Botswana's leader to keep winning formula

By Gordon Bell, IOL, 30/03/2008

Vice President Seretse Khama Ian Khama takes over the leadership of Botswana this week and is expected to stay on an economic and political course that has made the country one of Africa's rare success stories.

President Festus Mogae will retire after nearly a decade in power, handing over to Khama, a former general who is the son of the country's first independent leader, at an inauguration on Tuesday. A general election is expected in 2009.

Khama, 55, will inherit one of the best performing economies in southern Africa.

The mineral-rich nation, which is the world's top diamond producer and famous for its sprawling wildlife reserves, has enjoyed average growth of around 8 percent over the last two decades.

GDP per capita is forecast at $8 453 in 2008, the highest in sub-Saharan Africa, according to global investment banking group UBS.

Botswana also has the highest sovereign ratings in Africa, and is ranked the continent's least corrupt country by Transparency International.

In 1999, Mogae succeeded retiring President Ketumile Masire in a landslide election victory at the head of the Botswana Democratic Party (BDP) that has ruled the former British colony since 1966.

The Batswana expect prosperity regardless of who is in charge of the southern African country of nearly 2 million.

"I think things will stay the same, since they are from the same party," said B Kasome, 35, a scout at a game reserve near the capital Gaborone, before adding he was content with life.

"At the moment we are happy with him (Mogae), why change when things are going well."

Unlike many countries in Africa, Botswana has rejected the ruler-for-life path, limiting presidential terms to 10 years.

Tribal chief

Analysts say the handover has been carefully orchestrated to cause as few ripples as possible, in contrast to the often disruptive and sometimes violent succession crises that have erupted in other parts of the continent.

The ruling party, which has won every election since independence from Britain, seems assured of another victory next year, with Khama, the paramount chief of the country's biggest tribe, the Bangwato, at its helm.

The new president has the right credentials, being the first-born son of Botswana's hugely popular founding president, Seretse Khama.

A qualified pilot, who attended Sandhurst military academy, he is admired by many, but others fear his military background may bring in an authoritarian leadership style.

"Ian is a chief and he was a soldier so he might use those powers in ruling. It might be bad," said Tshego Ngeza, 27, a nursery school assistant.

"I would prefer Mogae. People are so worried, really worried about Ian's background."

While successful on the macroeconomic front, the government has recently come under fire over its human rights record and commitment to democracy.

Botswana faced international scrutiny in 2006 when its highest court ruled it had illegally forced its San Bushmen off their ancestral lands, and last year banned 17 people, mostly foreign journalists and human rights activists from the country.

Analysts don't expect any major shifts in policies, at least not before the election.

"I don't envision any impact from this change. The telling time will come after the election," said Hilton Coghlan, chief investment officer at Fleming Asset Management Botswana.

Aids fight

The government has won wide praise for its battle against one of the worst Aids crises in the world, offering drugs and other treatment to contain an epidemic estimated to have infected one in three adults.

The country has been a island of stability in a turbulent region and some believe Khama is the candidate to keep the country on the right track.

"The new president Ian Khama will bring some changes. If you have a problem he is always prepared to help you, he always helps orphans and other poor people," said 26-year-old childcare worker Boitshepo Mmualefae.

Cost of widening Durban port rises to R3.2bn

By SAMANTHA ENSLIN-PAYNE, Business Report, 17/03/2008

The cost to widen and deepen the entrance channel to the Durban port has almost doubled to R3.2 billion as Transnet had to compete with other projects for scarce skills and pay a premium for the risky nature of this mammoth project.

David Ward, deputy port engineer at the Durban harbour, said on Friday that prices had come in higher than expected.

There had been dramatic increases in the costs of construction due to increased construction activity in the country, he said. "This project is [also] high-risk stuff," Ward said.

Besides construction, costs also include additional navigational equipment, the management contract and settling leases of tenants which had to vacate their restaurants to make way for the project.

In 2006, prior to issuing the tender, the project was expected to cost about R1.7 billion. It is due for completion in March 2010. Construction began in July.

The entrance channel of South Africa's busiest port is being widened to cater for larger vessels. The port usually handles ships with the capacity to carry about 3 500 twenty-foot equivalent units (TEUs). Larger vessels can only be accommodated during high tide.

"The channel no longer meets international norms in terms of safe navigation," Ward said.

The bigger channel was designed for vessels carrying 9 200 TEUs regardless of tides and should be sufficient for the foreseeable future, Ward said. "No further widening can take place," Ward said.

When more capacity was needed, digging out a deep-water harbour at the current airport site was "definitely a possibility", he said.

The narrowest point of the harbour mouth is 130m and 12.8m deep. Once the project is completed, the channel will be 220m at its narrowest point flaring to 300m at its widest point. The depth of the channel will be between 16m and 19m.

Planning is under way to deepen the berths in the harbour, but this is an expensive exercise as the quay walls also need to be strengthened.

Perhaps the most dangerous work being done currently is by sub contractor Superior Offshore. Its divers are dismantling the tug jetty, just inside the harbour, using a diamond coated cutter which slices it into sections for it to be removed offshore by tug boat.

Dredging the channel has uncovered some rather unusual "artifacts", including live ammunition which it is suspected fell overboard while being sent for dumping out to sea after World War 2.

Mozambique on diplomatic offensive to lure FDI

By Charles Mangwiro, Reuters, 11 Mar 2008

Mozambique plans to intensify its efforts to lure more foreign investment inflows to cut poverty and accelerate economic growth, Foreign Affairs and Cooperation Minister Oldemiro Baloi, told Reuters on Tuesday.

The newly appointed Baloi, who served as Trade and Industry Minister under former President Joaquim Chissano from 1995 to 2000, said industrial revolution was his main agenda.
"We want a strategy that bears fruits, we want to attract more investments and boost mega projects including the small-scale industry which we want to flourish at an accelerated pace", he told Reuters shortly after being sworn into office.

Baloi replaced Alcinda Abreu, who was fired on Monday along with Justice Minister Esperanca Machavela, Transport and Communications Minister Antonio Mungwambe, and Environment Minister Luciano de Castro.

Mozambique has been struggling to rebuild its economy which almost collapsed after independence from Portugual in 1975, before the country slid into a 17-year civil war that devastated its agriculture-based economy.

Foreign investors slowly returned in the 1990s, with inflows picking up after Armando Guebuza was elected president in 2005.

Guebuza, a West-leaning technocrat, has made luring foreign investment a cornerstone of his economic programme.

Greater investment inflows would help Mozambique hit its 7 percent GDP growth target for 2008 and help ease inflation to within single digits, the government said. The economy grew by 7.5 percent in 2007.

The country's natural resources and tourism potential are likely to remain the main draw for foreign investors. A number of Western oil firms are drilling offshore in Mozambique's Rovuma Basin.

Mozambique also wants to attract investment for a planned upgrade of the Cahora Bassa hydro-electricity plant in northern Tete province, which was neglected during the civil war.

Cahora Bassa has potential output of 14,000 MW of hydro power, but currently produces 2,075 MW, 60 percent of which goes to South Africa's state firm Eskom.

