16
Mixed economic prospects PROSPECTS FOR economic growth in southern Africa remain positive albeit reduced against the back- drop of the global financial and economic downturn. Many southern African countries expect economic growth to retard this year as the tentacles of the current global recession spread far and wide, but the exact extent of its impact will be varied across the region depending on which sectors are drivers of economic growth in each country. The global economy is suffering the worst financial and economic crises since the great depression of the 1930s. What started as a localized credit crunch in the United States of America has now spread across the globe with far reaching conse- quences. Although SADC’s finan- cial systems, along with those of the rest of the conti- nent, have been largely unaf- fected by the negative impact of the global financial crisis, the region has suffered from low commodity prices, declining remittances and a generally depressed external demand. The good news, however, is that the second half of the year has started with posi- tive developments such as reported signs of recovery in most of the major global economies with few excep- tions, while most interna- tional commodity prices are on an upward trend. The impact of the global economic downturn on SADC was acknowledged by a SADC Ministerial Task Force on Regional Economic Integration at its meeting in July, and was expected to dominate dis- cussions at Heads of State and Government level at their summit on 7-8 September in Kinshasa, Democratic Republic of Congo (DRC). The Ministerial Task Force observed that the crisis has had a negative impact on the economies of the region, not- ing that the mining, textiles and clothing, agriculture and tourism sectors were the most affected. continued on page 2... POLICY 3-4 INFRASTRUCTURE 5 TRADE 6 FOOD SECURITY 11 ELECTIONS 12 CULTURE 13 TOWARDS 2010 14 EVENTS 15 HISTORY TODAY 16 SADC TODAY Vol. 11 No 5 August 2009 7-10 SADC Today 11.5 11/20/09 3:12 PM Page 1

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Page 1: Mixed economic prospects - SARDC...Mixed economic prospects PROSPECTS FOR economic growth in southern Africa remain positive albeit reduced against the back-drop of the global financial

Mixed economic prospectsPROSPECTS FOR economicgrowth in southern Africaremain positive albeitreduced against the back-drop of the global financialand economic downturn.

Many southern Africancountries expect economicgrowth to retard this year asthe tentacles of the currentglobal recession spread farand wide, but the exactextent of its impact will bevaried across the regiondepending on which sectorsare drivers of economicgrowth in each country.

The global economy issuffering the worst financialand economic crises sincethe great depression of the1930s. What started as alocalized credit crunch in theUnited States of America has

now spread across the globewith far reaching conse-quences.

Although SADC’s finan-cial systems, along withthose of the rest of the conti-nent, have been largely unaf-fected by the negativeimpact of the global financialcrisis, the region has sufferedfrom low commodity prices,declining remittances and agenerally depressed externaldemand.

The good news, however,is that the second half of theyear has started with posi-tive developments such asreported signs of recovery inmost of the major globaleconomies with few excep-tions, while most interna-tional commodity prices areon an upward trend.

The impact of the globaleconomic downturn onSADC was acknowledgedby a SADC MinisterialTask Force on RegionalEconomic Integration at itsmeeting in July, and wasexpected to dominate dis-cussions at Heads of Stateand Government level attheir summit on 7-8September in Kinshasa,Democratic Republic ofCongo (DRC).

The Ministerial Task Forceobserved that the crisis hashad a negative impact on theeconomies of the region, not-ing that the mining, textilesand clothing, agricultureand tourism sectors were themost affected.

continued on page 2...

POLICY 3-4

INFRASTRUCTURE 5

TRADE 6

FOOD SECURITY 11

ELECTIONS 12

CULTURE 13

TOWARDS 2010 14

EVENTS 15

HISTORY TODAY 16

SADC TODAY Vol. 11 No 5 August 2009

7-10

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Countries such as Angola,Botswana, DRC, Namibia,South Africa, Zambia andZimbabwe that rely on min-eral exports including oil,diamonds, copper and goldhave experienced sharpdrops in prices and demand.

Others such as Lesotho,Malawi, Mauritius, Swazilandand the United Republic ofTanzania that rely amongother exports on textiles andagricultural products such astobacco, sugar and cotton suf-fered the same fate.

Those that rely on marineresources such as fishand prawns, among themMozambique, Namibia,Mauritius and Seychelleswere not as badly affected inthat sector.

The spectre of the globalrecession has not been limit-ed to export earnings.Foreign direct investmentinflows from the West,tourism receipts and remit-tances are declining whiletrade financing is also dryingup, leading to severe shockson growth and at the sametime exacerbating poverty.

For example, Mauritiussuffered a 17.7 percentdecline in gross tourismreceipts in the first half of2009 as the global economicslump discouraged visitors,according to figures from thecountry’s Central StatisticsOffice.

With ma jor g loba leconomies looking moreinward to avert crises at theirdoorsteps, SADC will struggleto raise crucial billions of dol-lars needed to finance rehabil-itation and construction ofnew priority infrastructureprojects in the region.

As much as US$83 billion isneeded to fund priority ener-gy projects for the region to

add 57,000 megawatts of elec-tricity to the regional grid.

Africa had initially beenseen as isolated from themarket and banking turmoilthat engulfed Europe and theUnited States over the lastcouple of years, becomingmore severe towards the endof 2008. This was due to itsrelatively limited links to theglobal economy.

However, while the conti-nent’s larger economies havebeen more directly affectedby the global financial slump,smaller economies have alsobeen affected, according toRichard Mkandawire of theAfrican Union

South Africa, as SADCand the continent’s largestand most diversified econo-my, was officially confirmedas having entered a reces-sion period by mid-year.This came after the coun-try’s Gross DomesticProduct (GDP) slid in twoconsecutive quarters, thefirst time this has happenedin more than a decade.

The southern African coun-try’s economy shrank by threepercent in the second quarter,having already seen a majorplunge in demand for cars,machinery and other keyproducts that it produces.

The African DevelopmentBank (AfDB) predicts thatSouth Africa’s economy willonly grow by just 1.1 percentthis year, against an averagegrowth rate of five percentover the past five years.

Angola, which has beengrowing at double digit fig-ures in recent years, isexpected to grow by aboutseven percent, a significantslowdown for an economythat has hitherto enjoyedbooming oil and diamondindustries.

On its part, Zambia expectsa revised growth rate of fivepercent on the back of recentsignificant Chinese and Indianinvestments in the mining sec-tor, which have cushioned thecountry from reduced copperrevenue.

Amid fears of the negativeimpact of lower prices of cop-per – the mainstay of the econ-omy – Zambia had initiallydowngraded its growth fore-cast to four percent for 2009.

Zimbabwe, whose econo-my is positively respondingto an improved political envi-ronment in the wake of theformation of an inclusivegovernment in February2009, is expected to register agrowth rate of just underfour percent – which wouldbe a major turnaround fromthe negative growth rates ofthe past decade.

Although Zimbabwe’sminerals will be exportedunder the same subduedinternational commodityprices, the significantimprovement in the economywill emanate from renewedinternational confidence inthe country and a return tothe formal, rather than paral-lel, market of the recent past.

However, the globaldepression will likely reduceremittances from theDiaspora, a significant sourceof income for countries suchas Zimbabwe.

Although money senthome by expatriates is rarelyrecorded in official data, thereis no doubt about the signifi-cance of such remittances tothe overall economic suste-nance of the country as wasthe case for Zimbabwe whenit was excluded from interna-tional financing due to sanc-tions and other restrictivemeasures.

The current economicdownturn has presented anumber of new challenges toSADC countries, promptingmany to seek increased sup-port through different chan-nels that include supportfrom international financialinstitutions such as the AfDBand bilateral partners.

Botswana’s diamond rev-enue has allowed the countryto enjoy a budget surplus forthe last decade or so, a rarefeat for an African country.But the global recession hasreversed all that.

Towards the end of lastyear and beginning of thisyear, Botswana experiencedan unprecedented decline indiamond sales, shaking thecountry out of its comfortzone and prompting it toseek budget support from theAfDB for the first time in 17years.

In June this year, theAfDB responded favourablyto Botswana’s request,approving a staggeringUS$1.5 billion loan for thesouthern African country tohelp it respond to the cur-rent global recession — thelargest such facility evergranted by the Bank.

The Bank said the budgetsupport loan was designed tofill part of the gap in the gov-ernment’s 2009/2010 budgetdeficit estimated at 13.5 per-cent of GDP, that arose fromfalling commodity prices,particularly diamonds.

