Quarry Southern Africa March 2019 | Page 3

EASE OF DOING BUSINESS E veryone welcomed the announcement in President Cyril Ramaphosa’s State of the Nation Address (SONA) that his administration would focus on making it easier to do business in South Africa. It was supported by many business groups in South Africa, including Aspasa and Consulting Engineers Southern Africa (CESA). The fact that the government has set a target of ensuring that South Africa moves up from position 82 on the World Bank’s annual Doing Business Report to within the top 50, indicates that it has a vision for business in South Africa. The president has recognised the role that small and medium enterprises play in the economy and launched some positive initiatives to help them grow, particularly by pledging to expand government’s small- business incubation programme. Reducing the red tape that small businesses face and improving the ease of doing business, is one of the best ways to promote a more inclusive, entrepreneurial, and diverse economy. Many quarries are small, family-owned businesses that could do with a hand in this direction, as they currently have to comply with the type of draconian mining legislation meant for massive mines. President Ramaphosa’s focus on growing South African exports as part of a strategy to revive the economy is also good news. However, as the Business article (page 12) in this issue suggests, state-owned enterprises (SOEs) such as Transnet are seemingly doing everything in their power to inhibit exports. www.quarryonline.co.za  Many small quarry owners will be delighted to hear that the Employment Tax Incentive will be extended for another 10 years. That is a great initiative that helps to create work for the youth, while rewarding entrepreneurs for being job creators. Nico Pienaar, director of Aspasa, comments on SONA: “The speech covered the issue of infrastructure development, which for us as Aspasa is good news. This means more building and construction, which means more use of building material and aggregate, sand, and cement. Last year no work was given out by Sanral for road-building so the industry has suffered. Another positive aspect was the increased focus on education. We as Aspasa support this as we have now ventured into more training of workers in the industry. “Then a big plus is the issue of clamping down on corruption in all sectors, public and private. The mining industry has been severely affected by corruption, not so much into our industry but more into coal, in the case of the Guptas. The problem was that some of the regulators’ staff became part of this — though the new minister intervened and suspended the work of regional offices. The previous practice does leave a bad taste in the mouth. The mining industry has been requested to report any deeds of officials that are linked to dishonesty to the minister’s office. Aspasa has similarly asked its members to help report these incidents,” says Pienaar. In February, CESA issued a statement that it is in full support of President Ramaphosa’s 2019 SONA. “We welcome COMMENT Eamonn Ryan, editor [email protected] the president’s ‘Brave new world’. I think that his call for collective engagement is fundamental to achieve a successful future for South Africa. It is heartening that technical competence in government will be increased and that infrastructure promotion will be driven further through the Infrastructure Fund. These are positive steps that CESA supports and is willing to become active participants in,” states Neresh Pather, CESA president. The organisation commends President Ramaphosa for stating that infrastructure investment is key to growing the economy. CESA welcomes the interventions that are decisively stabilising and revitalising SOEs as well as dealing with those implicated in state capture. Finally, it is highly encouraging that the elections will be held as early as 8 May 2019 as announced by the president. This means that government can get on with the business of getting a new team in place and the urgent need to start implementing the infrastructure development programmes required for economic growth and job creation. In summary, this was one of the most business-friendly presidential addresses we have heard in a long while, with a vision for how government and the private sector can join hands in growing the economy, creating jobs, and promoting social cohesion.  QUARRY SA | MARCH/APRIL 2019_1