the gap between

education and employment

Such a revolution demands a concerted

effort from both the government

and the private sector. Investments

in education must be intensified,

ensuring quality learning reaches

every corner of the country and

vocational programmes must be

given a complete overhaul. Gone are

the days of generic qualifications.

PHOTO: De Beers

RELEVANT EDUCATION

The modern, digital-first economy demands precision skills. But

education alone is not enough, experience is necessary. Here,

businesses must be geared to provide the right environment

for learned theory to find practical application, to maximise

opportunities for skills growth and development.

However, the government alone cannot orchestrate this

revolution and the private sector, particularly industries like mining,

must be used as a potent catalyst for change. Companies should

look towards expanding employment opportunities through

targeted training and development initiatives. For example, mining

houses collaborating with local communities, nurturing the talent

hidden within through multi-skilling programmes that equip

locals to operate machinery, coupled with dedicated channels to

integrate them into the workforce, would be a transformative step.

To get to this point, it is crucial to move beyond skills

development being a just tick-box exercise to garner points that

only have corporate worth. We must transition to a mindset in

which skills development becomes about igniting passion and

fostering an entrepreneurial spirit. This could be in the form of

mentorship programmes led by industry veterans who share their

wisdom and experience with eager young minds, or business

incubators sprouting up in mining towns, nurturing the seeds of

local innovation and enterprise.

Skills development as the catalyst for unity

The union of education and employment must be seen not

merely as a transactional exchange, but rather a powerful force for

progress. Imagine a young woman from a rural village equipped

with the skills to operate a drone, mapping mineral deposits

with precision. Imagine a young man, once struggling to make

ends meet, transformed into a sought-after craftsman due to

his welding capabilities. These are not just stories, they are the

building blocks of a brighter future when the right skills meet the

right opportunities.

This is the future we must strive for, a future where skills

development acts as a bridge, connecting education to a fulfilling

professional life in which individuals are empowered to provide

for themselves and their families. As a result, poverty will recede,

replaced by the dignity of economic self-sufficiency. Crime rates

will plummet and communities, once fractured by despair, will

find unity in their shared prosperity. As is clear, this isn't just an

economic imperative, it's a moral one. An opportunity is presented

to build a South Africa where dignity and hope are not luxuries but

fundamental rights.

Partnerships between communities and corporates

The 2024 election acts as a watershed opportunity. Let us choose

leaders who understand this fundamental interplay between

education and employment, leaders who will champion the

skills revolution, who will invest in our youth, equipping them

to become the architects of our tomorrow. To this end, training

providers in every sector can make a significant difference by

embracing this philosophy wholeheartedly and manifesting such

a commitment through the provision of tailored training that

Jacques Farmer, Managing Director of

Prisma Training Solutions.

recognises the importance of forging strong partnerships between

corporates and communities. Training providers can turn boxticking

exercises into initiatives that are specifically designed to

empower individuals, transform lives and ignite a brighter future

for all. Training providers can achieve this by dispensing the tools,

providing guidance and delivering a platform for communities to

take charge of their own path towards growth and prosperity.

Investing in the future of our country

As we stand on the cusp of change, ready to cast our ballots,

let us remember – the seeds of progress can only be sown in

education, nurtured by skills development and reaped in the

fertile ground of employment. Let us make the 2024 election

a catalyst for real, lasting change, a moment where South

Africa embraces the transformative power of the integration

of education and employment.

About Prisma Training Solutions

With over a decade’s experience in the mining industry, Prisma

offers customised and sustainable education, training and

organisational development solutions that ensure that clients

can realise their return on investment with increased productivity

and efficiency through qualified and trained staff, while operating

within the most competent and safe environment.

As the leader in professional training and a fully MQA-accredited

specialist training service provider to the mining sector, Prisma

have centres of excellence that provide the very best learning

and development solutions customised to clients' exact needs.

Strategically positioned in the North West, Mpumalanga and

the Northern Cape, Prisma is ideally placed to respond to clients’

training needs anywhere within Africa including South Africa,

Namibia, Botswana, Ghana, Sierra Leone and Tanzania.


SKILLS DEVELOPMENT

Facilitating skills development

for sustainable livelihoods

The chemical industry’s sector education and training authority is pursuing partnerships

based on innovation, collaboration, digitisation and transformation, says Yershen Pillay,

CEO of CHIETA. This forward-looking SETA aspires to be a fully digitised entity that goes

beyond skills to promote sustainable livelihoods and improve the quality of life.

What is the mandate of the Chemical Industries

Education and Training Authority (CHIETA)?

CHIETA is a statutory body that was established by the Skills

Development Act in 1998. CHIETA’s role in the sector is to

facilitate skills development as well as to ensure that skills

needs are identified and addressed through various training

initiatives in the chemical and manufacturing industries.

As a trusted partner in skills development and training for

the chemical sector, CHIETA funds the industry for various

occupational programmes as well as certain Technical

Vocational Education and Training (TVET) sector and higher

education programmes. Our mission is to facilitate skills

development, education and training through innovative

solutions for sustainable livelihoods.

How do you empower South Africa’s youth?

CHIETA offers learnerships and other youth programmes to

unemployed youth to promote employability in line with

government policy as per National Skills Development Strategy

(NSDS III) objectives.

CHIETA has entered partnerships with various parties to drive

innovation, skills development and training in Africa. Our role

includes sourcing corporate entrepreneurs in the chemical sector

to upskill them and identifying Fourth Industrial Revolution-linked

programmes. The impact of this is that it will help provide youth

with skills to combat unemployment.

We offer a wide range of discretionary and mandatory grant

funding directed towards women, youth and people living with

disabilities. One major programme launched during 2023 was the


Smart Skills Centres, in which rural learners are taught digital skills

to keep abreast of artificial intelligence (AI) developments. The

authority intends to establish these centres in all nine provinces.

Another project that stands out is the AlgoAtWork Robotics

Academy in Richards Bay, in which children are taught essential

skills for an AI-driven workplace in the future. Numerous bursaries

flow into learning support and programmes for retrenched

employees, a fundamental way CHIETA supports the Economic

Reconstruction and Recovery Plan (ERRP).

Through its various programmes, including the upcoming

Discretionary Grant Funding Windows and working with

corporations, CHIETA provides potential opportunities for 615

internships, 1 085 leadership, 1 395 skills programmes and 1 285

TVET students for Work Integrated Learning.

CHIETA offers unique training programmes providing practical

skills for matric graduates’ employability. Please tell us more.

CHIETA offers graduates or students looking for workplace

experience, work exposure or work-integrated opportunities in

the chemical sector. They also have programmes such as work

readiness and job preparedness programmes, entrepreneurship

development programmes, mentorship and market access

programmes to support employability.

Please provide an overview of the learnerships

and apprentices that you offer.

CHIETA will also continue to support fundamental skills focus

areas including artisan training, learnerships, work-integrated

learning and coherent skills training programmes (also

known as part-qualifications) that allow for immediate job

mobility while leaving the door open for candidates to

further enhance their learning to obtain the remaining

parts of the qualification incrementally using the lifelong

learning principle. The apprentice career fields include

boilermaker, draughtsman, electrician, fitter and turner,

industrial machinery mechanic, instrument mechanic,

millwright occupational instructor, refrigeration

mechanic, rigger, truck driver and welder.

Learnerships are directly related to occupations

in the various fields of science, engineering and

business.

Please tell us about CHIETA’s

industry collaboration.

The organisation has adopted a partnership mode

informed by the four strategic pillars (innovation,

collaboration, digitisation and transformation). The

strategic value of this approach is the contribution

of these partnerships towards consolidating the

organisational capacity to deliver stakeholder value

and achieve the desired social impact.

TVET college sector partnerships and Community

Education & Training Colleges (CET) partnerships play a critical

role in the supply of skills:

Yershen Pillay, CHIETA CEO

SKILLS DEVELOPMENT

Coded Welding (pilot project) with TVET colleges: A

pilot project on blended learning to explore e-learning

using the Coded Welding Skills Programme to curb youth

unemployment, improve livelihoods and support economic

development. The lessons and best practices would be

shared towards the implementation of e-learning in the

chemical sector.

Sefako Makgatho Health Sciences University: CHIETA

funded Sefako Makgatho Health Sciences University to partner

with pharmaceutical companies to offer work-integrated

learning for undergraduate students who are studying

pharmaceutical-related qualifications.

Trade unions in the chemical sector: Reskilling of the

chemical industry’s retrenched workers.

CHIETA/CHEMIN Innovation Hub: The programme supports

entrepreneurs in developing ideas into profitable businesses

through incubation programmes.

CHIETA/UJ Multi-SETA Project: Grow collaboration among

SETAs (envisioned partnership with EWSETA, ETDPSETA, Services

SETA, AgriSETA and INSETA). The collaboration with the other SETAs

for cross-sectoral SMME development will enable competitiveness

and increased productivity of SMMEs participating in this

programme for them to survive in the ever-changing business

environment. These SMMEs will be the catalyst of job creation

and economic growth.

CXI African Strategic Projects and Youth Media Movement:

The digital skills gained from these projects will provide the youth

with an opportunity to enter occupations in high demand and

contribute significantly to the digital revolution and economy in

South Africa.

China Europe International Business School (CEIBS):

Support for corporate entrepreneurs within the chemical sector

to grow the economy.

Smart Skills Centres: Smart Skills Centres will be established

in all nine provinces.

CHIETA/MICT SETA/INSETA: Partnering on strategic projects

that are aligned with the organisations’ mandates and will

contribute to:

• Economic empowerment

• Youth employability

• Food security

• Entrepreneurship and business support

• Digitisation and 4IR.

The SETAs are partnering to identify the priority research areas

and conduct research to support the CHIETA, INSETA and MICT

sector skills plans.

How does CHIETA use innovation in its training initiatives?

