A Sundays River Valley Recovery & Development Plan.
Prof. Deon Pretorius
The Problem.
The Sundays River Valley is emerging from a painful period of conflict, strive and destruction. The reasons and causes for this will be a matter of dispute and disagreement but the reality is that everyone in the Sundays River Valley is and will be affected by these events and life will have to go on. Moreover, the crisis can be used as an opportunity.
The Opportunity & a Proposed Solution.
The solution and recovery may have to be a multi-pronged process that includes mediation and could hopefully culminate in the forming of a Social Compact. A suggested above, adversity so often brings opportunities. The SRV could use the recent crisis as an important opportunity to reshape its economic landscape. The current conjuncture presents an opportunity to reset the SRV economy. It is an opportunity to build a more inclusive economy that benefits all in the SRV. This could be a moment for a permanent and decisive break with a past of exclusive growth and quality of life, low investment, elevated levels of inequality, poverty, and unemployment.
To achieve this goal will require that the SRV to engage the Government, through the Department of Trade, Industry and Competition (dtic) who coordinates the Economic Rebuilding Fund of R3.75 billion aimed at economic recovery and stabilisation. The intention would be to access resources and support to rebuild and recover in an inclusive and integrated way that will enable the Valley to not only recover but take significant steps forward toward a more inclusive economy.
Key in this regard is the Government’s Economic Reconstruction and Recovery Plan and the Economic Rebuilding Fund that has come about as a collaboration between the following contributors:
- The Industrial Development Corporation (IDC)
- Department of Small Business Development (DSBD)
- The National Empowerment Fund (NEF)
- Small Enterprise Finance Agency (Sefa)
Support is Available
A comprehensive package of support is available. This includes but is not limited to the following:
- Funding support for businesses and communities affected by unrest.
- To provide technical and financial assistance to small businesses in townships, rural areas and small towns that have been affected by unrest and associated supply chain disruptions.
- Post-unrest Business Recovery Fund to assist all businesses. The funding will be available at concessionary rates to ensure significant development impact.
- Support for food security and recovery efforts in affected communities. This funding will cater for among other things school infrastructure rebuilding, and support for care facilities and clinics.
- A Manufacturing Competitiveness Enhancement Programme (MCEP) that support manufacturing companies affected by the unrest, including those impacted by associated supply chain disruptions. The fund will offer concessionary funding to affected companies through interest-free loans
Tailor-made Solution
It is proposed that a tailor-made integrated recovery and development programme/plan for the SRV will be drafted with the assistance of the dtic:
- The application can be made by the Sundays River Valley Municipality supported by the Sundays River Valley Collaborative (SRVC) and with the advice of Andre le Grange of the dtic
- While the application can be lodged by the SRVM on behalf of the whole Valley, it will be championed by the SRVM Mayor, and it will be implemented in a collaborative fashion. The SRVM and the Municipal Manager will be assisted by the SRVC and a technical committee, with support and oversight by a multi-stakeholder oversight committee that will be chaired by a dtic official.
- The dtic official will also provide advice and guidance to ensure a multi-Departmental approach; that is to involve and optimise the contribution of appropriate other government departments
- This official can be seconded by dtic and work with the SRVCPF and the SRVC to compile and administer the application
Inclusivity is Essential
It is essential that the programme will be suitable to the Valley in an inclusive sense of the word.
- The impact of the plan must be developmental, unifying and contributing to economic inclusion towards inclusive wellbeing for all in the SRV.
- Thus, the Plan should be a means to achieve short-term recovery and targeted action towards inclusive quality of life in the medium to long term.
- To illustrate, where increased wages are not commercially viable in the short-term the programme will be designed to set medium and long-term targets for increased efficiency, productivity and stability resulting from the successful implementation of the programme which will open the way for the registered parties to enter into wage negotiations in conditions when such increases will be viable.
While external support is vital the most crucial factor that will ensure ongoing progress and the achieving the ultimate goal of more inclusive Valley is that all the internal stakeholders embrace and own this process.