Crypto-assets without bank adoption and regulation could drive financial instability, market manipulation, illegal activities and financial crime, amongst others.
The biggest risk to take is to do nothing
If you are dealing with risk, anti-money laundering, compliance and regulation and want to improve your understanding of the impact of crypto currencies on financial institutions, then attending the Crypto Assets Regulation & Compliance Conference will prepare you to play a meaningful role in the adoption of crypto assets as a financial product.
The event featuring over 30 expert speakers on crypto regulation and compliance, is taking place on 12 & 13 March 2025 at the Indaba Hotel in Fourways, Johannesburg.
This 2 day conference, organised by Trade Conferences International, does not focus on the technical aspects of crypto, but rather highlights the opportunities, challenges and pitfall on the way to crypto asset adoption.
Some of the topics to be addressed
Overview of the fintech landscape in South Africa
Blockchain technology and the mainstream adoption of crypto currency
AML/CFT regulation of Crypto Assets – (covering the developments since 2014 – and where we are now)
Regulation of crypto assets in S.A
Risk & compliance framework for digital assets
Crypto compliance and AML toolbox – what is it… who is it for… and why do we need it?
Banking and financial regulation regarding crypto assets
Web3 banking – the next frontier in the financial technology industry
Crypto opportunity and threat to traditional banks
Impact of anti-money laundering on the crypto environment
Crypto crime investigations
CASE STUDY: The story behind the surge in crypto payments at Pick ‘n Pay
Impact of crypto on payments & exchange controls
Threats and opportunities for banks & financial institutions
Similarities in the regulation of hedge funds and digital assets, and what that means for retail and institutional adoption of alternative investments
Since its inception in 1994, the Investing in African Mining Indaba (Mining Indaba) conference has become a pivotal event for mining professionals, investors, and industry leaders looking to capitalise on the vast opportunities in Africa’s mining sector.
With a focus on fostering long-term economic growth and sustainability, the event serves as a premier meeting place for networking, deal-making, and discussions on topics such as technological advancements in mining, sustainable mining practices, and investment opportunities in African mining projects.
As the event continues to grow in size and influence, it remains a crucial platform for shaping the future of mining on the African continent.
As the most prestigious mining investment event on the continent, Mining Indaba attracts industry leaders, government officials, and investors looking to capitalise on Africa’s abundant mineral resources.
The event serves as a platform for showcasing innovation, fostering partnerships, and addressing the challenges facing the mining sector in Africa. Reserve your ticket now to be a part of this dynamic and influential gathering.
In today’s challenging financial landscape, employees and businesses alike face mounting pressures to manage finances effectively. iMasFinance is here to be more than just a financial services provider. As a proud member-owned Co-operative, we are committed to empowering employees of businesses across South Africa, driving financial wellness, and creating lasting value for our business partners.
The power of a Co-operative model
At iMasFinance, every member is not just a customer, they’re an owner. This Co-operative model is the cornerstone of our business. Instead of focusing on external shareholders, we prioritise delivering value back to our members. It’s a business structure designed to inspire trust, foster loyalty, and promote shared success.
When your employees become members of iMasFinance, they aren’t simply accessing financial solutions, they’re gaining ownership in a Co-operative that’s committed to their financial well-being.
Shared success through profit sharing
Success is sweeter when it’s shared. At iMasFinance, we allocate a portion of our annual profit to our members through profit sharing, directly rewarding their loyalty and participation. This not only strengthens your employees’ financial stability but also reinforces the spirit of shared value that defines our cooperative DNA.
The iMasRewards program is a unique, behaviour-based initiative designed to encourage and reward positive financial habits. iMasRewards focuses on inspiring members to take steps that enhance their financial wellness.
Whether it’s saving regularly, repaying loans responsibly, or engaging in financial wellness programs, our rewards system recognises and celebrates members who make sound financial decisions. This approach empowers employees to build sustainable financial habits that lead to long-term success.
Nationwide reach, local impact
With 28 branches nationwide, iMasFinance is wherever your employees need us to be. Our network and digital channels ensure that members have convenient access to our financial services, backed by personalised support and local expertise. No matter where they are, your employees can count on us to deliver meaningful solutions and support when they need it.
Financial wellness for a productive workforce
A financially secure employee is a more focused and productive team member. That’s why we offer comprehensive, tailored financial product solutions to support their unique needs:
Affordable credit (vehicle finance, personal loans, educational loans and pension-backed home loans to fund major life events.)