We not only use and encourage the support of e-learning and

blended learning methods as we forge ahead, but it is imperative

to strengthen our existing partnerships with both the private and

public sectors. Concomitantly, we must cement new and lasting

partnerships that will allow us to put the chemical industry on the


SKILLS DEVELOPMENT

fast track to adopting 4IR and to continue to innovate in our quest

to eliminate poverty, reduce inequality and spur the economic

development of the country. We aspire to be a fully digitised,

innovation-driven SETA that is not just about skills development,

but about sustainable livelihoods and improving the quality of

life. We want to support the end-to-end value chain of sustainable

livelihoods. We conduct virtual reality-based training and promote

the use of AI in education and training. We want to impact 100 000

livelihoods by 2025.

What is CHIETA’s perspective on tackling unemployment?

We can improve the agility of educational and training institutions.

When the economy needs new skills, how fast can the country’s

training providers react? An essential pillar of CHIETA’s vision is to

overcome the difficulty that many communities in South Africa,

predominantly in rural areas, have in accessing digital skills and

opportunities. Therefore, bridging the digital divide is crucial if

the country is to address the challenges around skills. The impact

of upskilling people in 4IR-linked programmes is that it will help

provide youth with skills to combat unemployment.

What are some of CHIETA’s success stories that

illustrate the tangible impact of your initiatives?

CHIETA received a clean audit, met 100% of its targets and grew levy

income year-on-year from R592-million to R621-million. CHIETA is

determined to continue making a difference and working on the

hydrogen economy for which it has gained a growing reputation

as a leader in the green economy.

We take comfort from the fact that we are putting resources

behind dozens of young girls interested in science – at least 217

last year – with positive results to boot.

The Eastern Cape Department of Education recognised hardworking

matriculant Liyabona Ncanywa as one of the province’s

top achievers in the 2023 national senior certificate examinations.

CHIETA assisted her with tuition and school fees through its

science, technology, engineering and mathematics (STEM) fund

that supports 1 000 learners nationwide.

Through its various programmes, including the upcoming

discretionary grant funding windows and working with

corporations, CHIETA provides potential opportunities for 615

internships, 1 085 learnerships, 1 395 skills programmes and 1 285

TVET students for work-integrated learning.

• These have yielded positive strides and evidence of success

since inception.

• CHIETA’s role in the implementation of an innovation, skills

development and training programme in Africa includes

sourcing corporate entrepreneurs in the chemical sector to

upskill them and identifying 4IR-linked programmes.

How do we start building an innovative and

employable workforce for South Africa?

We can improve the agility of educational and training institutions.

As an innovation leader in education, skills development and

training we don’t want to train for the sake of training. Our broader

goal is to improve the quality of life by focusing on sustainable

livelihoods. We focus on reskilling and upskilling people to ensure

they can have sustainable livelihoods. As industries like ours and

others digitalise, we see a demand for what one could call crossover

skills, skills that are as valuable in mining or retail as they

are to our industry, which means that we must broaden how we

interpret our remit.

Bridging the digital

divide is crucial if the

country is to address the

challenges around skills.

Please discuss CHIETA’s role in addressing high

unemployment rates among the Class of 2023.

In the past year, CHIETA supported the Economic Reconstruction

and Recovery Programme (ERRP) of the government through three

programme initiatives, namely:

• Occupationally directed programmes

• The STEM programme to grow the number of women and

people with disabilities entering the chemical industry

• Support programmes for co-operatives, SMMEs, nongovernmental

organisations and community-based

organisations in both rural and urban areas


EDUCATIONAL SUCCESS

A beacon of excellence

The Mankwe Campus of ORBIT TVET College is committed

to providing accessible education and practical training,

says Welheminah Molapi, Acting Campus Manager.

Please describe the community

or communities served by Mankwe Campus.

The campus is located next to the Pilanesberg Game Reserve in

a rural environment. It is 10km from Sun City and based on the

locality, appropriate infrastructure and the objectives of the

Provincial Growth and Development Strategy. Hospitality and

Tourism were identified as niche areas for the Mankwe Campus.

It serves local communities comprising 107 villages and the two

formal townships of Mogwase and Madikwe with an estimated

population of 242 553. Our campus forms part of the Moses Kotane

Local Municipality which is mainly characterised by tourism,

mining and agriculture. Industries and social services also form a

critical part of the local economy.

What are the skills which are most relevant

to the needs of the communities?

ORBIT TVET College Mankwe Campus stands as a beacon of

educational excellence in the Moses Kotane Local Municipality.

Its commitment to providing accessible education and practical

training empowers students to pursue their dreams and contribute

to the growth and development of Mankwe and beyond.

Whether you are interested in Engineering, Business Studies or

Hospitality and Tourism, Mankwe Campus offers a diverse range

of programmes to help students on their path to success. A special

feature of Mankwe Campus is a magnificently designed mock

workplace for students studying Transport and Logistics, and

Tourism and Hospitality. Two distinctive, Afri-chic guesthouses are

available on campus. They are run and maintained by Mankwe

Campus Hospitality and Tourism students. Students are exposed

to real-life job experience while completing their studies.

Please give an example of collaboration with business.

We forged a partnership with Anglo Platinum Mine for placement

of our students to help them fulfil their academic requirements

and build their skills before they graduate. The mine has partnered

with Mankwe Campus to also offer internships and for students to

gain experience. Most Memorandums of Understanding signed

with partners are aimed at the placement of staff and students for

expanded learning and job placement opportunities.

What are the potential benefits of having a virtual

reality (VR) welding workshop at the college?

The Chemical Industries Education and Training Authority

(CHIETA) donated a VR welding workshop to Mankwe Campus

for skills development in welding, using digital skills. Students

are using the VR simulators to

optimise designs before actual

welding, allowing them to

identify potential defects

or weaknesses in welds

through simulated

trials. This saves time,

resources and ensures

better-quality welds in

real-world applications.

When students are

practising in a virtual

environment, they

develop muscle memory

and techniques.

Does Mankwe’s accommodation

give the campus an advantage?

Mankwe Campus is the only campus with student accommodation

and can accommodate 560 students. Students living on campus

are just a short walk away from classes, an advantage in terms

of punctuality and class attendance and giving easy access

to resources such as the library, student support services,

co-curricular programmes, academic assistance or counselling.

What are the challenges faced by this campus?

• Infrastructure maintenance and NSFAS funding.

• Insufficient opportunities for student and staff placement.

• Offering programmes that do not respond to the demands of

the market and industry.

• Limited resources.

What do you enjoy most about being

a campus administrator?

As a Campus Manager, I enjoy being a leader. My campus

community are the first priority of progressive leadership. An

atmosphere that fosters employee growth is produced by leaders

who prioritise the growth and well-being of their teams. Better

campus outcomes are the consequence, as this raises motivation

and engagement levels. My experience has provided me with the

opportunity to work as a member of a multi-disciplinary team,

utilising strong communication and interpersonal skills in order to

build respectful professional relationships with members of staff,

students and key stakeholders alike and promote the college’s

strategic objectives.


Virtual reality becomes a

reality for ORBIT TVET College

North West college’s digital strides are enhanced by CHIETA partnership.

A

virtual-reality

welding workshop has been presented to

ORBIT TVET College.

The Mankwe Campus of the ORBIT TVET College in

the North West Province was the grateful recipient of

a fully stocked virtual-reality (VR) welding workshop when the

CEO of the Chemical Industries Education and Training Authority

(CHIETA), Yershen Pillay, visited the site in September 2023.

One of CHIETA’s biggest goals is to make digital technology

accessible to rural communities. With the students of Mankwe

Campus being mainly drawn from the communities of Mogwase

and Mabela Pudi, CHIETA is achieving its goal by making available

to the campus such virtual-reality training equipment.

Mogwase and Mabela Pudi are near to Sun City and the area has

a number of platinum mines but many families rely on subsistence

agriculture so this is an excellent site for achieving the goal of

narrowing the digital skills divide in rural areas.

During the ceremony, Pillay explained that VR technology

serves as a practical tool in the educational process as it combines

new technology, the advantages of digitilisation and easy use to

allow student welders an opportunity to achieve the best welding

results. CHIETA strongly believes that no-one should be left behind.

CHIETA is engaged in a national programme of rolling

out SMART Skills centres across the country, with the goal of

establishing nine such centres by 2025. Saldanha, Port Elizabeth,

Sabie (Mpumalanga) and Babanango (KwaZulu-Natal) already

have SMART Skill centres and the programme continues.

ORBIT TVET College has made strides in the ICT field through

a partnership with Intel. The laboratory at the Brits Campus,

supported by Intel, enabled two groups of ORBIT students to

VR WELDING

progress to the finals of a 2023 global AI competition run by the

company. One of the teams finished third overall.

Specialisations at ORBIT TVET College

As part of a national programme, two Centres of Specialisation

are offered at ORBIT TVET College. On the Brits Campus, specialist

apprenticeships can be trained in the trade of electrician. At

Mankwe Campus, diesel mechanic is the specialisation on offer.

Altogether the College has three campuses, with the

administrative headquarters based in Rustenburg.

Centres of Specialisation are departments within TVET colleges

dedicated to artisan training in partnership with employers. The

curriculum consists of occupational qualifications designed by

industry for industry and which are registered with the Quality

Council for Trades and Occupations (QCTO).

By forging valuable partnerships with business and industry

partners, opportunities for work-integrated learning are presented

to students when they complete their studies.

The virtual reality welding workshop on the Mankwe Campus of

ORBIT TVET College is officially opened by College Principal Mr

Dika Mokoena and CHIETA CEO Mr Yershen Pillay.

Contact details

Call centre: 086 100 0305 | Tel: 014 592 4147 | Tel: 082 063 3835 | Website: www.orbitcollege.co.za


SKILLS TRAINING

Working closely with

SETAs to advance

skills training

Resolution Circle has relaunched the Technical Training Centre

in Welkom, an opportunity, says CEO Gideon Potgieter, to

expand the technical training provider’s geographical range.