SA must apply technology to reach poorer regions – World Bank

By Guy Copans, Engineering News, 04/03/2008

South Africa has an enormous challenge on its hands to develop underdeveloped parts of the country to ensure that the first-world techniques that it already possessed were spread to the rest of the population, a World Bank official said on Tuesday.

Director of the World Bank’s development prospects group and international trade department, Uri Dadush, said at the Development Bank of Southern Africa/World Bank Development global economic prospects launch in Midrand, that technology development was not only about hi-tech innovation but also about the development of basic amenities such as electrification, sanitation, and immunisation.

He said that more could still be done to improve the productivity of agriculture, noting that while advance technologies were in place, they needed to be better applied in order for these technologies to reach poorer people in the country.

He said that South Africa represented a very interesting case in the technology development sphere, as while the country had world-class companies in a number of areas, it also had relatively low productivity in the economy that was inter-mingled with the firms and sectors that were more advanced.

“South Africa is a good illustration of the fact that you can have technology in a country that is not diffused, leading to enormous gaps in productivity and technological achievement. However, South Africa is not alone in this, as large developing countries such as Brazil, China and India have similar problems,” he noted.

Dadush said that while the technology gap between developed and developing countries has been narrowed, it still remained wide. He attributed this mainly to technology in developing countries reflecting absorption of pre-existing technology, rather than reflecting innovation on a large-scale.

SA: Solar power for geysers to be compulsory

05/03/2008

Electric geysers will have to incorporate solar heating by 2010 in all new houses valued at over R750 000, or larger than 300 square metres, Parliament heard on Wednesday.

This would also apply to commercial buildings, hostels, resorts and shopping centres, the Department of Minerals and Energy told Parliament's Portfolio Committee on Minerals and Energy.

Additional geyser insulation was also required for such structures, said the department's chief director for electricity, Ompi Aphane.

These regulations would be in place "no later than 2010".

All electric geysers also had to be fitted with a switch enabling Eskom to remotely turn them off.

Department of Public Enterprises director general Portia Molefe said it was looking at replacing about two million electric geysers in the country with solar ones, which would save about 1 300 MW.

Aphane said that Eskom's reserve margin - the difference between peak demand and operating capacity - would decrease to two percent around 2012, from around 5,9 percent at present, if nothing was done to reduce demand.

"If a total blackout occurs it will take about a month to restore. You can imagine the economic consequences of that," he said.

Cogeneration from waste heat produced in factories or furnaces needed to be captured and could add an extra 3 500 MW in capacity.

"A bidding process with Eskom is already under way."

Responding to comments from MPs, Eskom's chief operating officer Brian Dames said South Africa lacked the water to generate hydro-electric power on the same scale as China, where this was being done on the Yangtze River. Dames said only the Inga River in the Democratic Republic of Congo was suitable for this.

Molefe said South Africa could learn lessons from the way Brazil dealt with its power crisis several years ago. Despite reducing demand by 25 percent the country's economy had become more efficient.

Tanzania to channel $698m into infrastructure

Andrew Maggs, Business Day, 03 March 2008

WHILE Kenya’s ongoing political crisis continues to dominate East Africa’s headlines, it is business as usual in the neighbouring countries, where prospects for participation in infrastructure projects have improved significantly over the past few months

In Tanzania, the signing of a compact (foreign assistance agreement) between the Millennium Challenge Corporation (MCC) of the US and the government of Tanzania will see $698m being channeled into infrastructure investments in the transport, energy, and water sectors over the next five years. Given the MCC’s intention to accelerate implementation of its activities, contractors and consultants would do well to monitor these developments without delay as various projects are rolled out.

MCC assistance will be used to rehabilitate roads, increase the availability of potable water and improve access to reliable energy. Already procurement is under way, with consultants being sought to provide engineering services, works supervision services and technical assistance for the proposed MCC-funded Energy Sector Project. This includes the construction of an 8MW run-of-river hydro power plant at Malagarasi and the installation of a transmission and distribution network in the Kigoma region.

Rehabilitation of power distribution systems and network extension in six regions (Tanga, Morogoro, Mwanza, Mbeya, Iringa, and Dodoma) will be carried out.

Once bidding documents have been prepared, contractors will be invited to participate in the Malagarasi hydro project on a EPC-basis (Engineering, Procurement and Construction).

Further investment is expected later this year when the World Bank decides whether to provide funding of $130m towards the Central Transport Corridor Repeater Project. With a total value of $170m, the project will include the establishment of a Bus Rapid Transport (BRT) system in Dar es Salaam .

The BRT, which will operate as a “surface metro system” will cover a distance of 20,9km. Dedicated bus ways will be constructed and stations will be built at 1km intervals. The system will also have five terminals, six feeder stations and two bus depots.

Also included as a component of the Central Transport Corridor Repeater Project is the rehabilitation and upgrading of the Korogwe-Mkumbara-Same road (172km), which forms part of the North-East Corridor that connects Dar es Salaam to major tourist destinations in northern Tanzania. It also serves as an important link between Dar es Salaam and Nairobi. In Uganda plans are under way to introduce a BRT system in Kampala to improve public transport. The project, if it goes ahead, would likely be implemented by the private sector under public-private partnership.

Uganda’s ministry of transport has announced plans to upgrade the Entebbe-Kampala road into an expressway. The existing road (39,7km) handles 17000 vehicles a day and is visibly inadequate to handle increased traffic flows between Entebbe International Airport and Kampala.

Again, private sector participation would be sought with the likely option being a Build, Operate and Transfer scheme with investment costs being covered through toll collections. Terms of reference for both projects (BRT and the Entebbe-Kampala Expressway) are being finalised, with bidding for consultancy services likely to commence next month.

South Africa: Eskom wants 53% more

By Boyd Webb and Sapa, The Star on March 19, 2008

Eskom is still supplying electricity to South Africa's neighbours, but they are also being subjected to power shedding, Public Enterprises Minister Alec Erwin said on Tuesday, as the country braced itself for a possible 53 percent hike in the price of electricity.

The National Energy Regulator (Nersa) confirmed that Eskom had officially applied for a 53 percent tariff hike. "Eskom has applied for a revision of the price for 2008/9 from 14,2 percent to 53 percent increase... or a 60 percent nominal increase," Nersa said.

The energy utility has already implemented a 14,2 percent increase which Nersa granted it last year, but Eskom has argued that the increase was not enough to help fund its R300-billion expansion programme.

If the new request is granted, the increase will replace the 14,2 percent increase.

The hike - whether 14,2 or 53 percent - comes in the wake of a 2c per kilowatt hour electricity levy announced last month by Finance Minister Trevor Manuel, and amid a new round of nationwide power cuts.

It said Eskom wanted the revision because of what the utility said were its higher primary energy costs, and "accelerated demand side management" costs.

Nersa, that last year turned down Eskom's original request for an 18 percent increase, looks set to pay the power utilities' hefty demand some serious attention. "In the light of the current electricity supply shortage and load shedding in the country, the energy regulator will give urgent attention to Eskom's application and make its decision after due process," the regulator said.

During the National Assembly debate on the Appropriation Bill on Tuesday opposition parties called for greater clarity of Eskom's funding structures.

