President Cyril Ramaphosa has cancelled his planned trip to the World Economic Forum (WEF) in Davos, Switzerland, at the eleventh hour in a bid to address the ongoing energy crisis in South Africa.
The news of Ramaphosa’s ditching Davos were broken by his spokesperson Vincent Magwenya on Twitter earlier this evening.
Magwenya said that Ramaphosa was currently convening a meeting with leaders of political parties represented in Parliament, the National Energy Crisis Committee (NECCOM) and the Eskom board to find solutions to the crippling power cuts.
“Due to the ongoing energy crisis, President Cyril Ramaphosa has cancelled his working visit to the World Economic Forum in Davo,” Magwenya said.
President Cyril Ramaphosa has already engaged with the leadership of Eskom and NECCOM and those meetings will continue. More briefing sessions to key stakeholders will take place during this coming week.”
Ramaphosa was supposed to lead a SA delegation of government ministers and captains of industry to the annual pilgrimage in Davos to plead South Africa’s case as an investment destination.
Brand SA acting CEO Sithembile Ntombela said South Africa was an attractive investment destination and the 6th most desired country to relocate to globally, thanks to its academic prowess and ease of doing business.
Ntombela said South Africa remained an attractive investment destination despite facing electricity supply constraints caused by loadshedding.
“By far, the energy sector will likely receive the most attention given the reforms that are being implemented to attract private investment to boost electricity generation and root out corruption in coal-purchasing and power plant procurement,” Ntombela said.
“I am confident that the South African delegation will add value to the engagements and deliberations that are going to take place in Davos. We are going to showcase to the world our country’s capabilities and investment opportunities.”
Ramaphosa was going to be accompanied by a delegation of ministers including Naledi Pandor, Enoch Gondongwana, Ebrahim Patel, and Mmamoloko Kubayi.
However, with civil society and opposition political parties pressuring the government to address the crisis after Eskom plunged the country to Stage 6 loadshedding indefinitely this week, Ramaphosa’s priorities had to quickly change to focus on domestic issues.
Earlier this week, Magwenya said Ramaphosa deeply regretted the current energy situation which has plunged the country into Stage 6 load shedding and that he was seized with finding a sustainable solution.
“The President acknowledges the frustration of households, parents and learners who have commenced the school calendar year facing power shortages,” Magwenya said.
“The devastation to small businesses and the adverse impact to the economy remains severe for South Africa’s recovering economy.”
The mining and agricultural industries have laid bare how these ongoing power cuts were ongoing to cripple production and threaten food security in the country, and put jobs on the line.
Public anger has also grown over lack of power supply amid rising electricity costs for both consumers and the business industry after Eskom was given the green-light to hike electricity tariffs by 18.65% in the 2023/24 financial year and 12.74% in the 2024/2025 financial year.
BUSINESS REPORT