Biography

Gideon has extensive experience in Operations Management in the corporate world

and in a consulting role, including Supply Chain Management, Quality Management

and Project Management, applying tools, methodologies and philosophies like ISO9001,

Kaizen, Lean, Six Sigma and the Theory of Constraints. He has worked in several industries

ranging from higher education, high-tech electronics and information technology to

automotive, medical insurance and renewable energy in South Africa and abroad.

Gideon Potgieter, CEO Resolution Circle


SKILLS TRAINING

What is the significance of relaunching

the Technical Training Centre in Welkom?

The Province of the Free state does not have any

other training centres that offer apprenticeships

other than Automotive or Electrical.

Creating an employable workforce is said to be the focus

of SETAs: do you see progress in SA in this regard?

It remains the largest challenge, to get learners into

opportunities to gain work experience in order to allow them

to complete their qualifications.

What is the basis of your relationship

with the University of Johannesburg?

We are a subsidiary of UJ through the Holding

company UJ INVNT.

How does this project fit in with

Resolution Circle’s goals?

We entered Apprenticeship Training in 2019, which

allows us to expand our footprint beyond Gauteng.

Do you have other sites where you offer

training or do you send trainers out?

We have both; we have our own sites in

Johannesburg and Ekurhuleni and we have trained

at remote locations across the country.

Do you offer independent courses or are your courses

always linked to a corporate sending employees to you?

We do offer independent courses.

Can you help a student who can’t afford the fees?

Yes, we can. We apply for grants and when we receive grants,

we generally recruit from the pool of unemployed candidates.

Please explain the difference between Apprenticeship,

Candidacy and Work-Integrated Learning.

Apprenticeship leads to becoming a qualified tradesperson

like a Boilermaker or Electrician. Candidacy assists Engineers,

Technicians and Technologists to register professionally

with the industry body after qualification. Work-Integrated

Learning is for Technicians in training who completed their

relevant theory at the respective Universities of Technology,

but in order to obtain their diplomas, they need to complete

between six and 12 months of practical work exposure. These

programmes cover levels 2 to 8 in the NQF system.

Do you work together with SETAs?

We work closely with CHIETA, ETDP, EWSETA, Manufacturing

and Engineering, MICT, MQA and TETA. We wish to work with

Agri, Construction, FoodBev and Local Government SETAs in

the future.


SCHOOL OF FINANCIAL PLANNING LAW

Shaping the future of financial

planning in South Africa

The School of Financial Planning Law (SFPL) at the University of the Free State has long been a trailblazer

in the field of financial planning. As Professor Liezel Alsemgeest, the School’s Director explains, high

standards for teaching and research continue to keep SFPL at the forefront of the discipline in South Africa.

Provide a historic overview of financial planning

in South Africa and how the School of Financial

Planning Law at the UFS contributed.

Financial planning in South Africa has come a long way to now

being regarded as a well-established profession. Prior to the

1980s, financial advice was often disjointed, with product sales a

primary focus. The Financial Planning Institute of Southern Africa

(FPI), established in 1981, played a pivotal role in changing this

landscape. By advocating for ethical standards and professional

education, the FPI helped build trust and credibility. The University

of the Free State (UFS) played a key part in this transformation

Director Prof Liezel

Alsemgeest

Biography

Professor Liezel Alsemgeest is an associate professor at

the University of the Free State and the Director of the

School of Financial Planning Law (SFPL). As an NRF-rated

researcher, her focus is on communication in personal

finance and financial behaviour – areas crucial for navigating

the complexities of financial planning. She is a Certified

Financial Planner (CFP®) and also the Programme Director

for Specialised Postgraduate Diplomas at the SFPL.

through its School of Financial Planning Law. Founded in 2001,

the School offered South Africa’s first (and for a long time the

only) Postgraduate Diploma in Financial Planning, which is an

accredited qualification needed to obtain the coveted Certified

Financial Planner (CFP®) designation. This programme, aligned

with international standards, equips financial advisors with the

knowledge and skills to provide holistic financial planning services.

The UFS's contribution wasn't limited to academics. By producing

graduates who prioritise client needs, the School helps to shape

a new generation of ethical and competent financial planners,

ultimately benefiting the financial well-being of South Africans.

Explain in more detail the importance of the

CFP® designation and the role of the SFPL.

Earning the CFP® designation signifies a rigorous educational

journey. Programmes delve deep into various financial planning

areas, from risk management and retirement planning to tax

strategies and estate planning. This comprehensive knowledge

base ensures that CFP® professionals have the tools to tackle even

the most intricate financial situations. Financial guidance is only

as valuable as the trust behind it. CFP® professionals adhere to a

strict code of ethics established by the FPI. The financial world is

constantly evolving and CFP® professionals stay ahead of the curve

through continuous professional development. As the biggest

educational provider in South Africa, the SFPL plays a critical part

in upholding high ethical standards.

Are your programmes suitable for employed individuals?

The SFPL’s distance-learning programmes were developed

specifically to cater to working professionals. The flexible format

allows a student to study around job demands and family life.

Having access to course materials online enables students to

study whenever it best suits their schedule. Additionally, the SFPL

programmes offer a personalised learning approach which ensures

the student receives the guidance they need to excel. Assessments

are conducted online, so a student can be anywhere in the world

and complete the qualification.

What are the most popular courses overall?

Has there been any shift in recent years?

The Postgraduate Diploma in Financial Planning is the flagship

programme and takes centre stage with the highest volume of

SCHOOL OF FINANCIAL PLANNING LAW

students every year. This comprehensive programme equips

aspiring financial advisors with the knowledge and skills

necessary to navigate the complex world of financial planning.

Structured around the CFP® curriculum, it delves into areas like risk

management, retirement planning, tax optimisation and estate

planning and will soon include behavioural finance.

The SFPL also offers specialised postgraduate diplomas in Estate

Planning and Investment Planning. These programmes cater to

individuals seeking in-depth knowledge in specific financial areas.

On the undergraduate level, the Advanced Diploma in Estate

and Trust Administration is experiencing a surge in popularity

as it equips individuals with the expertise to handle complex

fiduciary matters.

At what NQF level are the various courses?

The Postgraduate Diplomas in Financial Planning, Estate Planning

and Investment Planning are all on NQF level 8. The Advanced

Diploma in Estate and Trust Administration is an undergraduate

qualification on NQF level 7.

Do you have some students who are already

financial planners and are looking to add to

their qualifications in specific areas?

The SFPL understands the needs of working professionals in

the financial industry. With approximately 99% of our students

employed, our programmes are specifically designed for distance

learning. This ensures that students can gain valuable financial

planning expertise without compromising their current work

schedule or family commitments.

The SFPL offers not just accredited qualifications but

also assists students in focused professional development.

Alongside our acclaimed postgraduate diplomas, the SFPL

offers industry-relevant short courses designed to enhance a

student’s existing skillset.

Whether someone is looking to delve into the world of financial

coaching or gain expertise in employee benefits, the SFPL’s short

courses provide individuals with the knowledge and practical skills

needed to excel. These focused programmes are perfect for busy

professionals, complementing their current qualifications and

allowing them to specialise.

The flexible nature of these short courses, delivered online,

ensures minimal disruption to work schedules. This makes them

ideal for continuous learning and keeping expertise at the forefront

of the ever-evolving financial landscape.

The Advanced Diploma in Estate and Trust Administration

is accredited by two organisations. Tell us more about it.

The Advanced Diploma in Estate and Trust Administration is

offered by the SFPL, the only institution in South Africa that is

accredited with two well-respected organisations:

The Fiduciary Institute of Southern Africa (FISA): This is a nonprofit

organisation that focuses on fiduciary practitioners such

as estate planners and trust administrators. FISA sets standards

for the profession, provides education for consumers and offers

continuing professional development for its members. This

accreditation signifies that the programme meets the educational

requirements for achieving the prestigious FPSA® (Fiduciary

Practitioner of South Africa) designation.

Society of Trust and Estate Practitioners (STEP): STEP is a

global professional association dedicated to upholding high

standards in the trust and estate management profession. It

focuses on educating and maintaining rigorous professional

qualifications for members. The Advanced Diploma in Estate

and Trust Administration is the only qualification in South Africa

that is considered sufficient as the education portion to become

a STEP member. The SFPL is very proud of this achievement to be

the only education provider in South Africa. TEPs are recognised

internationally as experts in estate and trust administration.

This designation grants access to a global network of over 20

000 professionals.

What are notable achievements by the

SFPL in the last couple of years?

The SFPL has a track record of excellence, boasting several notable

achievements in recent years:

• Top performers: SFPL alumni consistently rank among the

top five achievers in the FPI Board exam, year after year. This

impressive record demonstrates the effectiveness of the SFPL's

curriculum in preparing students for success.

• Award-winning professionals: For several years running, SFPL

graduates have claimed the prestigious FPI Financial Planner

of the Year award. This recognition highlights the exceptional

skills and ethical practices instilled in SFPL alumni, solidifying

their reputation as leaders in the field.

• National recognition: The Advanced Diploma in Estate and Trust

Administration is the only qualification that FISA recognises as

the academic requirement for attaining the FPSA® designation.

• International recognition: The SFPL offers the only accredited

qualification in South Africa that allows graduates to become

international STEP members. This unique qualification positions

SFPL graduates for success in international estate planning.

• Pioneering research: SFPL academics are at the forefront of

financial planning research. Their groundbreaking publication,

Perspectives in Financial Therapy, is the first of its kind in

South Africa, exploring the intersection of financial planning

and emotional well-being and demonstrating the School's

commitment to a holistic approach to financial guidance.

These achievements showcase the SFPL's dedication to

excellence in financial planning education. By producing

top-performing graduates, award-winning professionals and

contributing to groundbreaking research, the SFPL continues to

shape the future of financial planning in South Africa.


