ATC140313: Report of the Portfolio Committee on Tourism on Oversight visit to the Western Cape Province, dated, 11 March 2014



The Portfolio Committee on Tourism, having undertaken oversight visit to the Western Cape Province on 4-6 & 11 February 2014, reports as follows:

1. Background

The oversight visit was part of an ongoing implementation of the Committee programme which started in 2010. At a workshop co-hosted by the National Department of Tourism and the Committee on 16 March 2010, the Department reported that it was experiencing challenges in the Provinces with regards to intergovernmental linkages in the tourism sector. The Department further stated that part of the challenge was the nature of the tourism mandate as Schedules 4 and 5 of the Constitution identify tourism as a concurrent function.

The three spheres of government have a responsibility to perform the tourism function and this requires serious coordination. The Committee acknowledges that the capacity of local government to deliver on the tourism mandate presents a challenge to the growth and development of the tourism sector and therefore a close oversight in terms of how tourism is planned, developed and marketed in the country was necessary.

High on the list of challenges within the tourism sector was the fragmentation of tourism planning across the three spheres of government, inadequate database of the supply side, with associated lack of reliable market information and poor integration of tourism with other sectoral policies. Coupled with these is fragmentation of tourism marketing endeavors by various state organs and private sector. Stakeholder relations in the tourism industry are also another serious challenge and coordination across sectors is critical.

The Committee took a decision in 2009 to visit all nine Provinces in order to assess the state of the provincial tourism. Since the beginning of the committee programme in 2010, the provinces were visited as follows:

· 2010 – Limpopo and Northern Cape

· 2011 – Gauteng and North West

· 2012 – Eastern Cape and Mpumalanga

· 2013 – Free State and KwaZulu-Natal; and

· 2014 - Western Cape.

2. Introduction

Tourism is identified in the New Growth Path as one of the six priority economic sectors to fulfill government’s imperative to create sustainable jobs and ensure that the developmental agenda of the state is addressed in all economic sectors, particularly in rural areas. Tourism is a sector that has potential to create job opportunities as it is a labour intensive industry. Currently, the tourism industry surpasses mining and automotive sectors in terms of contribution to the Gross Domestic Product and is responsible for one in every eleven jobs in South Africa.

The National Development Plan aims to increase the industry's contribution to the job creation to 225 000 by 2020. The National Tourism Sector Strategy also projects an increase in the industry's contribution to the economy from R189 billion in 2009 to R499 billion by 2020. The tourism industry is therefore an important sector in South Africa in term of job creation and economic growth. The industry takes into cognisance the five key priorities for government set by the current administration, including creation of decent work and sustainable livelihoods. These priorities have been converted into government’s Medium Term Strategic Framework which highlights priorities and outcomes over the MTEF period. The Committee therefore monitors the contribution of the tourism sector to the creation of employment opportunities through inclusive growth.

The tourism industry thrives on partnerships and collaboration amongst different stakeholders, including synergy amongst the three spheres of government. Collaboration amongst all the role players is therefore very important. Over the years, until 2009 when tourism was assigned its stand alone National Department of Tourism, the sector has been undermined despite its potential to contribute to the reduction of unemployment in the country. Financial resources allocated to tourism were also minimal. Unlocking the full potential of tourism is dependent on the sector receiving substantial financial and logistical support from the government, private sector, communities and the labour sector. It is only if such support is demonstrated that tourism will be in a position to play the expected role of achieving the competitive edge needed by the economy and actualizing its maximum impact.

The Committee is mandated to conduct oversight in an effort to extract optimum benefits for the country from the resources and capacities available to the three spheres of government in terms of tourism growth. The Committee undertook a provincial oversight visit to Western Cape in February 2014 to assess achievements of the sector and evaluate the nature of challenges, prospects for inclusive growth particularly in rural areas, and the extent of government intervention and support at all levels. The Western Cape visit was initially planned for August 2013, but had to be postponed to later date due to changes in the parliamentary programme. The Western Cape visit was planned to be undertaken in September 2013 if the parliamentary programme allowed it.

3. National priorities

The oversight visits to the two provinces were premised on the five national priorities relevant to the developmental agenda of the state in relation to the tourism sector. With regard to the national priorities, the Committee identified the following:

3.1 There was insufficient inclusive growth that creates jobs and promotes sustainable livelihoods of the historically disadvantaged communities and individuals.

3.2 The province was involved in tourism capacity building programmes that were meant to strengthen skills development and human resource base in the tourism industry. Tourism skills audit had been conducted to assess the skills development in the industry as a response thereto.

3.3 The tourism industry was addressing the health issues through providing universally accessible accommodation facilities that catered for the needs of disabled tourists. However, a lot of work still needed to be done in that regard.

