Search Climate Insights Directory

The report identifies strategic water source areas (SWSAs) across South Africa, Lesotho, and Swaziland, finding that just 8% of the land surface area generates 50% of the region's mean annual runoff. It assesses the land cover and protection status of these areas, noting that while 63% of SWSAs in South Africa remain in a natural condition, only 16% have formal legal protection. The document highlights threats from plantation forestry, cultivation, and mining, specifically noting that over 70% of SWSAs in Mpumalanga are under mining or prospecting licenses.

The National Water Resource Strategy (NWRS2) outlines a comprehensive plan to manage South Africa's scarce water resources sustainably and equitably. It prioritizes water allocation reform to redress historical imbalances, emphasizes water conservation and demand management (WCWDM) to reconcile supply and demand, and proposes a significant institutional realignment, including the establishment of nine Catchment Management Agencies and Regional Water Utilities. The strategy addresses critical challenges such as climate change, water pollution, and infrastructure backlogs, while estimating a total sector investment requirement of R700 billion over ten years.

Minister Edna Molewa's 2013 budget speech focuses on a 'decade of equity and redistribution' for South Africa's water sector. Key initiatives include the R4.334 billion Interim Water Supply Programme for rural backlogs, a projected R670 billion infrastructure need over ten years, and the gazetting of the National Water Resource Strategy (NWRS-2). The speech details several major dam and pipeline projects, such as the De Hoop and Mzimvubu projects, and reports on efforts to combat illegal water use and acid mine drainage.

The research paper investigates whether the South African Customs Union (SACU) is ready to transition from a Common Monetary Area (CMA) to a full monetary union. Using Southern African Development Community (SADC) convergence criteria, the authors find that while there is strong convergence in inflation, national debt, and reserve holdings, significant volatility and lack of discipline in fiscal deficits—particularly in Lesotho and Swaziland—remain a primary hurdle. The study suggests that a monetary union would be beneficial and that the South African Reserve Bank (SARB) could continue to lead monetary policy, provided fiscal coordination is improved.

The document analyzes Zambia's energy sector and the incentives provided by the government to attract private investment in renewable energy. It details a framework of fiscal incentives (tax exemptions on dividends, import duties, and corporate tax), financial incentives (grants from the Rural Electrification Fund and government-backed loan guarantees for ZESCO), and other support services provided by the Zambia Development Agency (ZDA) and the Office for Promoting Private Power Investment (OPPPI). While stakeholders report a generally positive trend and increased interest in projects, the report notes a lack of transparency regarding the actual costs of these incentives and a need for greater legal clarity regarding which renewable energy technologies qualify for support.

The report examines Swaziland's non-party political system, specifically the tinkhundla model, arguing that it serves to maintain the absolute monarchy's power rather than facilitate democratic governance. It highlights the lack of political plurality, the marginalization of pro-democracy movements, and the gap between Swaziland's international commitments and its domestic legal practices. The author calls for a more proactive role from the Southern African Development Community (SADC) to encourage democratic reform and human rights protections.

A study of 50 companies in Southern Africa identifies a split in trade barriers between SACU members and non-members, with common constraints including customs delays, corruption, and infrastructure deficits. While large firms can manage these hurdles, the environment is not conducive to small-business growth. The report recommends the implementation of a SADC-wide business visa, uniform labour permit regulations, and improvements to weighbridge and border crossing systems to facilitate trade.

The document presents a business case for implementing sustainable public procurement in fragile states, highlighting its potential to mitigate risks, combat corruption, and build local industrial capacity. It identifies significant challenges, including weak institutional capacity and political opposition from vested interests, and proposes the use of readiness assessments to tailor procurement policies to individual national contexts.

DD Williamson faces significant operational hurdles in Swaziland, including slow tax invoice processing by the Swaziland Revenue Authority and restrictive border operating hours that have led some trucking contractors to cease services. Financially, the company is impacted by high corporate tax rates and the volatility of the South African Rand against the US Dollar, which has reduced repatriated profits. To mitigate these issues, the company has engaged the Swaziland Investment Promotion Authority and proposed the creation of a 'one stop shop' for export documentation, import exemptions for raw materials to offset the introduction of VAT in April 2012, and greater government stakeholder consultation on new legislation.

Sumaria Group (T) Ltd, a diversified manufacturing family business based in Tanzania, faces significant systemic barriers to growth in the SADC region. Key obstacles include a lack of pharmaceutical standards harmonization, unreliable and expensive energy and transport infrastructure, and an unpredictable regulatory environment in Tanzania. To mitigate power shortages, the company has invested in stand-by generators, which increases production costs. The group advocates for regional cooperation on electricity generation, the finalization of the Zambia interconnector, and streamlined trade facilitation to reduce the cost of doing business.