WOMEN IN POWER

Empowering progress

through diversity

Gender inclusivity needs to be fostered in South Africa's energy transition, writes

Maagatha Kalavadakken, Financial and Market Analyst for Wärtsilä Energy in Southern Africa.

The energy sector is the cornerstone of any nation's

development. The link between energy and human

progress is undeniable as it powers our homes, industries

and aspirations.

As South Africa strives to achieve its economic and sustainable

growth goals, one crucial element cannot be overlooked: the

active and meaningful participation of women. Globally, women

account for only 16% of the traditional energy sector according

to the International Energy Agency (IEA) and numbers are equally

marginal in South Africa. Nonetheless, women are now emerging

as key drivers of change, innovation and progress within the sector.

Recognising and harnessing their potential is not just a matter of

gender equality, it's a strategic imperative for a brighter energy

future. As a woman working at Wärtsilä, a global leader in energy

solutions, I have witnessed firsthand the complex challenges and

opportunities for gender diversity in the industry.

South Africa's women and the energy

transition: a critical perspective

Despite the just energy transition's focus on addressing job

losses when coal plants retire, gender equality has often been

overlooked. Achieving full gender equality in the energy sector

remains a complex challenge linked to education, societal norms

and corporate policies. But diversity won’t happen by itself.

Maagatha Kalavadakken,

Financial and Market Analyst, Wärtsilä Energy.

Companies and industries play an important role in tackling the

stereotypes and promoting gender equality. In 2023 at Wärtsilä,

we celebrated women during International Women’s Day in

March, with our event “Innovating sustainable societies and

metaverse”, showing how women are making a difference and

continue to do so.

Energy poverty remains a significant challenge in South Africa,

particularly in rural and under-served communities. Women are

often at the forefront of these communities, managing households

and contributing to their families' livelihoods. Their involvement

in the energy sector can provide essential insights into the unique

energy needs of these communities. Women-centred initiatives

can lead to the development of energy solutions that are not

only affordable but also tailored to the specific requirements of

these populations. By engaging women, South Africa can take

meaningful steps towards bridging the energy access gap and

improving overall quality of life. Wärtsilä recognises that addressing

energy poverty requires more than just technical innovation;

it necessitates a diverse and inclusive workforce. When I joined

Wärtsilä, I was drawn to the company's commitment to providing

sustainable energy solutions while nurturing an environment

where women can thrive.

Representation matters, especially in sectors where women

have historically been marginalised. When women see other

women occupying leadership positions in the energy sector, it

sends a powerful message that their aspirations are attainable.

The journey towards gender equality and women's

empowerment in the energy sector requires collaborative efforts

from government, businesses, educational institutions and civil

society organisations. It calls for the creation of mentorship

programmes, scholarships and training opportunities specifically

tailored to women in energy. Furthermore, businesses should

embrace policies that promote diversity and inclusion, creating an

environment where women can thrive and contribute their best.

Nevertheless, I remain hopeful, knowing that Wärtsilä's

commitment to empowering women extends beyond mere words;

it is demonstrated through action, unwavering commitment

and a belief in the power of diversity. Wärtsilä is already leading

the way with a university programme that trains both men and

women, aiming to create a more inclusive future. Through various

Diversity and Inclusion (D&I) programmes, Wärtsilä actively strives

to increase female representation at all levels. Special attention

is given to hiring, aiming for gender equity and appreciating the


WOMEN IN POWER

unique perspectives and creativity that women bring. As living

proof of this commitment, I have personally experienced the

support and opportunities Wärtsilä provides.

My empowering journey with Wärtsilä

Working as a financial analyst in a traditionally male-dominated

industry was not without its challenges. However, joining Wärtsilä

marked a turning point in my career. The company's strong

focus on advancing women resonated with me deeply. From

mentoring to professional development opportunities, Wärtsilä

has nurtured my growth. My work involves understanding energy

markets in Africa and Europe, proposing viable solutions through

financial modelling and finding the best fit for our customers.

This has deepened our understanding of power systems in

different regions, allowing us to contribute meaningfully to

their development. South Africa stands at a pivotal moment in its

energy evolution and women are poised to play a transformative

role. By recognising the importance of women in the energy

sector and actively supporting their participation, South Africa

can tap into a wellspring of creativity, innovation and leadership

that will drive its sustainable energy future. Gender equality is not

just a moral imperative; it's an essential step towards securing a

prosperous, inclusive and vibrant energy sector that benefits all

South Africans.

What role will women play as South Africa

transitions to cleaner energy solutions?

Credit: Wärtsilä

About Wärtsilä Energy

Wärtsilä Energy leads the transition towards a 100%

renewable-energy future. We help our customers in

decarbonisation by developing market-leading technologies.

These cover future-fuel-enabled balancing-power plants,

hybrid solutions, energy storage and optimisation technology,

including the GEMS energy-management platform. Wärtsilä

Energy’s lifecycle services are designed to increase efficiency,

promote reliability and guarantee operational performance.

Our track record comprises 76GW of power-plant capacity

and 110 energy storage systems delivered to 180 countries

around the world.

https://www.wartsila.com/energy

About Wärtsilä

Wärtsilä is a global leader in innovative technologies

and lifecycle solutions for the marine and energy

markets. We emphasise innovation in sustainable

technology and services to help our customers

continuously improve their environmental and

economic performance. Our dedicated and passionate

team of 17 000 professionals in more than 200

locations in 68 countries shape the decarbonisation

transformation of our industries across the globe.

In 2021, Wärtsilä’s net sales totalled EUR4.8-billion.

Wärtsilä is listed on Nasdaq Helsinki.

www.wartsila.com


Steinmüller Africa’s induction bending machine at work, bending thick-walled piping.

Steinmüller Africa’s specialised

induction bending solutions benefit

industries across South Africa

Steinmüller Africa, a specialist in the engineering and fabrication

of high-pressure components, offers exclusive induction bending

solutions to the South African market.

Steinmüller Africa’s pride – The Cojafex PB 850 Induction Bending Machine

Steinmüller has manufacturing capacity for two-million productive hours a year at its Pretoria facility and has

highly skilled engineers on hand to develop, manufacture, install or retrofit components. Its manufacturing

facility contains specialised pieces of equipment, including a specialised induction bending machine called the

Cojafex PB 850, capable of bending pipes between 48.3 mm (outside diameter) and 850 mm (outside diameter)

with a wall thickness up to 100 mm.

The Cojafex PB 850 Induction Bending Machine Is a oneof-a-kind

induction bending machine, enabling paper and

pulp, power, petrochemical and mining plants to source

custom bends locally, as well as large radius, multiple or

complex bends – all with quick turnaround times.

Induction bending is the process whereby a straight pipe

is precision-bent by a specially-engineered machine.

The front of the pipe protrudes through an induction

coil and is clamped into position. The induction coil is

heated to a specified temperature and then the arm of

the machine moves in a predetermined radius, pushing

the pipe through the coil. “This is programmed into the

machine upfront and is an automated process,” explains

Lee Chapman, Divisional Manager – Piping, Steinmüller

Africa. The automation and machine control renders a

precise and top-quality pipe bend. “Our Cojafex machine

is capable of bending pipes between 48.3 OD and 850 OD

with a wall thickness up to 100 mm. It can create bends

up to 180 degrees,” adds Chapman.

Induction bending is ideal “when standard size bends

are not available and custom or large radius bends are

required,” states Chapman. Since it can create complex

(multiple) bends without the need for welding, induction

bending guarantees pipe system integrity and a reduced

maintenance requirement, making it especially wellsuited

to high pressure (HP) piping, steam piping and

industrial piping systems. This also means it delivers a

relatively low cost of ownership. In addition, if multiple

bends are done at once then there is a cost saving during

the erection and ongoing maintenance phases of a plant’s

operation.

The benefit of partnering with Steinmüller is that it offers

complementary services in addition to induction bending.

“There is no need to move the component between

different suppliers as we are able to do all the necessary

Our Cojafex machine is capable

of bending pipes between 48.3 OD

and 850 OD with a wall thickness

up to 100 mm. It can create bends

up to 180 degrees.

bending, welding and heat treatment in-house,” says

Chapman. Using its Schlager gas furnace, Steinmüller

conducts post bend heat treatment (PBHT), which ensures

the pipe’s mechanical properties are restored following

the bending process. In addition, Steinmüller specialises

in various welding processes, enabling custom welding

onto pipes.

A commitment to safety and quality, backed by

international expertise, has made Steinmüller Africa the

fabricator of choice for some of South Africa’s largest

Power, Paper and Petrochemical companies.

“Steinmüller has been carrying out induction bending for

over ten years at its facility in Pretoria and has a number

of qualified bending procedures to both EN and ASME

standards for safety and quality. Our in-house quality

management system ensures that our products meet all

the necessary international standards,” adds Chapman.

Steinmüller Africa is a Bilfinger Power Africa company,

and is a BBEE Level 1 company. For over six decades,

Steinmüller has provided comprehensive solutions

for steam generating plants, from design through to

commissioning and after-service maintenance.

For more information, contact Jaco Gerber – Specialist:

Outage Execution at Steinmüller Africa:

Tel: +27 (0)87 759 0849

Email: jaco.gerber@bilfinger.com

Your trusted partner in

Engineering Excellence!

MEMBER OF THE BILFINGER GROUP OF COMPANIES

www.steinmuller.bilfinger.com

MINING AND TECHNOLOGY

If a mining

company tweaks

a technology to

suit its operations,

who owns the IP?

Opportunity spoke with Hogan Lovells partner Deepa

Vallabh at the Investing in African Mining Indaba about

the legal issues that arise when new technologies are

used – and adapted – on a mine. Mining companies also

have to find the right balance between efficiency and

complying with social and environment guidelines.

Biography

Deepa Vallabh has over 22 years’ experience in corporate and commercial practice and

has in-depth knowledge in a number of legal areas, including mergers and acquisitions

(both domestic and cross-border), capital market transactions, BEE transactions,

corporate reorganisations and restructurings with a particular focus on cross-border

M&A transactions into Africa. Deepa has experience in a variety of sectors which

includes mining and resources, technology, telecommunications, media and

communications, FMCG, insurance, agriculture, manufacturing and private equity.