3.4 There was involvement of rural communities in tourism growth and development in the mainstream industry. This was done through the tourism infrastructure projects developed for communities through the Social Responsibility Implementation programme which forms part of the Expanded Public Works Programme.

3.5 There was intensification of the fight against crime and corruption in terms of governance of national and provincial departments responsible for tourism and strict financial controls in terms of the Social Responsibility Implementation projects was being undertaken.

4. Objectives of the visit

The fundamental objectives of the visit were:

4.1 Assessing the Alignment and integration of tourism in the three spheres of government;

4.2 Assessing the level of stakeholder participation - both in the public and private sectors - and provincial government support;

4.3 Assessing the alignment of product development in line with the five key national priorities;

4.4 Evaluating the contribution of the sector in job creation, with a focus on challenges, opportunities and prospects thereto;

4.5 Evaluating/Assessing Implementation of the Expanded Public Works Programme (EPWP) and its outputs and outcomes;

4.6 Assessing support for sustainable livelihoods, particularly for people involved with Small, Medium, and Micro Enterprises (SMMEs).

5. Delegation

The delegation comprised the following members:

Political Party


African National Congress

Mr. D.M Gumede, MP (Leader of the delegation)

Mr. F. Bhengu, MP

Ms. J.M Maluleke, MP

Mr. L.P Khoarai, MP

Ms. R.M. Lesoma, MP

Democratic Alliance

Mr. S. Farrow, MP

Mr. R. Shah, MP

Congress of the People

Ms. M.A Njobe, MP

Inkatha Freedom Party

Ms. C.N Zikalala, MP

Support staff :

Mr. Jerry Boltina, Committee Secretary

Dr. Sibusiso Khuzwayo, Content Advisor

Ms. Joyce Ntuli, Committee Researcher

Mr. Masixole Zibeko, Committee Assistant

Mr. Sibo Maputi, Principal Communications Officer

National Department of Tourism :

Mr. Clive Roman, Programme Manager

Mr. Thabo Manetsi, Director for SMMEs

Ms. Petra van Niekerk, Parliamentary Officer

Mr. Thulani Sibeko, Director: Programme Manager

Provincial Department of Tourism :

Ms. Noxolo Ntenetya, Director: Provincial Tourism

6. Oversight schedule and process

To obtain a fair and balanced view on the state of tourism in the province, the Committee extended an invitation to the Provincial Portfolio Committee on Tourism of the Provincial Legislature and Provincial Department of Tourism to receive some perspectives on tourism plans and various areas to be visited in Province. This was done to ascertain the provincial state of tourism, prospects, achievements and challenges experienced in the tourism industry.

6.1 Oversight visit schedule in Western Cape Province

Table 1: oversight schedule


Place visited


4 February 2014

MECs Office, Wale Street

City of Cape Town

Table Mountain National Park

City of Cape Town

False Bay Ecology Park

City of Cape Town

5 February 2014

Khwattu San Culture

West Coast District

6 February 2014

Stony Point Eco Centre

Overberg District

11 February 2014

Site visit to SMMEs

City of Cape Town

6.2 The oversight process and approach

The Committee process followed during the visits included:

(i) Briefing session was held with provincial department, district and local municipalities to outline the existing state of tourism, challenges and opportunities.

(ii) Hearings held with tourism sector stakeholders.

(iii) Site visits undertaken to obtain first-hand experience for the committee on prospects, opportunities and challenges by both provincial government and the communities; and

(iv) Visit was concluded with a stakeholder engagement session which sought to provide a collective way forward from (local, district, provincial and national) on the issues raised by stakeholders.

The visit commenced with a courtesy visit to the Office of the MEC for a briefing and proceeded to Table Mountain National Park (Signal Hill Road). The first day ended with a site visit to the False Bay Ecology Park. On day two, the committee visited Khwattu San Culture and Education Centre in West Coast. The committee met with tourism stakeholders that included Clanwilliam Living Landscape, Khwattu, Ratelgat and West Coast Fossil Park. The third day was spent on the Stony Point Eco Centre which is also an Extended Public Works Programme project in the Bettys Bay in the Overberg. The committee spent the last day visiting SMMEs which included Escape to the Cape, Zwinoni Lodge, Malebos B&B ended the day with a visit to the Look Out Hill in Khayelitsha. Although, it was the intention to visit the Phase 3 Development of a Donkey Tracking Route in Cederberg, this was not possible. Section three provides observations and section four covers conclusion and recommendations that may be considered in the short, medium and long term implementation by the 5 th Parliament.

