Homeowners block entrance to Eskom over blackouts
Power utility blames illegal connections by shack dwellers and unauthorised backroom extensions by homeowners
new
Justice in limbo for another year as massive rail theft case stalls
A High Court review in the criminal case involving a former PRASA acting CEO accused of stealing 42km of railway line in the Eastern Cape, has yet to be set down for hearing a year after it was filed
Concern over HIV patients who are not receiving treatment
Concern over HIV patients who are not receiving treatment
Health Minister, Dr Joe Phaahla, says he remains concerned by those who are not on antiretroviral therapy (ART) despite knowing their HIV status.
“We are doing extremely well on the number of people living with HIV/AIDS (PLHIV) who know their status. However, we have been struggling to reach a great milestone on the number of people that are on ARTs,” he said on Thursday.
Speaking at the high-level meeting convened in Cape Town by the US President’s Emergency Plan for Aids Relief (Pepfar), Phaahla said a majority of these patients do come for treatment, but they disengage from care due to various factors.
However, he assured delegates that his department is currently addressing the matter, working together with all key role players, notably the PLHIV sector.
Phaahla reported that their interventions have resulted in tracing and linking treatment for just over 1.1 million patients in December 2023, down from 1.4 million in March 2023.
Meanwhile, he said the number of PLHIV virally suppressed has increased by 510 469.
“Through this stakeholder collaboration and backed by the deployment of the community health workers, we hope to bring the many patients back to care.”
He mentioned that the State is making progress towards achieving a new set of ambitious targets.
These targets include ensuring that 95% of all individuals living with HIV are aware of their HIV status, 95% of all individuals diagnosed with HIV infection receive continuous treatment, and 95% of all those on treatment achieve viral suppression by 2025.
The number of estimated new HIV infections in the country has decreased from 164 000 in 2022 to 146 784 in 2023, indicating the effectiveness of interventions in reducing new infections.
According to the latest data, deaths due to HIV are also declining, with an estimation of approximately 44 534 HIV-related deaths in South Africa in 2023.
This marks a reduction of over 50% compared to the last decade’s 92 129 AIDS-related deaths, said Phaahla.
The Minister also touched on the men and children who are living with HIV who are not on treatment.
“While we have seen this steady, though still low progress, we continue to worry because we see fewer men and children being linked to care.
“We need to find 586 192 men and 71 763 children living with HIV and put them on treatment. Whilst for adult women we need to find and treat 530 737.”
He expressed gratitude to the United States government for playing a pivotal role since 1994 and being South Africa's strategic partner.
To end the global HIV/AIDS public health threat by 2030, the United States has made significant progress towards HIV epidemic control with Pepfar support.
The Minister said in April 2022, the Director-General, signed the Country Operational Plan (COP22) to the tune of $455 753 517 for South Africa.
“After the signing of COP22, I and the US Ambassador later signed a mutually beneficial Memorandum of Understanding which provides the overarching leadership on a broad range of health collaborations in June 2022.”
The collaboration based on this memorandum encompasses a wide range of programmes and partnerships including HIV, tuberculosis (TB) and sexually transmitted infections (STIs).
“In the end, I would like to express, unreservedly, the appreciation for the work that is our coordinating body SANAC, UN agencies and other development partners and many others that play a significant role in the HIV/AIDS response in the country.” – SAnews.gov.za
Gabisile
Fri, 02/23/2024 - 15:34
295 views
Safeguarding Sensitive Information: Data Security and Privacy in Global Mobility
By Pieter Nienaber (Compliance Africa at Crown Records Management South Africa) Pieter Nienaber from Crown Records Management, a global leader in information management, is acutely aware of the paramount importance of data security and privacy in today’s interconnected world. In the realm of global mobility, where individuals and organisations traverse borders for various reasons, safeguarding …
Unlocking the Power of Simplicity: Click Results Highlights the Importance of Streamlined Websites for Business Success
Pretoria, South Africa – In today’s digital landscape, as businesses expand their online presence, the temptation to incorporate flashy features into websites can often lead to unintended consequences. Click Results, a leading digital marketing firm based in Pretoria, sheds light on the critical importance of simplicity in website design to drive conversions and enhance user …
Relocated railway line occupiers protest for water, electricity, and toilets
The families were moved in December to land owned by PRASA but the City of Cape Town is tasked with giving them basic services
Final Countdown for Runified City 50km
With windy weather conditions expected for the final countdown to race day, the elite field gathered for the 4th edition of the Runified City 50km set for 25 February 2024 will need to be ready to test their mettle. The top three athletes who will be spearheading the elite field from Pollock Beach, Summerstrand, will …
E Cape collaborates to accelerate spring water project rollout
E Cape collaborates to accelerate spring water project rollout
The Eastern Cape Department of Rural Development and Agrarian Reform (DRDAR) has joined forces with Chris Hani District Municipality (CHDM) to accelerate access to clean drinking water in rural communities, using the cost-effective rollout of spring water projects in the province.
