Overview

South Africa has a significant level of development and sophistication well beyond that of its regional and continental counterparts, to some extent the country’s level of service availability and quality may be more comparable to 1^st world standards. South Africa is fully integrated into the world economy, financially, trade and policy.

While large disparities exist between urban and rural environs, however connectivity both physical and virtual is growing due public and private infrastructure investment over the years have allow for more of the population to enjoy modern products and services and by the same means the marketplace has grown prompting a variety of companies both local and international to offer their products and service in the country. A number of project and procurement agencies are also relatively easy to engage with for larger project procurement coordination.

For more information on company contact details, please see the following link: 4.10 Supplier Contact List.

Accommodation

Short term accommodation for individuals is easily available due to South Africa’s generally robust tourism industry. Longer term rental are similarly available, pricing is highly area dependent and some areas offering greater benefits (security and quality of life) would have higher rental cost and limited rental stock due to demand. Commercial accommodation follows very similar lines in terms of offerings, as well as supply and demand characteristics. Real-estate agencies for private and commercial property are easy to engage with and maintain up-to-date online presence and available rental stock.

Electricity and Power

South Africa’s total domestic electricity generation capacity is 58,095 megawatts (MW) from all sources. The country consumed 227 TWh of electricity in 2018. Currently coal is by far the major energy source for South Africa, comprising around 80 percent of the country’s energy mix. However, according to the 2019 Integrated Resource Plan (IRP), 24,100 MW of conventional thermal power sources, specifically coal, are likely to be decommissioned within the next 10-30 years. While coal may be the dominant source now, its share of total capacity is likely to decrease as more renewable generation comes online in the coming years. South Africa’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) for utility-scale transactions signed 27 power purchase agreements in June 2018. The updated IRP outlines a number of steps the government will undertake to improve South Africa’s unreliable and deteriorating energy sector, focusing on greater use of natural gas, maintaining the nuclear sector, while increasing the focus on social inclusion.

As of July 2018, South Africa had a coal power generation capacity of 39 gigawatts (GW). Future planning sees South Africa to shifting away from coal in the electricity sector. The country aims to decommission 34 GW of coal-fired power capacity by 2050. It also aims to build at least 20 GW of renewable power generation capacity by 2030.

At present, electricity generation capacity is dominated by the state-owned utility Eskom, which holds 91% of the country’s effective/nominal generation capacity. Remaining generation capacity is held by municipalities (1.77%) as well as Independent Power Producers (IPPs) that sell power to Eskom (7.21%). South Africa, integral part of the South African Power Pool (SAPP) is furthermore trading electricity with Botswana, Lesotho, Mozambique, Namibia Swaziland, Zambia and Zimbabwe. Total imports are approx. 10,000 GWh with exports of approx. 14,000 GWh per annum.

The national grid caters for most of urbanised areas, however not deep rural areas.

Outages are periodic depending on various factors, such as demand and seasonality (winter). Outages are managed by Eskom by method of a scheduled limited outage (1 – 2.5 hours) per suburb / grid area.

The local voltage is 220V.

Financial Services

South Africa’s four major banks (ie. ABSA, Standard Bank, Nedbank & First National Bank) all have online banking transactional facilities and are represented nationally in brick and mortar banking branches and automated teller machines (ATM), with new banks and financial services entering the market over the past decade. Banks are regulated under the Banks Act of 1990 with the South African Reserve Bank responsible for monetary policy and standing as lender of last resort. All South African commercial banks are listed, thus publicly owned with no interference from government. Accounting firms are available predominantly in South Africa’s major centres and also maintain an online presence.

ABSA Bank Limited

Absa Group Limited (ABGL) (formerly Barclays Africa Group Limited), and originally Amalgamated Banks of South Africa, is a South African-based financial services group, offering personal and business banking, credit cards, corporate and investment banking, wealth and investment management, as well as Bancassurance. ABGL is the majority shareholder of 11 banks located in Botswana, Ghana, Kenya, Mauritius, Mozambique, Seychelles, South Africa, Tanzania (two entities), Uganda and Zambia. The group maintains representative offices in Namibia and Nigeria. It also has an international office in London, which opened in September 2018. In 2019, Absa Group opened another international office in New York City.

Subsidiaries : Absa Bank Limited (100%); Absa Financial Services Limited (100%); Absa Bank Botswana Limited (67.8%); Absa Bank Ghana Limited (100%); Absa Bank Kenya Plc (68.5%); Absa Bank Mauritius Limited (100%); Absa Bank Mozambique (98.1%); Absa Bank Seychelles Limited (99.8%); Absa Bank Uganda Limited (100%); Absa Bank Zambia Plc (100%); National Bank of Commerce Limited (55%); Absa Bank Tanzania Limited (100%).

