Government working on addressing load shedding

Trade, Industry and Competition Minister, Ebrahim Patel, says government is working on addressing load shedding.

Patel said once a solution has been found, an announcement will be made through the Minister of Energy.

Speaking on the sidelines of the Black Industrialists and Exporters’ Conference, Patel admitted that load shedding is not good for business.

In his keynote address at the conference, President Cyril Ramaphosa also spoke of the country’s energy challenge, saying this is being addressed.

“In particular, we need to act decisively and urgently to end the load shedding that is causing such damage to our economy and such disruption to our society. Like every other actor in the economy, black industrialists can simply not grow without a reliable supply of affordable energy.

“Much has been done over the last four years to transform the country’s energy landscape and bring new generation capacity online.

“But that is not enough, and we need to move faster. That is why I have brought together all relevant departments and entities to work on an integrated set of measures to add additional power to the grid in the shortest possible time.

“We are currently engaged in consultations with social partners on these measures, and will soon be able to announce a package of measures that provides an effective response to our energy crisis,” he said.

On the funding of businesses, Patel explained that government does not fund businesses but businesses are offered loans that they repay at a later stage.

Patel explained that the Black Industrialists and Exporters’ Conference is a platform for black businesses to showcase their experiences.

“As government, we are getting black businesses talking to one another and networking,” Patel said.

Patel said government welcomed small businesses who provide important services to the community and medium-sized businesses who employ people in productive labour, as well as trade union leaders who represent the workers.

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“We welcome a number of representatives of workers’ trusts, who hold shares in the firms they are working in, with hundreds of thousands of workers now owning such shares.

“We have small panel beater shops that are now on the panels of large insurers after the Competition Commission investigation into restrictive practices and ways to broaden access for small businesses.

“We have industrialists who have invested their money to build new factories, expand mines, develop more agricultural lands, obtain machinery and employ young South Africans,” Patel said.

Patel said SA last year achieved a record performance, exporting R1.8 trillion, representing almost one third of the country’s GDP.

“Some of the exports came from black-owned firms present here today. We are now working with a black exporters’ network to be launched today to increase the volume of exports and create local jobs.

“These are businesses who in many cases have showed resilience; and they are the productive engines that create jobs,” Patel said.

Patel said these are businesses that in many cases have showed resilience and they are the productive engines that create jobs.

“We welcome 18 funding entities who are in the business of financing small and medium sized businesses, including commercial banks, DFIs [development finance institutions] like the IDC [Industrial Development Corporation] and NEF [National Empowerment Fund], and other funders,” Patel said.

Championed by the President since its inception in 2015, the inaugural Black Industrialists and Exporters’ Conference showcased progress of government measures in promoting access and transformation to more black industrialists in the economy and the opportunities that the Africa Free Continental Trade Area (AfCTA) offers.