DRDAR MEC Nonkqubela Pieters and Chris Hani District Municipality Executive Mayor Lusanda Sizani, have officially handed over a spring water project that will benefit five villages in the Manzana administrative area, outside eNgcobo. The community has been battling to access safe drinking water.
Pieters said the programme, implemented by the department’s Rural Appropriation Technology Unit (RATU), is cost-effective because no tenders were issued for the construction of the project. However, local people are trained to do maintenance work when the need arises.
“In this programme, we do not have a middleman or spend millions on contractors for something that will not be operational. We employ and train local people and in that way, we create the opportunities for people to fend for their families,” Pieters said.
The MEC explained that RATU trains locals workers and procures material for the construction of the project.
“In delivering these spring water protection projects, DRDAR identifies nearby hills and mountains with spring water [that is channeled]... for use by households,” Pieters said.
She said during the implementation of the Manzana project, which is set to benefit at least 1 220 villagers, about 75 people including 61 youth, seven women and seven men were employed and trained.
Pieters said the department will use the District Development Model (DDM) to work with the municipality to ensure the smooth rollout of spring water projects, taking advantage of the more than 250 natural springs in the district.
“We are in agreement with the executive mayor that all these springs will be utilised to bring water to all the people of Chris Hani District, who do not have access to water while they have spring water in their villages.
“They will now have access to clean drinking water because the implementation of the programme will be accelerated. We will reach more communities through this collaboration with the municipality,” Pieters said.
The delivery of the spring water protection projects marks the completion of infrastructure work done by the department in various rural communities, which will now have reliable access to clean drinking water and agricultural activities.
To date, Pieters said, a total of 757 water taps have been installed in 36 villages across the province, benefitting 8 781 households, including four schools, one clinic and one youth co-operative.
“The department has [also] implemented 17 spring water protection projects that are contributing towards community development with an investment of R14 765 million benefiting 4 123 households, and creating 967 temporary jobs,” the MEC said.
Sizani said with the district municipality being both a Water Services Authority (WSA) and provider, water supply that is pumped with generators to serve communities is expensive compared to the department's method of drawing water, using natural springs, to communal taps and households.
“We are a rural district, which is leaning towards the agricultural sector potential for growth, hence we are partnering with the department to bring water to the people for both consumption and agricultural activities. Through this programme, we aim to achieve agriculture development prosperity,” Sizani said.
Local farmer, Viwe Gidimisani, said when the spring water project construction started in his village, he was inspired to start his vegetable production business, banking on using water from the spring for irrigation.
Gidimisani received a new hose pipe, wheelbarrow, spade, fork spade, hand hoe, and various vegetable seedlings from government, as part of ongoing efforts to support villagers to produce their own food.
“This will help my enterprise to grow more, and it will give me strength to improve the productivity of my business. I am happy that water supply is always available, unlike in the past where we battled to get water," Gidimisani said.
Gidimisani is now able to grow his enterprise and owns a hawker’s stand, where he sells his spinach and cabbage produce to his neighbours and local buyers in town. – SAnews.gov.za
GabiK
Thu, 02/22/2024 - 13:35
473 views
President welcomes training for traditional leaders to act as change agents
President welcomes training for traditional leaders to act as change agents
President Cyril Ramaphosa has welcomed the partnership between the Department of Cooperative Governance and Traditional Affairs and the National School of Government (NSG) to provide training on, among other things, facilitating socio-economic development for traditional communities.
“The programme is aimed at empowering traditional leaders to act as change agents in their communities, and to transfer new knowledge and skills so we can initiate sustainable economic interventions in our rural areas,” said the President.
The President was delivering the keynote address at the annual official opening of the National House of Traditional and Khoi-San Leaders (NHTKL) at the National Council of Provinces (NCOP) Chamber in Cape Town, on Thursday.
“We know that capacity building is essential if we are to enhance the role traditional leaders play in development,” said the President.
He said the goal was an active rural citizenry with traditional leaders at the helm.
The Art of Facilitating Socio-Economic Development for Traditional Leaders Programme is part of the suite of funded programmes offered by the NSG for public servants to attend free.
These courses are delivered by the NSG as part of interventions to professionalise the public sector and to improve performance in all spheres of government.
The programme seeks to support and empower Traditional Leaders to act as economic change agents in their communities and be able to create sustainable jobs and create wealth while also building an active rural citizenry who participate in and support economic development.