Website : www.absa.africa/absaafrica

Standard Bank of South Africa Limited

The Standard Bank of South Africa Limited is a South African financial services group and is Africa's biggest lender by assets. Standard Bank has subsidiaries in the following countries : Eswatini; Ivory Coast; Malawi; Mozambique; Namibia; Nigeria; Tanzania; Uganda; United Kingdom; Argentina; Isle of Man; Jersey; Turkey; Russia. Most of the newly acquired banks were renamed Stanbic Bank, to avoid confusion with the former parent (and now competitor), Standard Chartered. Several more banks in Africa were acquired during the 1990s, and adopted the Stanbic name.

Website : www.standardbank.com

Nedbank Limited

Nedbank Group is a financial services group in South Africa offering wholesale and retail banking services as well as insurance, asset management, and wealth management. Nedbank Limited is a wholly owned subsidiary of Nedbank Group. Nedbank's primary market is South Africa. Nedbank also operates in six other countries in the Southern African Development Community (SADC), through subsidiaries and banks in Eswatini, Lesotho, Malawi, Mozambique, Namibia and Zimbabwe, as well as offices in Angola and Kenya. Outside Africa, Nedbank have offices to provide international financial services for Africa-based clients in Guernsey, Isle of Man, Jersey, the United Kingdom and the United Arab Emirates. In 2014, Nedbank acquired an associate stake of 20% in Ecobank. The Nedbank-Ecobank Alliance is the largest banking network in Africa, with more than 2,000 branches in 39 countries.

Nedbank Group is the holding company of all Nedbank's businesses, subsidiaries, associates and affiliates.

The Nedbank Group's major subsidiary and associate companies include the following:

Local subsidiaries - Nedbank Limited; Syfrets Securities Limited; Nedgroup Investments Proprietary Limited; Nedgroup Private Wealth Stockbrokers Proprietary Limited; Nedgroup Collective Investments (RF) Proprietary Limited; Nedgroup Securities Proprietary Limited; Nedgroup Private Wealth Proprietary Limited; Nedbank Group Insurance Holdings Limited; The Board of Executors; Dr Holsboer Benefit Fund.

Foreign subsidiaries and associates - Banco Unico, SA (Mozambique); Ecobank Transnational Incorporated; MBCA Bank Limited (Zimbabwe); Nedbank (Eswatini); Nedbank (Lesotho); Nedbank Namibia Limited; Nedbank Private Wealth Limited (Isle of Man); NedEurope Limited (Isle of Man); Nedgroup International Holdings Limited; Nedgroup Investments Africa (Mauritius); Nedgroup Trust Limited (Jersey).

Website : www.nedbankgroup.co.za

First National Bank

First National Bank is one of South Africa's largest banks. It is a division of First Rand Limited, a large financial services conglomerate, which trades on the Johannesburg Securities Exchange (JSE), under the symbol: FSR. FNB is also listed on the Botswana Stock Exchange under the symbol FNBB and is a constituent of the BSE Domestic Company Index. FNB is one of the three major divisions of the First Rand Group, and the others being Rand Merchant Bank and Wesbank. First National Bank maintains banking subsidiaries which it owns wholly or in part, in Botswana, Mozambique, Namibia, South Africa, Eswatini, Tanzania, Zambia, Ghana, India, Lesotho and Guernsey. FNB is also actively pursuing expansion plans in Angola and Nigeria. The First Rand Group was established in 1998, by the merger of First National Bank of South Africa, Rand Merchant Bank and Momentum Insurance & Asset Management. First Rand is listed as a "locally controlled bank" by the South African Reserve Bank, the national banking regulator. As of May 2012, the group had total assets valued at US$90.3+ billion (ZAR:698 billion) (2011) with subsidiaries in seven sub-Saharan countries and in Australia and India. Expansion plans in another six African countries are underway.

Website : www.fnb.co.za

Clearing and Forwarding Agents

South Africa has an active clearing and forwarding sector populated by small, medium and large agencies of local specialised or international firms. Most of these are based in major centres and freight corridor / hubs, generally they are registered with the South African Association of Freight Forwarders (SAAFF), International Federation of Freight Forwarders Associations (FIATA) or other organisation, which to some extent ensures accountability to industry standards.

Handling Equipment

Cargo handling equipment is available on the market from many commercial operators (eg. lifting equipment rental companies, construction and engineering companies, freight depots). Pallets or other stacking and lifting platforms are commonly available on the market, generally timber (manufactured local or second hand) or plastic (manufactured locally and imported), services for export treatment (ie. Heat treated and fumigation on timber pallets) are also available from local manufacturer / suppliers.