The ACDP said that while it was welcoming the fact that government would address the power crisis by providing R60-billion (over five years) to assist Eskom, it needed greater clarity as to the terms and details of this funding arrangement.

The Freedom Front Plus (FF+) decried the lack of political leadership in the crisis arguing that it was largely to blame for the economic insecurity and pessimism that abounded.

However, responding to parliamentary questions from the FF+, Erwin said South Africans were not the only ones feeling the brunt of the power crises. He told FF+ MP Willie Spies that Eskom was only supplying 90 on Tuesday of the 950 mega watts of the electricity it was contractually obliged to provide a Mozambican aluminium smelter.

He said the smelter had offered to absorb further hours of "disruption" in order to assist during the energy crisis in January. "In addition, once the commitment was made by South African customers to reduce their off take by 10 percent, this reduction was made by the smelter. It is therefore currently operating at 90 percent of normal levels," he said.

Erwin assured Spies that all utilities that bought electricity from Eskom - Botswana, Namibia, Zimbabwe, Lesotho, Mozambique and Swaziland - were subject to the "same treatment" as South Africans were.

"Where domestic customers have been subjected to load shedding the respective utilities have been subjected to similar restriction," he said.

Namibia economy to grow 4,7% in '08

Reuters, 05/03/2008

Namibia's economy was expected to accelerate to 4,7 percent in 2008 on strong commodity prices, but inflation was likely to quicken due to rising food and fuel prices, the country's finance minister said on Wednesday.

Saara Kuugongelwa-Amadhila said the southern African economy was expected to have grown by 4 percent last year, but growth should be bolstered over the next three years by high metals prices.

"Growth is anticipated to rise to 4,7 percent in 2008 on the back of favourable commodity prices and increased uranium production," she said in a budget speech.

Growth should average about 5,2 percent until 2011.

Kuugongelwa-Amadhila said it was expected that four new uranium mines would come on stream in the next three years, to add to the existing two mines in operation.

The desert nation relies heavily on mining, which accounts for about half of its export earning, led by diamonds. It is also the world's fifth largest producer of uranium.

The finance minister also said inflation was likely to accelerate to 7,0 percent this year from a 6,8 percent average in 2007, mainly due rising food and fuel prices.

Food and fuel prices have risen internationally and has pushed up inflation in neighbouring South Africa, to which the Namibian economy is closely tied through its rand peg and joint membership of the Southern African Customs Union.

Kuugongelwa-Amadhila added Namibia's budget surplus was seen shrinking to 3,3 percent of gross domestic product from 4,8 percent in 2007.

Botswana gems to sparkle at home

Peter Biles, BBC News, 19/03/2008
A new diamond-processing plant, The Diamond Trading Company, has opened in Botswana, creating about 3,000 jobs.

Until now, diamonds from Botswana have been sent abroad to be polished, marketed and sold.

The $83m plant, jointly owned by the government and diamond giant De Beers, will become a processing centre for diamonds from De Beers mines worldwide.

Botswana is the world's largest producer of diamonds and one of Africa's most stable countries.

The presence of the new advanced diamond sorting facility in the capital, Gaborone, is expected to create further jobs in the finance, security and telecommunications sectors.

Vast pit

Diamonds are a finite resource, but they still make up 80% of Botswana's foreign earnings.

For quarter of a century, diamonds have been dug from Jwaneng Mine - the richest diamond mine in the world.

Jwaneng means "the place of small stones".

Its vast open pit yields the bedrock of Botswana's economy, and looks to do so for decades to come, guaranteeing continued growth.

The mine's general manager, Balisi Bonyongo, argues that development in Botswana "really took off" when Jwaneng Mine was discovered, and when it started operating in 1982.

"We have seen wealth creation in this country," he said.

"We have seen a lot of opportunities being created, for employment, for infrastructure, hospitals, health services - on the back of the discovery of this great operation - Jwaneng Mine."

Previously, mined diamonds were exported straight to London to be processed.

But with the rough gems now being sorted at the Diamond Trading Company, the production process will be centred in Botswana.

That will eventually benefit thousands of local workers.

Long-term investment

De Beers, which has been operating in Botswana for more half a century, says it makes economic sense to move the technology and skills to the country.

Botswana's reputation as a stable country is attractive to investors, argue the firm's management.

"Mining is a long term investment," said Sheila Khama, Chief Executive Officer of De Beers Botswana.

"And one of the pre-requisites to investing in mining, is political and economic stability... of the country in which the investor puts their money.

"Botswana's successful beneficiation ensures Botswana's economic stability."

Ms Khama accepts that concerns remain about the finite nature of the diamond industry.

"We know diamonds are a finite resource and over 50 years, we spent $93m in Botswana searching for diamonds," she said.

"We need to find other deposits."

Stiff competition

Delphinah Kehathilwe, a local diamond sorter, knew nothing about diamonds before she underwent six months of training.

"They say diamonds are a lady's friend, but before I didn't see much in a diamond. But touching them on a daily basis, I began to like them," she said.

Cutting and polishing facilities are also being moved to Africa, with 16 different manufacturers agreeing to start operations in the country.

While this diversification will face stiff competition from the traditional centres in China and India, the developments are important ones for Botswana.

The transfer of skills from abroad should put the country on the map as never before, and change the face of its diamond industry.

Botswana expects Mmamabula contracts to be signed soon

18/03/2008

A Botswana government official said on Tuesday that he hoped that the contracts for the power tariffs and construction of the 2 400 MW Mmamabula power plant to be built in the country would be signed "within the next month of so".

Permanent secretary in the Ministry of Mines, Akolang Tombale, said that the project was expected to cost between $6-billion and $10,5-billion, and that cost increases for the construction of the project had been "enormous".

Engineering News Online reported earlier this year that the developer of the project, Canada's CIC Energy wanted to first conclude a definitive agreement with a selected engineering and construction partner before it would be in a position to sign power purchase agreements with either the South African power utility, Eskom, or the Botswana Power Corporation.

At the time, the company was still engaging with a short-listed group of potential engineering, procurement and construction consortia, which would be contracted by CIC Energy to develop the project on a turnkey basis.

The company announced in January that the schedule for the Mmamabula project would be delayed by about six months. It said strong demand for power plant builds, and the prevailing engineering resource constraints, were increasing lead times for power plant equipment and construction services.

Financial close for the first phase of the project was now expected in the fourth quarter of 2008, followed immediately with the start of construction in the same quarter.

This would push the commercial operation of the first unit of the power station to late 2012, or early 2013. The second and third units would come online at six-month intervals following the first unit.

RSA: Electricity bill may rise by 24%

March 18 2008

South Africans could be staring at a shocking electricity price increase of more than 24 percent if Eskom's appeal this week to the National Energy Regulator of SA (Nersa) is successful.

Nersa member responsible for electricity Thembani Dukula on Monday confirmed that Eskom would be applying for a "double-digit increase" above and beyond the 14,2 percent it has already been awarded.

"It is certainly not increases that are below 10 percent. It's double-digit increases that you are talking about, over and above the 14 percent that they have already been given," Dukula said.

This double whammy is expected to hurt even more as it comes on the back of a 2c per kilowatt-hour (kWh) levy that was introduced by Finance Minister Trevor Manuel during his budget last month, and an additional threat of a 75c per kWh penalty for consumers who exceed their electricity quota.