The Swaziland Sugar Association (SSA) manages the marketing and sale of sugarcane for Swazi growers and millers, distributing 50% of its product within SACU and the remainder to Europe. The association faces significant hurdles including limited local access to finance due to regulatory constraints and government debt crowding, poorly developed transport infrastructure in the SADC region, and trade barriers such as import limitations and scanning charges in Mozambique. These factors increase operational costs and limit market expansion. Future challenges include the need to pivot toward regional markets as European sugar markets open to more competitors and the requirement to meet evolving food safety and fortification standards.

Palfridge Limited, a manufacturer of domestic, commercial, and solar refrigerators, faces significant operational hurdles including customs inefficiencies between Swaziland and South Africa, high electricity costs and disruptions, and trade policy barriers. The company suffers from high import duties on European components due to Swaziland's failure to ratify an Economic Partnership Agreement with the EU and is currently barred from the Zimbabwean market. Additionally, the firm struggles with the retention of skilled local labor and has been forced to retrench workers due to rising business costs.

The report details a conference on Sino-African Union cooperation in peace and security, exploring the intersection of China's economic engagement and Africa's security architecture. Key discussions focus on the 'African solutions to African problems' principle, the role of Regional Economic Communities (RECs) like ECOWAS and IGAD, and specific conflict zones such as the two Sudans and Somalia. While acknowledging China's role in infrastructure and condition-free aid, the report highlights concerns regarding environmental degradation, the influx of cheap goods, and the impact of arms supplies. It recommends a shift from ad-hoc crisis reaction to a proactive role for China, emphasizing capacity building for the AU's African Peace and Security Architecture (APSA) and the Continental Early Warning System (CEWS).

The document analyzes the first official recognition of agriculture by the UNFCCC at COP 17 in Durban. It reviews submissions from 21 parties to the SBSTA, highlighting a tension between developed countries' focus on scientific mitigation and developing countries' priority on adaptation and food security. The briefing argues that agriculture requires a unique approach to emission reductions—potentially based on efficiency per unit of production—due to the necessity of increasing food supplies for a growing global population. It identifies key points of divergence, including trade implications and the role of smallholder farmers, while suggesting areas of consensus such as the link between agriculture and food security.

Coca-Cola Swaziland (CONCO LTD) faces significant operational challenges due to a lack of professional trucking companies in Swaziland, poor road infrastructure, and unharmonized customs procedures between Swaziland and South Africa. The company also struggles with inefficient import permit processes for dairy products managed by the Dairy Board and restrictive exchange rate controls from the Central Bank of Swaziland.

The document analyzes the nexus of trade, investment, and competition policy in South Africa, highlighting the shift from early trade liberalization to a more cautious approach centered on employment creation. It details the role of the Competition Act of 1998 in addressing public interest and the complexities of managing foreign direct investment (FDI), illustrated by the Walmart-Massmart merger. The author argues that a robust competition regime is essential to maximize the benefits of FDI and ensure market efficiency while adhering to international obligations.

The report identifies the top ten business constraints in the SADC region to facilitate policy dialogue and practical solutions. By reviewing World Bank data, World Economic Forum reports, and various Business Climate Surveys, the authors found that SADC countries generally perform poorly in ease of doing business, with Mauritius ranking 23rd and the Democratic Republic of Congo ranking 178th in 2012. The final list of top constraints includes issues such as access to finance, tax administration, lack of skilled labour, policy uncertainty, and infrastructure deficits.

The SADC FTA, launched in 2008 based on a 2000 Trade Protocol, aimed for virtually all intra-regional trade to be duty-free by 2012. While compliance with tariff phase-downs has been generally high, the document notes that only 11 of the 14 member states are fully participating, with the Democratic Republic of Congo and Angola not implementing the protocol due to economic recovery needs. Challenges persist regarding the restrictive nature of revised rules of origin, the lack of a verification process for non-tariff barrier exceptions, and significant delays in customs clearance compared to trade with non-SADC markets.

The document argues that increasing Africa's education spending from 4% to 4.8% of GDP could lead to universal primary education by 2030 and universal basic education by 2035. Using the International Futures (IFs) model, the authors project that this investment would add US$ 2.5 trillion to Africa's GDP by 2050, while significantly reducing child malnutrition, extreme poverty, and the probability of state failure. However, the report notes that these gains require a long-term horizon and a reallocation of government funds away from other sectors like health and the military.

The document analyses the political economy of the Doha Round's 'end-game' and its impact on South Africa. It highlights a conflict between South Africa's state-driven industrial policy and the liberalisation demands of the NAMA-agriculture 'exchange rate'. The authors argue that South Africa's interests are best served by preserving a NAMA carve-out for the Southern African Customs Union (SACU) and offering concessions in the services sector—specifically in telecommunications, transport, and energy—to secure agricultural gains from developed nations.