7 FEBRUARY 2024
The Durban Chamber of Commerce and Industry NPC welcomes the State of the Nation Address 2025 delivered by President Cyril Ramaphosa. We acknowledge this is the first State of the Nation Address since the formation of the Government of National Unity. In our opinion, the State of the Nation Address 2025 addressed critical issues but failed to provide tangible action plans and timelines against the reforms. As organised business, we would like to highlight the following:
Economic Growth
The Durban Chamber of Commerce and Industry NPC acknowledges President Cyril Ramaphosa’s commitment towards economic growth, lifting it to above 3%. For it to be realised, we need to address issues such as poor governance and policy uncertainty. Consequence management and merit-based appointments must be a priority in addressing service delivery challenges in South Africa. Furthermore, we need tangible reforms that will promote favourable business conditions which will attract and retain investment in South Africa. As organised business, we remain committed to working with government to ensure we reverse the economic decline in South Africa.
Municipalities
The Durban Chamber of Commerce and Industry NPC was pleased to note the SONA placed great emphasis on the rehabilitation of municipalities. This is a step in the right direction; we need a clear action plan on how the challenges in eThekwini Municipality will be addressed. With the Presidential eThekwini Working Group established, we believe we can fast-track the implementation of key reforms in eThekwini. Whilst we have been collaborating with all spheres of government to tackle the issues in Durban, businesses still suffer from poor service delivery, which includes water shortages, unstable supply of electricity and inefficient waste removal services. We need to completely eradicate the issues that continue to plague businesses.
Infrastructure
The Durban Chamber of Commerce and Industry NPC welcomes President Cyril Ramaphosa’s commitment to spend over R940 billion on infrastructure over the next three years. Government needs to focus on the revitalisation and maintenance of infrastructure. Much of the issues we are experiencing are simply due to ageing infrastructure and the lack of maintenance. It is important government justifies the development of new infrastructure versus maintaining existing infrastructure. Failure to do so, will simply lead to further budget constraints, impacting business conditions adversely.
We need clarity and timelines for all projects, we need to see a financial model to see how we can work together as the business community we are ready to work and collaborate however we need clarity.
Load Shedding
Load Shedding coupled with high tariffs significantly affect businesses, particularly when electricity is driving production. Unstable energy supply makes businesses less competitive, especially in a global economy. It reduces the country’s competitiveness in terms of exports and makes it less attractive as an investment destination. Whilst we acknowledge the reforms highlighted in the SONA to address the country’s energy crisis, we need to fast-track the process with clear timelines and deliverables. Amid uncertainty businesses are not able to ‘put the risk of load shedding behind’- the question remains unanswered, when will load shedding end?
Transnet
The Durban Chamber of Commerce and Industry NPC acknowledges Transnet’s performance has stabilized and is on a positive trajectory. Transnet’s resurgence symbolizes a triumph of collaboration and resolve. The interventions have not only averted immediate disaster but are also paving the way for a resilient, future-ready logistics system. Durban has returned stronger, armed with lessons to face storms yet to come. Business and Transnet continue to work together to ensure port operations support the needs of port users. As organised business, we commit to having robust discussions with Transnet.
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For more info, contact the Durban Chamber on 031 335 1000 or info@durbanchamber.co.za
Our website is www.durbanchamber.co.za
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NOTE TO EDITORS:
Comment attribution: Mr Prasheen Maharaj, President The Durban Chamber of Commerce and Industry NPC
Media contacts:
Durban Chamber of Commerce and Industry NPC
Ms Zanele Khomo
Chief Growth Officer
T: +27 31 335 1000
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