It is believed that Eskom will target customers in the upper-income bracket; people living in wealthier suburbs with homes that have good lighting, a geyser, under-floor heating, electrical gadgets and a swimming pool.

Residents in better-off suburbs will be asked to slash their energy consumption by 10 percent - or pay a penalty measured on a daily basis.

At present, customers pay 40c/kWh for energy, but when the new tariff structure comes into effect, heavy users could pay more than R1,50 per kWh during peak periods.

Eskom board chairman Valli Moosa confirmed last night that the power utility would be making its application to Nersa later this week.

Joburg to study the viability of a new airport development

07/03/2008

The City of Johannesburg plans to study the economic viability of the creation of a new specialist airport to cater for either cargo or passenger growth, and has issued a tender calling for bids from consultants interested in conducting the feasibility study.

The city, which is also Africa's wealthiest, already has two international (OR Tambo and Lanseria) and two additional regional (Rand and Grand Central) airports within relatively close proximity. However, it should be noted that both OR Tambo International Aiport and Rand Airport fall outside the Johannesburg metropolitan boundaries.

The proposal also comes about a decade after to so-called Springs-Nigel International Airport proposal, which was roundly rejected by the authorities at the time.

Details are sketchy, but the call for proposals suggest that the consultants will also be asked to consider the appropriate "functional specialisation" for a new airport, suggesting that the new facility could have a bias towards either airfreight or passengers.

The tender notes that, in order for South Africa to achieve its stated growth goal of 6% from 2010, Johannesburg's growth rate would need to exceed 9% and that additional airport infrastructure could serve as a further catalyst for such growth.

No mention, however, is made of South Africa's prevailing power crisis, which could limit prospects for large-scale developments of the kind envisaged.

But it acknowledges that the development will need to take into account other economic activities and infrastructure projects that could have a bearing on its viability.

The initiative is being overseen by the city's Economic Development Department, which has invited proposals from "Suitably qualified service providers: to assist with the study.

"The scope of the work includes, but is not limited to, stakeholder identification and analysis, analysis of national freight logistics, comparative analysis on the expansion of existing airports versus the development of a new one, economic sustainability and viability, roles of other spheres of government, financial models and operational models," the tender, labelled A273, states.

A copy of the proposal is available for a nonrefundable deposit of R100 and the closing date for submission is March 25, 2008.

Investec mulls SA power projects, but warns of pricing and policy obstacles

13/03/2008

South African financial services group Investec says it is willing to invest directly into both renewable and conventional power generation projects in South Africa, but says a far more transparent pricing formula, backed by clear market rules for independent power producers (IPPs), is needed to facilitate such investments.

Speaking at a media briefing in Johannesburg on Thursday, Investec Capital Markets project and infrastructure finance head Michael Meeser noted that the company had already taken direct equity in renewable-energy projects in Australia, Greece, as well as in biofuels facilities in North America. It had also been a key debt arranger for projects in Scotland, Wales and Italy.

The group was developing a A$380-million wind farm in Australia, was a 50% partner in the Greece facility, and was seriously studying a wind-energy project in South Africa, which could be between 10 MW and 30 MW in size.

Meeser refused to be draw on where the plant could be sited, saying only that it had raised the concept with the Department of Minerals and Energy.

In addition, the group had direct experience with conventional IPPs, where it had also had experience in taking direct equity. For instance, until recently it was a part-equity holder in the Kelvin power station, east of Johannesburg, which has since been sold to a consortium, which includes Aldwych International, a UK power company. The group had also taken a 40% equity stake in an IPP facility in Ireland.

Meeser said that the group was considering both renewable and conventional power facilities, indicating that the conventional facilities would most likely arise as large mining and process industries sought ways of sustaining production in the context of 5% to 10% power rationing.

ESKOM MUST BE ALLOWED TO PASS THROUGH COSTS

However, he stressed that these projects could only be made viable if the regulatory environment was such that it allowed Eskom (which would be the single conduit to the grid for IPPs, cogenerated or private renewables) to pass through the higher prices associated with these projects to the consumer. In addition, the regime should allow private companies to buy private power directly in cases where it could help sustain production, with the higher prices possibly being offset by power buy back arrangements, currently under investigation at Eskom.

"The key thing here is understanding the tariff, because without a facilitative tariff the project falls flat," Meeser explained, stressing this was particularly true for renewable ventures.

Under the current multiyear tariff dispensation, Eskom was disallowed from passing through costs arising from its primary energy, as well as, probably, from higher-priced private producers of power, which would place untenable financial pressure on the utility. Such regulatory limitations were also deployed in California and helped precipitate the power crisis in that US state back in 2001.

The only alternative was for the government to come in and recapitalise Eskom on an ongoing basis.

It had emerged recently that Eskom had indeed approached the National Energy Regulator of South Africa for another ‘reopener' in a bid to persuade the regulator to allow it to pass through its rising primary energy costs. It is not clear, however, whether it would also be requesting the right to do the same with the new cogenerated and IPP power.

The tender for Eskom's ‘Pilot National Cogeneration Programme' closes at the end of May and the utility has also issued a medium-term cogeneration tender, where cogeneration of IPP projects of between 5 MW and 1 000 MW, up to a combined capacity of 3 000 MW, will be assessed. It is also understood that the utility plans to issue a base load tender for an additional 4 000 MW in the not-too-distant future.

SHOOTING IN THE DARK

Investec's Adam Gordon says that this demand is creating a significant amount of interest among potential private power producers, but he says the lack of a clear pricing signal from Eskom and tariff-structure certainty from the regulator, was dampening that appetite.

Gordon acknowledges that it is difficult for Eskom to send out a clear pricing signal, given that it is not yet clear whether it will be able to recover those prices. However, he says the unofficial signals that the utility is offering are sowing some confusion as it appears to be based on outdated information.

That means that the bidders for the May 31 cogeneration tender were more or less "shooting in the dark", and it was anticipated that Eskom saw the auction as a way of helping to define both its and the market's pricing appetite, and would probably contract with those that offer the lowest prices.

"That is making it quite difficult for the bidders," Gordon said.

He also warned that the prospect of meeting the stated renewable-energy targets were dim, unless the policymakers agreed to some type of ‘feed-in tariff' formula for such technologies.

Feed-in tariffs were used in other jurisdictions as an incentive to boosts the adoption of renewable energy, whereby regional or national electricity utilities are obligated to buy renewable electricity at above market rates.

Meeser noted that had it not been for such incentives in Greece and Australia, those two wind-energy projects would not have been viable.

South Africa had set itself a renewable target of 10 000 GWh of power from renewable sources by 2012, but there had been very little done to meet that goal.

In 2002/3, Eskom erected three wind turbines at an experimental wind energy farm at Klipheuwel, on the West Coast near Cape Town, and was now likely to pursue a larger 100-MW facility.

The City of Cape Town, the Central Energy Fund, the Development Bank of Southern Africa and the Danish government were also supporting the development of the Darling IPP, which would be South Africa's first commercial wind farm. Further, Eskom was likely to pursue a concentrating solar plant in Upington, in the Northern Cape, while considering other renewable options.