Comprehensive insurance solutions (Motor and household insurance, Business insurance, Group schemes and Funeral and Life cover for ultimate peace of mind.)
Savings and investment options to secure a prosperous future.
Onsite financial wellness programs designed to educate and empower.
Why partner with iMasFinance?
When you collaborate with iMasFinance, you’re partnering with a Co-operative that shares your commitment to employee well-being. We’re not just here to sell financial products—we’re here to build a brighter future for your workforce and, in turn, your business.
By choosing iMasFinance, you’re aligning with a partner that values ownership, promotes shared success, and prioritises financial wellness for all. Together, we can help your employees feel valued, empowered, and supported in their financial journeys.
Let’s build a financially secure future together
Join us in creating a stronger, healthier, and more resilient workforce. Visit www.imasfinance.co.za or contact us at 0861 043 627 to explore how we can bring the iMasFinance difference to your team.
Because when your employees thrive, so does your business.
Gain professional certified PV training aligned with national standards and access industry networks from day one, connecting you with installers, suppliers, and local solar experts to kickstart and grow your solar business with confidence.
5 CPD points and endorsed installation training under the PV GreenCard programme.
Ideal for:
Technically inclined solar newcomers
Electricians and electrical engineers
Installers seeking PV GreenCard certification
GREEN Solar Academy Cape Town 5 Days. R13 500 ex VAT.
President Cyril Ramaphosa remained president of South Africa after the elections of 29 May 2024, but only with the support of a coalition of 10 political parties which has been called a Government of National Unity (GNU).
Representing 70% of the voters who turned out for the election, the new government covers a wide spectrum of political standpoints and crucially contains parties that are committed to the country’s constitution and to the rule of law. In the National Assembly elections for the position of president, Ramaphosa received 86.5% of the votes of Members of Parliament.
The African National Congress (ANC), which was seen as the party of liberation and had been the governing party since the first democratic election of 1994, saw its vote share drop in 2024 to just over 40%, having garnered more than 57% in 2019. While the ANC historically has a socialist orientation, the largest other party in the coalition, the Democratic Alliance (DA), is inclined to argue for minimal government intervention in the economy. As the DA’s website states, “Government must always stand ready to help those who need it, but its primary function is to empower the people to make use of their freedoms, so that they may progress in their own lives.”
Marrying these two views on economics will present some difficulties if the government is to complete its five-year term but early signs are that the focus will be on fixing, maintaining and building infrastructure, the subject of a Special Feature in the 2025 edition of South African Business.
The spirit of cooperation which created the GNU has also been evident in the business community, where an initiative of many of the country’s chief executive officers is supporting state entities in tackling infrastructure problems.
There have been good signs of progress regarding electricity availability, port logjams being cleared and security improvements on important rail links.
Transnet Port Terminals (TPT) hired 200 additional cargo coordinators and port workers to support citrus exports in the 2024 reefer season. Citrus exports account for more than 50% of agricultural exports and contribute R43-billion to South Africa’s GDP. Volumes increased by 10% year-on-year for the first six weeks of the 2024/25 financial year, a year in which TPT will spend R3.9-billion on new equipment.
SME Launch
It is often said that the best engine for job creation is the small, medium and micro-enterprise (SMME) sector. However, the Chartered Institute for Business Accountants (CIBA) states that something like 70% of new businesses do not survive beyond two years.
In another example of diverse organisations working together for an economic goal, CIBA aims to change that metric by teaming up with the South African Chamber of Commerce and Industry (SACCI), the Companies and Intellectual Property Commission (CIPC) and the University of South Africa’s affiliate company, Inhlanyelo Hub.
The joint initiative is called SME Launch and will nurture startups, giving them advice in key areas such as compliance, market access and cash-flow management. As SACCI President Mtho Xulu says, “SME Launch is our way of adopting South Africa’s new businesses, helping them grow into sustainable, thriving contributors to the economy. This partnership ensures new businesses have the guidance they need to succeed, creating long-term value for both SMEs and the nation.”
The first offering of SME Launch was a free webinar, introducing the concept and explaining what is available on the platform.
Global stage
In 2023, South Africa hosted the BRICS Summit. As of 1 December 2024, South Africa will have the presidency of the G20, becoming the third BRICS nation in a row to hold that position after India and Brazil.