“The case of Botswanaillustrates the impact that thefinancial crisis is having oneven the best managedeconomies in Africa,” saidDonald Kaberuka, Presidentof the AfDB, when heapproved the loan.

2 SOUTHERN AFRICA Today

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Mixed economic prospects

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SOUTHERN AFRICA Today 3

SADC thematic coordination three years on

COOPERATION BETWEENSADC and its InternationalCooperating Partners (ICPs)opened a new chapter in2006 when the WindhoekDeclaration was signed.Three years on, the institu-tional structure provided forby the Windhoek Declarationis largely in place. See Figure 1below.

The Windhoek Decla-ration on a New SADC-ICPPartnership adopted atthe consultative conferencein 2006 was an attemptto translate the ParisDeclaration into a SouthernAfrica context. The Declara-tion was widely hailed asthe foundation for a freshstart to the donor-recipientrelationship between SADCand its ICPs.

The declaration wasmeant to ensure more effec-tive development coopera-tion, based on principles ofownership, alignment, har-monization and streamliningof operational proceduresand rules as well as otherpractices relating to the deliv-ery of development assis-tance. The commitments bySADC and by the ICPswere basically a replica of thecommitments made in theParis Declaration.

The Windhoek Decla-ration established an institu-tional structure for dialogueon political, policy and tech-nical issues, seeking toimprove coordination ofefforts between SADC andthe ICPs and allow for a JointFinancing and Technical

Cooperation Arrangement(JFTCA).

The declaration recognizesthe importance of thematiccoordination which is intend-ed to evolve in a flexiblemanner within the context ofthe Joint SADC/ICP TaskForce. Thematic groups wereenvisaged to cover priorityareas that were defined bySADC in accordance with itsCommon Agenda and asoutlined in the RegionalIndicative Strategic Deve-lopment Plan (RISDP) andthe Strategic Indicative Planfor the Organ (SIPO).

As many as nine thematicgroups had been initiatedby August 2009 (see Table 1,page 4).

In the majority of cases,the various structures have

been holding meetings, withthe consultative conference,for example, meeting inMauritius in April 2008.

The Joint Task Force andthe core group – whichwere quite active beforeMauritius, had their lastgathering through a coregroup meeting in February2009. This meeting dis-cussed, among other issues,SADC’s Capacity BuildingFrame-work. Similarly, eightof the nine thematic groupshave been established andare functional to the extentthat meetings are beingheld.

It is worth noting thatwhile various thematicgroups have been createdand have started meeting,their work has largely cen-tred on networking andinformation sharing. In themajority of cases, it is yet tomove to the level of poolingresources for joint financ-ing and implementation.

There are a few caseswhere harmonization hasmoved beyond informationsharing. In some cases –notably in Water and HIVand AIDS – two or moredonors have pooled re-sources with one donormanaging funding and sup-port on behalf of the others.

Some of the thematicgroups such as the EnergyThematic Group have alsodeveloped work plans thatcan provide a frameworkfor donor funding. It ishoped that in the long run,this will facilitate improvedalignment and ownership.

(This article is largely drawnfrom a forthcoming paper bythe Formative Process Researchon Integration in SouthernAfrica – FOPRISA). r

P O L I C Y

Source: SADC Secretariat

SADC-ICP Coordination and Dialogue Framework Figure 1

See also Table 1 on SADC Thematic Groups, page 4

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4 SOUTHERN AFRICA Today

Although traditionaldonors such as the G-8nations have set aside fundsto aid developing countriesin dealing with the impactsof the global economicdownturn, the level of suchsupport has been con-strained by the need for thesame countries to deal withfinancial crises in their ownbackyard.

In addition, the condition-alities often associated withmoney from the West, eitherthrough bilateral arrange-ments or MultilateralDevelopment Banks such asthe IMF, will likely delay

most countries from access-ing urgent funding.

These constraints mayactually bring into promi-nence the role of emergingpowers such as Brazil, Russia,India and China that putemphasis on investmentrather than credit financing.

Already China has takenthe lead, diversifying its mas-sive budget surplus invest-ment from the toxic interna-tional assets into infrastruc-ture and mining investmentin African countries such asAngola and Zambia.

While some developedcountries have already shown

signs of recovery, notably theUS, Germany and France,most developing countriesincluding those in SADC maytake longer to recover as theywere still reeling from theprofound impacts of foodand fuel shock prices experi-enced in 2008.

These shocks had alreadycaused fiscal and inflationaryprices and balance of pay-ments problems in a numberof countries. While food andfuel prices have sincedeclined, experts predict thatthey could remain too highfor the majority of citizens forseveral years.

As the region grappleswith the effects of the currentglobal downturn and the foodand fuel price shocks of therecent past, the situation callsfor nothing less than a coordi-nated response.

This was exactly the mes-sage from the outgoing SADCchairperson, South AfricanPresident Jacob Zuma in hisstatement to mark SADC Day,17 August.

“We must work together onvarious issues including onfood security, trade, politicalstability and health. No coun-try can cut itself off from theneighbours,” said Zuma. r

Mixed economic prospects

P O L I C Y

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SADC Thematic Groups Table 1

Areas for Lead ICP Status in brief Thematic Coordination

Trade, Industry, Finance European Commission Formed in 2006, last meeting was in June 2009. and Investment (Gaborone)

Water Germany (GTZ) (Gaborone) Was operational before 2006, most recent meeting in May 2009.

HIV and AIDS Sweden (SIDA) (Lusaka) Was operational before 2006, has advanced and are nowimplementing a Joint Financing and Technical CooperationArrangement, most recent meeting in March 2009.

Agriculture and Food UK (DFID) (Pretoria) Est. in February 2007, most recent meeting in June 2009 Security held jointly with Natural Resources and Environment.

Natural Resources and FAO (Harare) Est. in February 2007, most recent meeting in June 2009.Environment

Transport UK (DFID) (Pretoria) Est. in 2008, most recent meeting in April 2009.

Energy Norway (Maputo) Est. in 2007, activities at level of networking and information sharing, four meetings so far with most recent one in May 2009.

Peace and security Austria (Pretoria) The group is not constituted, but SADC has requested Austria to leadand they have responded favourably.

Institutional Strengthening SADC andICP Core Group One meeting since 2008 Mauritius Consultative Conference, meeting and Capacity Development was in February 2009.

Source: SADC Secretariat and ICPs

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SOUTHERN AFRICA Today 5

A HISTORIC undersea fibre-optic cable linking Africa toEurope has been switched onin Kenya, Mozambique,South Africa, Uganda and theUnited Republic of Tanzaniaby SEACOM.

The 17,000km cable seeksto improve the flow of infor-mation throughout the conti-nent as well as connect Africato Europe via India.

Prior to this development,Africa was not linked toEurope directly but relied onthe more expensive satellitelinks with the rest of theworld.

The undersea cable shouldbring a reduction in broad-band charges in Africa,enabling more people toaccess internet. Access speedsshould also improve.

In the long run, the devel-opment should spur thegrowth of the InformationCommunication Technology(ICT) industry and encour-age more telecommunica-tions operators to invest inAfrica.

“The arrival of this cablesignals the beginning of anew era in the telecommuni-cations sector,” the Tanzanian

President Jakaya Kikwetesaid at the launch ceremonyin July. “History has beenmade.”

SEACOM says the under-sea cable, when connected tothe hinterland, will changethe African economy, as thecontinent will become part ofthe information superhigh-way, competing on the samelevel with other more estab-lished economies.

The project cost aboutUS$760 million and is intend-ed to carry information at arate of 1.23 terabytes a sec-ond. r

REGIONAL PROJECTS intransport and power identi-fied by SADC, COMESA andEAC along the North-SouthCorridor will deepen integra-tion and increase trade inAfrica.

At a high level tripartitemeeting in Lusaka, Zambia inApril, the three regional blocstogether with developmentpartners pledged US$1.2 bil-lion to upgrade road, rail andport infrastructure and sup-port trade along the corridor,which traverses eight coun-tries in east and southernAfrica.

The North-South Corridoris a combination of two exist-ing corridors – the DurbanCorridor and the Dar esSalaam Corridor – linkingthe port of Durban and oth-ers in southern Africa to theeast African port of Dar esSalaam.

SADC, the CommonMarket for East and SouthernAfrica (Comesa) and the EastAfrican Community (EAC)selected the North-SouthCorridor for an Aid-for-Tradepilot programme because it isthe busiest corridor in theregion in terms of value andvolumes of freight.