"We believe there are real opportunities emerging in the domestic energy market, but there are still a number of obstacles in the way of truly unlocking the potential for private power. Processes have to be streamlines and clarified, and the Eskom, as the single buyer, has to be allowed to pass through these higher prices to the consumer, or it is simply not going to be viable," Meeser concluded.

South Africa: DTI adjusts incentive programme for capital project studies

By Olivia Soraya Spadavecchia, Engineering News, 14/03/2008

The Department of Trade and Industry (DTI) said on Friday that it had amended the capital projects feasibility programme, previously the South African capital goods feasibility study fund.

The DTI explained that the revised programme, which was intended to facilitate feasibility studies likely to lead to projects that would increase South African exports, stimulate growth for the local capital goods and services sector and allied industries, would come into effect on the first of next month.

The value of the rebate for any qualifying feasibility study is capped at a maximum of R5-million.

This component is available to registered legal entities in South Africa and provides a rebate of 55% of the total costs of the feasibility study for projects in Africa, and 50% for those outside Africa.

Certain key changes would be effected, firstly, the percentage of local content in the feasibility study - in terms of goods and professional services - which should ideally be 50% would now be at the discretion of the adjudication committee.

Secondly, the rebate would then be proportionally reduced, depending on the proposed percentage of local content.

Programme manager Donald Mabusela told Engineering News Online that the adjudication committee was comprised of about eight industry experts from the mining sector and across a "broad spectrum" of engineering fields.

Mabusela explained that applications would be judged on a "case by case basis", and that even if the feasibility study did not achieve 50% local content, but it promoted broad-based black economic-empowerment (BBBEE), it would be considered "favourably".

He commented that before the percentage was "strictly 50%", but now if an application's BBBEE component was good, it would have a "strong chance of being supported by the programme."

The rebate given would relate to the level of BBBEE credentials - the better the credentials, the higher the rebate, in order to promote empowerment initiatives, which is one of the DTI's objectives.

The DTI said that it aim was to attract higher levels of domestic and foreign investment, and to strengthen the international competitiveness of local business.

Other objectives involved stimulating project development in Africa and, in particular the Southern African Development Community countries, as well as support for the objectives of the Nepad, and promoting links with and development of small, medium and micro enterprises and BEE businesses.

SA signs $700m sea cable agreement

Reuters, 14 March 08

South Africa has signed a memorandum of understanding (MOU) to help fund a $700-million submarine cable to boost broadband capacity and ease Internet tariffs, a government official said on Friday.

"The shareholder's agreement will be signed on the April 15, 2008 with financial close the same day," Lulu Bam, a spokeswoman for the Department of Public Enterprises, said in a statement.

Bam did not name the 11 companies involved.

South Africa's state-owned telecom infrastructure company, Broadband Infraco, will hold a 26 percent stake in the cable project with the remainder in to private hands.

South Africa, the continent's biggest economy, has only one cable linking it to the rest of the world and this has been controlled by former monopoly Telkom.

Telkom's market dominance is being challenged by Neotel, South Africa's second telephone network operator, which has signed an agreement to build a private equity-funded submarine cable along the country's east coast.

This cable, which will also boost Internet capacity, will connect South Africa to India and Europe and was expected to enter service by early 2009.

Bank of Tanzania caught in big scandal

Africa News, 13/03/2008

In Tanzania, Attorney General, Johnson Mwanyika, `cleans his hands’ against corruption scandal on controversial power generating firm-Richmond

Mwanyika who Chair a high probe team on Bank of Tanzania’s External Arrears (EPA) scandal, formed by President Jakaya Kikwete, was speaking with Editors of local media houses in Dar es Salaam on Wednesday.

“I’m a clean civil servant, I have never involved in any corruption deal, I don’t understand their intention to involve me,” he claimed.

Mwanyika was among the government officials implicated to the scandal, in the findings of Parliamentary Selected Committee.

The Richmond scandal caused a former Tanzanian Prime Minister, Edward Lowassa, Minister for Energy and Minerals, Nazir Karamagi and Minister for East Africa, Dk. Ibrahim Msabaha to resign.

From Uganda, rebels of Lord Resistance Army (LRA), have welcomed comments by President Yoweri Museveni, that their leaders would avoid prison and not have to face an international court (ICC), if they sign a peace deal.

Despite coming close to a final accord with the government, LRAs’ representatives insist any deal hinges on the International Criminal Court, dropping war crimes charges against their leader, Joseph Kony and two deputies.

President Museveni， on Tuesday said that, a peace deal would allow the LRA commanders, to atone for crimes through a traditional "blood settlement", avoiding prison and judgment by the ICC.

From Kenya, 69 members of a shadowy militia blamed for a spate of bloody clashes over land in Kenya's Mount Elgon region, have been arrested by Kenyan security forces have arrested.

"We have arrested 69 members of the Sabaot Land Defence Force, the operation will continue until the militias are wiped out," provincial commissioner Abdul Mwasserah said on Wednesday.

However, Journalists and aid workers have been barred from the area, which is popular with tourists for its herds of elephants.

Malawi: Tobacco deal with China imminent

Sam Banda Junior, AfricaNews reporter in Blantyre, Malawi, 13/03/2008

The last details and arrangements are being worked on in a view to finalise a tobacco export agreement between China and Malawi, a Chinese official has said. The move is presented by China as a boost to the Malawi's economy which heavily depends on tobacco.

"Tobacco is very important. We in China have our own laws and rules governing the importation of tobacco. Once we finalise, we will import Malawi tobacco," China's ambassador designate Fan Gwinjins told the local daily of The Daily Times.

He however could not tell whether the importation would start this season, saying there are procedures to be followed before they put pen to paper on the agreement.

This announcement came barely a day after government announced that Barlet Tobacco would now be selling at a minimum of US$ 1.61(231 Malawi Kwacha) from last year's US$ 1.21(Malawi Kwacha 174) representing a 33 percent rise in price.

Flue cured tobacco will be selling at a minimum price of US$ 2.20(Malawi Kwacha 316).

Malawi'is capital Lilongwe and China's Beijing agreed to establish diplomatic relations at ambassadorial level from December 28 last year.

The Southern Africa country's Foreign Affairs and International Cooperation minister Joyce Banda said Malawi's government recognises that there is but one China in the world.

Malawi dumped Taiwan recently after 42-year diplomatic ties and opted for mainland China.

Banda said out of 53 countries in Africa, Taiwan has relationship with four countries only whilst the rest are with Mainland China citing among others the country's neighbours and economic allies Zambia, Mozambique, Zimbabwe and South Africa.

Tobacco is the largest foreign exchange spinner for Malawi which also relies heavily on agriculture.

RSA: Subsidised solar-water heaters on the boom

Companies supplying solar-water heaters have been run off their feet since Eskom started subsidising the devices several weeks ago.

Eskom has embarked on a process of registering companies to provide the subsidised solar-water heaters after the firms comply with stringent criteria. In early January, when the first subsidies were granted, there was only one registered supplier.

Now there are eight, five of them in the Western Cape, and the number is set to boom, said Eskom general strategy manager Andrew Etzinger.

