Enabling job creation and business operations by reducing red tape
Ensuring that citizens are able to open new businesses and sustaining the operation of existing businesses is important to us as the Department of Economic Development and Tourism as it will impact job creation, and the growth of the economy directly.
For this reason, when the Cullingworth and Associates reached out to the Department via the Business Support Helpline Service when they encountered a red tape barrier with Eskom, the Department and more specifically, the Red Tape Reduction Unit immediately intervened to assist Food Lovers Market SA to sustain 150 jobs from surrounding communities.
What challenge was the business facing?
In May 2022, the Red Tape Reduction Unit received a case from Cullingworth and Associates - the project engineers of the Food Lovers Market construction team - requiring assistance with an electricity connection by Eskom.
An application for an electrical connection for the store was submitted as early as February 2022, however with some of Eskom’s internal processes, excessive delays were experienced, putting the launch of the store at the scheduled date at risk. The red tape barrier was impacting the project significantly, and costs were incurred as a result of the delay.
How did the Red Tape Reduction Unit intervene to assist with the challenge?
As soon as the case was received by the Business Support Helpline Service, an official within the unit was assigned to the case.Immediate contact was made with both the client and Eskom regional operations to alert them around the risks, and the red tape challenge impacting the business.
Within a week, (a matter of days) Eskom confirmed that the connection was receiving top priority, subject to the relevant statutory processes being followed. From then on, the Red Tape Reduction unit scheduled regular follow ups with Eskom, who provided weekly updates to confirm an official date of installation.
The connection was installed on the 7th of October 2022, and the launch of the new flagship store was not compromised!
What was the economic impact of overcoming this challenge?
Food Lovers were able to open the flagship store in Bothasig (their biggest store in South Africa) on the 20th of October 2022 with the Premier of the Western Cape, and the Director for Red Tape Reduction, Ms Michelle Ellis (pictured). The opening of this store resulted in the employment of 150 people from surrounding communities, including Du Noon, Milnerton and Edgemead. Once again, the Red Tape Reduction Unit is proud to assist businesses to unblock red tape hindering their operations and revenue!