Blue economy - SARDC · Blue economy Alternative development paradigm for SADC mentation frameworks...

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SADC TODAY Vol. 16 No 2 February 2014 by Joseph Ngwawi SADC IS considering strategies to embrace the concept of a “blue economy” that sees oceans as “development spaces” where coor- dinated planning integrates conservation, sustainable use, oil and mineral wealth ex- traction, and marine transport. The blue economy initiative is advanced by Small Island Developing States (SIDS) but is also relevant to coastal states with an inter- est in waters beyond national jurisdiction. The initiative breaks the mould of the business as usual “brown” development model where oceans have hitherto been per- ceived as a means of free resource extraction and waste dumping. The concept emphasises conservation and sustainable management of oceans and complements the “green” economy. It recognises the productivity of healthy ocean ecosystems as a way to safeguard sus- tainable ocean-based economies, as well as to ensure that SIDS and other coastal countries benefit from their marine resources. SADC Executive Secretary, Dr Stergomena Lawrence Tax has called upon SADC Member States to develop focused strategies that em- brace the attributes of the blue economy. Speaking at the Blue Economy Summit in Abu Dhabi, United Arab Emirates in January, Dr Tax said it was time that SADC took ad- POLICY 3 TRADE 4 INFRASTRUCTURE 5 PERSPECTIVES 6 AGRICULTURE 7 ENERGY 8-9 ELECTIONS 2014 10-11 AFRICAN UNION 12 INTEGRATION 13 MADAGASCAR 14 EVENTS 15 HISTORY TODAY 16 vantage of the synergies likely to emerge from the implementation of its own develop- ment agenda and the blue economy initia- tive. She said the objectives of the blue econ- omy initiative are in line with SADC devel- opment priorities and, in this regard, the region should align its programmes and strategies with the ideals of a blue economy. This will allow the region to maximise benefits from the achievement of a sustain- able pattern of development and utilisation of oceanic resources. “The concept of the blue economy, by fo- cusing on coastal and oceanic states and em- phasising sustainable development of oceanic resources, brings about an important dimen- sion in the whole process of conceptualisation, strategy development, planning and monitor- ing of regional integration and development, in particular when considering our coastal and oceanic Member States,” she said. Synergies could be strengthened in areas such as the effective utilisation and manage- ment of natural and marine resources, sci- ence and technology, infrastructure development and tourism as well as environ- mental and climate change management through inclusive strategies and pro- grammes. continued on page 2... Blue economy Alternative development paradigm for SADC

Transcript of Blue economy - SARDC · Blue economy Alternative development paradigm for SADC mentation frameworks...

Page 1: Blue economy - SARDC · Blue economy Alternative development paradigm for SADC mentation frameworks that may enhance the implementa-tion of the RISDP; and suggest new policy, strategy,

SADC TODAY Vol. 16 No 2 February 2014

by Joseph Ngwawi

SADC IS considering strategies to embracethe concept of a “blue economy” that seesoceans as “development spaces” where coor-dinated planning integrates conservation,sustainable use, oil and mineral wealth ex-traction, and marine transport.

The blue economy initiative is advancedby Small Island Developing States (SIDS) butis also relevant to coastal states with an inter-est in waters beyond national jurisdiction.

The initiative breaks the mould of thebusiness as usual “brown” developmentmodel where oceans have hitherto been per-ceived as a means of free resource extractionand waste dumping.

The concept emphasises conservationand sustainable management of oceans andcomplements the “green” economy.

It recognises the productivity of healthyocean ecosystems as a way to safeguard sus-tainable ocean-based economies, as well as toensure that SIDS and other coastal countriesbenefit from their marine resources.

SADC Executive Secretary, Dr StergomenaLawrence Tax has called upon SADC MemberStates to develop focused strategies that em-brace the attributes of the blue economy.

Speaking at the Blue Economy Summit inAbu Dhabi, United Arab Emirates in January,Dr Tax said it was time that SADC took ad-

POLICY 3

TRADE 4

INFRASTRUCTURE 5

PERSPECTIVES 6

AGRICULTURE 7

ENERGY 8-9

ELECTIONS 2014 10-11

AFRICAN UNION 12

INTEGRATION 13

MADAGASCAR 14

EVENTS 15

HISTORY TODAY 16

vantage of the synergies likely to emergefrom the implementation of its own develop-ment agenda and the blue economy initia-tive.

She said the objectives of the blue econ-omy initiative are in line with SADC devel-opment priorities and, in this regard, theregion should align its programmes andstrategies with the ideals of a blue economy.

This will allow the region to maximisebenefits from the achievement of a sustain-able pattern of development and utilisationof oceanic resources.

“The concept of the blue economy, by fo-cusing on coastal and oceanic states and em-phasising sustainable development of oceanicresources, brings about an important dimen-sion in the whole process of conceptualisation,strategy development, planning and monitor-ing of regional integration and development,in particular when considering our coastal andoceanic Member States,” she said.

Synergies could be strengthened in areassuch as the effective utilisation and manage-ment of natural and marine resources, sci-ence and technology, infrastructuredevelopment and tourism as well as environ-mental and climate change managementthrough inclusive strategies and pro-grammes.

continued on page 2...

Blue economyAlternative development paradigm for SADC

Page 2: Blue economy - SARDC · Blue economy Alternative development paradigm for SADC mentation frameworks that may enhance the implementa-tion of the RISDP; and suggest new policy, strategy,

Blue economyAlternative development paradigm for SADC

mentation frameworks thatmay enhance the implementa-tion of the RISDP; and suggestnew policy, strategy, and insti-tutional innovations for thepost-2018 period after comple-tion of the development plan.

The team is expected toprepare a summary of key rec-ommendations and prioritiesfor completion of the RISDPand present these to Councilfor deliberation and endorse-ment by August 2014.

The task force is expectedto commence work in Marchand conclude its assignmentby June.

Dr Tax commended Sey-chelles for spearheading theblue economy Initiative.

The Blue Economy Sum-mit, which was attended by

Michel campaigns for blueeconomy

THE PRESIDENT of Seychelles, JamesMichel, says the blue economy conceptshould be the central theme of globalsustainable development, climate mit-igation and poverty eradication.

Speaking during the Blue Econ-omy Summit held in the UnitedArab Emirates in January, Michelsaid the importance of the blueeconomy to humankind cannotbe under-estimated in that more than70 percent of the planet is covered by oceansand 90 percent of trade in the world is conducted bysea.

“Oceans transcend states. They connect us all to eachother. And we must harness these connections for develop-ment, not just enrichment,” Michel said.

He called on countries to “ensure that the benefits fromeconomic activity in our oceans translate into real benefitsfor our populations.”

“We cannot consider that it is sustainable for certain largeindustrial fishing fleets to exploit the resources of one sea tothe point of exhaustion and then simply move on to otherareas,” Michel said.

“Inclusion, ownership and empowerment of coastal popu-lations are core elements of implementing the blue economy.”

The blue economy concept was introduced and debatedduring the United Nations Conference on Sustainable De-velopment conference held in June 2012 in Rio de Janeiro,Brazil. r

2 SOUTHERN AFRICA Today, February 2014

The protection and regen-eration of marine resources arepriority issues for coastalstates whose marine resourcessignificantly contribute to thesocio-economic welfare of thecountry.

The concept is appropriatefor the SADC region sincemore than half of its 15 Mem-ber States are coastal oroceanic countries.

Eight SADC Member States– Angola, Madagascar, Mauri-tius, Mozambique, Namibia,Seychelles, South Africa and theUnited Republic of Tanzania –are coastal or oceanic states.

The blue economy develop-ment strategy is timely for theSADC region which has wit-nessed significant discoveries oflarge reserves of oil and naturalgas in Mozambique, Namibiaand Tanzania in recent years.

The presence of natural gasreserves in the coastal watersof southern African countriespoints to a huge potential forexploitation of the resource ina region grappling with a crip-pling energy deficit.

The east coast of Africa hasemerged in the past few yearsas one of the brightest spots onthe global energy landscape,with large natural gas finds inMozambique and Tanzania.

Exploration has takenplace in other SADC MemberStates although the extent ofthe reserves is unknown forthese countries.

New offshore natural gasfinds along the Mozambicancoast are expected to be a“game changer” for the countryand the southern African re-gion.

The country has estimatedrecoverable natural gas re-serves of between 15 and 30trillion cubic feet (tcf) of gas,enough to meet one year's gasconsumption by the UnitedStates.

several island and coastalstates, was co-organised by Sy-chelles and United Arab Emi-rates and held on the sidelinesof the Abu Dhabi SustainabilityWeek.

It examined the blue econ-omy paradigm that constitutesa sustainable developmentframework for developingcountries, addressing equityin access to, development ofand the sharing of benefitsfrom marine resources. r

Tanzania has so far identi-fied natural gas reserves ofmore than 10 tcf from its deep-water offshore region.

In addition to the oil andgas discoveries, there is greatpotential for exploration ofother oceanic resources inSADC Member States.

Namibia has significant re-serves of guano, a highly effec-tive fertiliser made from theexcrement of seabirds or batsthat contains a high content ofnitrogen, phosphate and potas-sium, three nutrients essentialfor plant growth.

Exploration of oceanic re-sources is not exhaustive insouthern Africa and there is alot more to learn about theundiscovered marine resources.