However, poor road andrail infrastructure, and longwaiting times at the bordersand ports has significantlyaffected the ability to accessregional and internationalmarkets.

Therefore, as part of theNorth-South Corridor project,more than 8,000 km of roadwill be maintained whileabout 600 km of rail track willbe rehabilitated.

Upgrading of infrastruc-ture at Dar es Salaam portwill be carried out with plansunderway to increase the abil-

ity of the region to boost, gen-erate and distribute electricityboth in the short and longterm.

This will be done throughestablishing linkages between

member countries of theSouthern African Power Pool(SAPP) and the East AfricanPower Pool (EAPP).

The three blocs agreed toset up at least three new One-Stop Border Posts along thecorridor to reduce conges-tions at ports of entry as wellas promote the free move-ment of goods and servicesamong member states.

If successfully implement-ed, the project has the capac-ity to create a vibrant andintegrated free trade area forthe three regional economicblocs.

The North-South Corridorwill unlock the economicpotential of Africa, attractinvestment, increase intra-regional trade and expandregional markets.

The pilot project is expectedto be rolled out to other corri-dors as SADC, COMESA andEAC seek deeper regional inte-gration, as building blocks ofthe African Union. r

North-South Corridor to increase trade inSADC-COMESA-EAC

Undersea cable to improve telecommunications in Africa

I N F R A S T R U C T U R E

North-South Corridor

Source: www.rtfp.co.za

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6 SOUTHERN AFRICA Today

Global cotton use declines

SADC intra-regional trade on the increase

GLOBAL COTTON con-sumption has registered adecline of 12 percent in theseason ended 31 July 2009, thelargest year-to-year slumpsince at least the 1920s.

Data released by theInternational Cotton AdvisoryCouncil (ICAC) following its68th plenary held in CapeTown, South Africa, indicatedthat the decline was likely adirect result of the global finan-cial crisis.

However, world cotton useis expected to rise modestlyduring the current season,according to ICAC projec-tions, assuming a gradualimprovement in global eco-nomic growth.

“The Secretariat reportedthat cotton prices wereextraordinarily volatile dur-ing the previous season andthat the average level ofprices had fallen,” ICAC said.

“Assuming more normaleconomic conditions, pricevolatility may moderate dur-ing the current cotton season,but the Secretariat forecaststhat the average level ofworld cotton prices is notlikely to increase significantly.

“The cotton industryis becoming increasinglyresource-constrained. Thecommit tee encouragesresearch and the adoption ofnew practices that promoteproductivity.”

ICAC noted that cottonproduction strengthens foodsecurity through incomesecurity.

“Cash income earned fromcotton production allowsfarmer households, especiallythose in arid and semi-aridareas where food crops aredifficult to produce, to pay forfood, healthcare, school feesand other necessities thatwould not otherwise be avail-able.

“Cotton contributes tofood security by providingthe means to finance inputsand by enhancing soil fertilityand retarding the develop-

INTRA-REGIONAL trade inSADC Member States hasbeen on a steady increasefrom a meagre five percent in1980 to about 25 percent oftotal trade by 2007.

The structure of trade in theregion has remainedunchanged and is concentrat-ed in a few primary commodi-ties, mainly agricultural goodsand minerals, according to theSADC Trade, Industry andInvestment Review.

This is largely becausemost national economies arenot diversifying into othereconomic spheres but dependoverwhelmingly on a singlesector, limiting their ability toresist shocks.

Poor infrastructure such asroad and rail continue to hin-der the free movement ofgoods across the region whileaccess to raw materials alsoaffects trade.

The main increases haveoccurred in textiles and cloth-

ing, and the sugar sector dueto special trade arrangementsin those industries that gener-ated business opportunities inthe region.

Implementation of theTrade Protocol, which cameinto force in September 2000,has contributed to anincrease in business transac-tions as the region has begunthe harmonisation of cus-toms laws and removal ofnon-tariff barriers.

Although no concrete fig-ures are available yet for2008/09, the region expectsintra-regional trade to soonreach 40 percent, following thelaunch of the SADC Free TradeArea one year ago, in August2008.

SADC Member States,with the exception of Angolaand the Democratic Republicof Congo, are party to the FTAagreement.

The SADC FTA creates aregional market worth some

US$360 billion with an initialtotal population of about 170million. A further US$71 bil-lion and a population of morethan 80 million will be addedwhen Angola and DRC jointhe FTA in 2010.

While there has been asignificant progress in tradein goods, the trade in servic-es remains behind schedulemainly due to lack ofcapacity.

However, a draft legalinstrument has already beenprepared and negotiations areunderway to implementagreements to boost theregional trade in services.

SADC can stimulate intra-regional trade if supply sideconstraints such as the lack ofraw materials are addressed.

This would enableMember States to developmanufacturing industries andadd value to its goods, thusreducing imports from out-side the region. r

ment of pests and diseases inproperly managed crop rota-tion systems involving cottonand other crops.

“In order for cotton to per-form its role as a catalyst foreconomic development andcontribute to food security,farmers must have access toquality inputs, credit, appro-priate technologies andassured markets.”

ICAC added that disrup-tions in the supply of inputs aswell as low levels of technolo-gy adoption and weak market-ing systems have resulted inlower returns to growers, andthat, together with delayedpayments, these are majorimpediments to smallholdercotton production.

“Recognizing the impor-tant social and economicdevelopment roles played bycotton companies in Africa,and as part of an overall strat-egy of support to smallhold-

T R A D E

ers, some countries suggestedthat governments give con-sideration to covering thedeficits of cotton companies,”ICAC stated.

Another area of interest toICAC is the by-products ofcotton production, such ascottonseed and stalks, whichhave received limited atten-tion due to low values relativeto lint. However, “with theincrease in prices of oilseedssince 2006, by-products nowdeserve greater attention.

“The Committee reviewedinformation about a widerange of uses of cottonseedand stalks for vegetable oil,vegetable oil spreads, animalfeed, soap, paper, binder inbricks, and other uses.

“New research is expectedto facilitate an increased useof cottonseed for human con-sumption, further expandingthe range of uses and value ofcottonseed.”

The Council reaffirmed theurgent necessity for an ambi-tious and balanced conclusionto the Doha Round of tradetalks with development as itscentrepiece, and welcomed therecent impetus resulting fromthe initiative to convene aWorld Trade Organisation(WTO) Mini-Ministerial.

“WTO members shouldcontribute to bringing theDoha Round to a conclusion,through negotiations, flexibil-ity and compromise… a con-clusion of the Doha Roundwould facilitate recoveryfrom the global economic cri-sis and would enable growthinteralia in demand for cottonand cotton products,” theICAC stated.

“A successful conclusionof the Doha Round wouldfoster broader internationalcooperation in other press-ing areas of the global agen-da.” (The Post) r

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SOUTHERN AFRICA Today 7

TWO MAIN solutions tosouthern Africa’s cripplingenergy situation emergedfrom the Power SectorInvestors Roundtable held inLivingstone, Zambia, in July.

These are the need to buildmore transmission intercon-nections across borders aswell as to encourage jointpower generation projects.

More transmission linescoordinated through theSouthern African Power Pool(SAPP) would enable mem-ber states to benefit from newgeneration capacity installedin other countries in theregion.

The Southern AfricanDevelopment Community(SADC) is not fully integratedin this regard as Angola,Malawi and United Republicof Tanzania are not connectedto the regional power pool.

This means that any newgeneration capacity installedin any of the three countries isnot available to the other nineSAPP members — Botswana,the Democratic Republic ofCongo, Lesotho, Mozambique,Namibia, Swaziland, SouthAfrica, Zambia andZimbabwe.

Chairperson of the SADCCommittee of MinistersResponsible for Energy,

Dipuo Peters, told the round-table that this situation wherenational utilities work in iso-lation is not positive as thechallenges faced by the regionrequire a much more coordi-nated approach.

She urged SAPP to contin-ue playing its part towardsfinalizing the necessary har-monization of technical stan-dards and protocols thatwould facilitate easier powerflow among member states.

“In order for us all to bene-fit, we need to ensure the avail-ability of transmission inter-connections among membercountries,” said Peters, who isthe South African energy min-ister.

In the period 2007/8,SAPP commissioned about3,400MW of generationcapacity in Angola but due tolack of interconnection, thepower is not accessible to anyother SADC country althoughmany are experiencing seri-ous energy shortages.