"It will provide the Traditional Leaders with knowledge and skills to identify and utilize local natural resources in an environmentally sustainable way.
"It is aimed at capacitating Traditional Leaders with knowledge, skills, attitudes, and practical capabilities to engage and empower communities to use the available opportunities for their own socio-economic development. The programme supports a range of role-players who work closely with communities, that are, volunteers from the community, Community Development Workers, government officials and Traditional Leaders," the NSG had said in an earlier statement.
The Programme assists Traditional Leaders, amongst others, to:
- Act on their roles and responsibilities in terms of the Constitution, related legislation, and the NDP, to realise the socio-economic rights of their poor communities through paying attention to their economic and developmental needs.
- Recognise that their primary function is to promote socio-economic development, good governance, and wealth creation interventions in their areas of jurisdiction.
- Demonstrate commitment and passion for working in a collaborative and participatory way with communities and other strategic partners.
- Understand and apply protocols for working with a range of community stakeholders (community representatives, government officials, ward councillors and community development workers) in a respectful and participatory manner to further the socio-economic objectives of their communities.
- Demonstrate and apply mentoring skills needed to support, empower, and mentor communities in sustainable developments activities.
- Make communities aware of their Constitutional rights and government responsibility in granting access to services.
- Apply Ubuntu and Afrika-centric principles and methods for dealing with community stakeholders.
Elections
Meanwhile, the President urged traditional leaders to continue to encourage all eligible voters to participate in the National and Provincial Elections on 29 May 2024.
“As we have done before, we call on traditional leaders to actively promote free and fair campaigning, and to ensure that all voters can exercise their democratic right,” he said. – SAnews.gov.za
Janine
Thu, 02/22/2024 - 16:14
219 views
President hails traditional leaders for flood relief efforts
President hails traditional leaders for flood relief efforts
President Cyril Ramaphosa has praised the efforts of uMgogodla kaZulu, a group comprising the spouses of traditional leaders and women traditional leaders, for their commendable work in addressing the challenges posed by the recent floods in KwaZulu-Natal.
Addressing the annual official opening of the National House of Traditional and Khoi-San Leaders (NHTKL) in Cape Town on Thursday, the President said it was pleasing to note that the institution of traditional and Khoi-San leadership is playing its role in assisting communities.
The President told the traditional and Khoi-San leaders that climate change is a growing concern in South Africa. He said the recent flooding, together with other extreme weather events, are a stark reminder that the country cannot be complacent about this grave threat to both lives and livelihoods.
“It is pleasing to note that the institution of traditional and Khoi-San leadership is once again playing its role to assist communities. I specifically wish to commend the work done by the structure of spouses and female traditional leaders, called uMgogodla kaZulu, during the floods that engulfed KwaZulu-Natal.
“The Ondlunkulu stood up, in partnership with Al-Imdaad, Old Mutual, the Princess Gabo and Kaizer Junior Foundations, and others to help those who were affected by floods. We appreciate this valuable work,” the President said.
President Ramaphosa said he has been advised that several other provinces have formalised the structures of spouses and women traditional leaders of amaKhosi.
He implored the House to continue working together with provincial Houses of Traditional and Khoi-San Leaders to ensure that such structures are established and capacitated.
30 Years of Democracy
In his State of the Nation Address delivered earlier this month, the President reflected on the journey South Africa has traversed over the past 30 years since attaining freedom.
"As a nation, we can also be proud of the journey we have travelled, according to the institution of traditional leadership and the stature it deserves.
“Today, our Kings are recognised as Kings, as opposed to Paramount Chiefs, a term which colonial and apartheid rule introduced to make it clear that in their minds the real Kings were only those found in Europe.
“Today, we have a National House of Traditional and Khoi-San Leaders that plays an active and meaningful role in our national life,” the President said.
President Ramaphosa expressed the wish that more Khoi-San leaders will be brought into the fold and be formally recognised under the Traditional and Khoi-San Leadership Act.
He said that the Commission on Khoi-San Matters has been appointed to receive and assess applications for recognition and make recommendations to the Minister of Cooperative Governance and Traditional Affairs.
While the process is taking longer than was initially envisaged, the President has appealed that the Commission be allowed the space to continue with this complex historical mission that they have been assigned.
Addressing unemployment
The President told the House that they have a shared responsibility to work together to address the country’s unemployment crisis, particularly among young people.
He highlighted that the Presidential Youth Employment Intervention, the National Youth Service and the Youth Employment Service are just some of the initiatives government is implementing that are making a difference.
“I call on this House to play an active role in the ongoing process of recruiting young people into the National Rural Youth Service Corps that is being coordinated by the Department of Agriculture, Land Reform and Rural Development.