The G20 Summit to be held in 2025 will naturally give South Africa a chance to present itself to the world in the best possible light. The event will be held in Johannesburg in the province of Gauteng, the country’s most important economic hub. The city’s infrastructure will need a lot of sprucing up before 19 heads of state and the leaders of the AU and EU visit it. This presents another opportunity for government and business to cooperate for the greater good.
South Africa has burnished its reputation for hosting global events through the FIFA World Cup, the World Conference against Racism, COP17 and various other conferences that have been well run. South Africa has adopted as the theme for its G20 Presidency “Solidarity, Equality and Sustainable Development”.
South Africa on the global stage. When South Africa hosted the BRICS Summit in 2023 SACCI President Mtho Xulu, second right, chaired the Trade and Investment Working Group of the BRICS Business Council.
As President Ramaphosa told a G20 meeting under Brazil’s presidency that with just a short time before the deadline date of the UN 2030 Agenda for Sustainable Development, it would make sense to have a tight focus on the programme of Sustainable Development Goals (SDGs) in all of the years leading up to 2030. According to Ramaphosa, just 12% of SDGs are on target and progress on 50% is “weak and insufficient”.
Energy transformation
South Africa’s energy landscape is changing very quickly. Quite apart from the giant solar farms of the Northern Cape, pictured, and the massive wind turbines going up in the Western Cape and the Eastern Cape, the process of unbundling the national utility, Eskom, has begun. The new National Transmission Company of South Africa is a working entity and wheeling (the idea that an independent power producer can sell energy to a third party while using the national grid) is booming.
An interesting new development on the landscape, literally, of the Mpumalanga Province, is the addition of what will become South Africa’s biggest wind farm. Seriti Green is developing the Ummbila Emonyeni project to supply Seriti’s mines in the area, but the fact that Mpumalanga has several coal-fired power plants that are going to be decommissioned means that there will be spare grid access for renewable producers. The coal plant closures have been pushed back in some cases, but they will close and when they do, the connections they have to the grid will be gold dust.
Giant renewable projects are redefining South Africa’s energy landscape. The 100MW Redstone Solar Thermal Power Project features molten-salt-energy-storage technology in a tower configuration. Credit: SR Energy
The conversation about the global climate crisis has seized the limelight across the world in a way that few other topics have since World War II. The debate in South Africa has its own unique contours, particularly as about 80% of the country’s electricity generation comes from coal. The fact that many people would lose their jobs if coal mines close down is an important factor in calculations, and a key reason why South Africa is at the forefront about the need for a “Just Energy Transition”.
An excellent programme exists to procure the energy that South Africa needs to expand the economy, the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP). In Round Five of the REIPPPP, the cheapest solar generation cost was 37.5c/kWh while the best wind cost was 34.4c/kWh. These represent remarkably low costs.
Following the announcement by the City of Cape Town that residents could get cash for power in late 2022, Versofy Solar received 1 500 enquiries in the month of January and has experienced a surge of orders for rooftop installations since then.
The R130-billion pledged at COP26 by the EU, the US, Germany, France and the UK to assist South Africa’s transition from oil and coal to greener technologies is not straightforward; it comes as a mixture of grants, risk-sharing instruments and concessional finance but it will allow South Africa to fund projects that will help the country to move away from fossil fuels without further stretching Eskom’s precarious finances.
Eskom made a breakthrough in December 2022 when South Korean company Hyonsung Heavy Industries broke ground, signalling the first project in Eskom’s Battery Energy Storage System (BESS) project. The 8MW facility will move to producing an additional 144MW in the second stage of the project. In 2023, a larger project at Worcester, Hex BESS, was launched. Another company that will be involved in Phase 1 of the national rollout of these projects is Chinese company Pinggao.
In Cape Town a Swedish firm has spent $30-million setting up an assembly factory for lithium batteries and Bushveld Energy, a subsidiary of Bushveld Minerals, is producing vanadium battery electrolyte at its factory in East London.
As our seventh administration executive settles into their portfolios, we must remember the hand-in-glove relationship they need to forge in working within and supporting the local government sphere in South Africa.
The national and provincial governments have the challenging task, as required by the Constitution, of supporting approximately 257 municipalities across the country in meeting their mandates.
The current state of the local government sector in South Africa can be characterised as being in a state of crisis. This not only threatens the delivery of essential services but also puts the very fabric of local governance at risk.
The financial health of municipalities remains a critical concern that requires immediate and comprehensive reform to prevent further deterioration and to foster sustainable development at the local level.