Setting up new interconnec-tions in the region will createnew corridors that can supportindustrial development andimprove energy security inother parts of the region with-out necessarily being stifled byoverloads on the existingtransmission lines.

New transmission linessuch as the Zimbabwe-Zambia-Botswana-Namibia(ZIZABONA) transmissionproject and the Zambia-Namibia power line areexamples of new projects thatrequire financial support and,if implemented, can reducecongestion on the central cor-ridor.

Potential investors presentat the Livingstone roundtablesaid joint power generationprojects hold the key toregional growth, adding thatmany institutions are ready toinvest in such projects insouthern Africa.

They argued that some ofthe projects promoted byindividual countries are toosmall to attract investmenthence by expanding marketsize, regional projects couldfacilitate the mobilization ofrequired funds while at thesame time cross-border proj-ects have the advantage of apositive economic effect onthe region.

Christine Schmidt, Princi-pal Project Manager of theGerman Development Bank(kFW), said the bank is willingto fund any power generationprojects on green and renew-able energy, such as hydroelec-tric power station construction,

to help the region meet its elec-tricity needs.

Schmidt said these projectsinclude the corridors to carryelectricity from Zambia toTanzania and Kenya, fromCahora Bassa to South Africaalong the MozambicanBackbone Corridor, and theZIZABONA Corridor.

Stakeholders at the meetingalso urged southern Africancountries to properly packagetheir proposals to ensure thatthey entice investors.

Lyson Muwila, PrincipalInvestment Officer of theDevelopment Bank ofSouthern Africa (DBSA),noted that while the SADCregion has viable energy proj-ects, a number of countriesare failing to properly presentthem resulting in their failureto secure investment.

Lack of investment in theenergy sector, as well as thefast expanding economies inthe region and low electricitytariffs, are some of the mainfactors that have contributedtowards the current powerdeficit in southern Africa.

However, the region isendowed with vast energyresources such as solar, wind,hydro and gas, which if har-nessed could help SADC toaddress its power shortages.sardc.net r

by Kizito Sikuka

Transmission grids, joint power stations key to regional development

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8 SOUTHERN AFRICA Today

by Kizito Sikuka

THE KARIBA SouthExtension on the north-easternborder of Zimbabwe is one ofthe country’s top energy proj-ects over the next three years,according to ZESA HoldingsChief Executive Officer, Eng.Ben Rafemoyo, speaking ata Power Sector InvestorsRoundtable in July.

The US$200 million projecthas the capacity to produce

about 300 Megawatts (MW) ofelectricity, which would go along way in addressing thecountry’s energy shortages.

Zimbabwe, like most SADCcountries, is experiencing ener-gy shortages that have affectednational growth.

Eng. Rafemoyo urged in-vestors to support the project toassist the country to tap itshuge hydropower potential.

The Zimbabwe Power Com-pany, a subsidiary of ZESAHoldings, is leading the imple-mentation process.

Environmental ImpactAssessments have been carriedout with results showing thatthe project is viable. Water forpower generation will besourced from the Kariba Dam.

To ensure the new powergenerated at the Kariba SouthExtension plant is accessible

countrywide, a 330kV substa-tion will be built to transmit thenew capacity installed.

Other major energy projectsidentified by Zimbabwe overthe next three years include theGokwe North Power Stationand the Hwange Power StationExtension. Both projects havethe capacity to produce about2,000 MW of electricity. r

MOZAMBIQUE IS planningto construct a 500 Megawatts(MW) power plant, the BengaThermal Station, in the Teteprovince.

The plant, which will bebuilt in stages, will see the sec-ond phase increasing thepower capacity to about 2, 000MW.

However, this increase willdepend heavily on the progressof the Mozambique BackboneTransmission project that aimsto boost the country’s capacityto transmit electricity.

The Mozambique nationalpower utility says the projectwill cost US$1.3 million, andthat work is underway toensure the plant is operationalby 2011. The station will deliverpower directly to the nationaltransmission grid at theMutambo substation and sell itto Eskom in South Africa.

The project is expected toboost Mozambique’s energyexports and to help the regionto address its power needs.

Mozambique is one of thefew countries in the SADCregion that has surplus energyand a huge resource base ofuntapped energies, includingsolar and hydro.

ZAMBIA IS planning to installa 120MW hydropower plant toharness the potential of theKafue river.

The Itezhi Tezhi power plantwill be located downstream ofthe Kafue river and about 230km from the existing UpperKafue Gorge Hydro power sta-tion.

The new station, valued atabout US$230 million, will gen-erate power using the headavailable at the dam and flowbeing released or spilled.

Zambia identified the proj-ect to boost power productionand reduce imports as the min-eral-rich country spends mil-lions of dollars on importingelectricity.

The national power utilityZESCO will implement theItezhi Tezhi power plant onbehalf of the Zambian govern-ment.

At a Power SectorInvestors Roundtable held in

The Kariba South-Extension is an example of projects being implemented to addressenergy shortages in the region.

Mozambique tobuild 500MWpower station

Itezhi Tezhi hydro station to generate 120MW

South Africa plans tobuild three biodieselplants by 2013

Livingstone, ZESCO invitedinvestors to partner in con-structing the station.

The plant is expected to becommissioned in 2012 after thecompletion of contracts cover-ing infrastructure, the powerplant itself and electromechani-cal works.

Zambia’s mines, which arerich in copper, cobalt, gem-stones and precious minerals,are having to trim outputsbecause of inadequate powersupplies hence the new plantwill provide more electricity forthe mines. r

A SOUTH African company isplanning to build threebiodiesel plants in the countryby 2013, at a cost of R1.5 billion.

The plants, in Richards Bayand Cape Town, will use sur-plus vegetable oil as feedstock.

The funding structure isbeing finalized for the firstplant, expected to be opera-tional by 2011. The other twoplants will be built from 2012,each with a capacity of 100 mil-lion litres per year.

The plan will be built inEurope and shipped to SouthAfrica, where it will be construct-ed in 2010 at a cost of aboutR350 million, and is expected tocreate 100 direct jobs and 5,000indirect jobs for area residents.

The target sectors are themining, forestry, fisheries, andagricultural industries becauseof offered rebates and carboncredits. r

Zimbabwe banks on the Kariba South Extension power plant

Energy developments in Sou

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SOUTHERN AFRICA Today 9

generate electricity from theminor sources of water and sellit to urban communities,improving their livelihoods inthe process.”

The beneficiaries of the proj-ects pay a tariff, which goes intoa fund that is used for develop-ment of the communities.

Local people can borrowfrom the fund to develop theirenterprises. “We also want toventure into training of thelocal people to manufactureparts of the machine used forthe power generation such asturbines and this is set to createemployment for the communi-ty.” (The Herald) r

Mini-hydro stations developed for southern Africa THREE REGIONAL countriesare set to benefit from mini-hydro power stations beingdeveloped by a local non-gov-ernmental organization.

Practical Action has startedpilot projects in Manicaland,Zimbabwe to ensure communi-ties and farmers in marginalizedareas have access to electricity.

The project involves gener-ating power from small sourcesof water such as waterfalls andperennial rivers.

This is a regional pro-gramme aimed at benefitingZimbabwe, Malawi andMozambique, and was devel-oped after realizing that energyis a major challenge in mostcommunal areas with someareas failing to access conven-tional electricity.

The project manager, FungaiMatahwa, said Manicaland wasidentified as the most suitablearea because of its terrain andavailability of perennial rivers.

“The project uses localizedelectricity transmitted over ashort distance, making it cheaperthan conventional electricity oreven generators that require fuel.

“It is costly for people inthese mountainous areas tohave electricity so we want toensure the communities benefitfrom local natural resources intheir areas.

“The hydro-energy source isenvironmentally friendly andrenewable,” Matahwa said.

He said the project hadresulted in the electrification oflocal boarding schools, clinicsand households with some peo-ple now able to operate theirgrinding mills using the power.

“The response from thecommunity has been over-whelming. In Zimbabwe wehave three projects in Nyanga,Cashel Valley andNyamarimbire and we arelooking forward to starting anew one in Chipendere inMutare.

“The people are so muchinterested in irrigating theircrops, processing them andstoring them under refrigera-

tion and this can only be madepossible by the availability ofpower,” he said.

Matahwa said the introduc-tion of the projects had led todevelopments in the area andimprovement in health andeducation delivery systems.The project manager said hehoped the programme wouldbe expanded and commer-cialised.