“The InvestRural blueprint handed over to me by the former Chairperson of this House, the late iNkosi Mahlangu, is being fused into government programmes.
“The training of young people by the Department of Agriculture, Land Reform and Rural Development is a practical example of this. Another is the work being done by the Department of Traditional Affairs in partnership with the Department of Mineral Resources and Energy to streamline and integrate Social Labour Plans into industry operations,” he said.
The President further told the House that the Welisizwe Rural Bridges Programme coordinated by the Department of Public Works and Infrastructure is yet another example of positive and meaningful change being brought to rural areas. Just last month he attended the launch of one of these bridges in KwaZulu-Natal.
“To witness the difference these bridges are making in the lives of rural communities, especially for young learners who need to cross rivers to get to school, is remarkable,” he said.
Capacity building
The President has emphasised that capacity building is essential if the country is to enhance the role traditional leaders play in development.
In this regard, he welcomed the partnership between the Department of Traditional Affairs and the National School of Government to provide training on, among others, facilitating socio-economic development for traditional communities.
The programme is aimed at empowering traditional leaders to act as change agents in their communities, and to transfer new knowledge and skills for the activation of sustainable economic interventions in rural areas.
“Our goal is an active rural citizenry, with our traditional leaders at the helm. The issue of transferring communal land to traditional councils is one of great interest to this House.
“As government, we are in the process of finalising the bill on communal land, which will be followed by extensive consultations.
“I know that this process is taking longer than expected, but democracy requires that we give society a voice in matters that concern them,” he said.
Initiation
Turning to the challenges facing initiation, President Ramaphosa said that these should be decisively addressed.
“We cannot continue to have customary initiation being turned into a harmful practice.
“We need to do all in our powers as government, communities, traditional leaders, the National Initiation Oversight Committee and provincial structures to put to an end to these unnecessary and entirely avoidable deaths and injuries,” he said.
The President further urged the House to continue to monitor and guide provinces and various local houses on the provisions of the Customary Initiation Act.
“We must live up to the slogan of 'Mabaye Bephila, Babuye Baphila',” he said.
Traditional Courts Act
The President told the House that he has assented to the Traditional Courts Act and will soon be proclaiming the date on which it comes into effect.
In the meantime, he said, the Department of Justice and Constitutional Development and the Department of Traditional Affairs have started with some of the preparatory work that will facilitate implementation.
This includes visiting some of the traditional councils to further discuss their approaches to alternative dispute resolution and the resources they deploy in this regard. The President added that this is a matter on which they have finally made good progress.
On concerns expressed by the House with regards to involving traditional leadership more in the work of the Inter-Ministerial task Team, President Ramaphosa said that he, along with the Deputy President, is seized with the matter of ensuring that members of this House are invited to workstream meetings and are able to participate more fully.
Exercise your right to vote
The President said on 29 May, South Africans will be going to the polls to vote in the seventh democratic elections for national and provincial government.
As the country prepares for this historic occasion, President Ramaphosa has once again urged traditional leaders to continue to encourage all eligible voters to register and participate in these elections.
“As we have done before, we call on traditional leaders to actively promote free and fair campaigning, and to ensure that all voters can exercise their democratic right.
“May you remain with the spirit of our forebears, who never retreated when challenges were facing them. Working side by side, we will move forward,” he said. – SAnews.gov.za
DikelediM
Thu, 02/22/2024 - 14:04
272 views
Excessive trust in generative Artificial Intelligence (AI) makes users vulnerable, survey finds
The survey, which spanned 1,300 respondents in ten African and Middle Eastern countries, revealed that 63% of users are open to sharing their personal information, while an impressive 83% expressed confidence in the accuracy and reliability of these AI tools. “While the results clearly show that generative AI tools are widely used, they also highlight the need for increased user training and awareness regarding the potential risks associated with this powerful new technology,” says Anna Collard, SVP Content Strategy and Evangelist at KnowBe4 AFRICA (https://www.KnowBe4.com).
Upon its introduction in late 2022, ChatGPT revolutionised the way people work. The highly adept chatbot, known for its natural and impeccable English, swiftly won over critics. Business teams discovered they could create marketing campaigns in a matter of minutes instead of hours, and effortlessly generate content in various forms, such as text and images. However, some argue that the world has embraced generative AI too hastily.
“The adoption of genAI offers tremendous opportunities for African users and organisations but we also need to consider the associated risks,” says Collard. “Our survey - which runs across users owning smartphones in 10 African countries - indicates that all respondents are using generative AI in their personal and professional lives, with many using it on a daily or weekly basis.” The primary purposes for using generative AI are research, information gathering, email composition, creative content generation, and document drafting. Respondents highlighted several benefits of using generative AI, including time-saving, assistance with complex tasks, increased productivity, and enhanced creativity.