The call to embrace the blueeconomy initiative comes at atime when SADC is about to fi-nalise the process to recalibrateits integration agenda in linewith global dynamics and vari-ous emerging issues that influ-ence its development trajectory.

The region has embarkedon the final stages of a processstarted in 2011 to review theRISDP, its 15-year developmentblueprint.

Following a recommenda-tion by the Council of Ministers,the SADC Secretariat has estab-lished a task force comprisingrepresentatives from the Secre-tariat, all Member States, andrelevant key stakeholders.

The multi-stakeholder taskforce is expected to implementrecommendations of an inde-pendent review of the RISDPthat was concluded last year.

The task force is required topropose new priorities, mainfocal areas, milestones, outputs,targets and timeframes for theremainder of the implementa-tion period of the RISDP.

The task force is expectedto consider and recommendany other strategies and imple-

C O N T I N U E D F R O M P A G E 1

Dr Stergomena Lawrence TaxSADC Executive Secretary

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SOUTHERN AFRICA hastaken another bold step to pro-mote industrial developmentfollowing the approval of aframework that sets out strate-gies to promote value-addi-tion in the region.

The recently approvedSADC Industrial Develop-ment Policy Framework rec-ognizes the need to buildeconomic infrastructure;strengthen the technologybase, economies of scale andscope, as well as improve thecompetitiveness of indus-tries.

Approved in 2013, theframework aims to coordinateregional cooperation to builda diversified, innovative andglobally competitive indus-trial base that contributes tosustainable growth and em-ployment creation for the mu-tual benefit of SADCcountries.

It provides a referencepoint for guiding the coordi-nation of complementary poli-cies, activities and processesthat will form part of the re-gional industrial developmentframework.

The framework recognisesthat formulation and imple-mentation of industrial policyis essentially a national pre-rogative and that there is noblueprint and no “one-size-fits-all” approach for the re-gion’s industrialisationprocess.

Member States are encour-aged to continue to implementnational policies and strate-gies for stimulating and en-hancing their productivecapacities as these policies areimportant in informing andsupporting the regionalframework.

The framework, therefore,seeks to leverage and build onthe mutually beneficial oppor-tunities available in Member

States as well as addressingthe common challenge of in-dustrialisation through devel-opment of strategies oractivities coordinated at re-gional level.

It builds on the IndustrialUpgrading and Modernisa-tion Programme (IUMP),adopted by the SADC Com-mittee of Ministers of Trade inJune 2009.

The objective of the IUMPis to enhance the competitive-ness of existing industrial ca-pacity and promote thedevelopment of regional valuechains in selected sectorsacross the region.

The structure of produc-tion in southern Africa ischaracteristic of a developingregion where large shares ofGross Domestic Product(GDP) originate fromprimary production sectorssuch as agriculture and min-ing.

SADC approves industrialisation framework

P O L I C Y

SADC industrial policy interventions

THE SADC Industrial Policy Framework outlines the fol-lowing broad cross-cutting and sector-specific interventionsfor implementation at regional level:• Developing and exploiting SADC mutually beneficial op-

portunities;• Improving standards, technical regulations & quality in-

frastructure;• Promoting cooperation on innovation, technology trans-

fer, and research and development activities;• Developing mechanisms to improve access to finance for

manufacturing and related sectors;• Improving support for small and medium-sized enter-

prises;• Integrating infrastructure and services into the regional

industrialisation strategy;• Attracting local regional and foreign direct investment

and promoting exports;• Developing strategies to exploit opportunities emerging

in the region’s strategic cooperation with global partners;and

• Promoting the alignment of this policy framework withexisting complementary policies. r

SOUTHERN AFRICA Today 3

concentrated on low-technol-ogy products such as food,beverages, textiles, clothingand footwear.

In most countries, the con-tribution of manufacturing toGDP has remained relativelyunchanged over the lastdecade, despite some smallupward and downwardmovements across countries.

The important role playedby industrialisation has beenrecognised in the variousSADC instruments and blue-prints.

Both the SADC Treaty andthe Regional Indicative Strate-gic Development Plan(RISDP) provide for a devel-opment integration approachin SADC that seeks to addressproduction, infrastructure andefficiency barriers to growthand development.

Industrialisation is priori-tized in both SADC policydocuments as a major tool forsustainable growth, develop-ment and eradication ofpoverty.

The SADC Protocol onTrade, which came into effectin 2000, specifically calls for anindustrialisation strategy toaccompany implementation ofthe SADC Free Trade Area.

The RISDP adopted in2003 further re-affirmed thecommitment of SADC Mem-ber States to a number of pri-ority intervention areas,including development of de-liberate policies for industrial-isation, with a focus onpromotion of industrial link-ages and efficient utilisation ofregional resources through in-creased value addition.

The Plan further calls forSADC Member States to pur-sue national industrial policiesand strategies in a mannerthat fosters regional coherenceand reduces regional inequal-ities. r

The contribution of thesesectors is relatively high, aver-aging close to 50 percent ofGDP.

Fishing has equally grownto be important in a number ofcountries.

However, value additionin these primary sectors re-mains low, on average remain-ing at 14 percent of GDP in2009, according to SADC.

With the exception ofSouth Africa and Mauritius,which have sizeable manufac-turing sectors, the SADC in-dustrial sector remainsrelatively undiversified.

In all SADC MemberStates, the manufacturing sec-tor’s contribution to GDP isless than 20 percent and insome cases lower than fivepercent.

According to the frame-work, industrialisation inten-sity is fairly low in the region,with industrial output heavily

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4 SOUTHERN AFRICA Today, February 2014

which entails gradual removalof customs duties.

The negotiating process wasconducted through the “re-quest-offer approach” underthe auspices of the Trade Nego-tiating Forum, which met regu-larly as provided for in theTrade Protocol.

Critical to the negotiatingprocess was the principle ofasymmetry, which was bornout of the realisation that,among other issues, SADCMember States were at varyinglevels of economic develop-ment.

For purposes of implemen-tation of the Trade Protocol,Member States were put intothe following categories: • Developed Countries

(mainly South Africa but defacto, Southern African Cus-toms Union - SACU);

• Developing Countries(Mauritius and Zimbabwe);and

• Least Developed Countries -- LDCs (being the remain-der, i.e. Angola, DRC,Madagascar, Malawi,Mozambique, Tanzania andZambia).Based on these clusters,

SADC pursued a tariff phase-down programme at variablescales of speed in which the de-veloped countries cluster wasexpected to generally frontloadtheir tariff reductions to achievethe “substantially all trade”threshold by about year-five ofimplementation, that is by 2005.

The developing countriescluster was expected to gener-ally mid-load their tariff reduc-tions to achieve the samethreshold by the eighth year ofimplementation, that is by2007/08, while the last cate-gory, the LDCs, was expectedto backload their tariff reduc-tions to beyond the eight-yearthreshold but not exceeding 12years.

However, for category Aand B products (see box), tariffswere to reach the zero percentlevel by 2008 in line with theWorld Trade Organisation re-quirement which stipulatesthat substantially all tradeshould be free in an FTA.

The “substantially all trade”threshold for SADC is made upof 85 percent of all products,constituting category A and Bproducts but excluding cate-gory C products.

A mid-term review commis-sioned by SADC in 2004 re-vealed that Member Stateswere implementing the TradeProtocol but progress was gen-erally slow.

One of the key recommen-dations to ensure compliancewas that Member States wereto effect tariff phase-downs onthe 1st of January every year.

An audit done by the South-ern African Trade Hub for theSADC Secretariat indicated thatas of February 2008, Mauritius,Mozambique, SACU countries,United Republic of Tanzania,

Zambia and Zimbabwe hadgazetted their tariff offers or is-sued notices effecting the 2008tariff phase-down.

Malawi would consider fur-ther reductions during the2008/09 budget while Mada-gascar only acceded to the Pro-tocol in 2006 and is allowedmore time to catch up.

In addition to removal oftariffs, Member States have alsoagreed to several other trade fa-cilitation measures such as theelimination of non-tariff barri-ers to trade.

Removal of non-tariff barri-ers involves harmonisation ofcustoms rules and procedures,the harmonisation of sanitaryand phyto-sanitary measuresas well as adoption and imple-mentation of common rules oforigin.

Given that not all productsqualify for duty-free under anFTA, a considerable amount oftime was spent on negotiatingthe rules of origin, which wereeventually agreed as beingproduct specific. r

T R A D E

AfDB to assess impact of SADC Trade ProtocolTHE AFRICAN DevelopmentBank plans to commission astudy to assess the impact ofimplementation of the SADCProtocol on Trade.

The bank, through its South-ern Africa Regional ResourceCentre based in South Africa, isin the process of recruiting con-sultants to undertake the studystarting in March.

The study will involve adesk review of the key reformsand instruments adopted bythe region to implement theSADC Protocol on Trade andtrends in formal trade flows, aswell as a survey-based assess-ment of the impact of the re-forms.

The consultants will be ex-pected to produce a reporthighlighting their findings, in-cluding a stand-alone executivesummary.

The report will be presentedat two regional stakeholdermeetings to be held during theyear.

Implementation of theSADC Trade Protocol has beena long and painstaking regionalprocess.

Since 1996 when the TradeProtocol was signed, cominginto force in 2000 following aratification process, 12 SADCMember States have signed upto the protocol and are, there-fore, part of the Free Trade Area(FTA), with the exception ofAngola and the Democratic Re-public of Congo who haveasked for more time before join-ing the FTA.