“We would want to see a sit-uation where the communitycontinues to generate the ener-gy source and even sell it toother nearby areas.

“In countries such as Peruand Nepal, rural communities

THE POTENTIAL for cleanerand cheaper power generationoptions in SADC remains unex-ploited despite an abundance ofrenewable energy in the region.

Stakeholders attending arecent Power Sector InvestorsRoundtable in LivingstoneZambia urged southern Africato harness its huge reserves ofrenewable energy to easepower shortages in the region.

The Chairperson of theSADC Committee of MinistersResponsible for Energy, DipuoPeters, said renewable energyhas emerged as the most lucra-tive source of carbon financingand the region should increaseits uptake.

“We all recognise the needfor diversity of the primaryenergy sources that we use. Tothat extent, the abundance ofrenewable energy sources thatwe have in the region must beoptimized and exploited for thebenefit of our peoples,” saidPeters, the South African ener-gy minister.

She said southern Africashould in the next few yearswitness more investment inwind, solar water-heaters,photovoltaic generation, mini-hydro schemes, bio-energyschemes and other innovativeprogrammes and interven-tions to tap renewable energy.

The Chief Executive ofthe Regional ElectricityRegulatory Association (RERA),Siseho Simasiku, agreed,adding that the region shouldcreate a conducive environ-ment to attract investment tothe energy sector.

Inga Phase 3 in theDemocratic Republic of Congowith a potential to generateabout 4,300MW and the KaribaNorth Bank Extension inZambia, are some of the renew-able energy projects in the SADCregion.

However, low electricity tar-iffs, political instability andlong tendering procedures insome countries hinder invest-ment in the region.

Lawrence Musaba, theCoordination Centre Manager ofthe Southern African Power Pool(SAPP), stressed that the regionis fast running out of power andneeds to generate more electrici-ty to ensure development.

The new power, he said,could only come from therenewable energy sources lyinguntapped in the region.

“The demand for power inSADC is increasing and if weimplement all our projects, par-ticularly those on renewableenergy, we will be able to meetthe demand,” Musaba said.

Other participates at theroundtable urged the region tocollectively work together onenergy projects to attractinvestment, saying bigger proj-ects are attractive to investorsrather than small ones.

The Power Sector InvestorsRoundtable brought togetherpotential investors, regional util-ities and other relevant stake-holders to find ways of attractinginvestment in southern Africa. r

SADC region must tap renewable energy to boost electricity supply

Southern Africa

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10 SOUTHERN AFRICA Today

E N E R G Y

Botswana solar power dream taking shapemated that 55,000 householdscould take up this project.

The improved stove productis targeted at householdspresently using wood for ener-gy and earning between P200and P1,000 monthly. BPCLesedi will sell improvedstoves capable of reducing theamount of wood required. It isestimated that 194,000 house-holds could take up theimproved stoves.

Prior to the BPC Lesedi proj-ect, challenges to setting up anational renewable energy proj-ect have included low marketdensity, difficult logistics to ruralareas and high set-up costs.These are expected to beresolved through the BPC bring-ing its decades of experience andgovernment backing, as well asthe input of a strategic partner.

The Government of Bots-wana and the UNDP kick start-ed the Renewable Energy-based Rural ElectrificationProject in November 2006 withboth parties injecting a total ofUS$6.64 million. BPC wasappointed the implementingagency for the project, which isdue for completion in October2010. (AllAfrica.com) r

A PRE-FEASIBILITY studycommissioned by the BotswanaPower Corporation has con-firmed expert opinion that thecountry has good solar irradia-tion capable of supporting a200-megawatt solar thermalpower station.

The study identified fiveideal sites for the constructionof the solar power station,at Jwaneng, Selebi-Phikwe,Morupule, Orapa or Maun.

Of these sites, Jwaneng andOrapa receive the highest irra-diation annually. All potentialsites are near the national grid,making connectivity relativelysimple and cost-effective.

Each of the sites has com-parative advantages: Jwanengcould power the Debswanamine there, while Selebi-Phikwe would enable connec-tivity to the Phokoje intercon-nector. In Orapa, the power sta-tion would be sited near theAK06 diamond mine, while inMaun, it would power a coppermine.

BPC Chief Executive Officer,Jacob Raleru, said the BPC wasnow moving on to a bankablefeasibility study for the solarthermal power station.

It is expected that the solarthermal power station wouldconsist of 4 x 50 megawattunits, with the possibility ofIndepen-dent Power Producersplaying a big role in its devel-opment.

Raleru also revealed thatthe BPC has plans for a nation-al off-grid PhotoVoltaic (PV)project.

The PV project is part ofBPC’s rural electrification proj-ect based on renewable energy,a collaboration with the UnitedNations Development Pro-gramme and the GlobalEnvironment Facility, howeverthe plant is expected to bedeveloped by a private compa-ny.

BPC has issued a call forExpressions of Interest frompotential partners. An estimat-ed 50,000 rural end-users areexpected to benefit from theproject.

BPC Lesedi will own all PVsystems in Botswana and oper-ate as a franchise, with six toeight franchisees taking the PVservices countrywide.

These franchisees willinstall, operate and maintainPV systems and will collective-

ly have between 20 and 30 sub-franchisees which will beempowered with area develop-ment contracts.

BPC Lesedi will offer solarpower PV for rental, recharge-able lanterns and improvedstoves for rural households.

The solar power PV productis targeted at householdspresently using paraffin andLiquefied Petroleum Gas earn-ing between 400 Pula andP1,000 per month. BPC Lesediwill rent the solar power systemand pay only for service.

BPC, together with its part-ners in the renewable energy-based rural electrification proj-ect, will subsidize the cost ofsolar home systems reaching apotential 72,000 rural house-holds.

The rechargeable lanternproduct is targeted at house-holds presently using candlesand paraffin and earningbetween P200 and P400 permonth. BPC Lesedi will selllanterns and batteries to thehouseholds and charge cus-tomers per recharge.

The rechargeable lanternsprovide light, radio and cell-phone recharge power. It is esti-

THE 2009 Solar World Congresswill be held in Johannesburg,South Africa later this year.

Under the theme “Renew-able Energy: Shaping OurFuture”, the biannual congresswill bring together regional andinternational solar and energyexperts to find better ways toharness solar power to boostproduction and meet demand.

The Sustainable EnergySociety of Southern Africa andthe Foundation for ProfessionalDevelopment are organizingthis year’s Congress, to be heldfor the first time in South Africa.

A renewable energy Expowill run concurrently, focusingon solar, renewable, sustain-able, alternative and efficientenergy resources, products,services and developments.

Among presenters to themeeting are SADC energy min-isters as well as energy andsolar experts from within andoutside the region.

Solar energy is regarded asone of the most reliable andclean forms of energy that doesnot pollute the environment,compared to other forms such asthermal.

Most of Africa is endowedwith sunshine throughout theyear, which can be tapped toproduce solar power.

A number of initiatives arealready in place to harnesssolar energy to help the conti-nent meet its growingdemands for power supply,including the 200MW solarplant in Botswana. The solarpower plant in Botswanahas the capacity to addressmost of its energy needs asnational power consumptionrequirements are about450MW.

Another solar initiative isthe $555.3 billion Desertec proj-ect in North Africa designed bya consortium of German com-panies.

Desertec presents the viewthat if some 0.3 percent of theSahara desert is covered withsolar panels, it could powerthe entire African continent aswell as other parts of theworld, and if desert coveragewere increased to one percent,this would power the entireworld and address the short-ages experienced by mostregions. r

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F O O D S E C U R I T Y

Irrigation technology key to agricultural sector

South African water resources down

Planning and management of water resources needs review

by Egline Tauya

INVESTMENTS IN irriga-tion technology can reducevulnerability to adverseweather conditions forecastfor southern Africa, yet theregion is far from fullyexploiting its irrigation capac-ity as many dams hold vastvolumes of water while somepeople go without food.

The role of traditional tech-nologies needs to be evaluat-ed and modern water distri-bution technologies, such assprinkler and trickle irriga-tion, reviewed.

Low-cost irrigation sys-tems, including such innova-tions as the use of treadlepumps and drip-kits should

SOUTH AFRICANS mayhave to start paying more forwater if they do not managetheir water resources effi-ciently, according to a recentstudy showing that SouthAfrica has less natural waterresources than previouslybelieved.

The report, released by theWater Research Commissionof South Africa, says thecountry’s natural waterresources are four percent lessthan measured in the laststudy 14 years ago.