“Despite the hype about job losses and various industries being negatively affected by generative AI, 80% of respondents didn't feel that it threatened their job security, although 57% believed it has the potential to replace human creativity,” says Collard. “What is interesting in the findings is the disconnect between what people think and the reality, particularly when it comes to cybersecurity.”
Too willing to share sensitive data
The survey, carried out across South Africa, Botswana, Nigeria, Ghana, Kenya, Egypt, Mauritius, Morocco, United Arab Emirates, and Saudi Arabia, revealed that almost two-thirds of users are at ease sharing their personal information with generative AI tools such as ChatGPT. The comfort level in sharing sensitive data varied across countries. For example, in South Africa, only 54% of users were comfortable sharing their personal information with generative AI tools, while in the UAE it was 67%, and in Nigeria, it was 75%.
According to the survey, 83% of users feel confident about the accuracy and reliability of generative AI, showing an excessive level of trust. Collard comments that it is important to encourage critical thinking and be aware of our psychological biases that make us blindly trust content that is synthetically generated. “For example, research shows that people overestimate their abilities to detect deepfakes (Köbis et al., 2021) and in fact perceive AI-synthesized images as more trustworthy than real faces (Nightingale and Farid, 2022)”
Another concerning finding is the lack of comprehensive policies in organisations to address the challenges associated with generative AI. Almost half of the respondents (46%) reported having no generative AI policy at work, and 8% stated that they were prohibited from using it. “Employees are already using generative AI, so attempting to ban it is futile. Instead, it is crucial to establish policies that protect both organisations and their employees, ensuring responsible and safe usage,” asserts Collard.
Deepfakes - one of the most concerning uses of AI
A previous KnowBe4 AFRICA survey found that almost half of consumers do not know what deepfakes are, while a recent survey of South African IT managers by KnowBe4 and ITWeb showed that 60% of organisations do not provide training on deepfakes. “Scammers can trick people into believing that their loved ones are being held hostage by using fake voice and video messages created with this technology,” explains Collard. Because they are so convincing, many people are falling for these scams, including organisations which stand to lose both money and their sensitive data. With elections coming up in South Africa, the US and many other countries, the World Economic Forum has ranked disinformation as one of the top risks for this year. Previous research has shown deepfakes as one of the most worrying uses of AI (https://apo-opa.co/49Co9o9), particularly when used for political manipulation.
“A zero-trust mindset needs to be cultivated to help people overcome the threats of malicious use of generative AI,” concludes Collard. “Companies should provide more training and implement comprehensive policies to help their employees navigate this exciting and daunting new technology.”
To read the full report on generative AI usage in Africa and the Middle East, click here (https://apo-opa.co/4bW7b5E).
Distributed by APO Group on behalf of KnowBe4.
Nedbank helping youth to unlock their X with financial education
As the university year begins, there is much excitement in the air with a new student cohort starting first year and attending lectures for the first time. Now is a good time for students to start setting their financial goals for the future—a solid financial plan backed up by good money habits can pave the …
Limpopo royal family feud could change customary law
Courts to rule on key issues linked to succession
Discovering the Best Bullpadel Rackets
Diving into the world of Bullpadel padel rackets, it’s clear that there’s a racket for every type of player, from beginners to professionals. Let’s unravel the details to help you find the perfect Bullpadel racket for your game. A Brief History and Overview Bullpadel, established in 1995 in Spain, is a padel-only brand renowned for its …
Lottery’s looted R9.5-million would have made all the difference to Limpopo cyclists
Tata ma millions, tata to the chances of rural sports stars
Government ups the ante against crime
Government ups the ante against crime
Some R765 billion has been allocated to the security cluster to up the ante in Government's fight against crime and to support the defence forces.
This was revealed during Finance Minister Enoch Godongwana’s Budget Speech delivered in Cape Town on Wednesday.
“In the coming financial year, 10 000 new police recruits will be trained. As part of the country’s responsibility to promote regional peace and stability, this budget will also allocate funding for the deployment of soldiers in Mozambique and the DRC.
“Work on costing and identifying the needs for these critical missions will continue throughout the year and funding will be allocated as such.
“R628 million has been allocated to the Department of Justice and Constitutional Development [DJCOD] for the implementation of FATF [Financial Action Task Force] and State Capture Commission recommendations - bringing the total funding to these efforts to R2.3 billion,” he said.
Godongwana added that some R2.9 billion from the Criminal Asset Recovery Account is being used to combat illegal mining and other priority crimes “with 60% allocated for police deployments, including vehicle procurement”.