The main instrument oftrade liberalisation as providedfor in the protocol has been theelimination of customs tariffsand non-tariff barriers on thebulk of intra-SADC trade.

Once the Trade Protocolcame into force in 2000, the firstmajor step was for MemberStates to undertake negotia-tions for tariff phase-down,

Product Categorisation for SADC Tariff Phase-down

Product category Description

A Products whose tariffs would move to 0% (or were already 0%) at start of the phase-down process, i.e. in 2000 B Products subject to tariff phase-down to 0% over an eight-year period to 2008 C Sensitive products, phase-down over 12-year period to 2012 E Excluded from preferential trade.

The SADC trade protocol provides for the elimination of customs tariffsand non-tariff barriers on intra-SADC trade.

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SOUTHERN AFRICA Today 5

Swaziland tobuild six dams

and road networks acrossAfrica as well as the intercon-nection of power grids andcompletion of Informationand Communication Technol-ogy (ICT) connectivity on thecontinent.

PIDA defines priority re-gional cross-border infra-structure projects in energy,water, transport and ICT in-tended to interconnect, inte-grate and transform Africathrough modern infrastruc-ture at an investment cost ofUS$68 billion up to the year2020.

It provides the strategicframework for African stake-holders to build the infrastruc-ture necessary for moreintegrated infrastructure net-works to boost trade, sparkgrowth and create jobs as wellas to support regional integra-tion and linkages into theglobal economy.

Successful implementationof PIDA will, therefore, en-hance the competitiveness ofAfrica within itself and in theglobal economy, while actingas a catalyst for its economictransformation.

The grant agreement wassigned by AU CommissionDeputy Chairperson, ErastusMwencha and AfDB VicePresident, Charles Boamah onthe sidelines of the 22nd Ordi-nary Session of the AU Headsof State and GovernmentSummit held in Ethiopia inJanuary.

The SADC Regional Infra-structure Master Plan ap-proved at Summit in 2012 is inline with the PIDA and consti-tutes a key input into the pro-posed tripartite Free TradeArea made up of SADC,COMESA and the EAC.

The SADC master planguides implementation of co-ordinated, integrated, effi-cient, trans-boundaryinfrastructure networks in thesix priority sectors of energy,transport, tourism, informa-tion technology, meteorologyand water.

SADC and other develop-ment institutions have also en-dorsed an innovative Africanfund promoted by the AfDBand expected to facilitatelarge-scale mobilisation of re-sources and unlock interna-tional private financing forinfrastructure projects on thecontinent.

Heads of the AU Commis-sion, RECs and key economicand financial institutionspledged during a meeting inTunisia in July last year towork together towards mak-ing a success of the Africa50Fund, promoted by the AfDBto address the infrastructuregap on the continent.

The Africa50 Fund will beinnovative in its design andstructure, leveraging infra-structure financing resourcesfrom African central bank re-serves, pension funds, sover-eign wealth funds, theAfrican Diaspora, and highnet worth individuals on thecontinent.

This means that AfricanRECs will be able to utilise theresources from national finan-cial institutions and individu-als on the continent and in theAfrican Diaspora to financetransboundary infrastructurewithout worrying about eq-uity issues.

One of the proposals beingconsidered is the introductionof an African InfrastructureBond to which national central

banks would be asked to con-tribute a certain percentage ofthe reserves.

According to the AfDB,African central banks are esti-mated to collectively holdabout US$500 billion of re-serves, some of which are in-vested in ultra-secure but lowyielding instruments.

The benchmark 10-year USTreasury Bills are presently at-tracting around 1.4 percent in-terest and the proposedAfrica50 Fund will target tooffer a better return. r

SWAZILAND AIMS to buildsix sand dams this year as partof a project to harvest water forthe country’s dry regions.

According to local media, afeasibility study on the six sanddams has been finalised, andconstruction is expected tobegin in June.

A sand dam is a reinforcedconcrete wall built one to fivemetres high across a seasonalsand river.

Sand dams are a simple,low-cost and low-maintenancerainwater harvesting technol-ogy and provide a clean, localwater supply for domestic andfarming use and are suited tosemi-arid areas. r

THE AFRICAN Union andAfrican Development Bank(AfDB) have signed a grant tostrengthen the capacity of Re-gional Economic Communi-ties to plan, prepare andcoordinate the implementa-tion of regional infrastructureprogrammes and projects.

The US$8.6 million three-year capacity building grant isexpected to assist the eight Re-gional Economic Communi-ties (RECs) in Africa as well asthe African Union Commis-sion and the NEPAD Planningand Coordinating Agency toimplement infrastructure pro-grammes necessary forstrengthening the continent’sphysical and economic inte-gration.

The grant will benefitSADC, the Arab MaghrebUnion, Community of Sahel-Saharan States, CommonMarket for Eastern andSouthern Africa, East AfricanCommunity, Economic Com-munity of Central AfricanStates, Economic Communityof West African States and In-tergovernmental Authorityon Development.

Specifically, the grant willsupport the accelerated imple-mentation of the Programmefor Infrastructure Developmentin Africa (PIDA) approved byAfrican Heads of State andGovernment during the 18thOrdinary Session of AU held inEthiopia in January 2012.

It will provide the neces-sary capacity to RECs and thecontinental bodies to enablethem support member statesto move PIDA projects topreparation, bankability andfinancing.

PIDA projects include mod-ernization of ports, railways

AU, AfDB to strengthen RECs infrastructure capacity

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

Sand dams are mostly suited tosemi-arid areas.

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THE YEAR 2014 will see in-frastructure development andelections in southern Africa aswell as efforts to address thelongstanding goals for the tar-get year of 2015, includinggender equality targets.

SADC will also addressconflict resolution and peace-building with its borders,mainly in Democratic Repub-lic of Congo and Madagascar.

During this year, SADCwill finalise the mid-term re-view of its 15-year develop-ment plan, and Malawi willhand over the chair of the re-gional development organisa-tion to Zimbabwe.

Infrastructure and energydevelopment will remain keyintervention areas in 2014,as an efficient and cost-effec-tive transport network andstable energy supplies are crit-ical to a thriving economy atboth national and regional lev-els.

SADC has adopted an am-bitious US$64 billion pro-gramme to developcross-border infrastructure insix priority areas of energy,transport, tourism, water, in-formation communicationtechnology and meteorology.

Implementation of this pro-gramme started in 2013 andwill gain momentum in 2014 asthe region plans to develop atotal of 106 cross-border proj-ects during the first phase, by2017.

Investment and finance forthe regional infrastructureprogramme will be sought in2014 following an initial in-vestment conference held inMozambique last year when anumber of potential investorsexpressed interest in fundingsome of the projects.

Additional investment con-ferences are planned for thisyear in Asia, Europe and theUnited States.

2014 – What’s in it for southern Africa?

P E R S P E C T I V E S

The United Republic of Tan-zania is expected to completethe process of drafting a newconstitution this year, in prepa-ration for elections in 2015,while Zambia is also complet-ing a constitutional review be-fore elections in 2016.

These constitutions and thevarious elections will impact onthe key regional targets for in-creasing the number of womenin decision-making in SADCMember States.

The SADC Protocol on Gen-der and Development that en-tered into force last yearcontains specific targets to bemet by 2015, including 50:50representation by women andmen in decision-making posi-tions.

According to the SADC Gen-der Monitor produced for theSADC Gender Unit by SARDC,only five SADC Member Stateswere close to the target of parityin parliament by mid-2013, hav-ing gone above the 30-percentprevious threshold set by re-gional leaders.

These are Seychelles (43.8percent), South Africa (42.3 per-cent), Mozambique (39.2 per-cent), Tanzania (36 percent),Angola (34.1 percent) and Zim-babwe (31.5 percent). A number

of other SADC countries arebelow the 20 percent

mark. sardc.net r

The infrastructure masterplan contains three five-yearphases for implementation –short term (2012-2017),medium term (2017-2022) andlong term (2022-2027).

SADC will continue tostrengthen energy develop-ment at regional level to ad-dress power shortages thathave hindered economicgrowth and developmentsince 2007, due to diminishinggeneration capacity andgrowth in demand.

SADC member states,through the Southern AfricanPower Pool (SAPP), haveidentified priority energy proj-ects to be implemented in theshort-term with a target ofpower self-sufficiency by 2018.

SAPP plans to add 4,670megawatts of new electricityto the regional grid in 2014,with new generation capacitycoming mainly from SouthAfrica and Angola.

With regard to trade, SADCis expected to sign a historicagreement this year withCOMESA and EAC to estab-lish an expanded market cov-ering 26 countries.

According to theCOMESA-EAC-SADC Tripar-tite Task Force, the agreementwill be signed by June, en-abling the launch of the so-called “Grand” Free TradeArea (FTA), with a com-bined population of some600 million people and aGross Domestic Product ofabout US$1 trillion.

Peace and stability arekey ingredients for the suc-cess of these developmentinitiatives, and so mecha-nisms for peace-buildingand peace-keeping will bestrengthened in 2014, partic-ularly with regard to Mada-gascar following the recentpresidential and parliamentaryelections, and also DRC.

