Uncertainty over Zuma’s power solutions
|Published
The State of the Nation Address by HE President Jacob Zuma to a joint sitting of Parliament of Parliament of the Republic of South Africa, Cape Town.12/02/2015 Kopano Tlape/DoC. The State of the Nation Address by HE President Jacob Zuma to a joint sitting of Parliament of Parliament of the Republic of South Africa, Cape Town.12/02/2015 Kopano Tlape/DoC.
Cape Town - President Jacob Zuma’s response to the on-going power problems experienced around the country was met with mixed reactions from the business sector on Thursday evening.
SA Chamber of Commerce and Industry (SACCI) president Vusi Khumalo said though the president gave details about long-term plans to address the electricity shortage, he didn’t do enough to address the immediate and continuous power cut-offs.
“He certainly did not create an impression that in the short-term, there is a plan to bring to an end the ongoing cut-offs. For business that is very important.
“He did not get into the finer details of what is to be done immediately, and that is very important to business. He was not very convincing in that regard, so the message seems to be that we will continue to have these power disruptions,” said Khumalo.
He added, however, that he was encouraged that government was open to allowing the participation of the private sector in creating additional capacity for the power grid.
National African Federated of Chamber of Commerce (NAFCOC) president Lawrence Mavundla said businesses looking to invest in South Africa would remain skeptical even after Zuma’s address.
“Those already operational here would have found some comfort to hear that there are solid plans to address the power challenges, but those looking to come here will remain reluctant.
“But they should appreciate that shortages are also created by different developments in the country like the expansion of electricity to people who have never had power before,” said Mavundla.
He said small business already had to include money for generators when applying for funding, which created a serious burden for small businesses in SA.
“Having said that, we are impressed in how he addressed the issue of the challenges faced by small businesses,” said Mavundla.