The Eskom website gives an update of the registered companies, whose subsidies currently range from R2 166 to R4 917, the price depending on the efficiency of their systems.
"Since we got SABS approval - and it's a very stringent test - we're getting 50 calls a day," said David Kruyer of Pronto Plumbing, trading as Solar Pro. "Every man and his dog is now interested in this technology."

"We're getting huge numbers of e-mails and calls. I'm already booked up for the whole week," said Stevan Savic of Alt E Technologies.

"Everyone has gone solar crazy," said an industry source who asked not to be named.

Anybody buying a solar-water heater from an approved supplier gets the subsidy in the form of a discount, which the seller reclaims from Eskom.

Etzinger said that 7 000 systems were installed per year in recent years. The new target was 200 000 per year. "We've embarked on a process of partnership with the industry. It's almost been a case of re-engineering the industry, but it's been very positive.

Accredited suppliers are now chock-a-block with orders.

Eskom had been helping the industry to meet the required standards, but there had been unforseen obstacles, said Etzinger. One was that suppliers did not know they needed SABS approval and their installations needed a certificate of compliance.

The registered systems are all installed with a timer or other load-management device, have a guarantee for at least five years and have passed SABS tests. They have also passed the South African National Standards tests for thermal and mechanical performance and safety and are audited by Deloitte.

Heating water in the home accounts for between 30 percent and 50 percent of a household's electricity consumption. It would take six to seven years for a household to recoup the cost of a solar-water heater in the savings on its electricity bill, but the heater is expected to last between 15 and 25 years.

In late January, the department of minerals and energy published draft electricity regulations for public comment proposing that, among other things, all commercial and residential buildings with electric geysers should have solarwater heating facilities added by 2010. "Solar-water heaters are a massive opportunity to deal with our current (electricity) capacity shortage," said Etzinger.

RITES signs MOU with Namibia to upgrade railway infrastructure

13/03/2008

RITES Ltd., an ISO 9001-2000 certified multi-disciplinary public sector undertaking in the fields of transport, infrastructure and related technologies, has signed a Memorandum of Understanding (MOU) with TransNamib Holdings Ltd. The MOU was signed during the recent visit of the delegation of Ministry of Works, Transport and Communication, Namibia led by H.E. Joel N. Kaapanda, Minister of Works, Transport and Communication.

RITES will provide assistance and expertise in upgrading and rehabilitation of existing railway and other infrastructures including train control system using GPS based technology; rehabilitation of old locomotives and supply of new cape gauge rail cars, technical and managerial assistance, advisory services for Public Private Partnership and training for commercial and operating staff. There is a proposal for a new railway line in Namibia from Tsumeb to Ondangwa and on to Oshakati and Oshikango at the Angolan border. The new line is planned to eventually link to the Angolan railway system at a point near Cassinga.

Namibia is served by a busy port, which not only meets its requirement, but also the requirement of Zambia, Botswana and Angola as they are land locked countries and Angola does not have a fully developed port for itself. The new railway line would facilitate easy and faster movement of containers to the port.

About RITES RITES Ltd., a Government of India Enterprise was established in 1974, under the aegis of Indian Railways. RITES is incorporated in India as a Public Limited Company under the Companies Act, 1956 and is governed by a Board of Directors which includes persons of eminence from various sectors of engineering and management. It provides a comprehensive array of services under a single roof and believes n transfer of technology to client organizations. In overseas projects, RITES actively pursues and develops cooperative links with local consultants / firms, as means of maximum utilization of local resources and as an effective instrument of sharing its expertise. RITES is internationally recognized as a leading consultant with operational experience of 60 countries in Africa, South East Asia, Middle East and Latin America. Most of RITES foreign assignments are for National Governments and other apex organizations.

La SADC va introduire le visa unique

13/03/2008, Xinhua

Le vice-ministre zambien du Tourisme, Todd Chilembo, a déclaré que la région de la Communauté de développement de l'Afrique australe (SADC) introduira dans un proche avenir un visa unique pour permettre aux étrangers de voyager dans ses 14 Etats membres, a rapporté mercredi The Post.

M. Chilembo, cité par le journal, a indiqué que la SADC a promu le concept d'un visa unique à travers l'Organisation du tourisme de l'Afrique australe.

"Ce concept sera un visa pour les étrangers dans la ligne du visa de Schengen, mais autorisera les étrangers à se rendre dans les 14 pays membres de la SADC pour un but touristique", a expliqué M. Chilembo.

Il a indiqué que le gouvernement zambien a promulgué des lois pour promouvoir le développement touristique basé sur les principes de l'économie de libre marché.

Le gouvernement zambien a aussi introduit des mesures fiscales incitatives pour encourager les investissements dans le secteur du tourisme, a-t-il rappelé.

Le tourisme a rapporté 188 millions de dollars à la Zambie en 2007, contre 177 millions de dollars en 2006. Son secteur du tourisme a enregistré une croissance stable en terme d'arrivées de touristes. La Zambie a accueilli 730.000 touristes étrangers en 2007, contre 690.000 en 2006.

DRC: L'électricité d'Inga sera exportée aux membres de la SADC

Le courant électrique de la République démocratique du Congo (RDC) sera exporté aux pays membres de la Communauté des Etats de l'Afrique australe (SADC), a révélé mercredi le ministre congolais des Affaires foncières, Edouard Kabukapwa Bitangila.

Selon le ministre, qui rentre d'une mission officielle à Lubumbashi, au Katanga, le courant du barrage d'Inga sera soutiré d'une centrale qui partira de Fungurume, dans le Lualaba, au nord de la province du Katanga.

SOUTHERN AFRICA: Region looks towards Zimbabwe's power plants

11 March 2008 (IRIN)

In a move that could alleviate Southern Africa's struggle to cope with the growing demand for electricity, while helping Zimbabwe with its chronic shortage of foreign exchange, neighbouring countries have proposed recapitalising some power stations and coal mining.

South Africa's power utility, Eskom, and Anglo Platinum, a South African mining company, as well as the Botswana Power Company have shown an interest in Zimbabwean thermal power stations located in the capital, Harare, in Bulawayo, the second largest city, and in Munyati, near the town of Kwekwe in Midlands Province.

Anglo Platinum, which has been negatively affected by power outages in its home country, has asked to be allowed to export electricity to South Africa as part of its proposal.

In February, the Southern African Development Community (SADC) taskforce on implementation of power projects held an emergency meeting in Botswana on the state of energy supply in the region, attended by ministers of energy, at which a resolution was adopted to source funding for the energy sector.
The meeting heard that if this resolution were not implemented, development would be stifled, and that the region required US$46.4 billion for long-term development of the energy sector, while US$5 billion was needed to complete current energy projects by 2010.

Tomaz Salamao, SADC executive secretary, was quoted in the media saying: "The current electricity supply demand balance in the SADC region is precarious, as evidenced by the recent frequent recurrence of blackouts and load shedding in virtually all the countries of the SADC mainland as well as Madagascar."

Since the beginning of 2008, South Africa, Namibia and Zimbabwe have been among the countries in the region hit by widespread planned and unplanned outages, affecting every sector of the economy.