6 SOUTHERN AFRICA Today, February 2014

The DRC government hasbeen confronting rebels in themineral-rich eastern part ofthe country bordering onRwanda and Uganda, with thehelp of United Nations andSADC peacekeeping forces. Aworrying new development isthe conflict in the CentralAfrican Republic on DRC’snorthern border.

The SADC Regional Peace-keeping Training Centre willcontinue to strengthen and ex-pand its training of military,police and civilian peacekeep-ers for deployment by mem-ber states as required.

Voters in five SADC coun-tries will go to the polls thisyear in national elections to se-lect their President and Mem-bers of Parliament for the nextfive years, and in some casesalso provincial assemblies.

South Africa will hold elec-tions in April, Malawi in May,and Botswana in Septem-ber/October. Mozambiquehas set the election date for 15October, and Namibia willhold elections towards the endof the year.

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WEATHER EXPERTS haveforecast normal to above-nor-mal rainfall in southern Africafor the remainder of the2013/14 farming season, rais-ing prospects of another goodharvest this year.

The SADC Agromet Up-date for the2013/2014 Agricul-tural Season re-leased by the SADCClimate ServicesCentre (SADC CSC)said normal toabove-normal rain-fall was expected inmost Member Statesbetween Februaryand April.

Above-normalrainfall is defined aslying within thewettest third of aver-age recorded rainfallamounts during the30-year period be-tween 1971 and 2000, whilebelow-normal is within thedriest third of rainfallamounts, and normal is themiddle third.

The latest forecast meansthat the SADC region will con-tinue to receive sufficient rainsenough for most crops toreach maturity stage, but alsocarries the threat of flooding.

Enhanced probability of re-ceiving normal to above-nor-mal rainfall is expected innearly all parts of the regionexcept north-eastern UnitedRepublic of Tanzania and thewestern fringes of Namibiaand South Africa.

The update, however, saidthere were some delays in thestart of the rainfall season inmost parts of the region,

which affected planting ofcrops.

Planting rains were only re-ceived in mid-December incentral and southern Malawi,eastern Zambia, the centralparts of Mozambique andnorthern Zimbabwe.

Southern Mozambique,parts of southern Zimbabweand central Tanzania receivedthe rains in late December.

The implication of thedelay in rainfall is that there isa high possibility that cropsmay not reach maturity or per-form well in some areas, un-less the rains extend slightlylonger than usual and are con-sistent throughout the remain-der of the season.

The rainfall update notedthat in some areas such assouthern Malawi crops arestill expected to reach matu-rity due to the short seasonmaize crop varieties grownthere.

The vuli or short seasonrains in Tanzania continued toperform poorly through to

mid-January, with reports ofwilting of late-planted crops insome areas.

It is reported that rains inDecember and early Januarywere generally favourable incentral/western parts of theregion that have been experi-

encing long-termdrought conditionsfor the last two sea-sons.

The northern halfof Botswana, north-ern Namibia,south-eastern An-gola, western Zam-bia and westernZimbabwe re-ceived above-nor-mal rains for theperiod 1 December2013 to 20 January2014.

The rains helpedto revive pasturesand improve water

supplies, enabling improve-ment in livestock conditions.

Widespread outbreak ofarmyworm was reported inseveral districts in the South-ern Region of Malawi and lo-calised areas of easternZambia.

Crop damage ranging frommild to severe was reported,and some areas required re-planting.

However, following controlmeasures by farmers and Min-istries of Agriculture, the situ-ation is under control andimpacts are likely to have beenminimized.

The chances for above-nor-mal rainfall observed in mostparts of the region raise thelikelihood of late-plantedcrops reaching maturity, espe-

Namibia to conductagricultural census

SOUTHERN AFRICA Today 7

NAMIBIA IS expected to con-duct its agricultural census thisyear - 20 years after the last onein 1994.

The information from the cen-sus will produce comprehensiveand impartial agricultural datathat will provide an integratedpicture of the agricultural struc-ture in the country, which is crit-ical in the formulation ofagricultural policies.

The last census revealed thatamong the crops grown onarable land in the country, millethad the highest total harvestedarea of 194,990 ha, followed bysorghum with 30 526 ha withwheat having the lowest totalharvested area of 175 ha. r

A G R I C U L T U R E

cially if the higher rainfall isassociated with a longer sea-son extending well into April.

SADC CSC in conjunctionwith other partners will con-tinue to closely monitor thestatus of evolution of El-Niñoand updates will be issuedfrom time to time. r

Good rains brighten food prospects for SADC

Enhanced chances of:

Above-normal to NormalNormal to Above-normalNormal to Below-normalBelow-normal to Normal

Sorghum grown in Namibia

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8 SOUTHERN AFRICA Today, February 2014

THE RISING cost of electricity in SADC is likely tohave far-reaching effects on southern Africa’s regionalintegration programme.

The cost of electricity has risen during the past fewmonths or is expected to increase this year in severalMember States where the power utilities have appliedfor regulatory approvals to hike tariffs.

Some of the countries include Botswana, Namibia,South Africa, United Republic of Tanzania, Zambiaand Zimbabwe.

Eskom of South Africa announced it will hike electric-ity tariffs in April if its application is approved by theNational Energy Regulator of South Africa (Nersa). The

regulator was expected to make an announcement in February.The Energy Regulation Board (ERB) announced in December 2013

that it had approved a 26-percent hike in electricity tariffs following anapplication by the Zambia Electricity Supply Company (ZESCO).

ERB executive director Langiwe Lungu said average increases for2014 and 2016 have already been pegged at 31 and 34 percent, respec-tively.

A 40-percent electricity tariff hike took effect on 1 January in Tanzania,with the cost of power to domestic consumers adjusted upwards by be-tween 39 and 67 percent and that for large-scale commercial users wasincreased by between 37 and 55 percent.

The Energy and Water Utilities Regulatory Authority (EWURA) at-tributed the hike to viability problems at the Tanzania Electric SupplyCompany (Tanesco).

“The proposed tariff adjustment will enable Tanesco to meet its opera-tional costs and capital investment programme, demonstrate its bankabilityto donors and increase capacity needed to meet system peak demand,”saidFelix Ngalamgosi, EWURA director of regulatory economics.

The Zimbabwe Electricity Transmission and Distribution Company(ZETDC) has similarly applied to the Zimbabwe Energy Regulatory Au-thority seeking to review its tariffs this year to boost revenue and im-prove operational efficiencies.

Other regional power utilities have also increased tariffs during thepast nine months.

The Botswana Power Corporation and the Electricity Control Boardof Namibia hiked their tariffs by 13 and 10 percent in June and July lastyear, respectively.

The issue of cost-reflective energy tariffs in southern Africa has cre-ated some interesting debates whenever power utilities announce plansto increase their tariffs.

SADC HAS for the past few years embarked on a programme to commis-sion new or rehabilitate existing projects to improve its electricity needs.

The target is to generate more electricity so that the region achieves thedesired collective 10 percent surplus power generation capacity by 2018.

However, construction of new power projects alone is insufficient toguarantee that the region’s power supply matches demand from industry,commercial activity, public institutions and households by the target date.The challenge for the region is that it is chasing a moving target, with de-mand expanding by between 2,200 and 2,500 megawatts a year.

This calls for more concerted efforts to attract investment in the sectorand migration to cost-reflective tariffs is one such action required.

A delicate balancing act is required, however, to ensure that any newviable tariffs introduced do not exclude the vulnerable communities in theregion.

In this issue, Southern Africa Today focuses on developments within theregion with regard to tariffs and efforts to achieve energy self-sufficiency.

Consumers argue that a rise in electricity tariffs will af-fect the cost of production and, by extension, the cost ofliving as business passes on the higher costs.

On the other hand, power utilities argue that raising theelectricity tariffs will attract investors to the energy sector.

In terms of the impact of the rising electricity chargeson SADC, the biggest impact is expected to come from re-gional economic powerhouse South Africa, which acts asthe manufacturing hub for the region.

South Africa has historically enjoyed low tariffs on theback of an agreement with Mozambique that enabled Pre-toria to draw cheap power from Cahora Bassa Dam.

The low South African power tariffs have benefitted thecountry’s manufacturing sector which has been able toproduce goods cheaply that it has supplied to the rest ofthe region.

The rising cost of electricity in South Africa will,therefore, significantly affect the economies of severalSADC Member States that import from the country.

This would, among other things, increase pressureon prices of products and services to rise in most countries, especiallymembers of the Southern African Customs Union (SACU) whoseeconomies are intricately linked to South Africa.

SACU operates as a customs union of South Africa, Botswana,Lesotho, Namibia and Swaziland under a renewable agreement, and isgoverned at present by an agreement negotiated in 2002.

Rising inflation will derail SADC’s programme on macroeconomicconvergence under which Member States have agreed that in order toachieve and maintain macroeconomic stability, they need to converge onstability-oriented economic policies implemented through a sound insti-tutional structure and framework.

Such policies include, but are not limited to restricting inflation to lowand stable levels; maintaining a prudent fiscal stance based on the avoid-ance of large fiscal deficits; avoidance of large financial imbalances in theeconomy; and minimising market distortions.

Among other targets, the SADC countries have agreed to have the in-flation rate restricted to around three percent by 2018.

This is, however, unlikely to be achieved unless inflationary pressuresfrom such key sectors as energy are contained.

Rising electricity costs will also derail progress towards attaining foodsecurity and eradicating poverty in southern Africa.

