In his budget speech, Finance Minister Enoch Godongwa announced that"from March 1 2023, businesses will reduce their taxable income by 125% of the cost of investment in renewables".There will be no thresholds on the size of the projects that qualify and the incentive will be available for two years to stimulate investment in the short term.
The Consumer Goods Council of SA said that, while it was too early to quantify the cost of load shedding on its members, including the financial cost of using diesel generators, as it was still collating this information,"it is clear that the additional cost has become a business burden". The council represents more than 12 000 member companies engaged in the manufacturing, retail, wholesale and distribution of consumer goods.
Speaking to City Press ahead of the speech, the council called for the suspension of the fuel and Road Accident Fund levies for the consumer goods businesses and value chain for as long as there is regular load shedding. Bongane Mtshwene, who owns a butchery, says they try hard not to pass on the hit they take from load shedding to their customers.