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Green Boost for Local Automotive Sector

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Automotive component manufacturers in the Eastern Cape will have access to comprehensive resources to reduce energy consumption thanks to a landmark agreement between the Automotive Industry Development Centre and the National Cleaner Production Centre.

In terms of the agreement a total of R7m will be made available to industry via the AIDC by the National Cleaner Production Centre.

AIDC Supplier Development Manager, Lance Schultz said the announcement comes at a time when rising utility costs and poor productivity performance are stifling the progress of automotive companies in South Africa, and “represents a significant injection from government to the sector,” he said.

The subsidised programme which will analyse and assist manufacturers become more energy efficient and competitive will be rolled out by the Automotive Industry Development Centre (AIDC), an agency of the Eastern Cape Provincial government, who has mandated it to assist the sector become more globally competitive.

Schultz said the Cleaner Production package would be incorporated as part of its Tirisano Cluster Programme, which in 2010 made collective savings at participating suppliers of more than R13.6m.

Schultz says for the 2011/2012 period R155 000 will be allocated per company for the audits excluding the United Nations Funding Support of around R250 000 per company who participate in the cluster programme.

“The Tirisano Cluster Programme is already highly effective in increasing profitability at suppliers through reducing wastes.  The inclusion now of the Cleaner Production module, which is an economic and environmental imperative, is a major boost to the programme and the local industry,” Schultz said. “Cleaner Production initiatives are essential to quality certifications and order winning with increasingly demanding buyers”

Signing the agreement that will release funds for the region's automotive sector to reduce energy consumption are from left Automotive industry Development Centre Eastern Cape Supplier Development Manager, Lance Schultz, Senior Project Manager - National Cleaner Production Center, Kevin Cilliers and AIDC MD Barlow Manilal.
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Alan Straton

Chief Cook, Bottle Washer and Broom Mechanic at MyPE
Passionate about Port Elizabeth and definitely NOT packing for Perth. Alan's ethos is epitomised in the words of Nelson Mandela; "I have fought against white domination and I have fought against black domination. I have cherished the idea of a democratic and free society. If need be, it is an ideal for which I am prepared to die." See more articles by Alan.