High electricity charges are expected to negatively impact agricultureand mining, which are some of the largest users of power. r

Rising electricity tariffs – a threat to regional infl

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NAMIBIA AND Zambia have signed a power shar-ing deal that will see the later exporting surplus en-ergy to Namibia.

Namibians energy utility, NamPower intends toimport additional power from Zambia to combatpower shortages in the country.

The power sharing deal involves exporting 100megawatts (MW) of electricity from Zambia.

Namibia currently receives 50MW of electricity dailyfrom the Zambia Electricity Supply Corporation(ZESCO) and NamPower is negotiating with the ZESCOto increase the supplies by an additional 100MW.

EXPANSION OF the long-awaitedKariba power station in Zimbabweis now underway after the necessaryfunding was secured.

“We have secured the fundingand the project should take aboutthree years to complete. If every-thing goes according to schedule, thefirst unit should be commissioned in2017,” Zimbabwe’s energy utilityspokesperson Fullard Gwasira said.

The expansion of the Karibapower station will increase generat-ing capacity to 1,050 megawatts(MW) from the current 750 MW.

The project is estimated atUS$500 million, and will see the in-

stallation of an addition two powergenerating plants of 150MW each.

Currently, the power station has atotal of six generating plants thateach produces 125MW of electricity.

Zimbabwe secured a loan grant ofUS$319 million from China Exportand Import Bank to finance thepower project.

The loan has a two-percent inter-est rate and a five-year grace periodand 20-year tenure. Zimbabwe is ex-pected to contribute US$35 million tothe project to bring the total cost ofthe project to US$354 million.

Finance Minister Patrick China-masa hailed the deal saying it willhelp Zimbabwe address its energyneeds.

“This should go a long way in re-ducing power outages that charac-terise our power generation. For usthe energy deficit has hamstrung thegrowth of our economy,” he said.

Zimbabwe has a daily energypeak demand of 2,200MW againstsupply of 1,200MW. r

MOZAMBIQUE WILL this yearbegin construction of a new gas-powered plant that is expected toadd 100 megawatts (MW) to theregional power grid.

Gas production is set to becomea major priority in Mozambiqueover the next few years followingthe discovery of large sums of nat-ural gas in the country.

The amount of gas discoveredin Mozambique is reported to be

SOUTHERN AFRICA Today 9

Mozambique to build gas-powered plant

Kariba Power Station expansionunderway

Namibia, Zambia sign power sharing deal

more than enough to meet an en-tire year’s gas consumption by theUnited States – one of the largestconsumers of gas in the world.TheUS consumes about 30 trillioncubic feet per annum

Mozambique’s gas-poweredplant to be built in Maputo is duefor completion in 2018. Once oper-ational, it is expected to address theenergy shortages in the country.

Mozambique requires about700MW of electricity per year.However, due to other challenges,the country is producing close to600MW for its local consumptionas well as imports.

According to the SouthernAfrica Power Pool (SAPP), whichcoordinates the planning, genera-tion, transmission and marketing ofelectricity on behalf of MemberState utilities in the SADC region,Mozambique’s energy needs are onthe increase and the country will re-quire more than 750MW per yearfor its socio-economic developmentby 2018.

Funding for the gas-poweredplant will jointly be provided byMozambique and Japan.

The Japanese government hasalready pledged US$167 millionfor engineering services, as well asthe acquisition of equipment, con-struction work and professionaltraining.

The gas-powered plant will be acombined-cycle power plant. Com-bined plants are more efficient thanconventional power stations usingtwo heat engines in tandem to con-vert a higher fraction of the heatproduced by the fuel into electricity.

Gas-powered electricity plantsalso produce less carbon dioxide,having a lower impact on gas emis-sions that cause climate change anddamage to the environment.

The project comes at a timewhen gas is becoming the future ofthe region’s energy matrix, as theglobal community moves towardscleaner sources of energy.

Through SAPP, SADC aims toconstruct 16 gas-powered powerstations by 2018 across the regionwith a combined capacity to addmore than 4,000MW of electricityto the regional grid. r

“We have requested for an additional 100MW ofelectricity daily and with the recent expansion ofpower stations in Zambia, it could be possible forZesco to sell us more power,” Namibia’s utility bossPaulinus Shilamba said.

Namibia has the capacity to produce about 45 per-cent of its electricity. The rest is imported from neigh-bouring countries including Botswana, South Africa,Zimbabwe and Zambia.

The power sharing deal between Zambia andNamibia strengthens the regional cooperation in en-ergy. r

ation targets

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10 SOUTHERN AFRICA Today, February 2014

She is expected to contest against a number of oppositionleaders, including the former president’s brother, PeterMutharika, of the Democratic Progressive Party (DPP).

Banda is a former member of the DPP, but she formed herown party, the People’s Party, after refusing to endorseMutharika as the successor to the late president.

Unemployment, service delivery and poverty eradication aresome of the main issues dominating the election campaigns inMalawi.

BOTSWANA elections in OctoberThe Independent Electoral Commission (IEC) has indicated thatparliamentary elections are likely to be held in Botswana in Oc-tober as the norm and has urged citizens to register to vote. Theprevious elections were held on 16 October 2009.

Voter registration took place last year, with supplementaryregistration in March and June this year.

The IEC announced last year that just over one millionBatswana were eligible to vote. The total population was justover 2 million in 2011 at the time of the last census.

Botswana uses a constituency electoral system of First PastThe Post for the election of Members of Parliament, and thenewly elected Parliament then meets to elect the President.

There are 57 single-member constituencies, and four specialseats appointed by the majority party in Parliament, while thePresident and Attorney-General are ex-officio members.

The total number of seats is 63 of which only five were womenfor a percentage of 7.9 after the 2009 elections, rising to 9.5 per-cent with the appointment of a woman to fill a vacancy in par-liament in 2011, but still leaving Botswana at the bottom of theSADC rankings.

THE INDEPENDENT Electoral Commission of South Africa(IEC) set 9 February as the deadline for voters to register for na-tional and provincial elections on 7 May.

According to the IEC, more than 24 million eligible voters hadregistered by November 2013 out of a total population countedat 52 million in the 2011 census.

South Africa uses a system of Proportional Representation inwhich the electorate votes for a political party, not individuals.The party gets a share of seats in Parliament in direct proportionto the number of votes won in the election.

Each registered political party submits a list of candidatesto the IEC in advance of the election, and the IEC determinesthe number of seats for each party based on the election re-sults.

The President is elected by the new National Assembly fromamong its members, usually the leader of the majority party. Thecandidate resigns from parliament upon election.

South Africa is ranked second in the SADC region for womenrepresentation at 42.3 percent, with women occupying 169 of the400 seats in the National Assembly after the last elections in April2009, according to the SADC Gender Monitor 2013.

The African National Congress (ANC) has won all nationalelections since democratic elections were introduced in 1994, an-choring its election campaign on employment and economic de-velopment.

The ANC led by incumbent President Jacob Zuma will con-test the election against several other parties, including themain opposition Democratic Alliance, Agang South Africa, andEconomic Freedom Fighters. Opposition parties are promisingbetter service delivery and good governance, with EFF focus-ing on equitable distribution of land and resources.

Tripartite elections in MALAWI

Malawi will conduct presidential, parliamentary and local gov-ernment elections on the same day, for the first time since inde-pendence in 1963.

More than 7.5 million people have registered to vote in the tri-partite elections set for 20 May, according to the Malawi ElectoralCommission (MEC).

Almost six million voters registered for the previous electionsin 2009 from a population of 13 million (2008 census), now esti-mated at about 15 million.

Malawi uses the constituency electoral system of First PastThe Post, in which the candidate with the most votes is declaredthe winner in each constituency.

Women candidates won 50 of the 193 seats in Parliament (26percent) in the 2009 elections which were contested by 150women candidates.

Incumbent President Joyce Banda will contest her first presi-dential election after succeeding the late Bingu wa Mutharika,who died in 2012. Her nomination papers were presented to theMalawi Electoral Commission in mid-February, among a dozenothers, and MEC will rule on eligible candidates.

E L E C T I O N S 2 0 1 4

SOUTH AFRICA’s fourth election since ending apartheid

2014 Election time in SADC… as fiby Kizito Sikuka

FIVE SADC Member States will hold elections this year – SoMozambique 15 October, and Namibia likely in November. SAusual: the pre-election period, election day and post-election pguided by the provisions of national constitutions and electoraDefence and Security Cooperation, and SADC Principles and G

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SOUTHERN AFRICA Today 11

The MDM, led by the Beira mayor Daviz Simango, brokeaway from Renamo in 2009. Simango gained 8.6 percent of thevotes in the 2009 presidential election, compared to 16.4 per-cent for the Renamo leader, Afonso Dhlakama, and 75 percentfor incumbent President Armando Guebuza, standing for hislast term.

Frelimo has yet to announce its presidential candidate as aprocess underway to choose from three proposed eligible candi-dates. Guebuza remains president of the party.

Mozambique uses proportional representation by province,and is among the top three countries in the region with a signif-icant number of women in Parliament, at 98 (39.2 percent).

Almost 10 million voters registered in 2009, with a populationcounted as 25.2 million in the 2012 census.