Municipalities in South Africa face significant financial challenges due to systemic inefficiencies, maladministration and insufficient revenue generation.
The 2023 Auditor-General’s report revealed mixed performances in the local government sector. It found that 33 municipalities had better audit outcomes than in previous financial years, while 29 had worse outcomes. The report also indicated that many municipalities were in financial distress and unable to meet their obligations.
Consequently, some municipalities had experienced waves of service delivery protests, leading to a gradual erosion of public trust in this vital sector of our democratic government.
One of the main challenges facing municipalities is the insufficient revenue base to sustain their operations. A significant factor contributing to this is the poor collection of local taxes and service fees, often due to inefficiencies and a culture of non-payment among residents.
Compounding this issue is the widespread problem of poor billing systems across municipalities and a lack of enforcement mechanisms to ensure that residents, businesses and state agencies pay their debts.
Local governments rely heavily on grants from the national government, but these grants often do not cover all their expenses, resulting in some vital expenditure items being unfunded mandates. This creates a vicious cycle where municipalities lack the funds to improve services, leading to further non-payment and financial strain.
Skills shortage
Another critical issue is the need for more capacity within municipalities. Many local governments suffer from a shortage of skilled personnel, particularly in financial management and planning. This hampers their ability to manage their finances effectively and develop sound economic strategies to support sustainability.
One solution to this problem involves implementing targeted training programmes for local practitioners and councillors. Municipalities must attract skilled professionals to the local government sector to improve financial management.
The seventh administration’s support of the local government sector remains urgent and challenging. The priority involves numerous interventions to improve the revenue collection mechanisms of our municipalities by modernising billing systems, enhancing enforcement measures against defaulting payers and promoting a culture of payment.
Innovative approaches, such as leveraging technology for better tracking and collection of fees, will undoubtedly play a significant role in addressing this revenue collection challenge.
The second critical intervention for the administration should be implementing strong measures to reduce maladministration in our municipalities. This should include increasing transparency and accountability in governance and ensuring inclusive practices in municipal planning and the delivery of essential services to citizens.
It should also involve strengthening the oversight functions of the national and provincial government on the business of local government. At a local level, augmenting support for oversight institutions undoubtedly also involves the empowerment of council oversight bodies such as the municipal public accounts committees in enforcing accountability in how public monies are spent.
Training
The third intervention is to invest in capacity-building mediations that involve training programmes and mentorship networks involving local and international actors, as well as all-of-society partnerships with the private sector and civil society groups that are equally vested in the success of municipal service delivery.
These interventions must equip municipal leaders and officials with the necessary skills to effectively dispatch their duties while empowering the public to understand their rights and recourse in holding their local government accountable without resorting to service delivery protests.
Last, an in-depth review of the local government fiscal framework is needed to ensure that municipalities receive adequate funding to maintain existing infrastructure and build new infrastructure commensurate with their population growth.
Credit: Ingo Stiller, Unsplash
The financial health of municipalities in South Africa is a linchpin for the overall development and stability of the country. Addressing the deep-seated issues plaguing municipal finance is not only essential for improving service delivery and infrastructure, but also for restoring public trust in local governance and, indeed, our democracy itself.
Through enhanced revenue collection, strengthened governance, capacity building and reforms in fiscal relations, South Africa can steer its municipalities towards a path of financial sustainability and effective service delivery.
The success of local government depends on adequate attention and support from the national and provincial governments.
*Lwazi Sikiti is the Policy Research and Advocacy Manager at the South African Cities Network.
The South African Chamber of Commerce and Industry (SACCI) is the voice of business, advocating for growth and opportunity across all sectors. One of SACCI’s key pillars is Inclusive Economic Growth and Employment Creation. SACCI is committed to promoting investment and trade in South Africa and the broader region, with the goal of fostering sustainable economic growth and creating quality jobs across various industries.
To support this mission, SACCI has launched a series of trade delegations aimed at facilitating commercial exchanges and building partnerships.
Colombian contact
In August, in collaboration with the Embassy of Colombia in South Africa, SACCI hosted the ProColombia SHE Export to Africa Initiative. ProColombia, Colombia’s promotional agency, brought 24 Colombian companies on an exploratory mission to South Africa, their first on the African continent.
This initiative created a valuable opportunity for South African companies to:
Establish direct connections with Colombian suppliers, laying the groundwork for future business ties.
Help Colombian companies adapt their product offerings to the South African market, including support with product validation, packaging design, language, labelling and colour customisation.
