It’s ‘business unusual’ for SA maritime sector as investment grows, but jobs creation flops: Dept of Planning….

DSC_3914Pretoria: 21 October 2019

An envisaged reorganization and alignment of education and training in South Africa’s maritime sector is a welcome development, but role players would be well advised not to waste South Africans’ time with skills sets that won’t lend them jobs, the Department of Planning, Monitoring and Evaluation was warned.

The warning came from the department’s head of Operation Phakisa (Oceans Economy), Mr Mpumzi Bonga while addressing delegates to a two-day conference organised by the South African International Maritime Institute (SAIMI) in Durban last week.

The indaba, in Durban on Monday and Tuesday, according to SAIMI, was organised against the backdrop of a realization that while the oceans economy in South Africa and the rest of the African continent was being probed anew as the future frontier of economic development,  South Africa is inadequately prepared as it does not have the manpower with the skills to match present and anticipated future demand in the sector.

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According to SAIMI acting chief executive, Mr Odwa Mtati: “In order to activate the potential, we need the skills to match the demand….”

However, Mr Bonga in an overview address of the overall performance of the Government driven Operation Phakisa (Oceans Economy) since launch in 2014, said investment performance had so far exceeded expectations, but it was simply not creating the number of jobs anticipated.

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Mr Mpumzi Bonga. Head of Operation Phakisa: Department of Planning, Monitoring and Evaluation

He said investment to date in the targeted maritime sector subsectors had risen to above R40-billion – about R9-billion above target –  in the five years since launch of Operation Phakisa (Oceans Economy) and yet anticipated job creation on the other hand, had only yielded less than 10 000 direct jobs – a far cry from the 77 000 jobs hoped to be created.

Even with indirect jobs accounted for, Mr Bonga said the jobs creation picture in the maritime sector remained dismal. The mismatch in growing direct investment and job creation by the sector in the five year period, he said, could be explained by the fact that the bulk of the investment generated to date had been by the off shore oil and gas subsector, directed largely at seismic surveys and exploration, which required very highly specialized skills and fewer people to perform.

DSC_5664.JPGEven so, he said it was barely an acceptable fact that the maritime sector in general, and specifically the targeted subsectors, were not delivering on the promise the launch of Operation Phakisa (Oceans Economy) gave at inception.

“Continued implementation of Operation Phakisa reveals that we have attracted so far R41-1-billion and less than 10 000. The anticipation was to grow the GDP contribution by R171-billion and create a million jobs by 2033. Now, this is five years on and not the 16-17 year horizon that we used for planning.

“In today’s terms, we were supposed to have grown the GDP contribution by R32-billion this year, and created 77 000 jobs. If we look at a leniarity constant between investment made and the GDP we can happily say we have exceeded the investment that was expected. But can we say the same of job creation, and the answer is decidedly, no!” he said.

A star performer in investment attraction was the off-shore oil gas and MPG subsectors which were responsible for the large bulk of the R41.1-billion investment made to date. Laggards on the hand included the maritime transport and manufacturing and the tourism subsectors – the subsectors with the greatest potential to create jobs.

Part of the reason this was not happening, Mr Bonga suggested, was an apparent mismatch of skills with jobs requirements, coupled with very slow transformation of the sector in terms human capital population demographics.

“The reason I am bringing this up is so that we should sober up when we plan the skills development that we are planning for, and to remind us that as when we do what we do, we be mindful that we do not have the luxury of time, as the majority of people out there are becoming restless. There is no room for mistakes.

“Whatever skills we plan for, South Africans will not take kindly if you gonna plan to train them in skills that will not be beneficial to them, skills that will not change their material conditions, ” said Mr Bonga.

For his full remarks, Click on the video below.

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Steps underway to reorganise SA’s maritime education and training: SAIMI

Pretoria: 20 October 2019

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Some of the delegates to a South African International Maritime Institute (SAIMI) two day conference held at the Durban International Convention Centre on Monday and Tuesday, 14-15 October 2019

There is no gainsaying that South Africa geographically is, for all intents and purposes, a maritime country. But are South Africans a nation all at sea, without a single drop of water in sight?

This was one of the questions to arise at this past week’s two day conference organised by the South African International Maritime Institute (SAIMI) at the Durban International Convention Centre, and to which question a clear answer seemed elusive.

One strong view to emerge though, and stated without equivocation by one delegate from the academic sector, Ms Theresa Williams, was that: “South Africa may be a maritime country, but South Africans are not a maritime nation!” And this, according to her, has serious  long term implications for a whole range of issues, but particularly maritime education and training.

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Some of the presenters on the first day of the two day SAIMI conference in Durban

Conference attendees, among them top academics, researchers, teachers, seafarers, heads of public and private sector companies and institutions, government representatives and associated came from across South Africa to Durban at the invitation of the Port Elizabeth based SAIMI.

For one and half days they’d discuss how best the country could effectively organise and manage its education and training of a future workforce that’s suitably prepared to develop and advance the country’s maritime economic sector in the 21st century and beyond.

South Africa’s maritime features include a country of 59-million inhabitants on a land area at the most southern tip of the African continent surrounded by a 3 200 kilometres long coastline spanning three oceans, the Indian to the east, the Southern to the south and the Atlantic to the west, with as much as a 1.5-million square kilometres of an exclusive economic zone, and possibly soon to be extended.