With more than 80 percent of the population involved in agri-culture, a low rate of literacy and high poverty levels, there aremany challenges for this mineral-rich country spread along theIndian Ocean coast and a major transit country, now strengthen-ing access to its ports for neighbouring countries.

NAMIBIA awaits third presidentsince IndependenceVoter registration has started for national elections in Namibiawhich are likely to take place in November as the previous elec-tions were held five years ago on 27-28 November 2009.

The elections will provide the country with its third presidentsince Independence in 1990 as incumbent President HifikepunyePohamba has served his second and last term as per the consti-tution.

Nine political parties hold seats in the National Assembly, in-cluding the South West Africa People’s Organisation (SWAPO)which has 54 seats and the Rally for Democracy and Progress(RDP) with eight seats, while the other seven parties have justone or two seats each.

Prime Minister Hage Geingob, who is Swapo vice-president,is expected to be the candidate of the ruling party which has wonall elections since Independence in 1990.

The Electoral Commission of Namibia (ECN) has set 15 Janu-ary - 2 March 2014 as the period for voter registration with aboutone million voters expected to register of a national populationcounted as 2.1 million in the 2011 census.

Unemployment and service delivery remains a challenge forthe large, arid country.

Namibia uses First Past The Post for presidential elections andthe proportional system for legislative elections.

The National Assembly has 72 members elected by party listand six more appointed by the President for a total of 78 MPs.

The proportion of women in Parliament in Namibia was 31percent after the 2004 elections, dropping to 24.4 percent in 2009with only 19 women MPs, ranking Namibia as seventh in theSADC region, with the target of 50:50 by 2015.

At its 5th congress held in 2012, Swapo committed to the50:50 representation of men and women in all party structures,but there has been some disquiet in the party about how to im-plement this, and how to choose candidates for the nationalelection. r

E L E C T I O N S 2 0 1 4

This election is likely to see many new candidates, includinga larger proportion of women. With the regional target of 50 per-cent women by 2015, the government and political parties areencouraging the nomination of women candidates. Womenmake up 55 percent of the electorate in Botswana.

The ruling Botswana Democratic Party (BDP) led by PresidentSeretse Khama Ian Khama has promised to broaden and diversifythe economy through agricultural development and manufactur-ing.

The BDP, will contest the 11th general elections against theBotswana Congress Party, which formed a coalition with theBotswana Alliance Movement for the previous election.

MOZAMBIQUE elections 15 October, late start to registrationThe date for general elections in Mozambique was announcedwell in advance to give the electoral commission and politicalparties plenty of time to prepare.

However, the Mozambique Resistance Movement (Renamo)demanded a delay in the start of voter registration due 30 Janu-ary. Voter registration commenced on 14 February to be com-pleted by 29 April, despite a second demand from Renamo topostpone further.

The National Elections Commission and its executive body,the Electoral Administration Technical Secretariat (STAE), willbe expanded to include representation from political parties, an-other Renamo demand, although the enabling legislation is yetto be approved by the National Assembly which resumed sittingon 19 February.

The discussions follow several months of instability in thecentre of the country caused by armed attacks on police postsand vehicles, resulting in civilian deaths and loss of property.

Renamo has 51 members in the 250-seat National Assemblyfrom the elections in 2009, against 191 for the Mozambique Lib-eration Front (Frelimo), but faces a challenge from a new politicalparty, the Mozambique Democratic Movement (MDM), cur-rently holding only eight seats.

The MDM has declared its intention to win a majority in thenext parliament, after doing well in municipal elections held inNovember 2013. Renamo boycotted the municipal elections, butsays it has reversed its decision to boycott the national polls.

ve countries go to the polls

outh Africa on 7 May, Malawi 20 May, Botswana in October,ADC is expected to deploy election observers in three phases asphases. The SADC Election Observer Missions (SEOM) will beal acts, as well as the SADC Treaty, SADC Protocol on Politics,Guidelines Governing Democratic Elections.

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12 SOUTHERN AFRICA Today, February 2014

and beverages, hospitality andtourism, pharmaceuticals,fashion, fisheries and ICT aredriving integration, and areamongst the global leaders intheir sectors. We are now thethird largest economy in theworld.”

Most significantly, she saysthat intra-Africa trade canreach 50 percent by 2045, fromless than 12 percent in 2013.

Dlamini-Zuma said thiswould be achieved throughthe implementation of Agenda2063, developed to galvanizeand unite all Africans aroundthe common vision of a peace-ful, integrated and prosperousAfrica.

“Planning fifty years aheadallowed us to dream, thinkcreatively and sometimescrazy as one of the Ministerswho hosted the 2014 Ministe-rial retreat said, to see usleapfrog beyond the immedi-ate challenges.”

This tremendous growthfor Africa would be possiblethrough various innovativemeasures, including robust in-frastructure and agriculturaldevelopment, industrialisa-tion and promotion of deepereconomic integration amongthe eight regional economiccommunities in the continent.

ADVANCED, DEVELOPED,empowered, inspired, inde-pendent and united are someof the main qualities Africawill possess in the near future,according to a futuristic letterwritten by the African Union(AU) Commission chairper-son, Dr Nkosazana Dlamini-Zuma and delivered toAfrican leaders at their recentsummit in Ethiopia.

In the letter, Dlamini-Zumapresents a remarkable im-agery of achievements thatcan be recorded in Africa bythe year 2063 when the conti-nent celebrates the centenaryof the Organisation of AfricanUnity, now the African Union.

By 2063, Africa has formedthe Confederation of AfricanStates (CAS) and a prosperousAfrican Economic Commu-nity.

“Africa has indeed trans-formed herself from an ex-porter of raw materials with adeclining manufacturing sec-tor in 2013, to become a majorfood exporter, a global manu-facturing hub, a knowledgecentre, beneficiating our natu-ral resources and agriculturalproducts as drivers to indus-trialisation,” she predicts.

“Pan-African companies,from mining to finance, food

The future should see foodsecurity in Africa and the har-nessing of the vast natural re-sources that are in abundancethroughout the continent, shesaid.

Smallholders, who makeup the majority of farmers,mainly women, will have un-limited access to markets, fi-nancial resources and inputssuch as seeds and fertilizer.

“Agronomists consultedwomen about the qualities ofvarious grains – which onessurvived low rainfalls andwhich thrived in wetweather; what pests threat-ened crops and how couldthey be combated withoutundermining delicate ecolog-ical systems,” her future sce-nario continues.

“By the intelligent applica-tion of centuries-old indige-nous knowledge, acquiredand conserved by Africanwomen who have tendedcrops in all seasons, within thefirst few years bumper har-vests were being reported.”

In respect to energy devel-opment, Dlamini-Zuma saysthat Africa can provide its cit-izens with clean and adequatepower.

“We lit up Africa, the for-merly dark continent, using

hydro, solar, wind, geo-ther-mal energy, in addition to fos-sil fuels.”

African countries will beinterconnected, allowinggoods, services and people tomove freely across the conti-nent, Dlamini-Zuma pre-dicted.

“The continental rail androad networks that now criss-cross Africa, along with ourvibrant airlines, our spectac-ular landscapes and seduc-tive sunsets, the culturalvibes of our cities, maketourism one of our largesteconomic sectors.”

Dlamini-Zuma said by 2026Africa will have attained apermanent seat at the UN Se-curity Council to become “amajor force for global stability,peace, human rights, progress,tolerance and justice,” andwould have a single commonlanguage – KiSwahili, havingdone away with colonial lan-guages.

Investment in the youthplays a critical part in her sce-nario with young people tak-ing a keen interest by formingAfrican Union clubs in schoolsand universities across thecontinent. r

• Common position on 2015 agendaAFRICA HAS adopted a common position on the post-2015development agenda to ensure that African interests are in-cluded in the new global development agenda to be finalisednext year, building on the momentum generated by the Mil-lennium Development Goals (MDGs), which end in 2015.

• Zimbabwe elected deputy AU chairZIMBABWE HAS been elected as deputychair of the African Union and will head thecontinental body next year. Democratic Repub-lic of Congo was elected as second deputy, with responsibil-ity of rapporteur. The five-member Bureau of the Assemblyof Heads of State and Government is the AU’s supremeorgan, tasked with steering its agenda. r

• Panel to assess African Standby forceAFRICAN LEADERS welcomed the estab-lishment of a panel of independent expertschaired by Professor Ibrahim Gambari ofNigeria to assess the status of operationali-sation of the African Standby Force and itsRapid Deployment Capability. The ASF isintended to be a continental African militaryforce, with civilian and police components,under the direction of the African Union, for deployment inany member state in times of instability. The ASF was notready by 2010 as planned, and a new deadline of 2015 hasbeen set, with Summit requesting a comprehensive report attheir next summit in June-July this year.

Highlights of 22nd African Union Summit held in January 2014 in Ethiopia

A glimpse into a future prosperous, assertive Africa

A F R I C A N U N I O N

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SOUTHERN AFRICA Today 13

I N T E G R A T I O N

AFRICA IS making slow butsteady progress towardsachieving its longstanding vi-sion to have an integrated con-tinent, according to a recentStatus of Integration in Africareport by the African Union.

The Status of Integration inAfrica (SIA) report says the vi-sion of an amalgamated conti-nent is slowly becoming areality, albeit with challenges,and that Regional EconomicCommunities (RECs) havemade significant progress inimplementing the AbujaTreaty – the legal frameworkthat outlines the African inte-gration agenda.