This difference in measure-ment of water supply hasbeen attributed to improvedresearch techniques and tech-nologies.

Project director of thestudy, Brian Middleton, saidif South Africa continuedusing and allocating wateraccording to the higher esti-mates (of water resources)made in previous studies,there will simply not beenough water to meet thecountry’s future needs.

“The difference is smalloverall, but what it does meanis that the planning and man-aging processes and usage ofwater must be re-looked at.The demands of the futurewill play an important part,”said Middleton.

This means that eventhough the water resources

are marginally less than pre-viously believed, thedemands for water in thefuture will play an importantrole in the price of water.

“Water prices may increaseand may need to so that wemanage the water resourcesdifferently. If it becomes cost-ly to move or transport water,industries may use less wateror may find alternate ways ofusing water. (We will have to)manage our demands.”

The new water data maymean that a wide range ofsectors — including agricul-ture, electricity generation,industry and municipalities— will have to start using lesswater.

“How we manage demandin agriculture, forestry, indus-trial sectors and all other sec-tors must be addressed. Theyneed to use less water andto use it efficiently,” saidMiddleton.

The study also found thatthe water quality of SouthAfrica’s rivers is deteriorat-ing. Middleton said thatwater is becoming undrink-able because of increasingincidents of sewerage spillsand industrial pollution.

If this continues then SouthAfricans will face greaterwater shortages in the future.“The water quality in our tapsis very high but the quality of

the water in rivers is not,”Middleton said.

According to Middleton,there would be greater needto use more purificationmethods as the water qualitybecomes worse.

He said: “We will needmore purifying plants andbetter purifying systems toensure that the water in ourtaps remains of a high quality.We will need to treat thewater more, increasing thecosts of the country.”

Middleton pointed out thatgroundwater (water accessedvia boreholes) is used in prob-ably 75 percent of the country- mainly in small towns andvillages - while larger urbanareas use mostly surfacewater (water found in rivers,lakes and dams).

“The study’s results sug-gest that there is merit in con-sidering the conjunctive useof both sources (surface andground water). When surfacewater is available, we need toconsider drawing on thismore efficiently, allowing ourgroundwater reserves tobuild up for droughts.”

The data collected coveredSouth Africa, Lesotho andSwaziland. The Departmentof Water Affairs and Forestrydeclined to comment on thefindings until they read thereport. (IPS) r

be promoted in smallholderirrigation farming.

Apart from developing theregion’s irrigation capacity,drought-tolerant grain vari-eties can be promoted tocounter the effects of climatechange.

Sorghum and millet arebetter at tolerating moisture

stress than maize. A short-sea-son variety seed, which short-ens the growing season forirrigated crops, allows farm-ers to harvest two or moretimes a year.

A well-designed technolo-gy that is appropriate andaffordable for the local farm-ing and manufacturing sys-tems should be employed.

According to the Food andAgriculture Organi-sation(FAO), the average rate of irri-gation development for thesub-Saharan Africa region overthe past 12 years is 43,600ha/year — an average of 1,150ha/year for each country.

South Africa, Tanzania,Zimbabwe have average ratesof irrigation developmentover 2,000 ha/year.

If the current rate contin-ues over the next 25 years,then an extra 1 million ha ofirrigation could be broughtinto production increasing thetotal area presently under irri-gation by 50 percent, accord-ing to FAO.

Irrigation has long beenseen as an option to improveand sustain rural livelihoodsby increasing crop produc-tion. It can reduce dependen-cy on rain-fed agriculture indrought-prone areas andincrease cropping intensitiesin humid and tropical zonesby “extending” the wet sea-son and introducing effectivemeans of water control. r

Increasing irrigation capacity cancounter the effects of climate change.

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E L E C T I O N S

Botswana, Mozambique, Namibia prepare for elections PREPARATION FOR elec-tions in Botswana, Namibiaand Mozambique hasreached top gear with regis-tration of voters and politicalparties unveiling their mani-festos.

The three countries areamong at least six SADCMember States expected tohold elections between Sep-tember and December thisyear.

Angola, Mauritius and theDemocratic Republic ofCongo are yet to announcetheir polling dates, and elec-tions there could still be post-poned.

In Botswana, the rulingBotswana Democratic Party(BDP) has promised to contin-ue to work on improving the

living standards of the popu-lation.

The BDP has never lost anelection since independencein 1966 and will this Octoberaim to maintain its record inthe parliamentary elections.In Botswana, the parliamentacts as an electoral collegefollowing the elections,and selects the President,

currently Seretse Khama IanKhama, leader of the BDP.

The opposition BotswanaCongress Party and its part-ner, the Botswana AllianceMovement, have pledged tobroaden the country’s eco-nomic base by diversifyingthe economy through agricul-ture development and manu-facturing.

In Mozambique, the elec-tions have been called forlate October ahead of thesummer rains that hamperedvoters in the previous elec-tions in 2004. Nominationsclosed for presidential candi-dates in July.

A total of nine candidatesput their names forward tocontest the presidency withPresident Armando Guebuza,who is completing his firstterm in office representing theparty in government, theFront for the Liberation ofMozambique (Frelimo). Thesenominations are still beingscrutinized by the NationalElections Commission, theCNE.

The main opposition candi-dates are Afonso Dhlakama ofthe Mozambique ResistanceMovement (Renamo) andDaviz Simango of theMozambique DemocraticMovement (MDM).

In the parliamentary andprovincial elections a total of29 parties and coalitions havesubmitted papers to take partin the October polls, for con-sideration by the independentelectoral commission.

Campaigning in Namibiahas started in earnest with thegoverning party, the SouthWest Africa Peoples Organi-zation (SWAPO) urging theelectorate to vote for themduring the November presi-dential and parliamentaryelections.

SWAPO has been in powersince independence in 1990and President HifikepunyePohamba, completing his firstterm as President, will againlead the party into the elec-tions.

Opposition parties suchas the Congress ofDemocrats and the UnitedDemocratic Move-ment areset to contest the country’sfourth general elections sinceIndependence. r

MADAGASCAR COULD beon the road to recovery follow-ing a peace agreement signedbetween ousted PresidentMarc Ravalomanana andopposition leader AndryRa joe l ina in Maputo ,Mozambique in early August.

The agreement, which callsfor a transitional governmentleading to fresh electionswithin 15 months, was sealedunder the auspices of SADCnegotiation.

Former MozambicanPresident Joaquim Chissanois mediating in the talks afterSADC leaders appointed himthe chief negotiator in Junefollowing the collapse ofAfrican Union and UnitedNations sponsored talks.

The political turmoil inMadagascar emerged againearlier this year after opposi-tion leader Andry Rajoelinaseized power from PresidentMarc Ravalomanana in apublic demonstration backedby the military, similar to

the method used byRavalomanana when heseized power a few years earli-er from his predecessor, DidierRatsiraka.

A number of regional andinternational organizationssuch as SADC, AU and the UNresponded to this developmentby either imposing sanctions orsuspending Madagascar frommembership.

The Maputo meeting wasattended by two other formerMadagascan presidents,Ratsiraka and Albert Zafy.

As part of the deal,Ravalomanana, who is living inexile in South Africa, is to beallowed to return toMadagascar to contest electionswithout fear of being arrestedby the interim government thathad convicted him in hisabsence for corruption charges.

Ravalomanana andRajoelina both expressed satis-faction at the deal that clearedkey points of contention, for aconstitutional referendum, and

legislative and presidentialelections in 15 months.

However the structure ofthe transitional government isstill under discussion withfears that this could take longto address and could even be abreaking point for the fragiletruce.

Said Ravalomanana, “I amsatisfied about the outcome ofthis reunion,” adding thathe will soon return toMadagascar.

Rajoelina said the agree-ment was a “victory for allMadagascans. It is in the widerinterest of the nation, whichhas come out the winner.”

SADC has pledged to con-tinue mediating in the talksuntil a solution is found toresolve the political situationin Madagascar.

SADC is working closelywith the AU, UN and theInternational Organization ofthe Francophone (French-speaking countries) on thepeace process. r

Voters waiting to cast their ballot and counting of votes during Namibia’s last elections.

Madagascar, hope for a solution

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C U L T U R E

Algeria hosts 2nd Pan-African Cultural FestivalONE OF the best kept secretson the African continent thisyear was the 2nd Pan-AfricanCultural Festival of Algiers,which took place in the northAfrican country 40 years afterit hosted the first one.