Section One – Western Cape Province

7. Briefing sessions, stakeholder engagements and site visits

7.1 Meeting with Provincial MEC for Economic Development & Tourism

7.1.1 The MEC indicated that the Western Cape’s most popular tourism attractions reported marked increases in visitor numbers at the start of peak summer season. There is a need to for the province to address the seasonality as numbers fluctuate between off-peak and peak seasons.

7.1.2 The statistics for tourist hotspots and accommodation establishments across the Western Cape, including Cape Town, the Cape Winelands, the Garden Route and the West Coast show a successful domestic tourism season.

7.1.3 The benefits of this thriving industry are spreading across the province, resulting in increased job opportunities for urban and rural residents. The tourism industry contributes more than R18 billion to region’s economy annually and employs 150 000 people.

7.1.4 Tourism is a crucial sector of the Western Cape economy, however it has priced itself higher and there is a need to be careful of global shocks.

7.1.5 Cape Town’s biggest attractions started the season with record-breaking numbers. In 2013, visitor numbers at the V&A Waterfront reached close to 24 million, including 175 000 visitors per day on 31 December 2013. These numbers are similar to 2007 numbers which is a good growth.

7.1.6 Establishments across the province are welcoming more international travellers, and the Province was confident that high profile awards garnered in 2012 and 2013 as well as improvements in service experienced by tourists were key drivers of this increase. The issue now was how to increase the current 3 million tourists to 6 million, taking into account that the icon (Cableway) has little capacity.

7.1.7 The Table Mountain Cableway ended off 2013 on a record-breaking note welcoming more than 120 000 visitors in December 2013, a 2 percent increase from December 2012.

7.1.8 The Mining Indaba at the Cape Town International Convention Centre (CTICC) is anticipated to inject more than R68 million in the economy of the City.

7.1.9 In addition, international, domestic and regional air travel figures reached pre-recession levels at Cape Town International Airport, where passenger numbers for December topped 780 000. International passenger numbers in December increased by 6.7 percent and domestic passenger numbers increased by 2.3 percent. These figures were well above expectation.

7.1.10 Skills development is one the Western Cape’s biggest focus areas. It enables the province to position itself as global player with clear supporting strategies so that supply meets demand. The Department’s Skills Development Programme is coordinated in a three-pronged strategy (to include the Provincial Skills Forum; Skills Programme in partnership with the jobs Fund and Artisan Development).

7.1.11 Training is divided into two; there is one focussing on SMMES and the other for big businesses.

7.1.12 The challenge is to equip SMMES with skills that will enable them to participate in the mainstream tourism economy.

7.1.13 With regard to EPWP projects, the province and local government conducts feasibility studies and the National Department of Tourism funds the projects.

7.1.14 The Province also has a crime response strategy with a team that assists visitors with post traumatic stress management.

7.1.15 Issues to be looked at: tourist guide training; quality assurance; smmes vs. established businesses; offering bursaries for HRD & enterprise development.

7.1.16 WESGRO is the company tasked with marketing the Province and decides, for example, which municipalities to take along when the province participates in international marketing platforms. On the Other hand Brand SA and South African Tourism also market Cape Town in international platforms and sometimes there is no proper coordination.

7.1.17 The Province combines marketing with development, and route development is incorporated in marketing to ensure that rural tourism is promoted.

7.1.18 Tourism forms 10 percent of the provincial economy and more budget is therefore allocated for marketing.

7.1.19 Currently, R150 million is allocated for marketing. The city and municipalities contribute to the marketing budget.

Challenges expressed by the Province:

(i) There are pressure points which are hotspots for tourist congestion. Pressure points need to be released off stress that comes with overcrowding and exceeding carrying capacity. A technological solution is needed to direct tourists to attractions that are not full or overcrowded at a particular point during the peak season.

(ii) The provincial government has no direct link with the Robben Island because it is a national competency and there is no legislative framework enabling the Province to intervene whenever challenges arise in with regard to this world renowned facility. The province believes that access to Robben Island needs to be diversified; meaning operating licenses must also be given to SMMES to overcome challenges brought by the one ferry that operates for the island.

(iii) There is a challenge of red tape when it comes to opening businesses in South Africa and this affects SMMEs as well. Turnaround time to open a business in the South Africa is too long, while in countries such as Rwanda takes only 2 days. Capital will always start flowing to where the turnaround time is quick and South Africa loses potential investments.

(iv) The country has too much cash estimated at R600 billion sitting in corporate reserves not invested in tourism infrastructure.

(v) The Cape Peninsula University of Technology was offering an accredited Tourist Guide Training programme. The matter had been reported to the National Department of Tourism and the National Registrar of Tour Guides was attending to the matter. CPUT had indicated that the challenge started when Culture, Arts, Tourism, Hospitality & Sport SETA ( CATHSSETA) was still THETA and the university had been given a go ahead to continue with training. A legal opinion has been obtained to continue with training whilst the problem is being sorted.