However, there are somechallenges as the “RECs aremoving towards implement-ing the Abuja Treaty at differ-ent rhythms.”

A total of eight RECs arerecognised by the AU, includ-ing SADC.

The East African Commu-nity (EAC) is the most ad-vanced REC, having launchedits Common Market in 2010.

The Common Market forEastern and Southern Africa(COMESA) launched its Cus-toms Union on June 2009while SADC and the Eco-nomic Community for WestAfrican States have made

progress in building FreeTrade Areas (FTAs) and areworking towards establishingCustoms Unions.

The report cited the tripartitearrangement involvingCOMESA-EAC-SADC as amodel of “best practice that theother RECs are encouraged toemulate in order to acceleratethe harmonisation of their pro-grammes and activities.”

The COMESA-EAC-SADCpartnership started in 2005

when leaders from the threeRECs agreed to harmonise theprogrammes in the areas oftrade and infrastructure devel-opment.

Since then, significantprogress has been recorded to-wards promoting the smoothmovement of goods and serv-ices across the 26 countries ofeastern and southern Africa.

An example is the first one-stop border post in Africa, atChirundu between Zambia

and Zimbabwe, launched byCOMESA-EAC-SADC in 2009.

Under the one-stop borderpost agreement, travellers arecleared just once for passageinto another country in con-trast with the current situationwhere travellers have to becleared on both sides of theborder.

This development hugelyaddressed issues of delays, pro-moting the smooth flow ofgoods through the removal ofoften perceived "restrictive" op-erational procedures at borders.

Under its North-South Cor-ridor initiative, the three RECshave raised more than US$1.2billion to implement cross-bor-der infrastructure projects.

Planned programmes in-clude the construction of morethan 8,000 km of road, rehabil-itation of 600 km of rail trackand upgrading of the Dar esSalaam port in Tanzania – oneof the biggest and busiestports in Africa.

The three RECs have alsopartnered in various otherprogrammes including climatechange.

Similar horizontal relation-ship among other RECs wouldhelp Africa achieve its long-standing vision of a unitedand integrated continent. r

Slow but steady progress towards African integration

Status of Implementation of the Abuja Treaty per REC

Stage 2 Stage 3 2000-2007 2008 -2017

Stage 1 1994-1999

Strengthen existing RECs andcreate new RECswhere not exist

Coordinateand harmoniseactivities

Eliminate tariff and non-tariff barriers

In ProgressIn Progress

Not yet

Free TradeArea

Not yetNot yet

Not yet

CustomsUnion

Not yetNot yet

2013Not yet

2015

No date fixed

Stage 4 2018-2019

Continental Customs Union

This stage will beachieved when allRECs have achievedCustoms Union andharmonised their respective commonexternal tariff (CET),with a view of creat-ing one single conti-nental CET.

Stage 5 2020-2023

African CommonMarket

This stage will beachieved when allRECs have achieved continental customs union aswell as free movement oflabour and capital.

Stage 6 2024-2028 latest 2034

Monetary and Economic Union

This stage will beachieved when allRECs have achievedAfrican CommonMarket at whichtime there will be acommon currency,issued by theAfrican CentralBank.

RECs

UMAIGADSADCCENSAD ECOWASCOMESAECCASEAC

Abuja Treaty milestonesThe African Economic Community was founded through theAbuja Treaty signed in 1991 and entered into force in 1994, to becreated in six stages:Stage 1 Create Regional Economic Communities (RECs) in

all regions of Africa completed 1999

Stage 2 Strengthen intra-REC integration and inter-REC harmonisation completed 2007

Stage 3 Establish a free trade area and customs union in each regional bloc to be completed 2017

Stage 4 Coordinate and harmonise tariff and non-tariff system among RECs to establish a free trade area and a continent-wide customs union to be completed 2019

Stage 5 Establish a continent-wide African Common Market to be completed 2023

Stage 6 Establish a continent-wide economic and monetary union and a Parliament. to be completed in 2028

All transition periods are expected to end in 2034 at the latest. r

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14 SOUTHERN AFRICA Today, February 2014

fully held presidential elec-tions won by the former fi-nance minister, HeryRajaonarimampianina.

He defeated his main rival,Jean Louis Robinson, by 53.49percent to 46.51 percent of thetotal votes.

Rajaonarimampianina, whowon a run-off after coming sec-ond in the first-round presiden-tial election in October, wassworn in as the democraticallyelected president on 25 January.

The Madagascar ElectoralCourt declared him the presi-dent-elect following an initialprotest by Robinson whoclaimed that the Decemberrun-off vote was rigged.

Robinson accepted thecourt ruling and attended theinauguration ceremony in thespirit of nation-building.

The elections were praised aspeaceful and in conformity withregional standards and princi-ples by the election observersfrom SADC and the AU.

The 252-member SADCmission was headed by theNamibian Foreign Minister,Netumbo Nandi-Ndaitwah.

“The peaceful and calm en-vironment created by the peo-ple and government for thesuccess of the elections; profes-sionalism of the CENIT staff,

prompt accreditation of ob-servers; readiness of CENIT toassist observers despite aheavy workload, political tol-erance as well as freedom ofassociation and expressionduring the electoral cam-paigns, use of information ed-ucation and communication invoter and civic education useof translucent ballot boxes andassistance of voters with spe-cial needs, best democraticpractices observed by SADCfrom the elections in Mada-gascar,” the SADC report said.

Southern African leadersexpressed satisfaction at polit-ical developments in Mada-gascar that led to thesuccessful holding of elec-tions.

In a communiqué releasedafter a SADC ExtraordinarySummit in Ethiopia on 30 Janu-ary, the SADC leaders congrat-ulated Rajaonarimampianinaand welcomed his pledge to-wards national reconciliationand socio-economic recovery.

Noting the progress in re-solving constitutional order inMadagascar, they invited thecountry to rejoin SADC andresume its participation in allSADC activities.

“Summit, in view of therestoration of constitutional

SADC lifts suspension on Madagascar MADAGASCAR HAS hadits suspension lifted by re-gional organisations followingthe restoration of constitu-tional order.

An Extra-Ordinary Summitof SADC Heads of State andGovernment held on the side-lines of the just ended 22ndAfrican Union Ordinary Ses-sion in Ethiopia lifted the sus-pension, paving the way forMadagascar to resume its par-ticipation in all SADC activities.

Madagascar was suspendedfrom SADC in 2009 when thecountry slid into a political tur-moil after opposition leaderAndry Rajoelina seized powerfrom then President MarcRavalomanana in a publicdemonstration backed by themilitary, similar to the methodused by Ravalomanana whenhe seized power a few yearsearlier from his predecessor, Di-dier Ratsiraka.

The Southern African Devel-opment Community (SADC)has been at the forefront of me-diation efforts to facilitate thereturn of constitutional order inMadagascar.

Former Mozambican Presi-dent Joaquim Chissano wasappointed as the lead negotia-tor.

The appointment ofChissano in June 2009 came aweek after the African Union(AU) and the United Nations(UN) suspended their media-tion efforts, citing lack of polit-ical will by the two parties.

The other two organisationsvowed not to recognise the Ra-joelina regime and at one pointeven suggested military inter-vention to save Malagasy citi-zens affected by the politicalsituation in their country.

SADC mediation finallypaid off at the end of 2013when Madagascar success-

order in the coun-try, lifted the suspension

on Madagascar and invited thecountry to immediately re-sume its participation in allSADC activities,” read part ofthe communiqué.

The lifting of the sanctionson Madagascar is a significantdevelopment for the countryafter several years in isolation.The AU also lifted its sanctionson Madagascar in January.

SADC Executive Secretary,Dr Stergomena Lawrence Taxsaid the 15-member group wassatisfied with the democraticprocesses.

“SADC appeals to theAfrican Union, the United Na-tions and other similar bodies towelcome the positive steps thatMadagascar has made throughthe recent peaceful, transparentand fair elections and to spareno effort at ensuring thatdemocracy and the rule of laware enhanced in the southernAfrica,” Tax told the AU Peaceand Security Council.

With the return of Mada-gascar to SADC, the country isexpected to benefit from anumber of projects being im-plemented by the region.

These include an ambitiousUS$64 billion programme todevelop cross-border infra-structure in six priority areasof energy, transport, tourism,water, information communi-cation technology and meteor-ology.

Other joint programmes arein the tourism sector where theregion is targeting the estab-lishment of a single visa for allMember States.

Tourism is the backbone ofthe Malagasy economy, andsuch a regional initiative willhelp to attract more tourists tothe Indian Ocean Island.sardc.net r

M A D A G A S C A R

Hery Rajaonarimampianina takes oath as new president of Madagascar

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SOUTHERN AFRICA Today 15

Events February-April 2014

February 18-20, Africa Energy IndabaSouth Africa The conference will bring together international and continental

experts to share their insights and solutions to Africa’s energy crisis,while simultaneously exploring the vast energy development op-portunities on offer in Africa.

18-20, DRC Ad-Hoc Experts Group Meeting on: “Bilateral Investment Treaties(BITs) and National Champions”Many developing countries, including African member states, haveentered into investment treaties to boost FDI flows. The meetingtherefore will gather experts to look into the current status of thevarious BITs and investment treaties; analyse how they can affectthe creation of national champions and recommend as a way for-ward towards the type of agreements that should be signed betweenhost and home countries that are win-win for both parties.