The culture festival, heldfrom 5-20 July 2009, was anofficial function of the AfricanUnion, authorized at thehighest level, by Heads ofState and Government with aview to adoption of a Pan-African cultural charter.

The festival, with thetheme of The AfricanRenaissance, showcased awide spectrum of African cul-tural heritage from all parts ofthe continent: performing artssuch as music, dance and the-atre; literature and books;film, photography, painting,sculpture, fashion, and othervisual arts and crafts.

The two-week festival fea-tured thousands of artistsfrom Africa and the Africandiaspora, and attracted morethan 100,000 local people toAlgiers, to celebrate Africa’sartistic renaissance.

The Algerian governmentinvited and supported the par-ticipation of artists from mostAfrican countries, includingmany from southern Africa.

The culture minister, MrsKhalida Toumi, said the festi-val offered new opportunitiesfor Africa to show the diversi-ty of its people and its creativ-ity in all cultural and artisticfields.

This followed the adoptionof the Charter of Cultural

Renaissance of Africa by theAfrican Union summit inSudan in January 2006 andthe selection of Algeria to hostthe festival.

This renaissance comes 40years after the first Pan-African Cultural Festival ofAlgiers, held in July 1969, andthat period has witnessed rev-olutionary political changeson the continent, with almostall countries now independ-ent of colonial rule.

Algeria gained its inde-pendence from France in 1962following a liberation warthat claimed more than a mil-lion lives, and subsequentlycontinued to actively supportthe liberation movements inother countries, notably insouthern Africa.

“In 1969 the call of thehour was liberation, becausemany an African country wasnot yet free and those whowere had just obtained theirliberation. It was a value,”

Toumi told the Pan AfricanNews Agency, PANA.

“Today if I refer to themember states of the AfricanUnion, of the 53 countries, 52are independent. Only one isnot independent. Otherwisewe would say Africa has lib-erated itself.”

She said the festival was acelebration of the revival ofAfrica’s artistic greatness andevery African art form waswelcomed.

“Africa is in full renais-sance. A renaissance at fullswing. This is why the slo-gan of the second PanAfrican Culture Festival isThe African Renaissance,which we called literally inEnglish, Africa is back,”Toumi said.

“This fair had bothaspects, material and intan-gible, as well as the visualarts, paintings, culture, art,photography and includingthe fashion, since there is a

whole movement in Africa ofthe creation of the fashionart, which is being devel-oped.”

Her ministry launched awebsite dedicated to the 2ndPan-African Cultural Festivalthat can be accessed atwww.panafalger2009.dz

The Social Affairs Com-missioner for the AfricanUnion, Bience Gawanas fromNamibia, said the cultural fes-tival is a statement of Africa’sresurgence.

“It is part of our very, verybroad mandate, and that is tocreate an image of Africa, animage of Africa that does notonly speak of conflicts, animage of Africa that does notonly speak of diseases, but animage of Africa as the cradleof humankind,” Gawanassaid.

Media directors and repre-sentatives of African mediawho met in Algiers earlier thisyear for the first Africa Mediameeting, pledged to generatewide awareness of the eventwithin and outside the conti-nent by images, sound andwriting to make the event “anAfrican pride and a globalsuccess”.

Algeria, which currentlyholds the rotating presidencyof the African cultureministers’ conference, hasexpressed the hope that aPan-African Cultural Festivalwill be scheduled more fre-quently in future, through theAfrican Union, and not some-thing that happens only after40 years. sardc.net rPart of the performing arts at the Pan-African Cultural Festival

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T O W A R D S 2 0 1 0

Africa heads to Angola for the first part of the 2010 soccer fiesta

Countryside preparesto host visitors to theworld cup

by Patson Phiri

ANGOLA WILL host theAfrica Cup of Nations soccertournament in January-February 2010, exactly fivemonths before the first everSoccer World Cup to bestaged on African soil kicksoff in South Africa in June.

The oil-rich southernAfrican country will be host-ing its first major internation-al sporting event since inde-pendence from Portugal in1975 and the subsequent civilwar that ended in 2002.

The soccer tournament isexpected to attract 16 nationalcompetitors from acrossAfrica, thus uniting the rest ofthe continent with Angola,which was isolated for threedecades due to the war.

The Angola organizingcommittee says preparationsfor the Africa Cup of Nationsare going on well, andthe country is refurbishinginfrastructure such as stadi-ums, hotels and roads as partof its preparations.

Refurbishment of stadiumsis expected to be complete bySeptember, according to theorganizing committee. Con-struction of stadiums is tak-ing place in the provinces ofLuanda, Benguela, Cabindaand Lubango in preparationfor the games.

The Director for Marketingand Communication ofthe organizing committee,Manuel Mariano, said thestadiums will be officiallyopened on the Independenceanniversary, 11 November.

The celebrations willinclude a national soccer tour-nament to mark the comple-

tion of the stadiums as well asto test the four venues.

Issa Hayatou, long-timePresident of the Conference ofAfrican Football (CAF), whotoured the stadiums in July,was optimistic about Angola’spreparedness for the soccerevent.

Marketing of the grandAfrican tournament hasreached top gear with theorganizing committee show-casing Angola at events inneighbouring countries such asthe Zambian Agricultural andCommercial Show in Lusaka.

The committee took advan-tage of the show to generateawareness of the Africa Cupof Nations tournament withits display stand showing pic-tures of the four stadiums andillustrating what Angola canoffer to visitors.

As the host nation, Angolaautomatically qualifies for thefinals while the remaining 15participants are still engagedin a qualifying round to selectparticipants in the biannualevent. r

AN ECO-TOURISM park atthe Tshikuyu village in theLimpopo province of SouthAfrica will be completed inJanuary 2010 just in time forthe thousands of soccer fanswho will descend on thecountry for the World Cupsoccer spectacle.

The R30 million project,which started in 2007, willplay a vital role in providingaccommodation to touristsvisiting the Kruger NationalPark during the 2010 FIFAWorld Cup and beyond.

The park will consist ofmodern and stylish chalets,an administration block, aconference hall, swimmingpools, a restaurant, bar and acurio shop.

CONSTRUCTION OF bedand breakfast facilities hasbegun in some deep ruralareas of Limpopo in prepara-tion for visitors during the2010 FIFA World Cup to beheld in South Africa in June-July next year.

The R15 million EuropeanUnion-funded project hasstarted in several villages out-side Tzaneen, in the Mopanidistrict municipality.

The site where these accom-modation establishments arebeing constructed is a 30-minute drive from Polokwane,where some of the World Cupmatches will be played.

Project Manager ElvisNtlwane hailed the initiativeas one of the municipality’slocal economic developmentprojects, which aim to improvethe livelihood of poor commu-nities through tourism.

The project has alreadycreated short-term jobs formore than 300 builders andlabourers, including womenand disabled people.

Mr Ntlwane said the proj-ect was being implemented tocater for the 2010 SoccerWorld Cup and beyond.

The rural district boastssome famous natural andcultural tourist attractions,including the home of SouthAfrica’s most famous “mys-tic”, the Rain Queen Modjadji,outside Modjadjiskloof. Thearea also has the largest con-centration of a single cycadspecies in the world.

The district’s eastern-mosttown, Phalaborwa, is one ofthe busiest entrances to theKruger National Park, whichnow forms part of the GreatLimpopo Trans FrontierConservation Area togetherwith national parks across theborder in Mozambique andZimbabwe. BuaNews r

The Local EconomicDevelopment Manager atthe district municipality,Mukundi Mushaphi, said theproject has created many jobsfor locals.

“The project has alreadycreated 93 temporary jobs inconstruction and it will fur-ther create 200 more jobs inthe fields of security, clean-ing, game ranging, mainte-nance and other services.”

Herbivorous wild animalssuch as kudus, impalas andzebras will be conserved atthe park, except the big five.

A cultural village will beestablished where differenttypes of cultural danceswill be performed to enter-tain tourists. Paintings,sculptures and other typesof art creation will be soldat the cultural village.BuaNews r

Eco-tourism park to be completed by 2010

Wildlife to be foundat eco-tourism parks include kudus, zebras and impalas.

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SOUTHERN AFRICA Today 15

E V E N T S

2009 Events Diary

September05-06, Democratic SADC Council of MinistersRepublic of Congo Council comprises ministers of foreign affairs,

international cooperation, economic development orplanning and finance from each Member State. Councilprecedes the summit and prepares policy recommenda-tions for adoption by SADC Leaders.