In the 2024 Budget Review, National Treasury explained that the total allocation includes “additional allocations of R39.4 billion to selected departments to cover the carry‐through costs of the 2023/24 public‐service wage increase”.
“Of this, R22 billion is allocated to the Department of Police. To improve efficiency, the department will rationalise its organisational structure, align police districts with municipal districts, implement cost containment measures and improve operations. It is also fostering strategic partnerships with local communities to enhance safety.
“The [DJCOD] is allocated R627.8 million over the medium term to implement recommendations from the [FATF] and the State Capture Commission. For land rights representation, R156 million is shifted from the Department of Agriculture, Land Reform and Rural Development to Legal Aid South Africa.
“The Department of Defence will prioritise acquiring vehicles and technology to safeguard the country’s borders. An amount of R1.9 billion is reallocated within the Department of Defence for day‐to‐day maintenance and emergency repairs.
“Measures are being implemented to reduce the pressure on employee compensation and sustain critical defence capabilities,” the department said. – SAnews.gov.za
NeoB
Wed, 02/21/2024 - 14:11
536 views
Economic growth to stay low over the next three years
Economic growth to stay low over the next three years
South Africa’s economy is expected to grow at some 1.6% over the next three years, with real Gross Domestic Product (GDP) reaching 0.6% in 2023.
“Despite the improved global outlook for 2024, South Africa’s near-term growth remains hamstrung by lower commodity prices and structural constraints. We estimate real GDP growth of 0.6% in 2023. This is [revised] down from 0.8% growth estimated during the 2023 MTBPS [Medium Term Budget Policy Statement].
“The revision is due to weaker-than-expected outcomes in the third quarter of 2023, particularly in household consumption and fixed investment,” said Finance Minister Enoch Godongwana, who delivered the Budget Speech at the Cape Town City Hall on Wednesday.
Godongwana said despite this, between 2024 and 2026, growth is projected to average 1.6%.
“The growth outlook is supported by the expected easing of power cuts as new energy projects begin production, and as lower inflation supports household consumption and credit extension.
“But, there are also risks to the domestic outlook. These include persistent constraints in electricity supply, freight rail and ports, and a high sovereign credit risk. Our challenge… is that the size of the pie is not growing fast enough to meet our developmental needs,” he said.
National Treasury’s 2024 Budget Review explained that load shedding and challenges in freight rail and the ports “continue to disrupt economic activity and limit the country’s export potential”.
“Comprehensive reforms are underway in these sectors, although it will take time to see a recovery in growth. Household consumption is under pressure from high living costs, and investment remains low due to weak confidence and challenging business conditions linked to structural constraints.
“To turn the tide and raise economic growth sustainably, government is prioritising energy and logistics reforms, along with measures to arrest the decline in state capacity.
“Successful efforts to improve the fiscal position, complete structural reforms and bolster the capacity of the State will, in combination, reduce borrowing costs, raise confidence, increase investment and employment, and accelerate economic growth,” National Treasury said.
The department said as reforms begin to bear fruit, GDP will be on the rise.
“[This] as the frequency of power cuts declines, lower inflation supports household consumption, and employment and credit extension recover gradually. New energy projects will improve fixed investment and business sentiment.
“To accelerate GDP growth after an extended period of weak economic performance, South Africa needs large‐scale private investment. Government is working to improve the fiscal position, complete structural reforms and bolster the capacity of the State to reduce borrowing costs, raise confidence, increase investment and put the economy on a higher, job‐creating growth path,” Treasury said.
Meanwhile, global growth is forecast higher at some 3.1% for 2024 and 3.2% for 2025.
“The moderate improvement is due to better‐than‐expected growth in the second half of 2023, particularly in the United States and several large emerging market economies, as well as fiscal support for disaster relief in China.
“Robust US economic growth has partially offset weaker‐than‐expected outcomes in the Euro area, which, nevertheless, is expected to recover gradually. Commodity prices are expected to continue to decline in 2024 and 2025,” Treasury said. – SAnews.gov.za
NeoB
Wed, 02/21/2024 - 14:13
507 views
“Today is a waste of time” prosecutor in Thabo Bester case tells court
Pre-trial postponed to 5 June as many of the accused have replaced their lawyers
Government raises US$3.3 billion to support climate change initiatives
Government raises US$3.3 billion to support climate change initiatives
Government has raised US$3.3 billion so far from Multilateral Development Banks and International Finance Institutions to support climate change, energy, and just transition objectives.
Delivering the 2024 National Budget Speech, Finance Minister Enoch Godongwana said National Treasury plays a crucial role in mobilising resources, designing incentives, and influencing policy to mainstream climate change.