19-21, Gender, Water and Development Conference 2014South Africa This conference will bring together experts and policy makers to

discuss how to address gender, poverty and water challenges acrossAfrica under the theme of 'Gender, Water and Development: TheUntapped Connection'. Among other things the conference willalso consider formulating and implementing gender in water pol-icy; mobilising human and financial resources; mainstreaming gen-der in human and institutional capacity development; promotingcooperation and coordination to mainstream gender in the watersector; and supporting gender equality in the water sector throughmonitoring and evaluation

27, Botswana SADC Energy Thematic Group meetingThe Energy Thematic Group is a coordination meeting of cooperatingpartners, experts, SADC and its subsidiary organisations to discussways of assisting the region in tackling its energy challenges.

March TBA SADC Council of Ministers

The SADC Council of Ministers is responsible for supervising andmonitoring the functions and development of SADC, and ensuringthat policies are properly implemented to advance regional inte-gration.

5-7, Zambia 20th Session of the Intergovernmental Committee of Experts forSouthern AfricaEleven SADC and COMESA Member States are expected to partic-ipate in the meeting which convenes yearly to discuss topical eco-nomic and social developments in the region. The meeting will beheld under the theme “Making natural resources work for inclusivegrowth and sustainable development in Southern Africa”.

8, Global International Women’s DayThis is the day designated by the United Nations to commemorateissues of equality of women with men, and coincides with the 57thSession of the UN Commission on the Status of Women held everyyear in early March. The main CSW theme this year is “The Elimi-nation and the Prevention of all Forms of Violence against Womenand Girls” and a subsidiary theme “The Sharing of Responsibilitiesbetween Women and Men, including in Care Giving in the Con-texts of HIV and AIDS”.

13, Botswana SADC RISDP Review Task Force MeetingThe multi-stakeholder task force will implement recommendationsof an independent review of the Regional Indicative Strategic De-velopment Plan that was concluded in 2013. It comprises repre-sentatives from the Member States, the SADC Secretariat, SADCsubsidiary and affiliated institutions, policy research institutions andindependent experts.

April2-3, Belgium 4th Africa-EU Energy Partnership

The summit will provide an opportunity to look back at the suc-cesses and failures of the strategic partnership between both con-tinents, and to look ahead for ways to fundamentally rebuild thenature, ambition and scope of Africa-Europe relations.

E V E N T S

SADC TODAY Vol 16 No 2 February 2014

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, BotswanaTel +267 395 1863 Fax +267 397 2848/318 1070

E-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 in Gaborone,Botswana, as a reliable knowledge source on regional development. Articles may bereproduced freely in the media and elsewhere, with attribution.

EDITORMunetsi Madakufamba

EDITORIAL COMMITTEEJoseph Ngwawi, Kizito Sikuka, Egline Tauya, Admire Ndhlovu,

Phyllis Johnson, Danai Majaha, Shirley Pisirai

EDITORIAL ADVISOR

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, 2014

SOUTHERN AFRICA TODAY welcomes contributions from individuals and or-ganizations within the SADC region in form of articles, photographs, news items andcomments, and also relevant articles from outside the region. The publishers reservethe right to select or reject items, and to edit to fit the space available. The contentsdo not necessarily reflect the official positions or opinions of SADC or SARDC.

SOUTHERN AFRICA TODAY is published in English, Portuguese and French, andis available electronically at www.sardc.net Knowledge for Development, linkedto www.sadc.int

DESIGN & LAYOUTTonely Ngwenya, Anisha Madanhi

PHOTOS AND ILLUSTRATIONSP1 WWF, www.sadc.int, www.dailynews.co.tz, P Johnson SARDC;

P2 en.wikipedia.org, energydigital.com, dailynews.co.tz, 24tanzania.com, wikimedia.org; P4 www.afdb.org, www.mozambique.co.za; P5 en.wikipedia.org,

harare24.com, thewaterproject.org, afdb.org; P6 wdm.org, wikimedia.org; P7 wikipedia.org; P8 pamoja.se.com; P9 providencecentretrade.com, zesa.co.zw,

bulawayo24.com; P10 www.dailnews.gov.bw; P12 www.au.int, P Johnson SARDC, SARDC; P14 wikipedia.org, wikimedia.org, www.wildfacts.com, news.yahoo.com;

P16 panoramio.com, D Martin APG, 24tanzania.com

Subscribe todaySOUTHERN AFRICA TODAY is available through an annual subscription fee forsix issues a year: US$55 outside Africa, including postage; US$40 within Africa; andUS$30 in southern Africa. Your subscription will enable you to receive the newslet-ter by airmail or email. For more details, please contact the Editor.

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

THIS YEAR marks the goldenjubilee of the Zanzibar Revo-lution, an uprising againstthe Omani Sultans who hadmaintained a 150-year con-trol of Zanzibar as their keytrading post off the Africanmainland.

The Zanzibar Revolu-tion saw the 1964 overthrow ofthe Sultan of Zanzibar and his mainlyArab government by local Africans.

Zanzibar had been granted independence byBritain in 1963 but with a structure that enabled theArab minority to retain the power inherited fromZanzibar's former existence as an overseas territoryof Oman.

Frustrated by under-representation in parliamentdespite winning 54 percent of the vote in electionsheld in July 1963, the Afro-Shirazi Party (ASP), madeup mainly of Africans, joined forces with the UmmaParty and early on the morning of 12 January 1964,ASP member John Okello mobilised hundreds ofpeople on the main island of Unguja.

Having overrun the country's police force andtake their weapons, the revolutionaries proceeded

to Zanzibar Town where they overthrew the Sultanand his government.

The new government, led by Abeid Amani Karume,turned Zanzibar into a short-lived People’s Republicof Zanzibar before forming a union with mainland Tan-ganyika on 26 April 1964 to become the United Repub-lic of Tanzania, with Julius Nyerere as head of state.

PUBLIC HOLIDAYS IN SADCFebruary-April 2014

A shared future within a regional community

FORTY FIVE years have passedsince the death of the founderand first president of the Mozam-bique Liberation Front (Frelimo),Eduardo Mondlane, who was as-sassinated on 3 February 1969with a parcel bomb sent by thePortuguese security police anddelivered to him in Dar esSalaam, Tanzania. The date is commemoratedeach year in Mozambique as He-roes Day. The ceremony to commemo-rate Heroes Day this year alsomarked the re-inauguration ofHeroes' Square in Maputo. At the centre of the squarestands a star-shaped monumentof white marble where Mondlaneis interred, as well as the coun-try's first President, SamoraMachel and other heroes of theliberation struggle. To commemorate 45 yearssince the assassination of Mond-lane, the Mozambican PresidentArmando Guebuza decoratedmore than 100 people, many ofthem posthumously, as well assome institutions, for their contri-butions to the country. Posthumous honours for “Heroof the Republic of Mozambique”were awarded to 24 people. This is the highest honourgiven to people who have con-tributed to the independence anddevelopment of Mozambique.

Golden jubilee of ZanzibarRevolution

45Mozambique remembers Mondlane

years

The only person who had pre-viously received this title was thefirst President of Mozambique,Samora Machel, in 1983. Heading the current honourslist was Mondlane himself whoseaward was received, on behalf ofthe family, by his oldest son, Ed-uardo Mondlane Junior. Others decorated as Heroes ofthe Republic included the firstcommander of the Frelimo guer-rilla army, Filipe Samuel Magaia;Josina Machel, who was one ofthe founding members of the Fre-limo Women's Detachment; aswell as prominent guerrilla com-manders such as Paulo SamuelKankhomba, Osvaldo Tazama,Bonifacio Gruveta, and SebastiaoMabote. Non-military figures deco-rated as Heroes of the Republicincluded Jose Craveirinha,widely regarded as Mozam-bique's greatest poet, and thecomposer Justino Chemane. Persons closely connected tothe negotiations that led to thegeneral peace agreement signedon 4 October 1992 between thegovernment and MozambiqueNational Resistance (Renamo)rebels were also decorated withthe “4th October Order”. r

1 February Abolition of Slavery Day Mauritius3 February Heroes Day Mozambique 4 February National Armed Struggle Day Angola27 February Maha Shivaratree Mauritius

3 March Martyrs Day Malawi4 March Carnival Angola8 March Women’s Day Angola, Zambia11 March Moshoeshoe’s Day Lesotho12 March National Day Mauritius

Youth Day Zambia21 March Independence Day Namibia

Human Rights Day South Africa29 March Martyrs Day Madagascar31 March Ougadi Mauritius

4 April Peace and Reconciliation Day Angola7 April Sheikh Abeid Karume Day Tanzania

Women’s Day Mozambique18 April Independence Day Zimbabwe

Good Friday Angola, Botswana, Lesotho,Madagascar, Malawi, Namibia, Seychelles,

South Africa, Swaziland, Tanzania, Zambia, Zimbabwe

19 April Easter/Holy Saturday Seychelles, Zambia19 April King’s Birthday Swaziland21 April Easter Monday Botswana, Lesotho, Madagascar,

Malawi, Namibia, Seychelles,South Africa, Swaziland, Tanzania, Zambia, Zimbabwe

25 April National Flag Day Swaziland26 April Union Day Tanzania27 April Freedom Day South Africa28 April Public Holiday South Africa