07-08, Democratic SADC SummitRepublic of Congo The Summit of Heads of State and Government is the

ultimate policy-making institution of the SADC. TheSummit in Kinshasa will see the official handover of theSADC rotating chair from President Jacob Zuma of SouthAfrica to President Joseph Kabila of DRC.

14-18, Democratic SAPP MeetingsRepublic of Congo The Southern African Power Pool will hold its 33rd annual

meetings in the Democratic Republic of Congo. Memberstates are expected to attend.

21-24, Namibia 21st African Hydro SymposiumThe 21st African Hydro Symposium will be held inWindhoek at Safari Hotel/ Court Conference Centre.Papers to be presented on a range of topics that coverhydro-power generation and use from developinghydropower to training.

October16, Botswana Parliamentary Elections

Botswana will hold parliamentary elections to elect 58Members of Parliament who will in turn elect thePresident. Botswana uses the constituency system of FirstPast The Post.

19 - 23, Uganda Special Summit on Refuges, Returnees Internally Displaced Persons in AfricaAU Heads of State and Government are expected to adoptand sign the AU Convention for the Protection andAssistance of Internally Displaced Persons in Africa andthe Kampala Solemn Declaration which should consider-ably change the lives of displaced persons by refrainingfrom, prohibiting and preventing arbitrary displacement ofpopulations. The summit will run under the theme,“African Union addressing the challenge of forced dis-placement in Africa”.

28, Mozambique Presidential and Parliamentary Elections Presidential and Parliamentary elections will be held inMozambique, advanced from the traditional days ofDecember and now being held before the onset of thesummer rains. Parliamentary elections for NationalAssembly and Provincial Assemblies. Mozambique elec-toral system is Proportional Representation.

November27- 28, Namibia Presidential and Parliamentary elections

Namibia goes to the polls for Presidential andParliamentary elections, using a system of ProportionalRepresentation.

SADC TODAY Vol 11 No 5 August 2009

SOUTHERN AFRICA TODAYis produced as a reference source of activities and

opportunities in the Southern African Development Community, and a guide for decision-makers at all levels of

national and regional development.

Southern African Development CommunitySADC Secretariat, SADC House, Private Bag 0095, Gaborone, Botswana

Tel +267 395 1863 Fax +267 397 2848/318 1070E-mail [email protected] Website www.sadc.int

SOUTHERN AFRICA TODAY is published six times a year by the Southern AfricanResearch and Documentation Centre (SARDC) for the SADC Secretariat inGaborone, Botswana, as a reliable knowledge source on regional development.Articles may be reproduced freely in the media and elsewhere, with attribution.

EDITORMunetsi Madakufamba

EDITORIAL COMMITTEEKizito Sikuka, Emmanuella Matorofa, Patience Zirima,

Clever Mafuta, Phyllis Johnson, Shiela Chikulo

EDITORIAL ADVISORHead of Corporate Communications Unit, SADC

Leefa Penehupifo Martin

SOUTHERN AFRICA TODAY is supported by the Norwegian Ministry of ForeignAffairs, in support of the SADC Energy Thematic Group of International CooperatingPartners, which is chaired by Norway.

© SADC, SARDC, 2009SOUTHERN AFRICA TODAY welcomes contributions from individuals andorganisations within the SADC region in the form of articles, photographs, newsitems and comments, and also relevant articles from outside the region. The pub-lishers reserve the right to select or reject items, and to edit to fit the space avail-able. The contents do not necessary reflect the official positions or opinions ofSADC or SARDC.

SOUTHERN AFRICA TODAY is published in English, Portuguese and French, and isavailable electronically at www.sardc.net Knowledge for Development, linked towww.sadc.int

DESIGN & LAYOUTTonely Ngwenya

PHOTOS AND ILLUSTRATIONSPage 1 SARDC, SA Tourism, T. Abbott, Office of the governor Malanje Province in Angola; p5 www.rtfp.co.za; p6 www.millercorners.com; p7 Petro South Africa; Eskom; Nampower;

p8-9 SARDC, Nampower, Eskom, DWAF South Africa; p10; p11; p12;p13 www.panafalger2009.dz; p14 www.eyefetch.com; p16 www.anc.org.za

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H I S T O R Y T O D A Y

A sharA shared futured future within a re within a regegional communitional communit yy

1 August Parents Day DRC3 August Farmers Day Zambia8 August Peasants Day Tanzania9 August National Women’s Day South Africa10 August Public Holiday South Africa 10 August Heroes Day Zimbabwe11 August Defence Forces Day Zimbabwe15 August Assumption Day Madagascar15 August Assumption of Mary Seychelles 17 August SADC Day All26 August Heroes Day Namibia

3 September President Dr Levy Mwanawasa Day Zambia 6 September Somhlolo Day Independence Day Swaziland 7 September Public Holiday Swaziland 7 September Victory Day Mozambique 17 September Founder of the Nation & National Heroes Day Angola20 September Eid-ul-Fitr * Mauritius,

Malawi, Tanzania24 September Heritage Day South Africa 25 September Armed Forces Day Mozambique 30 September Botswana Day Botswana

1 October Public Holiday Botswana 4 October Independence Day Lesotho 5 October Public Holiday Lesotho 4 October Peace Day Mozambique 14 October Mwalimu Nyerere Day Tanzania

Climax of the “Uhuru Torch Race”16 October Mother’s Day Malawi 17 October Divali Mauritius 24 October Independence Day Zambia

* Depends on the sighting of the moon

PUBLIC HOLIDAYS IN SADCAugust - October 2009

Chief Albert Luthuli stood for equality and dignityTHE NAME of Chief Albert Luthuli epitomizes the struggle for liberationin South Africa.

The late President of the African National Congress (ANC) was deter-mined that, when the political war is won, South Africa and Africa shouldstand together and fight for total liberation that allows black people todetermine their own destiny.

His dream was for Africa to be free, to overcome the legacy of econom-ic underdevelopment, restore the dignity of black people and have own-ership of the continent’s rich resources.

Luthuli, born in 1898, cautioned that, “There is a growing numberamong us who see in apartheid the prospect of becoming affluent slaves.

“What a shame that there should be those who accept the position and,worse, offer the people counsel of despair by presenting white rule asimpregnable. What false prophets they are!”

Luthuli died in 1967 after a train struck him near his home. So tragicwas his death that the ANC decided not to fill his position until the warfor freedom was won.

It was only in 1985, 18 years after his death that the late OliverReginald (OR) Tambo agreed to lead the ANC and the struggle for inde-pendence.

Luthuli is described by those who knew him as a profound thinker, aman of powerful logic with a keen sense of justice, a man of lofty principles,a bold and courageous fighter and a statesman, who should be rememberedby all South Africans and people across the African continent.

When he took up his post as ANC leader he said, “What the future hasin store for me I do not know. It might be ridicule, imprisonment, concen-tration camp, banishment and even death.

“I only pray to the Almighty to strengthen my resolve so that none ofthese grim possibilities may deter me from striving, for the sake of thegood name of our beloved country, to make it a true democracy and a trueunion in form and spirit of all the communities in the land.”

He said it is important for one to stand firm for one’s rights in spite ofall the evils as “freedom comes after much suffering and sacrifices.”

Police intimidation and banishment should not deter but should spurus forward to greater deeds, he said, adding that “we must with grimdetermination re-dedicate ourselves to the noble cause for peace.”

During one of his treason trails in 1960, Chief Luthuli said the strugglefor freedom in South Africa is not about the colour of the skin but aboutequal rights.

“The African National Congress is not working for the overthrow ofthe ruling classes. It is working to be given an opportunity to participatein the government of the country,” he said.

Luthuli was recognized through numerous international awards includ-ing the Nobel Prize for his fearless fight against apartheid. The Nobel Prize,bestowed upon him in 1961, was the first to be awarded to an African.

South Africa has named a national monument and a park in his honour. Speaking at the Chief Luthuli centenary ceremony in 1998, South

Africa’s first black president, Nelson Mandela, said although Luthuli isgone, his works will live forever.

“His memory will last forever to us who worked with him and fol-lowed in his footsteps. This giant chose persecution, including the fate ofbeing deposed as an elected chief by a regime that despised everythingAfrican and democratic,” Mandela said.

“In doing so he taught us the lesson that real leaders must be ready tosacrifice all for the freedom of their people.”

Chief Albert Luthuli

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