“As climate-related disasters intensify, a multi-layered risk-based approach is being developed to manage the associated fiscal risks. This considers various funding instruments from grants to contingency funds, including the Climate Change Response Fund, depending on the incidence and intensity of the disaster event.
“The National Treasury is reviewing disaster response grants to improve efficiency and create incentives for disaster planning, preparedness and risk reduction. It is also developing a climate-budget tagging framework to influence policy, planning, and budget decisions, by tracking climate-related expenditures in public budgets,” the Minister said on Wednesday in Parliament.
He said the support of concessional funding providers, such as Multilateral Development Banks, is going a long way to support the country’s climate adaptation, mitigation, energy transition, and sustainability initiatives.
“Crowding-in the private sector is necessary to managing the climate disaster funds. We are actively participating in climate negotiations, aligning with the government's advocacy for reforming multilateral finance institutions.
“We are also working with eight municipalities to adapt and mitigate the effects of climate and weather-related events, by providing technical assistance for climate-responsive capital projects,” the Minister said.
According to the 2024 National Treasury Budget Review, the department is finalising a disaster risk financing strategy, centred on innovative financing and risk transfer to effectively mitigate climate impacts.
The strategy will boost state capacity to fund disaster recovery efforts and expand insurance mechanisms to protect against the financial strain of natural disasters.
“Recent years have seen a significant increase in extreme weather events and economic losses amid mounting concern over the effects of climate change. Between 1980 and 2021, 86 notable weather-related disasters have been recorded, affecting more than 22 million people and causing economic losses of about R113 billion.
“The 2017 Knysna wildfires, Cape Town (2015–2018) and Eastern Cape (2015–2020) droughts and KwaZulu-Natal floods in 2022 have heavily affected agriculture and tourism, with negative implications for government spending and revenue.
“These events exacerbate economic inequality, particularly in poor communities that are highly exposed to droughts, floods and wildfires and their consequences,” the document said.
Government incentivises electric vehicles producers
In an effort to encourage the production of electric vehicles in South Africa, government will introduce an investment allowance for new investments, beginning 1 March 2026.
This will allow producers to claim 150% of qualifying investment spending on electric and hydrogen-powered vehicles in the first year.
“The incentive will be implemented in addition to the existing support under the Automotive Production Development Programme. Government has also reprioritised R964 million over the medium term to support the transition to electric vehicles,” the Minister said.
The Electric Vehicles White Paper outlines government’s strategy to transition towards a broader new energy vehicle production and consumption in South Africa, starting with electric vehicles.
It aims to transition the automotive industry from primarily producing internal combustion engine vehicles to a dual platform that includes electric vehicles, by 2035. – SAnews.gov.za
nosihle
Wed, 02/21/2024 - 14:14
507 views
Municipalities sign up for Eskom debt relief programme
Municipalities sign up for Eskom debt relief programme
At least 70 municipalities have applied for and been approved for the Eskom debt relief programme introduced by National Treasury last year.
The debt relief programme is aimed at assisting ailing municipalities to pay off their bulk electricity supply debt to the power utility.
This was revealed in the 2024 Budget Review drafted by National Treasury.
“By December 2023, 72 applications had been submitted, totalling R56.7 billion or 96.9 % of total municipal debt owed to Eskom at end‐March 2023. [Some] 70 applications totalling R55.2 billion had been approved as of January 2024, said Treasury.
Once municipalities are admitted into the programme, strict conditions set by Treasury have to be followed in order for the debt to be written off over a three-year period.
“These conditions include enforcing strict credit controls, paying their monthly electricity accounts and enhancing revenue collection,” Treasury said on Wednesday.
Smart meter conditional grant
In the Budget Speech tabled by Finance Minister Enoch Godogwana, Treasury announced that a new conditional grant will be introduced to increase the rollout of prepaid smart meters.
“A new conditional grant will be created to fund the rollout of smart prepaid meters, initially in municipalities that have been approved for Eskom debt relief. The National Treasury will distribute this grant.
“A total of R2 billion has been allocated for the grant, made up of R500 million in 2024/25, R650 million in 2025/26 and R800 million in 2026/27,” the department said. – SAnews.gov.za
NeoB
Wed, 02/21/2024 - 14:15
530 views
Load shedding, logistics hamper growth
Load shedding, logistics hamper growth
Finance Minister Enoch Godongwana says although structural reforms have made “good progress”, load shedding and freight rail challenges remain an obstacle.
He was speaking during the Budget Speech held at the Cape Town City Hall on Wednesday.
“We have embarked on a broad structural reform agenda that aims to address the challenges that have held back our growth.