Credit: SACCI
Africa Business Connect Forum
On 28 August 2024, SACCI co-hosted the Africa Business Connect Forum, a key platform designed to foster strategic partnerships and unlock business opportunities across the African continent. The forum brought together African business leaders, investors and key stakeholders to explore avenues for growth, investment and collaboration, emphasising Africa’s potential as a dynamic hub for global trade.
Vietnam and beyond
Additionally, on 16 October 2024, the Ninh Binh delegation, led by Mr Mai Van Tuat, Permanent Deputy Secretary of the Provincial Party Committee and Chairman of the People’s Council, met with SACCI leadership during its visit to South Africa and Egypt. Ninh Binh, located 100km south of Hanoi, boasts abundant natural resources, strategically developed infrastructure and has significant growth potential, particularly in tourism.
The delegation sought to engage with key stakeholders in commerce and tourism, aiming to share insights and explore opportunities for collaboration in tourism management and economic development.
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Credit: SACCI
Credit: SACCI
Credit: SACCI
Looking ahead, SACCI is excited to partner with the Vietnam Embassy for the Vietnam-South Africa Investment, Trade and Tourism Promotion 2024. The event will highlight the potential for collaboration in investment, trade and tourism between South Africa and Vietnam, with a particular focus on the strategic advantages of Hanoi.
SACCI will also be co-hosting an event with the Embassy of Indonesia, further strengthening ties and exploring new opportunities for trade, investment and cooperation between South Africa and Indonesia.
On 12 March 2025, Provincial Minister of Infrastructure, Western Cape, Tertuis Simmers, will be addressing the annual Women and Leadership Conference in Sandton, Johannesburg.
Now in the 4th year running, one of the key outcomes from last year’s conference was to include the input and support of male leadership specifically within STEM/male populated sectors. Adding his voice as support also addressing the delegation, will be MD, Transport and Greater Africa, Vishaal Lutchman, Zutari.
Speakers for this year include:
Dr Gugu Moche, Group Exec: Digital Transformation and Acting DCEO: Research, Innovation, Impact Support & Advancement (RIISA) National Research Foundation
Natasha Ramkirpal, Group Lead – Water Security Optimisation, Coca Cola Beverages Africa
Zandile Pule, Snr Manager: Asset Optimisation, Strategy and Systems Global, Gold Fields
Monique Schmidt, Implementation Coordinator Engineering & Capex, AB InBev
Celeste Le Roux, Founder and CEO, React Group
Nosihle Dlamini, Senior Manager, Toyota Motor Manufacturing Company South Africa
The speakers taking to the podium will reiterate the fact that having a career in STEM or in male populated sector is difficult, not impossible. With this in mind, the organisers have set out to not only profile women who have already made it to the top but also aim to identify new, upcoming talent, the future Manager, CEO’s of SA. Each year Pinpoint Stewards ensure that the panel of speakers are not repeated, to give exposure to more women over the years and profiling their contributions made to these sectors.
In addition to the above, this year’s theme is aimed at changing statistics and making women aware of opportunities available to them through the It’s DUE series of conferences to Develop, Unite and Empower women across various professional careers. Statistics show that only 13% of STEM graduates in South Africa are women. This is under par when compared to the global average of 35%. Widening the scope, women hold just 28% of STEM-related jobs. When magnifying the engineering sector/s this alarmingly shows even lower participation, with less than 25% of candidate engineers being women and only 6% achieving professional status.
To date, the “it’s DUE” series of conferences have brought women to the forefront across various sectors making their contribution to the economy more visible. Not leaving young talent behind, Pinpoint Stewards include 10 young professionals, as nominated by Universities and Tertiary institutions to attend each day of the conference and introduce them to mentors and job shadowing opportunities during contact sessions.
“Over a period of more than 20 years within the conference industry we have seen great movement in industries not only in the audiences who attend, but seeing more women making it to the top while taking women with them – that is what drives us – to see women gain the needed skill and courage to step up to a career or raise their hand to lead. It’s not about your presence but your performance and women need to ensure they are equipped. The panel of speakers are specifically selected to harness home-grown talent and prove that we indeed have-what-it-takes to lead, right here, within the borders of South Africa,” says Sudhira Sewsunker, Pinpoint Stewards.
Direct all enquiries to Ankia Roux, Co-Owner of Pinpoint Stewards at ankia@pinpointstewards.co.za to speak, support, exhibit or attend. Register before 15 January for priority booking discounts.