Postal and Courier Services

Postal and courier services are available with local to national reach. The South African Post Office is a state owned company (SOC) and has a national footprint of brick and mortar infrastructure serving private and corporate clientele, it also offers payment services for other government departments (eg. National broadcaster tax, social grants), though over the year service has declined as the market opts for courier services. Courier service are widely available with service providers offering local or national reach, most international courier firms are represented in major centres as well as local firms, each offer a level of speed and efficiency that surpasses the available capacity of the national postal service. Courier services may be available for same day delivery within centres, overnight between major centres and 5 – 7 days in outlying areas (on average). These services are available predominantly as contract services to corporates including the booming e-commerce sector, but also available on a pay per use offering to mainly individuals or entities which do not need a standing courier services account.

Printing and Publishing

Printing and publishing is available throughout the country depending on the degree of specialisation and volume required. Many commercial centres, whether metro or suburban will have some form of printing services. Publishing large volumes of material would normally be serviced by the tradition publishing houses (Struik, Penguin, Protea). While specialised printing of banners, flags and billboards for example would be possible will technically astute printing firms the likes of Lithotech et al.

Taxi Companies

Metered taxi companies are available and would normally ply their trade in metro areas and airports, many of these also offer airport shuttle services on a booking basis with vehicles from compact to people carrier sizes. Car hailing / vehicle for hire / mircomobility service such as Uber and Bolt are available in metro and suburban areas. Minibus taxis are available at public transit hubs and ply designated / registered routes allowing hop-on / hop-off at any area along these routes, this mode of transport is not recommended due to the prevalence of non-roadworthiness of vehicles, flaunting of road traffic laws and criminality of an uncontrolled passenger acceptance and non-contracted transport agreement. In all cases drivers of vehicles for transport of persons on a professional basis (carrying passengers for reward) are required to possess a professional driving permit (PrDP).

Vehicle Rental

Vehicle rental is available in most centres, mostly metros and some suburban centres. The majority of local and international car rental companies are well represented at international and domestic airports, with a selection of vehicles, from compact to light delivery vehicle size. Most will also allow the return of vehicles at different sites from pick-up location as well as allow cross border and return travel. Drivers require a valid driving licence and vehicles are insured.

Waste Management and Disposal Services

The National Waste Management Strategy (NWMS), as devised by the Department of Environment, Forestry and Fisheries, is a legislative requirement of the National Environmental Management: Waste Act, 2008 (Act No. 59 of 2008). The NWMS is structured around a framework of eight goals, which are to: promote waste minimisation, re-use, recycling and recovery of waste; ensure the effective and efficient delivery of waste services; grow the contribution of the waste sector to the green economy; ensure that people are aware of the impact of waste on their health, well-being and the environment; achieve integrated waste management planning; ensure sound budgeting and financial management for waste services; provide measures to remediate contaminated land; establish effective compliance with and enforcement of the Waste Act.

Waste management in South Africa faces numerous challenges amongst these are : A growing population and economy, which means increased volumes of waste generated. This puts pressure on waste management facilities, which are already in short supply. Increased complexity of waste streams because of urbanisation and industrialisation. The complexity of the waste stream directly affects the complexity of its management, which is compounded by the mixing of hazardous wastes with general waste. A historical backlog of waste services for, especially, urban informal areas, tribal areas and rural formal areas.

Approx. 61% all South African households have access to kerbside domestic waste collection services. Businesses are serviced by the same means of kerbside collection of standard sized “wheeled bins”. Refuse is transported by sanitation services trucks, either municipal owned and operated or subcontractor owned and operated, to landfills for processing / compounding. According to the department only 10% of waste is recycled, the remaining estimated 98 million tons is deposited into landfill sites annually.

Non-Hazardous Waste Disposal

South Africa’s current waste management structure does not accommodate stringent enough policies and practises, whereby the segregation of waste types are properly implemented. This the NWMS seeks to address. As currently most waste types are destined for municipal landfills. In recent years private businesses and some NGOs have started to fill this gap in social and environmental services offering recycling for the aim of reclaiming resource from the waste disposal system.

Hazardous Waste Disposal

Generators must ensure their waste is re-used, recycled, recovered, treated and/or disposed of within 18 months of generation, waste managers must not store waste for more than 18 months from the date of receipt of the waste. Waste may not be diluted to solely to reduce the concentration of its constituents for purposes of classification or assessment for landfill disposal, waste containers must be labelled, or where labelling is not possible, records must be kept, reflecting : Category of waste as per the Waste Information Regulations, 2012; Date of containerisation; Date when container was filled, sealed or covered;  Classification of the waste. Waste may not be mixed or treated where this would - Reduce the potential for re-use, recycling or recovery; or where the treatment is not controlled.  May blend or pre-treat the waste to encourage the re-use, recycling, recovery or treatment, or reduce the risk of the waste.

Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.