Deepa Vallabh, partner at Hogan Lovells.

What is your title at Hogan Lovells?

I am a partner in the corporate and commercial Mergers and

Acquisitions (M&A) department.

Why is the convergence of technology and

mining presenting legal challenges?

As technology progresses, a sector like mining can’t ignore the

developments that are happening in technology and the ability

which is being created for them to create efficiencies in their

operations. There is a convergence between the technological

sectors and the traditional mining sector. We ask questions about

the legal intricacies surrounding technological innovations in

mining operations and how they can be navigated. In the legal

landscape, you’ve got two very different sectors which are

regulated by very different pieces of law. When you integrate

that effectively, mining companies have to become au fait with

the rights and challenges around technology.

Would that include things like copyright on technology?

Correct. Depending on the kind of technology you are dealing

with, it is external or internal. If its external, you generally have

a supplier that has come up with a product and has created

some technological or technical efficiencies which the mining

operator can employ. Then the legal regime is one of a licensing



Nearly half a million South Africans are employed in the mining sector.

is shared. This then depends on the rights of the licensor versus

the licensee, the strength of the licensor versus the licensee. For

example a licensor like Microsoft is generally not going to be

very amenable to giving you the IP even if they are developing a

bespoke product for you, whereas a small technology player may

feel they want the business.

New technology is constantly being

introduced to mining operations.

arrangement to use the technology or to explore the technology

and then a fee is payable. In those scenarios the copyright sits

with the licensor, which is the entity which has either developed

it or has the ability to license that. The originator. They hold the

intellectual property (IP) and they will have the registered rights

to the IP. Where it becomes really interesting is when you have a

piece of technology that needs to be adapted for a specific mining

operation. If a certain technology measures something or works

out where the resource is sitting, that technology might have to

be adapted depending on the minerals you’re looking for and

depending on the kinds of operations.

Would the climate be a variable?

Or even the climate, whether it is an underground operation or a

surface operation. Often mining companies will engage with these

technology companies to try to adapt the technology and then

it becomes interesting from a legal perspective: who owns the

amended technology or software?

So what sort of law do you go to there?

IP law has some basic principles. The registered owner owns the IP

and they have a title and they have the ability to defend the title to

that particular IP. However, the intricacies of these developments

is in the commercial rig agreements that you put together so you

can govern contractually how that IP is actually shared and if it

They want the next contract?

They want the next contract, so they would maybe be more

amendable on sharing the ownership structure of the IP. Those

issues become very interesting. The additional challenge also is

that sometimes you enter into these agreements and you put

something in place for the licence but operationally when you are

on the ground and you start adjusting the IP and nobody regulates

this… it wasn’t in the contract, someone will say. Legal challenges

arise from that if there is a dispute scenario. These are some of the

things that mining companies and technology companies working

with mining companies have to start thinking about.

And are you trying to help both parties navigate

that before it becomes a problem?

Absolutely. There are certain things that we will ask upfront

before the commencement of the negotiations or the drafting of

the document. What is this IP about? Will it be developed? Is it

changeable and who owns the developed IP? A lot of technology

relating to what a mining company would be interested in relates

to the IP and the adapting of the IP.

Is our legislation keeping up or is it still evolving

with this merging of the two sectors?

With respect to IP legislation per se there is obviously

legislation that protects the ownership of the IP, the rights of

parties who have developed IP. You can register your IP and

you can create a patent around your IP, you can have natural

copyright in things that you have created. The IP laws are not

new, but they haven’t been adapted to deal with issues like

who owns co-mingled IP for example. By that I mean IP that’s

been developed collectively.

PHOTO MIDDLE: Thungela Resources / PHOTO RIGHT: Exxaro www.opportunityonline.co.za | 51


There is a body of jurisprudence around this and there’s a significant

amount of case law that guides us but a lot depends on how you

contractually create the framework.

BALANCING TECHNOLOGY AND EMPLOYMENT

Is there not a danger that new technologies

will reduce employment?

There are other considerations that are really relevant in our

South African market and in the context of an African market.

Where you have efficiency technologies being introduced,

mining companies have to balance the need to invest in

these technologies with the need to balance the ability to

keep people employed in a sector in an economy where jobs

are so relevant. It is a big issue. The mining sector contributes a

significant amount to the South African GDP and a significant

portion of that mining sector is labour intensive. There is a

significant population in South Africa that relies on that

employment. I think the mining industry employs something

like a half a million people across South Africa and the same

issue applies in other African countries. Every developing

country has the need to ensure that they are creating as many

jobs as possible.

The mining sector must balance investment in technology with the

social imperative to employ people.

Is Hogan Lovells also in the business of

advising on that kind of thing?

We would be able to advise on the employment issues around

these aspects. From a legal perspective we can navigate these

issues depending on the client, but this is more a commercial

consideration for mining companies who are looking to invest in

technology or put capex into technology. They’ve got to balance

the need to keep people employed versus the need to be more

technologically efficient.

In some markets, that need to keep people

employed is actually legislated, isn’t it?

Correct and our market is one of them. You also have to think about

the fact that a significant proportion of the workforce in the mining

industry is unionised. It is a massive drive for government to ensure

that these jobs are available and that they are decent paying

jobs and that the health and safety of workers is being taken

care of. Mining companies have a slew of legislation and a raft of

requirements to deal with in terms of ensuring that their people

are safe because there are safety measures, health protocols and

standards that are applied to wages and living conditions. These

are all covered in our mining legislation and in our labour relations

act. You have to balance that with the need to be commercially

profitable as a mining company; it may well be profitable to invest

a chunk of capital in a machine that’s going to do the work of what

a thousand employees are doing; it’s more efficient, you don’t have

to pay medical aid, you don’t have to give severance, you don’t

have to give housing. Balancing those needs in our market has to

be taken into account, and that’s the challenge for most African

governments and most African mining companies.

Do you have periodic workshops with senior mining

executives that you might be consulting with?

We do and it depends on what’s topical at the time and what

is relevant to our clients. We have a very sophisticated mining

industry so these issues are not alien to the executive teams of

these mining companies. They are constantly balancing that

need to increase stakeholder value. In terms of our legislation,

we’re supposed to be looking at the benefit for stakeholder

community and that stakeholder community includes employees,

the communities within which you mine, your shareholders,

of course, and it also includes the environment. The mining

companies have a responsibility to look at these issues more

holistically than just economically.

And you’re there to guide them, as it were?

Yes, we are there to guide them.


PHOTO TOP: Anglo American / PHOTO BOTTOM: Implats

PROFILE

Ithuba Valves and

Industrial Supplies

Designing, making, fixing and installing high-quality waterworks valves.

Ithuba Valves and Industrial Supplies

is the only Level 2 BBBEE company

that specialises in the design,

manufacturing, refurbishment,

installation, removal and supply

of waterworks valves. Valves are

manufactured to the customer's

specification at our Alberton facility, thus

creating and maintaining employment

opportunities for South Africans. Ithuba

Valves is a proud supplier of local valves

to all state-owned companies and we

comply with all their specifications.

Clients include the Department of Water

and Sanitation, Eskom, Rand Water,

Johannesburg Water and Umgeni Water.

We are proud to have played a role in

designing and installing a complex

wedge-gate valve in the Mohale Tunnel,

part of the Lesotho Highlands Water

Project. Our management and technical

teams surpassed the client’s expectations

on this tough project, as the work

involved descending 96m underground

in a shaft.

Background

Ithuba Valves and Industrial Supplies cc

was established in 2000 and commenced

trading in August 2003, quickly earning

a fine reputation as a refurbishment

company in the valve industry. This

resulted in the successful completion of

various large contracts, including phase

one and two of the demothballing of

Camden Power Station and phase one

of Grootvlei Power Station. With the

acquisition of a manufacturing facility in

2006, Ithuba Valves stepped up its strategy

of becoming South Africa's first fully

black-owned valve manufacturer. Further

acquisitions have seen the company

expand its range of designs, drawings and

patterns which means that Ithuba Valves

now has a wide range of products to sell

to the waterworks industry.

Product range

Ithuba Valves manufactures waterworks

valves ranging from 80mm to 3 000mm,

with working pressure ranging from 10

bars up to 100 bars.

• Butterfly valves, double flanged

• Butterfly valves, wafer type

• Rubber-lined Butterfly valves

• Metal-seated Butterfly valves

• Wedge-gate valves

• Sleeve valves

• Non-return valves, double flanged

(single door and multi door)

• Plunger valves

• Spherical valves

Ithuba Valves has developed a new

Butterfly valve with ranges from 1 000mm

to 2 800mm (PHOENIX Butterfly Valve). Its

features include a dish disk that reduces the

weight of the valve by 20% and the valve

is able to handle seven to 10 litres of fluid

a second.

Mission statement

• Focuses on being a product leader in

waterworks.

• Passionate about manufacturing highquality

products and on-time delivery for

our customers.

• Educating and creating awareness about

quality to all our employees.

• Strive to satisfy our internal and external

stakeholders.

Employment equity policy

Ithuba Valves distances itself from any

form of discrimination and commits itself

to the promotion and achievement of

equal opportunity and fair treatment in

the work environment.

Contact details

8 Basalt Street, Alrode Ext 7, Alberton

Tel: +27 11 864 2582

Email: sales@ithubavalves.co.za

Website: www.ithubavalves.co.za

Tshepo Mabona, CEO


TECH TRENDS

Tech trends for ‘24

Small business owners are embracing the cloud, according to Xero’s State of Small Business

report. James Bergin, Executive GM, Technology Strategy and Integration at Xero,

describes the five top tech trends likely to have a big impact on small business.