South Africa endured an electricity crisis from 2008 characterised by intermittent rolling blackouts and a growing culture of non-payment. The state-owned utility, Eskom, came to be regarded as the single largest risk to South Africa’s economy. At the end of March 2020 Eskom’s debt stood at R488 billion (US$27.4 billion).
Government has attempted several measures to overcome the country’s energy problems. These have included new Eskom boards, new CEOs, bailouts for Eskom and a National Energy Crisis Committee that includes the private sector. Now it’s trying legislative reform.
In mid-August 2024 President Cyril Ramaphosa approved a new law that marks the most significant change to date in the electricity supply industry. The Electricity Regulation Amendment Act is the beginning of the end of Eskom, the near state monopoly that has dominated South Africa’s electricity sector since the 1950s.
The law paves the way for Eskom to end its transmission business over the next five years. It seems likely to be a generator for a long time, however: its new coal-fired stations are designed to operate for 50 years. The new act envisages a hybrid market model, designed to accommodate various kinds of transactions.
Competition and market prices are expected to emerge over time. New kinds of businesses are emerging, such as traders in electricity, “prosumers” (consumers that also produce electricity for sale into the grid), electricity market operators and system operators.
the Act will lead to long-term energy security, a more competitive energy system, more rapid uptake of renewable energy sources, and ultimately lower energy prices for all South Africans.
The new law is indeed groundbreaking, and an important step along South Africa’s zig-zag, stop-start path to electricity market reform. But electricity market reform is a process that evolves over years as technologies and markets change. It is not a destination.
Based on my 40-odd years in the energy sector, including six on the Eskom board, I believe that on balance, the new law is good news for electricity market reform. However, there are some matters to be concerned about.
Change is hard in South Africa. It has taken 26 bumpy years since the 1998 White Paper to get to this entry point to market reform. It would be naive to expect a smooth ride from here on. Vested interests in and around Eskom and the municipalities will want to cling to their powers. New technologies are disrupting the old way of doing things. There is no national champion driving electricity reform and with weak government there is the risk of reform being diverted elsewhere.
A long, hard road
Electricity market reform in South Africa has its origins in a White Paper on Energy Policy published in 1998. The first round of efforts to implement this policy and to begin the unwinding of Eskom’s monopoly led to:
Eskom being separated into divisions in 2000
the establishment of Electricity Distribution Holdings to own the new Regional Electricity Distributors in 2003
the establishment of the Independent Power Producer Procurement Programme Office in 2006
an Independent System Operator Bill in 2012.
But this first attempt at reform petered out by 2015. After a lull of some years, a second round of attempts at market reform was initiated by the Eskom Roadmap published in 2019. This, along with public pressure from increasing power cuts, led to the Electricity Regulation Amendment Bill being released for public comment in March 2021. After 42 months, the president signed the act on 16 August 2024.
What changes are envisaged?
Within the next five years a new juristic person, the Transmission System Operator SOC Ltd, is to be created. The foundations of this exist in the form of the National Transmission Company of South Africa, which Eskom has already set up as a wholly owned subsidiary.
The role of the new entity will be as follows.
As a system operator it will have the task of keeping demand and supply in balance every second of the day and deciding where power is drawn from first.
This is where it runs into “player and referee” challenges as it must ensure fair competition between multiple electricity generators: Eskom and privately owned ones.
It will be a market operator. This will involve providing a platform for competitive, wholesale or retail buying and selling of electricity. It will have to establish rules to govern the market (much like stock markets have rules for buying and selling shares). It must ensure that financial settlements between buyers and sellers are settled in a fair, neutral and transparent manner.
It will be a central purchasing agency that will provide market support functions.
Eskom has been a near monopoly for a long time and is unlikely to give up its market dominance without a fight. There are some provisions in the new act which are intended to protect the market from Eskom dominance.
As usual, the devil will be in the detailed regulations and codes. On 19 April 2024, Eskom launched a draft market code for public comment by 30 September 2024. At the same time, the National Energy Crisis Committee launched its description of the market model.
Possible brakes on progress
Access to transmission and distribution infrastructure will be crucial for a market to operate. Independent generators will need to transport their electricity to their customers. Initially, customers will remain with their existing suppliers but as the electricity markets evolve, retail customers will be able to choose their suppliers.
The new act grants “third-party access” to such infrastructure. But that access is not defined. Usually, the first party is the owner of the infrastructure and the second party is its customers. The third party is anyone else.