Through that corridor thousands of world trade vessels pass, while some dock at the country’s major ports. The seascape is also full of flora, fauna and other natural resources and whose responsible exploitation could contribute to expanded economic activity and wealth creation leading to jobs creation.

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Delegates exchanging pleasantries just before the start of the SAIMI conference in Durban

The indaba, in Durban on Monday on Tuesday, according to SAIMI, was staged against the backdrop of a tanking realisation backed by a recent assessment study that while the oceans economy in South Africa and the rest of the African continent was being probed anew as the future frontier of economic development, with a potential to generate domestically more than a million jobs and contribute as much as R177-billion to Gross Domestic Product (GDP) in the next decade, South Africa simply does not have the manpower with requisite skills to match present and anticipated future demand in the sector.

SAIMI acting chief executive, Mr Odwa Mtati said: “In order to activate the potential, we need the skills to match the demand….Notwithstanding inroads that have been made at post-school education and training institutions in recent years, SAIMI’s 2018 Oceans Economy Skills Development Assessment (report) for South Africa highlighted a potential mismatch between current skills being produced and the actual industry needs.

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EXCHAGING NOTES: (From Left: Ms Sobantu Tilayi (SAMSA), Ms Theresa Williams (MAISA), Mr Pieter Coetzer (SAMTRA), Ms Lyn Bruce (Klaveness) and Mr Victor Momberg (TETA) listening attentively to presentations during the Seafarer Development session of the SAIMI conference in Durban

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Mr Odwa Mtati. Projects Manager: SAIMI

“The study suggests that while the supply of skills is adequate in numbers, there is a disconnect between the type of skills being produced and those required by the industry hence the need for greater industry participation in shaping outcomes of the skills production system.”

Mr Mtati said the two day conference in Durban on Monday and Tuesday, under the moniker: “Forward Thinking for Maritime Education and Training Excellence” would hopefully produce ‘actionable outcomes to strengthen maritime education and training.’

“This conference offers a collaborative platform for stakeholders in industry, academia and government to review current maritime skills supply capacity against future demand, and to consider collaborative and collective ways to address deficits in the current system and close gaps,” said Mr Mtati.

This was repeated by Dr Sibongile Muthwa, the chairperson of SAIMI’s advisory committee and Vice-Chancellor of the Nelson Mandela University that’s home to SAIMI, in her opening remarks of the conference, all contained in the video above.

Meanwhile, as the conference wrapped up on the second last day, Mr Mtati was upbeat and confident that the gathering had achieved some of its objectives.

In a brief interview as delegates dispersed, Mr Mtati said: “Our sense is that out of the many stakeholders that participated, there is an acceptance of the need for engagement in meaningful discussions. Going forward, one of the outcomes that we will pursue is the development of a collaborative model to ensure that all the voices are accommodated.”

Further, he said, there was a strong commitment made by some of the stakeholders to get directly involved in the establishment and implementation of solutions to some of the challenges identified. Click on the video below for his full brief assessment,

Parallel Session: Seafarers Development

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TAKING NOTES: (From Left: Mr Sobantu Tilayi, acting CEO; SAMSA, Mr Andrew Millard. CE; Vuka Marine and Ms Theresa Williams of the Maritime Academic Institutions of South Africa

The conference had been packaged in sessions, first a full plenary soon followed by two parallel sessions – one focused on seafarers development and another directed towards skills needs assessment for the off shore oil and gas sub-sector.

This blog, tagged along with delegates that engaged in the seafarers development session and below, it features all the contributions of the seven main presenters during the discussion.

The insights into seafarer development in South Africa were breathtaking in some instances as they were astonishing in another. Poor coordination in training and education, lack of funding and requisite infrastructure such as a ships for berths, a poor orientation of youths keen on seafaring and a general poor public awareness of the country’s maritime status, were among issues identified.

At the same time, major opportunities lay still for exploration and exploitation, and therefore much work lay ahead for those willing to put in the hours.

The videos of the main presenters are loaded below for a full perspective of the nature of the discussion. A video of floor contributors will follow soon.

 

Mr Sobantu Tilayi, Acting CEO of the South African Maritime Safety Authority (SAMSA) headed the session giving an overview of the country’s seafarer education and training landscape, along with a brief history of the challenges facing the sector.

Mr Andrew Millard, CEO of Vuka Marine gave a shipowners view of the seafarer landscape in South Africa with focus much on employer expectations.

Ms Theresa Williams of the Maritime Academic Institutions of South Africa focused on challenges and opportunities facing academic institutions currently offering maritime education and training, as well as dwelt at length on the nature of the youth in South Africa currently keen on maritime education. Pulling no punches, she says it is truly an uphill battle. Do note that Ms Williams’ contribution is in two parts, in two videos.

Mr Pieter Coetzer, Commercial Manager: South African Maritime Training Academy (SAMTRA) shares an independent cadets trainer’s perspective on the challenges and opportunities facing the sub sector.

Ms Lyn Bruce, Project Coordinator at Klaveness Shipping also shared an employer’s viewpoint of the South African seafarer with specific focus on her company’s activity in contributing towards development of the country’s seafarers,

Mr Victor Momberg, Executive Officer of the Maritime Chamber of the Transport Education and Training Authority (TETA) spoke on the role of the authority and the need for Technical, Vocational and Education and Training (TVET) institutions to be enrolled into the maritime sector education and training network.

Captain Ian Hlongwane, Manager, National Cadet Programme at SAIMI shares SAIMI perspective on the conference.

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