The pace of technological change is accelerating and it's

reshaping just about every aspect of how we live, work

and play. While Xero’s Future Focus research reveals small

businesses are more optimistic and even intrigued about

the potential of emerging technologies than focussing on doom

and gloom, many wish there was more education and resources

to navigate a rapidly changing world. With small business owners

looking to make technology a digital stepping stone for their

businesses’ success in 2024, Xero’s South African State of Small

Business (SOSB) report suggests that many small-business owners

are embracing the cloud, with 69% using cloud-based technology

in their business because of the flexibility it offers to work from

anywhere and its ability to streamline and improve operations and

collaborate with their advisors and financial processes. The report

further revealed that small-business owners are willing to invest in

technology skills, with 86% investing in online or in-person training

courses to increase knowledge and improve tech skills. To help small

businesses and their advisors plan ahead, it is essential to separate

the hype from reality — to uncover the top five technology trends

that may impact the small business landscape in 2024.

Trend #2: The rise of the

augmented, conversational UI

The promise of conversational user interface

has been around for a while with Siri and

Alexa, but it’s always been functional and

instructional, never truly conversational.

ChatGPT is not a better search engine

but it is becoming one of the first real,

usable and intelligible chatbots. In 2024,

large language model-powered tools like

ChatGPT will continue to revolutionise

human-computer interaction through the

rise of conversational chatbots that are able

to interact with customers. The ability for

chatbots to have real-time conversations

in any language to customers 24/7 and

perform certain tasks at their request

will unlock new opportunities for small

businesses looking to handle customer

inquiries or expand into new markets.

Trend #1: The AI-augmented creativity boom

2023 saw generative AI burst into the mainstream, and while

language models are not necessarily new to those within the

tech industry the interactivity and accessibility of AI through

tools like ChatGPT signalled the biggest leap in the technology’s

capabilities, helping businesses to create content easier and

faster. In 2024, we could well see a “creativity boom” where

AI models go beyond statistical similarity and come up with

new designs or products that are far better than the ones that

exist today. Continuing in its ability to augment (rather than

replace) human intelligence, AI could truly become the co-pilot

for business owners, enabling them to set up the requirements

such as manufacturing processes, helping with the automation

and reporting of certain financial and administrative tasks

and filtering a myriad of new ideas. The drawbacks around

misinformation, copyright and bias will also need to be

worked through in 2024, as the push for the commercially safe,

transparent and ethical use of these AI systems comes to a head

in jurisdictions around the world.

James Bergin


TECH TRENDS

Trend #3: The metaverse finds

a new source of power

The idea of living and working entirely in a virtual world

as so often shown in the movies still feels fanciful, even

comical. Yet advances in 2023 in the technologies that

underpin the concept of a metaverse, particularly

in augmented and virtual reality, and significant

investment by large technology companies, has

brought some aspects of this ambitious vision closer

to reality. Will it be the breakthrough technology of

2024? It seems unlikely to reach full maturity, but a

version of the metaverse will be the next iteration of the

Internet, providing immersive, blended and connected

experiences for everything from entertainment to

education to virtual community building, and that it will

introduce new concepts of ownership of digital assets.

Many of these concepts will continue to evolve and

emerge in 2024, with more small businesses innovating

and exploring this space as some started to do in 2023.

Trend #4: Carbon accounting the

next frontier for compliance

We are well into the critical decade of climate action

and pressure will begin to mount on governments and

industries to reduce their carbon emissions to meet

the Intergovernmental Panel on Climate Change’s

(IPCC) 2030 deadline. At the same time, the release

of the sustainability standards by the International

Sustainability Standards Board (ISSB) could see

reporting on carbon emissions no longer be optional

for businesses. The ISSB standards could very well

bring in a new era of compliance and become the basis

of accounting standards in 2024. To avoid being locked

out of corporate supply chains or providing inaccurate

and misleading information on environmental or

sustainability practices, small businesses will need to

ensure they are accurately calculating and tracking

their carbon emissions each year. The integration of

carbon-accounting software into existing accounting

platforms will see carbon accounting become an

extension of financial accounting and reporting

practices for small businesses.

Trend #5: The rise of the super

ecosystem, powered by connectivity

Connectivity between new and traditional players

within the payments ecosystem is bringing in a

new era of digital payment experiences for small

businesses. Today, it allows the real-time validation of

e-invoices to help small businesses send bills over the

Internet and get paid faster. Xero’s research reveals

that late payments cost small businesses time and

resources, with 92% of SMEs revealing that chasing

down late payments takes them on average one to

two months, stressing the fact that more needs to be

done to reduce the burden of late payments.

A super ecosystem, powered by connectivity,

will ensure the seamless transmission of data

between banks and third-party providers to

enable instant access to financial information

and services, thus reducing the burden of late

payments so that the country can effectively

unlock the potential of small businesses.

In 2024, global platforms like Xero, Apple, Amazon,

Google and Microsoft will continue to make their

products work better together. Why? Because

people are tired of using lots of different apps for

different things. They want everything in one place,

working smoothly together. Rather than the rise of

the “super-app”, we’ll see the power of the “super

ecosystem”; the interconnectedness of financial

services that make it easier to pay bills, transfer

money and manage finances together in one spot.

Small steps to an exciting future

While some of these tech trends might take years,

or decades even, to realise the full scope of their

impact on the world, the first steps into that future

are being taken now. In 2024, it would be a good

idea for small businesses and their advisors to

continue to keep an eye on developments in these

five trends, as they will no doubt play a major role

in shaping the future themselves.


MICE

A surge in hybrid and

remote work is fuelling

demand for exceptional venues

Nine things to look for when choosing a conference venue at a time when coming together is even more

of a special occasion than it used to be, pre-Covid. Premier Hotels & Resorts lays out the most important

factors to consider when booking a conference or exhibition venue that ticks all the new boxes.

In the wake of the remarkable shift towards hybrid and remote

work arrangements across the world, the quest for extraordinary

conference venues has reached new heights, with a focus on

fostering connections among colleagues and stimulating

surroundings taking centre stage.

The meetings, incentives, conferences and exhibitions (MICE)

sector has changed in the aftermath of Covid and organisers need

to be aware of the new demands that are being made of them.

Amid this evolution, the significance of inspiring surroundings has

taken centre stage, as companies seek innovative alternatives to

the conventional office setting. The need for conference facilities

that offer seamless, stress-free and one-of-a-kind in-person

meetings has become paramount. A stand-out player in the

realm of being able to host exceptional conference and corporate

events is Premier Hotels & Resorts, which has a presence in some

of South Africa’s most sought-after places. Renowned regions such

as Drakensberg, Kruger National Park, OR Tambo and East London

have emerged as alluring choices for conferences owing to their

picturesque landscapes and well-equipped conference facilities.

Here’s what to look for when selecting a conference venue:

Indoor vs outdoor opportunities

The dynamics of conferences have shifted dramatically since the

Covid-19 pandemic. Companies are now in search of venues that

offer a blend of environments, moving away from traditional

classroom-style setups.

Smaller and flexible meeting rooms, like this one at Premier Hotel

The Winkler in Mpumalanga, are becoming more popular with

conference planners.

Flexibility

The trend has shifted from large theatre-style settings to smaller,

more intimate group sessions. Clients increasingly demand

versatile seating arrangements and breakout areas tailored to

the specific needs of each conference or team-building activity.

Adaptable scheduling and time-keeping also plays a crucial role

in accommodating the changing requirements of conferences.

Equipment

The functionality of technology is now paramount. A robust

audio-visual setup and high-speed uninterrupted WiFi are vital.

Smart TVs, projectors, audio setups, connectivity cables and ample

plug points are must-haves. Conference units must host built-in

microphones and video cameras to facilitate seamless connectivity

through platforms like Zoom, Skype and Microsoft Teams. Tech

professionals must be on standby to address any troubleshooting

issues that may arise.

Culinary experiences

Nutritious fare is vital to maintaining focus and productivity

throughout a conference which is why standard menus are

falling away. This has led chefs to move towards offering a pickand-choose

menu of superior culinary offerings that cater to

diverse dietary requirements. Incorporating restaurants, gourmet

catering services and wine tastings into conference programmes

can enhance attendees’ experience, providing an opportunity to

savour the region’s delightful cuisine and sample world-class wines

during breaks or networking sessions.

Unique and captivating settings

When it comes to a venue’s natural beauty this is an easy tick-box.

Majestic mountain ranges and picturesque landscapes create

a captivating backdrop for conferences. A venue’s layout and

ambience has a significant impact on a conference’s success.

Research indicates a notable correlation between workplace

ambience, employee performance and productivity. Adequate

meeting rooms that can accommodate the conference’s size and

requirements are vital. Venues that provide ample natural light

and fresh air foster collaboration, creating a happier and more

effective team.


The Premier Resort Sani Pass is located in the unique and captivating

setting of the southern Drakensberg, easily fulfilling one of the most

important criteria for a good modern conference venue.

Premier Hotel The Winkler at night.

Team-building activities

In addition to the allure of exclusive conference venues and their

amenities, many venues offer a range of team-building activities

that can be seamlessly integrated into conference schedules.

These experiences foster camaraderie, encourage collaboration

and provide memorable moments for conference attendees.

The “Bleisure” trend

Most conference venues are typically located in proximity to

other tourist attractions and activities such as wildlife reserves,

golf courses, hiking trails or historical landmarks. These allow

conference attendees to combine business with leisure, providing

opportunities for relaxation and exploration during their stay and

enhancing the overall conference experience.

On-site accommodation

For multi-day conferences, on-site accommodation is a significant

advantage. Premier Hotels & Resorts offers preferential rates

for conference attendees, providing rooms and suites equipped

with modern amenities such as designated workspaces and

complimentary high-speed WiFi.

Location

Choosing a conference venue with safe and easy access to public

transportation, along with nearby quality accommodation, is

essential for convenience. All Premier Hotels locations are wellsuited

for colleagues and teams travelling from near and far,

offering high-end facilities for conducting business in absolute

comfort. The combination of scenic beauty, unique event spaces,

exceptional facilities, attentive service, culinary delights and

immersive experiences have combined to make Premier Hotels &

Resorts a popular choice as a conference destination.