“This agenda has included areas like electricity, logistics, water, telecommunications and visa reforms. The Budget Review details the good progress that has been made in these areas over the past few years. But, obstacles remain and let me focus on the two largest of these,” Godongwana said.
Godongwana said the rolling power cuts “disrupt production, operations and livelihoods”.
“Reforming the sector will result in long-term energy security. We took the necessary decisions in the past five years and these are bearing fruit.
“To promote further investments in renewable energy, this budget proposes an increase in the limit for renewable energy projects that can qualify for the carbon offsets regime, from 15 megawatts to 30 megawatts,” he said.
He revealed that in the coming week, the report on the independent review of Eskom’s coal-fired power stations will be released.
“The review was done to inform part of the conditions attached to the debt relief plan. The recommendations will feed into Eskom’s corporate plans to bolster accountability and oversight.
“It is through the combination of private investment in new energy projects, rooftop solar installations and improvements in Eskom’s generation fleet that load shedding will reduce, and reliability and security of supply improve,” he said.
READ | Ramokgopa sets sights on accelerated transmission line expansion
Turning to South Africa’s logistics challenges, the Minister revealed that third-party access to the freight rail network will be introduced by May 2024.
“In ports, a private partner has been secured to upgrade Pier 2 of the Durban Container Terminal. This should increase private investment in equipment, enhance technological capability and improve operational efficiency.
“Government has provided Transnet with a R47 billion guarantee facility to support the entity’s recovery plan and meet its immediate debt obligations.
“Like Eskom, the guarantee comes with conditions. These conditions require Transnet to focus on its core activities, and for the entity to introduce private sector partnerships. This will improve Transnet’s sustainability and support the implementation of the Freight Logistics Roadmap,” Godongwana said. – SAnews.gov.za
NeoB
Wed, 02/21/2024 - 14:17
425 views
Treasury to tap into foreign exchange account to reduce debt service costs
Treasury to tap into foreign exchange account to reduce debt service costs
A combination of high debt servicing costs and a higher budget deficit has led to the introduction of a new reform of the Gold and Foreign Exchange Contingency Reserve Account (GFECRA).
The reform is aimed at mitigating fiscal risks by reducing government borrowing in the medium-term and will allow government to draw down from its GFECRA held at the Reserve Bank.
This was announced by Finance Minister Enoch Godongwana during the tabling of the 2024 Budget Speech held in Cape Town on Wednesday.
GFECRA is a Reserve Bank held account which captures gains and losses on South Africa’s foreign currency reserve transactions and the account has grown to more than R500 billion.
“We will draw down R150 billion of the GFECRA balance once we have ensured that sufficient buffers are available to absorb exchange rate swings and the solvency of the Reserve Bank is not compromised,” he said.
The draw down is expected to result in a decline of some R30.2 billion in government debt servicing costs over the 2024 Medium Term Expenditure Framework (MTEF).
Godongwana explained that national government debt is expected to peak at some 75.3% of the Gross Domestic Product (GDP) in 2025/26 with 2023/24’s budget deficit estimated to worsen to 4.9 % of GDP.
Debt-service costs in 2023/24 have been revised higher, by R15.7 billion to R356 billion.
The Minister said this will require that government stick to its fiscal goals with cuts in expenditure reaching more than R80 billion.
“Debt-service costs will absorb more than 20 % of revenue. To put this into perspective, spending on debt-service costs is greater than the respective budgets of social protection, health, or peace and security.
“A net reduction of R80.6 billion in non-interest expenditure is being implemented over the medium-term. At the same time, revenue has been revised up by R45.6 billion over the medium-term, relative to [the] 2023 MTBPS [Medium Term Budget Policy Statement]. [This is why] we have taken the decision to introduce a reform…GFECRA,” he said. – SAnews.gov.za
NeoB
Wed, 02/21/2024 - 14:19
420 views
The Sixth Edition Of The S.Pellegrino Young Chef Academy Competition Opens Its Doors To The World’s Most Talented Chefs Under 30
S.Pellegrino Young Chef Academy Competition 2024-25 will turn the spotlight on the best culinary talents who hold the future of gastronomy in their hands: applications open 21st February. Cape Town, South Africa, 21st February 2024 – S.Pellegrino announces a new edition of the S.Pellegrino Young Chef Academy Competition, the global initiative to discover and mentor …
Navigating the Ever-changing Wedding Trends of Tomorrow
As we step into the world of weddings in 2024, a myriad of trends emerge, reflecting the evolving tastes and preferences of couples tying the knot. As couples search for innovative ways to celebrate their love, the South Hill team shares their observations on the latest wedding trends. Gone are the days of traditional weekend …