SACCI concerned load shedding will deter foreign investors
The South African Chamber of Commerce and Industry (SACCI) says the recent widespread power cuts will have a negative effect on the economy and business sector.
This is in light of a report released by Statistics South Africa (Stats SA) indicating a contraction in the economy of an estimated 0.6% in the third quarter of 2019.
On Monday, embattled power utility Eskom announced the implementation of record breaking Stage 6 load shedding forcing President Cyril Ramaphosa to intervene.
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SACCI CEO, Alan Mukoki says the effects of load shedding goes beyond households and will ultimately also deter potential foreign investors
"We're trying to create a space where we can build infrastructure, industrialise, and build manufacturing capacity and yet we don't have the energy, which is the biggest enabler in assisting us with being able to do that," says Mukoki.
"Load shedding causes a devastating ripple effect throughout the economy. It's not the fact that when I get home I don't have lights, but is a fact that a number of businesses that are producing things during this critical time are not able to do that because they have to shut down operations."
Mukoki adds that the crisis at Eskom is one that must be dealt with urgently in the hope of reviving the economy.