About Premier Hotels

Premier Hotels & Resorts is one of South Africa’s leading

independent hospitality groups, operating a portfolio of 24

properties. The award-winning hospitality company has over 30

years’ experience developing and managing hotels and conference

centres, with a proven reputation for delivering superior results

through forward-focused ingenuity and exceptional asset

management. The range of properties within the portfolio

offers comfortable accommodation and superb facilities as well

as relaxed dining options, combined with convenient locations

ideal to easily access the surrounding attractions or key sites of

importance in the area.

For more information, visit www.premierhotels.co.za


BUSINESS RISK

South African business

ranks infrastructure

blackouts as biggest risk

The Allianz Risk Barometer 2024 asseses the top risks to business in South Africa.

Critical infrastructure blackouts, cyber security and disruptions to business

operations such as supply chains top the list of the concerns.

Cyber incidents such as ransomware attacks, data

breaches and IT disruptions are the biggest worry for

companies globally in 2024, according to the Allianz

Risk Barometer. The closely interlinked peril of business

interruption ranks second. Natural catastrophes (up from #6 to #3

year-on-year), fire, explosion (up from #9 to #6), and political risks

and violence (up from #10 to #8) are the biggest risers in the latest

compilation of the top global business risks, based on the insights

of more than 3 000 risk management professionals.

Critical infrastructure blackouts top South

Africa business risk for 2024

Critical infrastructure blackouts have emerged as the number one

risk for businesses in South Africa for the second consecutive year,

highlighting the severe impact of power outages and the failure

of essential infrastructure such as ports, railways, roads on the

economy and businesses. The closely interlinked peril of energy

crisis has climbed to the fifth position, up from sixth place in 2023.

Cyber incidents and business interruption continue to hold the

second and third spots, respectively.

"South Africa's business community must remain vigilant in

the face of critical infrastructure blackouts. The persistent threat

of power outages and infrastructure failures poses significant

challenges to businesses, disrupting supply chains and impacting

the overall economy. The report underscores the urgent need

for investment in infrastructure resilience and the development

of contingency plans to mitigate the potential consequences

of blackouts. By proactively addressing these risks, businesses

can enhance their ability to withstand disruptions and ensure

continuity of operations,” said Thusang Mahlangu, CEO of Allianz

Commercial South Africa.

Allianz Commercial CEO Petros Papanikolaou comments on

the findings: “The top risks and major risers in this year’s Allianz

Risk Barometer reflect the big issues facing companies around the

world right now – digitalisation, climate change and an uncertain

geopolitical environment. Many of these risks are already hitting

home, with extreme weather, ransomware attacks and regional

conflicts expected to test the resilience of supply chains and

business models further in 2024.

Brokers and customers of insurance companies should be aware

and adjust their insurance covers accordingly.”

Large corporates, mid-size and smaller businesses are united by

the same risk concerns – they are all mostly worried about cyber,

business interruption and natural catastrophes. However, the

resilience gap between large and smaller companies is widening,

as risk awareness among larger organisations has grown since the

pandemic with a notable drive to upgrade resilience, the report

notes. Conversely, smaller businesses often lack the time and

resources to identify and effectively prepare for a wider range of

risk scenarios and, as a result, take longer to get the business back

up and running after an unexpected incident.

Trends driving cyber activity in 2024

Cyber incidents (36% of overall responses) rank as the most

important risk globally for the third year in a row – for the first

time by a clear margin (5%). Cyber incidents retains #2 position

in South Africa. It is the top peril in 17 countries and regions,

including Nigeria, Uganda, Kenya, Mauritius, Africa and the

Middle East, Germany, India, Japan, the UK and the US. A data

breach is seen as the most concerning cyber threat for Allianz

Risk Barometer respondents (59%) followed by attacks on critical

infrastructure and physical assets (53%). The recent increase in

ransomware attacks – 2023 saw a worrying resurgence in activity,

with insurance claims activity up by more than 50% compared with

2022 – ranks third (53%).

“Cyber criminals are exploring ways to use new technologies

such as generative artificial intelligence (AI) to automate and

accelerate attacks, creating more effective malware and phishing.

The growing number of incidents caused by poor cyber security,

in mobile devices in particular, a shortage of millions of cyber

security professionals, and the threat facing smaller companies

because of their reliance on IT outsourcing are also expected to

drive cyber activity in 2024,” explains Scott Sayce, Global Head

of Cyber, Allianz Commercial.

Business interruption and natural catastrophes

Despite an easing of post-pandemic supply chain disruption

in 2023, business interruption (31%) retains its position as


the second-biggest threat

in the 2024 survey. Business

interruption retains #3 position

in South Africa and ranks in the

top five risks in Ghana, Kenya,

Senegal, Uganda and Africa and the

Middle East. This result reflects the

interconnectedness in an increasingly

volatile global business environment, as

well as a strong reliance on supply chains

for critical products or services. Improving

business continuity management, identifying

supply chain bottlenecks and developing

alternative suppliers continue to be key risk

management priorities for companies in 2024. Natural

catastrophes (26%) is one of the biggest movers at #3, up

three positions. 2023 was a record-breaking year on several

fronts. It was the hottest year since records began, while insured

losses exceeded $100-billion for the fourth consecutive year,

driven by the highest-ever damage bill of $60-billion from severe

thunderstorms. In South Africa, the impact of natural catastrophes

was particularly severe, propelling it from seventh to fourth place

in the global ranking. The country experienced devastating floods

that resulted in casualties and extensive damage to homes,

businesses and critical infrastructure.

Credit: Sky Pixels/ Wikimedia Commons Credit: Eskom

Regional differences and risk risers and fallers

Climate change (18%) may be a non-mover year-on-year at #7 but

is among the top three business risks in countries such as Brazil,

Greece, Italy, Turkey and Mexico. The report reveals that South

Africa experienced a slight shift in risk perception, with climate

change dropping from fourth to seventh spot in 2023. Physical

damage to corporate assets from more frequent and severe

extreme weather events are a key threat. The utility, energy and

industrial sectors are among the most exposed. In addition, netzero

transition risks and liability risks are expected to increase in

future as companies invest in new, largely untested low-carbon

technologies to transform their business models. Unsurprisingly,

given ongoing conflicts in the Middle East and Ukraine and


Credit: FLY:D on Unsplash

Top 10 risks in South Africa

Rank Risk Percent

1 Criticial infrastructure blackouts 40%

2 Cyber incidents 39%

3 Business interruption 35%

4 Natural catastrophes 26%

5 Energy crisis 26%

6 Political risks and violence 20%

7 Climate change 18%

8 Fire, explosion 14%

9 Theft, fraud, corruption 11%

10 Changes in legislation and regulation 10%

Source: Allianz Commercial. Figures represent how often

a risk was selected as a percentage of all responses.

Figures don’t add up to 100% as up to three risks could be

selected.

tensions between China and the US, political risks and violence

(14%) is up to #8 from #10. The risk moved down one place to #6

in South Africa. 2024 is also a super-election year, where as much

as 50% of the world’s population could go to the polls, including

in Ghana, Mauritius, Senegal, South Africa, India, Russia, the US

and the UK. Dissatisfaction with the potential outcomes, coupled

with general economic uncertainty, the high cost of living and

growing disinformation fuelled by social media, means societal

polarisation is expected to increase, triggering more social unrest

in many countries. However, there is some hope among Allianz Risk

Barometer respondents that 2024 could see the wild economic

ups and down experienced since the Covid-19 shock settle down,

resulting in macroeconomic developments (19%), falling to #5 from

#3. Yet economic growth outlooks remain subdued; just over 2%

globally in 2024, according to Allianz Research.

“But this lacklustre growth is a necessary evil: high inflation

rates will finally be a thing of the past,” says Ludovic Subran, Chief

Economist at Allianz. “This will give central banks some room to

manoeuvre. Lower interest rates are likely in the second half of the

year. Not a second too late, as stimulus cannot be expected from

fiscal policy. A caveat is the considerable number of elections in 2024

and the risk of further upheavals depending on certain outcomes.”

In a global context, the shortage of skilled workforce (12%) is seen

as a lower risk than in 2023, dropping from #8 to #10. However,

businesses in Central and Eastern Europe, the UK and Australia

identify it as a top-five business risk. Given there is still record low

unemployment in many countries around the globe, companies are

looking to fill more jobs than there are people available to fill them.

IT or data experts are seen as the most challenging to find, making

this issue a critical aspect in the fight against cyber crime.

About Allianz Commercial

Allianz Commercial is the centre of expertise and global line of

Allianz Group for insuring mid-sized businesses, large enterprises

and specialist risks. Customers include the world’s largest

consumer brands, financial institutions and industry players, the

global aviation and shipping industry as well as family-owned

and medium-sized enterprises which are the backbone of the

economy. Allianz also covers unique risks such as offshore wind

parks, infrastructure projects or Hollywood film productions.

Powered by the employees, financial strength and network of

the world’s #1 insurance brand, as ranked by Interbrand, the

company works together to help customers prepare for what’s

ahead: they trust us to provide a wide range of traditional and

alternative risk transfer solutions, outstanding risk consulting

and multinational services, as well as seamless claims handling.

The trade name Allianz Commercial brings together the large

corporate insurance business of Allianz Global Corporate &

Specialty (AGCS) and the commercial insurance business of

national Allianz Property & Casualty entities serving mid-sized

companies. We are present in over 200 countries and territories

either through our own teams or the Allianz Group network and

partners. In 2022, the integrated business of Allianz Commercial

generated more than €19-billion gross premium globally.


