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News Article - Development
HARBOUR UPGRADE IS CRITICAL FOR CITY'S DEVELOPMENT
Posted on: Tuesday, 23 January 2007. Article source: Eastern Cape Business News
It was disconcerting to hear recently that DaimlerChrysler is receiving many of its containers by road from Port Elizabeth. After all, one would think, we have a fine port of our own in East London, so why do we have to use PE? Quite simply, the answer is that our own port is too shallow, it can't accommodate the huge container ships of the modern era, and we don't have gantry cranes on the dockside. Ships with their own cranes on board are being phased out. All of this adds up to a bleak picture - unless the port is upgraded at a cost of between five and seven billion rand. As we report in this edition of Business Hi-Lite, development of the harbour will greatly enhance our economic prospects, and will instill confidence in our major investors. Conversely, leaving the port as it is will reduce this region to a "desert of dependency," according to the Buffalo City Councillor John Badenhorst. It's obvious that a massive project like this must be jointly guided by the principal stakeholders who are DaimlerChrysler, East London IDZ, ECDC, Buffalo City Municipality, Transnet and National Ports Authority. With phase one of the port expansion Business Case completed by KPMG, the ball is now in the court of the Municipality which has accepted responsibility for driving the project forward. They will need - and will get — the full support of the business community, and we will all have to discard the negative mindset that seems to have entrenched itself after several disappointments. Another issue of concern that we cover in this edition is the continuing struggle of the Eastern Cape Development Corporation to get its house in order. Granted, the ECDC has had to cope with transformation and a rapid turnover of top management due to internal politicking, but that excuse cannot continue indefinitely. Once again the external auditors have qualified the accounts due to a "lack of integrity", and it is only some cosmetic surgery on the value of the ECDC's assets that has saved the results from being disastrous. That said, Chairperson Wiseman Nkuhlu and the new CEO, Mxolisi Matshamba, should be given a chance to prove themselves, and both were making positive noises at a recent press conference to announce the results, disappointing as they were. We should expect to see a much better performance next year. In this edition of Business Hi-Lite we also take a look at latest developments on the health front where a lot is either happening or is in the pipeline. Big changes are in store for medical aid schemes, while the government is moving ahead, albeit slowly, with the introduction of compulsory medical cover for everyone. As we report, this has financial implications for business. Other medical news is that Life Healthcare is building a new private hospital in Beacon Bay. See inside for the story and pictures. Another focus area this month is Human Resources, an aspect of management that has changed considerably in recent years from a personnel employment role to strategy management. Nowadays HR managers are more involved in streamlining and motivating the workforce and maximising their performance. Finally, we give coverage to two big events on the business community's calendar - the BKCOB/Meeg Bank annual golf day, and our own Top Spot Awards party which was held at Hemingways in conjunction with the last BKCOB networking function of the year. At this glitzy function we traditionally honour our top advertisers and present them with a framed reproduction of the Business Hi-Lite cover featuring their company. Once again we have a magazine full of Chamber news and a variety of features that we hope you will enjoy.
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