Blackouts bad for business

South Africans celebrated the repeal of the remaining lockdown regulations a week ago, but those celebrations were short-lived when rolling blackouts were resumed, leaving everyone frustrated.


South Africans celebrated the repeal of the remaining lockdown regulations a week ago, but those celebrations were short-lived when rolling blackouts were resumed, leaving everyone frustrated.

On Monday 27 June the power utility Eskom made the shocking announcement that loadshedding would increase from stage 4 to 6 owing to a wage strike.

The blackouts have continued unabated, shifting between the stages.

This has had a negative impact on many small business owners.

For Kensington resident Yumnah Ismail, who runs a small baking business from her home, the loadshedding has been bad for business.

“I now have to work on orders around the loadshedding schedule,” she said.

“If people order savouries and want them baked I can’t assist them. With Eid approaching I need to bake biscuits, so now I need to work extra hours. I have two freezers with stock and it will affect my stock because the electricity is off three times a day for two or more hours.”

Ismail says this is a huge blow to her pocket.

“I have invested in a gas stove, but now I can’t use my oven. I had quite a big order recently that I had to decline because I would not have been able to assist them. This is bad, electricity is so expensive and so is everything else, so we cannot afford to decline orders, every penny helps.”

Octavia Williams, a beauty therapist based in Observatory, says it’s been “horrible”.

“The majority of my bookings are made ahead of time, and we receive the loadshedding schedule only on the day. Most times I have to reschedule clients because of this. Some days they don’t stick to the schedule and then I have to call clients and ask them to come at short notice.”

Williams says she’s unable to use alternative equipment as these items are expensive for a small business.

“The majority of my equipment requires electricity. Rechargeable equipment is expensive, which I am unable to afford because I don’t have many clients due to the loadshedding.”

Hazel Walton, who owns a bar in Observatory, says: “We have a generator so we can have the lights on in the bar, but the remote for the gate doesn’t work.

“It has affected the battery of the alarm; in the middle of the night I get a call from the security company asking me about the alarm. We will certainly have to replace that.”

She says she also runs an animal charity shop and manages student accommodation.

“The shop and bar are badly affected, we see fewer clients. People don’t feel safe coming to the bar at night, because the street lights are off.

“It affects our fridges and card machines, because from the generator you only run a limited number of things. At the student accommodation there are no lights so the students have to back up their work.”

Rosheda Muller, President of the South African Informal Traders Alliance (Saita), says the loadshedding is devastating, especially for economy workers.

“It must be understood informal workers transcend those working as market and pavement traders, and include home-based and backyard businesses that are dependent upon a stable electricity supply.

“Many are entrepreneurs who manufacture their own products, and when there are electrical disruptions, it affects them insofar as productivity is concerned.”

She says traders’ safety is being compromised as well.

“Many informal traders leave very early to get to the markets and with loadshedding they are prone to being accosted and attacked in the dark hours. Also, they are unable to prepare lunches for them or their dependents without electricity.”

Muller says this comes while the sector is still trying to recover from the effects of the lockdown.

“Certainly people in the sector whom we speak to on a daily basis across the country feel despondent, and to a great degree, betrayed, and we can only hope that the situation will improve for the benefit of all South Africans.”

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