SACCI Business Confidence Index – March 2024

Economic data

The SACCI Business Confidence Index (BCI)

2020 = 100

Month 2017 2018 2019 2020 2021 2022 2023 2024

January 112.9 115.3 109.9 106.6 109.2 108.8 112.9 112.3

February 110.4 114.3 108.0 107.2 109.0 112.0 111.9 114.7

March 108.4 112.8 106.1 103.9 108.7 110.5 111.3 114.7

April 109.7 111.0 108.3 89.9 109.5 108.3 107.1

May 107.7 108.7 107.5 81.0 112.1 103.2 106.9

The South African Chamber of Commerce and Industry (SACCI) June regularly 109.7 publishes 108.3 107.9 economic 94.1 111.2 data 108.5 108.8

July 110.2 109.5 106.4 95.7 107.7 110.3 107.3

August 103.6 104.6 103.0 99.2 106.2 105.6 108.6

relating to business confidence and trade, the SACCI Business Confidence Index and the Trade Conditions

September 107.5 107.9 106.8 99.1 105.2 110.9 108.2

October 107.4 110.8 106.0 106.4 109.7 109.4 108.6

Survey. As of 2023, SACCI has been collaborating with the November Bureau of 109.9 Market 111.1 Research 107.2 108.0 (BMR) 107.3 in producing

110.9 111.5

December 111.4 110.1 107.6 109.0 106.4 117.3 112.1

the Small Business Growth Index. For more statistics, see www.sacci.org.za and www.bmr.co.za

Average 109.1 110.4 107.1 100.0 108.5 109.6 109.6

SACCI BUSINESS CONFIDENCE INDEX

Persistent business confidence

SACCI’s Business Confidence Index (BCI) remained steady at 114.7 in

both February and March 2024. It has been on an upward trend since

November, marking the highest level for the BCI since January 2018,

which coincided with the election of new leadership within the ruling

party. The month-on-month movement between February and March

2024 indicates a stabilisation of business confidence at an improved

level. The notable short-term positive influences were observed in global

trade and foreign tourist service-related activities. The enhanced BCI

suggests a business environment that remains stable to positive, despite

external factors and local economic challenges. This positive shift reflects

businesses' adaptability to adverse circumstances, partly attributed to

positive international economic and business relations involving South

Africa. Despite South Africa’s foreign political relations, international

economic SACCI and Trade business Conditions Survey engagements February 2024 have significantly contributed

to the country's South African economic Chamber of well-being. Commerce and Critical Industry to achieving economic

growth is maintaining Trade Conditions adequate Survey levels of capital stock and encouraging

continued fixed investment. February However, 2024 domestic savings in South Africa fall

short of financing the necessary fixed Sales pricesinvestment to expand the capital

Trade Conditions Survey

90

80

Six month expected

stock. In 2023, domestic Current savings 85 only accounted for 14% of GDP, leaving a

Present

70

Six month expected

80

75

60 considerable shortfall of 11% of GDP to achieve a 25% fixed investment to

70

50

65

GDP ratio. This financing gap 60 must be supplemented by foreign investment

40

55

30

50

due to South Africa's inadequate domestic saving performance.

45

% Positive

20

Jan-15

Jun-15

Nov-15

Apr-16

Sep-16

Feb-17

Jul-17

Dec-17

May-18

Oct-18

Mar-19

Aug-19

Jan-20

Jun-20

Nov-20

Apr-21

Sep-21

Feb-22

Jul-22

Dec-22

May-23

Oct-23

Current Trade Conditions Index (TAI)*

% Positive

40

Activity Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24

Sales volumes 30 30 37 33 26 34

New orders 30 32 37 37 18 25

Backlog on orders received 27 27 43 43 32 16

Supplier deliveries 39 43 43 40 29 31

Inventory level 48 50 57 50 47 25

Selling prices 52 55 60 60 53 38

Input prices 75 68 73 70 66 56

Employment 32 34 33 40 34 38

TAI 33 35 39 38 28 31

TAI seasonally adjusted 34 31 43 48 27 31

Note: The indices are diffusion indices and vary between 0 and 100. At 50 an index reflects

a 'no change' situation and above or below 50 implies a positive or a negative reading

depending on the trade component.

* The TAI is the composite index of sales volumes, new orders, supplier deliveries,

inventory levels and employment.

Expected Trade Conditions Index (TEI)*

Activity Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24

Sales volumes 61 55 47 47 42 50

New orders 64 57 43 40 47 44

Backlog on orders received 34 32 27 27 29 28

Supplier deliveries 55 50 40 40 42 44

Inventory level 55 55 50 47 45 34

Selling prices 66 68 60 67 58 56

Input prices 77 80 87 87 76 72

Employment 48 45 40 43 32 34

TEI 58 53 44 43 42 43

TEI seasonally adjusted 58 51 43 50 39 44

* The TEI is the composite index of expectations on sales volumes, new orders, supplier

deliveries, inventory levels and employment.

The expectations are for six months ahead

Jan-15

Jun-15

Nov-15

Apr-16

Sep-16

Feb-17

Jul-17

Dec-17

May-18

Oct-18

Mar-19

Aug-19

Jan-20

Jun-20

Nov-20

Apr-21

Sep-21

Feb-22

Jul-22

Dec-22

May-23

Oct-23

TRADE CONDITIONS SURVEY, SACCI

160

2024 starts off with tough trade conditions

Index

180

160

140

120

100

80

60

Jan-10

Jul-10

Jan-11

Jul-11

Jan-12

Jul-12

SACCI Business Confidence Index

Jan-13

Jul-13

Jan-14

Jul-14

Jan-15

Jul-15

Jan-16

Jul-16

2

Jan-17

Downward phase of the business cycle

BCI 2020 = 100

Jul-17

Jan-18

Jul-18

Jan-19

Jul-19

Jan-20

Jul-20

Jan-21

Jul-21

The 40 SACCI Business Confidence Index (BCI) 2020=100

30

Month 2017 2018 2019 2020 2021 2022 2023 2024

20

January 112.9 115.3 109.9 106.6 109.2 108.8 112.9 112.3

February 110.4 114.3 108.0 107.2 109.0 112.0 111.9 114.7

March 10

108.4 112.8 106.1 103.9 108.7 110.5 111.3 114.7

April 109.7 111.0 108.3 89.9 109.5 108.3 107.1

May 0 107.7 108.7 107.5 81.0 112.1 103.2 106.9

June 109.7 108.3 107.9 94.1 111.2 108.5 108.8

July -10 110.2 109.5 106.4 95.7 107.7 110.3 107.3

August 103.6 104.6 103.0 99.2 106.2 105.6 108.6

September 107.5 107.9 106.8 99.1 105.2 110.9 108.2

-20 October 107.4 110.8 106.0 106.4 109.7 109.4 108.6

November 109.9 111.1 107.2 108.0 107.3 110.9 111.5

December -30 111.4 110.1 107.6 109.0 106.4 117.3 112.1

Index points

Jan-10

Jul-10

Jan-11

The SACCI BCI Business year-on-year Confidence movement Index (BCI)

2020 = 100

Jul-11

Jan-12

Jul-12

SACCI Business Confidence Index – March 2024

Jan-13

Jul-13

Jan-14

Jul-14

Jan-15

Jul-15

Average 109.1 110.4 107.1 100.0 108.5 109.6 109.6

180

140

The results from the February 2024 120 Survey of Trade Conditions by SACCI

100

confirm a rough trade environment that began to deteriorate since October

80

2023. Although there was a minor improvement between January and

60

February 2024, 69% of respondents still experienced trade conditions as

Index

Jan-10

Jul-10

Jan-11

Jul-11

Jan-12

Jul-12

Jan-13

Jul-13

Jan-14

Jul-14

Jan-16

Jan-15

Jul-16

Jul-15

Jan-17

Jan-16

Jul-17

Jul-16

Jan-17

Jan-18

Jul-17

Jul-18

Jan-18

Jan-19

Jul-18

Jul-19

Jan-19

Jul-19

Jan-20

SACCI Business Confidence Index

Jan-20

Jul-20

Jul-20

Jan-21

Jan-21

Jul-21

Downward phase of the business cycle

BCI 2020 = 100

negative. Seasonal factors did not play a significant role in the deterioration. All

elements of trade improved in February 2024 though it was from the historic

40

low base in January 2024. New orders also showed a slight improvement in

30

February. Input cost slowed further with only 56% of respondents recording

20

rising input costs. The SA Reserve Bank may possibly consider easing its

10

Index points

-10

transport have limited merchandise -20global trade and contributed to the more

difficult trade conditions. Tourist services -30 are still in the recovery phase while

Jan-10

Jul-10

Jan-11

Jul-11

Jan-12

Jul-12

SACCI BCI year-on-year movement

monetary stance on interest rates. A number of trade activities are touched

0

by the cumbersome trade conditions. Logistical problems at harbours and rail

new vehicle sales, although lower, appear to have stabilised. Lower interest

2

rates could help to stabilise retail trade activity and enhance household

spending. Electricity supply, however, continues to affect trade conditions.

Jan-13

Jul-13

Jan-14

Jul-14

Jan-15

Jul-15

Jan-16

Jul-16

Jan-17

Jul-17

Jan-18

Jul-18

Jan-19

Jul-19

Jan-20

Jul-20

Jan-21

Jul-21

Jul-21

Jan-22

Jan-22

Jan-22

Jan-22

Jul-22

Jul-22

Jul-22

Jul-22

Jan-23

Jan-23

Jan-23

Jan-23

Jul-23

Jul-23

Jul-23

Jul-23

Jan-24

Jan-24

Jan-24

Jan-24


20-23 August 2024

Sandton Convention Centre,

Sandton, South Africa

The Southern African Railways Association’s international railway

conference and exhibition will be held between 20-23 August 2024.

Africa’s Exclusive Railway Event

Hosted by African Railway Operators!

Sponsorship & exhibitor opportunities available.

Register online as a conference delegate.

www.sararailconference.com

Members of the Southern African Railways Association

www.sararailconference.com

info@sararailconference.com Tel: 011 452 4991

Opportunity Issue 109

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