Third-party access usually means that the owner of a natural monopoly can serve its customers first and that any capacity left over can be used by others. The act makes this clear – access can be refused “where it lacks the necessary capacity”. This provision protects incumbents like Eskom and municipalities and could slow down the evolution of market competition.
Concerns
The new act raises several concerns.
A 20-year cap is introduced for the duration of generation, transmission or system operation licences (or a lesser period decided by the national energy regulator).
Large power infrastructure such as transmission lines, coal and nuclear generators typically have useful lives of more than 20 years. Investors will want to recover their investments within the 20-year licence period through higher tariffs. After 20 years, customers will have something of a “free ride” as the asset will have been paid for.
In contrast, the licence period for long-life distribution assets is left to the regulator to decide.
Another major concern is that the act gives the responsible minister new and wide-ranging powers.
The minister can decide, for example:
to deviate from an integrated resource plan or a transmission development plan if it is in the national interest and when it is “reasonable and justifiable”, without public consultation. (Previously the national interest was only invoked in land expropriation.)
to establish an “energy infrastructure project”, which is not defined, but can include “gas infrastructure”. This curious new type of project appears to contemplate cross-border trade in gas (type unspecified) for gas-to-power but might also be used for new nuclear capacity.
As South Africa’s power system increasingly moves to private ownership, investor confidence becomes more important. Wide-ranging ministerial discretion contributes to investor uncertainty.
There is a risk that the new act or parts of it may be stillborn as the South African Local Government Association has objected to certain provisions and threatened legal action. Media reports suggest that President Ramaphosa has left the door open to excluding certain provisions.
As the festive season approaches, tens of thousands of people embark on journeys to their hometowns or holiday destinations across South Africa. The coastal provinces of KwaZulu-Natal and the Eastern Cape are especially busy during this time, with many travellers choosing road transport.
Together, we can make roads safer
Road safety is a collective responsibility. Every road user, from freight operators to holiday travellers, must commit to practicing caution and care on the roads.
National roads such as the N3 from Johannesburg and the N2 become particularly congested in December, as domestic and international tourists head to coastal destinations. This period marks South Africa’s peak travel season and a busy time for businesses like Coca-Cola Beverages South Africa (CCBSA).
Safety isn’t just a seasonal focus or something we highlight during Transport Month in October or the festive season. It’s an everyday commitment that starts with each of us every time we get behind the wheel.
CCBSA Coastal has a duty to ensure the safety of its drivers, assets and fellow road users. With a significant number of trucks operating in KwaZulu-Natal and the Eastern Cape, the company plays a critical role in promoting road safety.
Building a foundation of safety
Roadworthy vehicles are fundamental to road safety. All CCBSA trucks undergo rigorous, regular audits to ensure they are roadworthy. If every road user maintains their vehicles – paying attention to essentials like tyres, brakes and lights – especially for long-distance travel, we can significantly improve road safety. In addition to vehicle maintenance, CCBSA conducts annual refresher training for drivers, covering road rules and general driving behaviour.
Credit: CCBSA
Healthy drivers, safer journeys
At CCBSA, we place a strong emphasis on ensuring our drivers are fit for purpose. Fatigue is one of the greatest dangers on our roads, especially in a country like South Africa where journeys often span hundreds of kilometres.
To combat fatigue, CCBSA enforces strict rest policies. Drivers must take breaks every 200 kilometres to relax, stretch and refresh. For routes exceeding 12 hours, company policy mandates two drivers per truck, alternating behind the wheel. Proper trip scheduling also ensures drivers remain rested and focused.
Credit: CCBSA
Staying ahead with smart planning
Accurate weather forecasting plays a crucial role in road safety. By closely monitoring weather forecasts, we proactively avoid sending trucks into hazardous conditions. CCBSA also uses internal forecasting tools to optimise route planning, anticipate customer demands and enhance operational efficiencies. These measures help manage resources effectively and ensure safer road usage.
Our commitment to every road user
As a large business, our operations may differ from a family heading on holiday, but the principle remains the same: road safety is everyone’s responsibility.
It’s essential to adhere to basic operating rules to ensure everyone’s safety – not just during the festive season, but every single day. By working together, South Africans can help ensure a safer festive season for all.
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Consequently, some municipalities had experienced waves of service delivery protests, leading to a gradual erosion of public trust in this vital sector of our democratic government.