Eskom, a major regional supplier, has blamed the blackouts on heavy rain in the coal-producing parts of the country, which it said had affected the quality of coal required for its coal-fired plants, and breakdowns at several of its key generating plants.

Money needed

Ben Rafemoyo, chief executive officer of the Zimbabwe Electricity Supply Authority (ZESA), recently told the Parliamentary Portfolio Committee on Mines, Energy, Environment and Tourism that his organisation needed US$3.8 billion for a complete overhaul of obsolete equipment to generate at least 2,000MW needed to meet national requirements.

"We are in a precarious financial position because our tariffs are very low," said Rafemoyo. The Hwange power station in Matabeleland North Province was producing 280MW, when it could generate 750MW at maximum capacity. Rafemoyo said the Kariba hydropower station on the Zambezi River, on the northern border with Zambia, had a generating capacity of 750MW, but was producing 720MW.

"Other power stations can generate 170MW but are not generating anything because of lack of coal. The older the machines at power stations, the more breakdowns we experience and these are costly to repair."

Zimbabwe generates 1,000MW, against a daily requirement of 1,500MW, and imports 40 percent of its electricity from the Democratic Republic of Congo, Mozambique and South Africa. The country has had to resort to power rationing because of the shortfall, which has affected many industries, homes, schools and hospitals.

Coal shortages

Zimbabwean power stations have also been affected by coal shortages. Energy Minister Mike Nyambuya confirmed that failure to provide enough coal and ageing equipment had affected the country's ability to fulfil its energy requirements.

Although energy shortages were predicted in 1995, nothing was done about the looming problems. "Most of our machinery for energy generation have not been replaced in the last ten years," he said.

Eskom, according to senior officials in the energy industry, was ready to pump up to US$25 million into the Hwange Colliery Company (HCC), Zimbabwe's sole coal producer, to ensure reliable and uninterrupted coal supplies if the proposed takeover of the three thermal stations, with a combined potential of 500MW, was formalised.

Burzil Dube, spokesperson for HCC, told IRIN: "I can not say offhand how much would be needed [to resuscitate the mining company] but, certainly, we would need a huge recapitalisation if we would have to supply enough coal for the power stations."

If the proposal is accepted, 50 percent of the power generated would be consumed locally and the other half exported to South Africa. The Botswana Power Company's proposed plan to supply coal to the two power stations in Bulawayo and Harare would also mean that half the power generated would be exported to Botswana while the rest would be consumed locally.

ZESA Holdings is already in partnership with its Namibian counterpart, NamPower. Under the deal, the Namibian power utility has provided a US$50 million loan for the rehabilitation of the power station at Hwange, the country's largest.

Hwange is operating below capacity because the country does not have enough money replace spare parts. When refurbishments are complete, Namibia is expected to receive 180MW of electricity for five years as part of the power purchasing arrangement.

Madagascar intégrera la zone de libre échange de la SADC en août 2008

L'Express de Madagascar, 23/02/2008

Madagascar devrait adhérer à la zone de libre échange de la Communauté pour le développement de l’Afrique australe (SADC) au mois d’août. « Ce sera à l’occasion du sommet des chefs d’États de la SADC, qui se déroulera en Afrique du Sud », a révélé Angeline Justin, directeur de la coopération régionale du ministère des Affaires étrangères, la semaine dernière, juste avant la visite de Levy Mwanawasa, président de la SADC.

Cette intégration pourrait également symboliser l’effectivité de l’appartenance de la Grande île à cette zone. Cela signifie surtout que le commerce entre les pays membres de la Communauté se fera de manière plus libre. « La circulation des biens sera davantage libéralisée avec cette étape », explique un autre responsable du ministère des Affaires étrangères.

Madagascar a déjà intégré la SADC depuis quelques années. Des protocoles sur le commerce ont également été signés pour régir les flux économiques entre les pays membres. Le passage vers la zone de libre échange marquera une plus grande libéralisation du commerce. Une liste de produits stratégiques est toutefois appliquée, pour protéger des secteurs sensibles pour le pays. Dans cette optique, les autorités malgaches devront mettre en place une stratégie en vue d’améliorer la compétitivité de ces secteurs sensibles.

« La libéralisation du commerce mondial est incontournable », a avancé Marcel Ranjeva, ministre des Affaires étrangères. La prochaine étape du processus de libéralisation des échanges sera l’union douanière, qui est prévue en 2010 pour la Communauté pour le développement de l’Afrique australe.

La SADC représente aujourd’hui un marché de plus de 220 millions de consommateurs, avec des pouvoirs d’achats assez élevés dans le continent africain. L’Afrique du Sud est la locomotive de cette structure régionale.

Statement by IMF Executive Directors at the Conclusion of their Visit to Mozambique

February 22, 2008

A mission of Executive Directors of the International Monetary Fund (IMF) comprising Messrs. Age Bakker, Ambroise Fayolle, Peter Gakunu, Huayong Ge, Aleksei Mozhin, and Ms. Miranda Xafa issued the following statement today in Maputo at the conclusion of its visit to Mozambique:
“We are grateful for the opportunity of our visit to Mozambique and we thank President Guebuza, Prime Minister Diogo, Minister Chang, Governor Gove, and other senior officials for their very warm hospitality as well as for very productive discussions. Our visit to Mozambique has offered us a unique opportunity to hold discussions with a wide range of stakeholders, including representatives of the public and private sectors, the civil society, and development partners.

“We congratulate the Mozambican authorities on their strong commitment to sound economic policies and for an impressive economic track record over the last years. Prudent fiscal and monetary policies during 2007 have kept inflation under control, albeit somewhat higher than programmed due to high food and international oil prices. Real GDP growth averaged about 8 percent. Extensive structural reforms in public financial management, with the implementation of a public financial administration system (e-SISTAFE), and efforts to improve the business environment were key elements of an ambitious economic program supported by the PSI. Net international reserves are expected to remain at a comfortable level, mainly on account of an increase in net capital inflows. The authorities’ commitment to reforms is evidenced by the satisfactory implementation of the 2007 program, as was recognized during the Executive Board on Mozambique last December.

“We acknowledge that the country still faces major challenges. Despite the authorities’ efforts, poverty levels are still high, and there is a need to develop policies towards employment generation and improvement of income distribution within the different regions of the country. We encourage activities towards reducing the cost of doing business and support the development of small and medium enterprises in the economy, and the diversification of the structure of the productive sector in Mozambique. Extending financial services and access to rural areas, and removing infrastructure bottlenecks, including by ensuring energy security, would be other important steps towards supporting high growth and significantly reducing poverty. Fiscal transparency is another area for further improvements, given the number of large investment projects, public-private partnerships (PPPs), and concessions in the pipeline.

“We are concerned and understand the difficult situation on floods in the center of the country during January and February; and commend the authorities’ efforts to overcome it.

“We reaffirm the IMF commitment to continuing the excellent relationship with Mozambique and supporting the authorities’ efforts to enhance growth and reduce poverty.”

Zambia: SADC Ministerial Delegations Expected in Lusaka

Angola Press Agency (Luanda), 27 February 2008

The ministerial delegations of the SADC countries, which includes Angola, are expected this Wednesday in Lusaka, Zambia, to participate in the meeting of this regional organisation's Council of Ministers, scheduled for Thursday and Friday.

