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Local business comment on EC SOPA

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The Nelson Mandela Bay Business Chamber CEO Kevin Hustler unpacks the Eastern Cape state of the province address:

The State of the Province Address by Premier Phumulo Masualle today (Friday 19 November) was very focused on what has been delivered over the past year and generally it was well-received by the Nelson Mandela Bay Business Chamber. We commend the Premier for commanding the respect from all attendees to deliver the SOPA without interruption and that the business of the day continued as per schedule and with the requisite decorum.

The SOPA, however, did lack some forward-thinking and vision casting. We would have wanted more detail on the key pillars of the National Development Plan flowing into the Provincial Development Plan. We found it concerning that there was not a bigger focus on the current economic crisis and how the provincial government would address the crisis through better austerity measures, cost-cutting and the implementation of catalytic projects. Although these points may still come up in the Provincial Budget Speech, the SOPA left us with little hope for the future in terms of job creation opportunities and measures for cutting back on expenditure.

Highlight

The highlight of the SOPA was the Premier’s announcement of the upgrade of the Addo road, along with other provincial roads. The upgrade of the Addo road is a win for both the citrus and tourism sectors which flow through Nelson Mandela Bay. In particular, the citrus industry has suffered severe losses due to the condition of this road and we look forward to construction work starting on this vitally important road for our regional economy. We consider this a victory for the joint advocacy and lobbying by the Business Chamber over a number of years on behalf of the business community.

Points welcomed

  • We welcome the R129-million allocated to support Eastern Cape farmers affected by the severe drought. Despite the drought, agriculture and agro-processing remain a key part of the Nelson Mandela Bay Industrial Development Strategy and it is essential for government to continue supporting this sector.
  • We commend the Premier’s acknowledgement of the Automotive Industry investments in the province. It is heart-warming that these investments by the automotive sector are acknowledged by the provincial government.
  • We welcome the news of one solar energy project and 16 wind energy projects worth R33.7 billion awarded to independent power producers in the Eastern Cape and look forward to the province continually setting the benchmark for renewable energy developments in the country.

Lacked detail

Although the total number of jobs created through economic agencies such as Coega Industrial Development Zone was not as high as Masualle had hoped for the past year, we welcome nonetheless the almost 16 000 new jobs created under the tough economic conditions experienced in the country. He mentioned Coega Dairy and Coega Cheese in the Coega IDZ, which are expanding their operations. However, we would have liked to hear more about any catalytic projects or investments in the region planned for this year.

We wanted more specific plans on Operation Phakisa’s implementation in Nelson Mandela Bay and the Eastern Cape. While we welcome the earmarking of land for aquaculture within the IDZs and announcements on the skills development strategy for the province, as business we would want more concrete programmes of action towards this vitally important economic catalyst for the province.

Needs strong commitment

The provincial government needs to remain firmly committed to efficient and effective service delivery through the Back to Basics program on a municipal level. Effective municipal services are essential for creating an enabling environment for business to prosper in. One such an area would be to curb the theft of electricity and we hope that the provincial partnership with Eskom would address this concern through their focus on electricity hot spots in the province.

It is the first time that the Premier has been so outspoken about accountability and consequence management by all leadership to ensure good governance and service delivery in the province. This should remain pegged in the sand and mapped out more clearly, as well as the zero tolerance towards fraud and corruption.

Last but certainly not least we welcome the firm stance the Premier took on the state of education in the province. We look forward to see the implementation of the interventions, as suggested by the Premier, to beef up the district offices and the shortage of teachers, in particular following the crisis affecting schools in Nelson Mandela Bay. A workable solution is needed for the crisis in basic education in public schools in Nelson Mandela Bay. Learners in the Northern Areas should not be refused their right to go to school because of a failure in the educational system.

Active citizenry and collaboration would indeed be the cornerstone of the public and private initiatives this year to make the Eastern Cape a more attractive investment destination.

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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.