Angola will attend the meeting with a delegation that includes the Planning minister, Ana Dias Lourenço, Industry minister, Joaquim David, and the deputy minister of Foreign Affairs, George Chicoty.

The Council of Ministers of SADC will discuss the budget of the organisation for this year, the preparations of the International Consultative Conference on Poverty and Development, as well as the tripartite summit involving the members of the Common Market of Eastern and Southern Africa (COMESA), East African Community (EAC) and SADC, set for 01 April this year, in Mauritius.

Zambia's capital city is hosting since last Saturday the meeting of SADC's technicians. The Southern Africa Development Community (SADC) comprises Angola, South Africa, Botswana, Zambia, Zimbabwe, Tanzania, the Democratic Republic of Congo, Mozambique, Lesotho, Mauritius, Namibia and Madagascar.

La SADC lance sa zone de libre échange en août 2008

APA News, 28/02/2008

Les 14 Etats membres de la Communauté pour le développement de l’Afrique australe (SADC), qui débutent leur Conseil de ministres de deux jours jeudi à Lusaka, s’apprêtent à lancer une zone de libre échange (FTA Free Trade Area en anglais) en août 2008, a appris APA sur place.

Le directeur de la SADC pour le commerce, l’industrie, les finances et l’investissement, Nokokure Murangi, s’est dit confiant que la FTA sera mené à terme afin d’ouvrir une base solide pour la mise en œuvre d’une union douanière régionale d’ici 2010.

Cependant, M. Murangi a indiqué qu’il est inquiet que les adhésions multiples des Etats membres aux différentes organisations régionales handicapent la mise en place de la FTA.

« C’est pourquoi les responsables de la SADC aborderont ce sujet lors d’une réunion entre la SADC et les 20 Etats membres du Marché commun de l’Afrique australe et orientale (COMESA)», a-t-il dit.

Selon le chargé de la politique et de la planification stratégique de la SADC, Angelo Mondlane, plus de 40% des 233 millions d’habitants de la région sont pauvres et vivent avec moins d’un dollar par jour.

À cet égard, la SADC organisera une conférence internationale sur la pauvreté et le développement du 18 au 20 avril 2008 pour étudier la question, a précisé M. Mondlane.

La conférence sur la pauvreté permettra à la SADC, aux partenaires de coopération internationaux, à la société civile, au secteur privé et à la communauté internationale d’engager un dialogue de politique à mettre en œuvre, a-t-il ajouté.

M. Mondlane a noté que la conférence établira un consensus et passera en revue les avancées du programme d’intégration économique de la SADC en vue de souligner la réduction de la pauvreté et le développement durable dans la région.

Les membres de la SADC sont : Angola, Botswana, République démocratique du Congo, Lesotho, Madagascar, Malawi, Ile Maurice, Mozambique, Namibie, Afrique du sud, Swaziland, Tanzanie, Zambie et Zimbabwe.

SA sugar producer makes funding history in Zambia

Illovo Sugar has announced the successful closure of a $160-million debt facility for its Zambia Sugar subsidiary.

This landmark transaction is the largest kwacha-denominated facility raised for a Zam- bian corporate borrower and was arranged by Citi Bank and Standard Bank as the mandated lead arrangers.

Zambia Sugar, the largest sugar cane growing and sugar producing company in the Southern African country, is undertaking a $205-million expansion programme (with the debt component amounting to $160-million).

Zambia Sugar says the expansion will increase the land under cane by 10 000 ha, which will see sugar production nearly doubling from the 245 000 t produced last year, to 440 000 t in the 2012/13 season.

The two-tranche transaction comprises an onshore-placed syndicated portion with local banks and pension funds, as well as an offshore placement.

Vers une coopération agricole entre la SADC et la CEDEAO

APA News, 04/03/2008

Le chef d’une délégation de la Communauté pour le développement de l’Afrique australe (SADC), Margaret Nyirenda annoncé mardi la disponibilité de la Communauté à apprendre et à s’associer avec la Communauté économique des Etats de l’Afrique de l’ouest (CEDEAO), a appris APA mardi à Lagos.

Mme Nyirenda, directrice de l’Alimentation, de l’Agriculture et des ressources Naturelles de la SADC a indiqué lors d’une rencontre avec le président de la Commission de la CEDEAO, Dr Mohamed Ibn Chambas à Abuja que « nous sommes ici pour comprendre et apprendre de la Politique agricole de la CEDEAO (ECOWAP).

«Nous souhaitons un programme agricole régional susceptible d’encourager le développement agricole, promouvoir le commerce et l’agro-industrie", a-t-elle affirmé.

«Nous estimons qu’il nous faut apprendre de ce qui nous concerne directement d’autant plus que la SADC et la CEDEAO partagent les mêmes caractéristiques socioéconomiques", a précisé Mme Nyirenda.

En réponse, M. Chambas a exprimé sa joie de voir que les deux organisations collaboraient étroitement et partageaient des expériences non seulement en agriculture mais aussi dans d’autres domaines.

«Un tel partenariat va renforcer l’intégration régionale et permettre au continent d’avancer », a souligné le président de la Commission de la CEDEAO.

L’objectif principal de la CEDEAO est la constitution d’un marché ouest-africain et d’une union monétaire d’ici 2005. Cette organisation s’est également dotée d’une force d’interposition, l’ Ecomog, créée en avril 1990, afin de mettre un terme à la guerre civile au Libéria. États-membres

Au cours de la visite de quatre jours, la délégation de la SADC, forte de quatre membres, visitera deux grandes fermes au Nigeria dont les fermes Otta de l’ancien président nigérian Olusegun Obasanjo.

En 2005, les dirigeants régionaux de la CEDEAO ont adopté la Politique agricole commune de la CEDEAO (ECOWAP) en tant que mécanisme pour assurer un développent harmonieux de l’agriculture dans la sous-région.

Les Etats membres de la SADC sont : Angola, Botswana, Lesotho, Malawi, Mozambique, Swaziland, Tanzanie, Zambie, Namibie, Afrique du Sud, Maurice, RDC et Madagascar.

Les pays qui composent la CEDEAO sont : Bénin, Burkina Faso, Cap Vert, Côte d’Ivoire, Gambie, Ghana, Guinée, Guinée-Bissau, Libéria, Mali, Niger, Nigeria, Sénégal, Sierra Leone et Togo.

La SADC approuve un budget de 49 millions de dollars

Xinhua, 29/01/2008

Le conseil des ministres de la Communauté de développement de l'Afrique australe (SADC) a approuvé les estimations portant sue les recettes et les dépenses à plus de 49 millions de dollars américains pour l'année fiscale 2008/2009, a annoncé vendredi le président du conseil des ministres de la SADC, Kabinga Pande.

Lors d'une conférence de presse à Lusaka, M. Pande a précisé que les Etats membres contribueront à hauteur de 24,77 millions de dollars, alors que les partenaires de coopération internationaux apporteront 24,43 millions de dollars, en plus des dons de 680 000 dollars.

M. Pande, qui est également ministre zambien des Affaires étrangères, a expliqué que la légère hausse dans le budget résulte des activités accrues dans le processus d'intégration économique régionale.