7.2 Table Mountain National Park

7.2.1 The project started in 2004, a year in which the Park was proclaimed.

7.2.2 The challenge then was that some of the land belonged to the City of cape Town and it had to be incorporated into the Park.

7.2.3 The Park is a tourism node and activities taking place include: leisure walking, scenic drives, mountain biking, running, horse riding and others.

7.2.4 There is a huge demand for recreational use by City citizens. The National Park is primarily free and has open access for 24 hours, and currently records 3.5 million visits annually, and 334 000 visitors were recorded in December of 2012 alone.

7.2.5 The Park has in place an integrated approach plan for safety which includes South African Police Service, South African National Parks, Tourism Agencies, Metro Police, Judiciary and Metro Rescue.

7.2.6 Currently 60 members constitute a force of rangers that patrol the Park.

7.2.7 Fourth monthly meetings are held with Metro Police and monthly with South African Police services to ensure proper implementation of the integrated approach.

7.2.8 The proactive plan includes visible uniformed policing, revolving patrols, CCTV camera monitoring, sector policing, criminal profiling and armed response unit to combat crime such as muggings, robbery and poaching at the Park.

7.2.9 Additional measures to be implemented include highly trained personnel to deal with all aspects of criminality use of weapons and firearms. The armed response unit will provide armed support to the rangers on foot patrol and armed response vehicle has a crew of four armed rangers.

7.2.10 The access control point will be introduced on Signal Hill and Tafelberg Road in partnership with the South African Police Service. There will be extra surveillance cameras on the Mountain and other hotspots. The City of Cape Town will provide additional manpower from the EPWP funded projects.

7.2.11 There is a good working relationship with the Cable Way Company.

7.2.12 The Park inherited old buildings and those have been concessioned to PPP partners, such as restaurants.

Challenges raised to the committee:

(i) The R4.2 million budget allocation to the Table Mountain is inadequate. There is a challenge in procuring more surveillance cameras and patrol vehicles to cover the whole Park.

(ii) There is negative media reporting of crime incidents at the Table Mountain. The media houses blow incidents out of proportion and create negative perceptions of safety within the Park.

(iii) The National Department of Tourism approached the Park to place some tourism assistants as part of the Social Responsibility Implementation Programme. However, the contracts of about 200 safety monitors are coming to the end in March 2014.

(iv) Most of the Table Mountain land belongs to the City of Cape Town and rest of the area is free.

(v) There is illegal harvesting of medicinal herbs by traditional healers and there is a need for the Park Authorities to establish an indigenous plants nursery.

Committee recommendation:

The committee recommended that the management of Table Mountain should consider inviting Media Houses (especially editors) and make a presentation to it on the impact of bad publicity incidents at the Table Mountain.

7.3 False Bay Ecology Park (FBEP)

7.3.1 The FBEP is meant to become one of the leading centres of conservation, environmental education and eco-tourism facilities in the country. The objective is to create recreational and tourism nodes and job opportunities.

7.3.2 Strategic alignment would result in new tourism development opportunities which are likely to emerge with development of the False Bay Coastal Park and Blaauwberg Conservation Area.

7.3.3 Tourism is a key driver of the Cape Town economy and the offering will include: cultural and heritage tourism; icon based tourism, such as Table Mountain, Robben Island, Cape Point, Kirstenbosch, Botanical Gardens as well as Blaauwberg Conservation and False Bay Ecology Park.

7.3.4 City of Cape Town Tourism Spatial Framework of 2003 indicated that the site is ideal for the application of the principles of responsible and sustainable tourism. The establishment of quality accommodation, bird-hides, regular guided walks and food and beverage facilities will create a tourism anchor magnet in the Strandfontein coastal area which is currently under-endowed with tourism resources, impoverished and generally lacking in economic opportunities.

7.3.5 The original budget injected by the National Department of Tourism in the project is R25 million. Project induction was July 2012 and Implementing Agent is Design Scape Architects.

7.3.6 Design Scape Architects are based in Western Cape and provide project management and oversight of employees on daily basis.

7.3.7 Between June 2012 and January 2014, approximately 160 people were employed. Completed work included road, parking, braai areas, landscaped lawn picnic area, ablutions and walking track. The facility is in use while construction is underway. It is expected to be visited by 45 000 per person / per annum.

7.3.8 Some of the employees have received permanent employment somewhere else using skills obtained from the project.

Challenges expressed to the committee:

(i) Infrastructure (internal and external) – the area has been neglected and there was less investment in infrastructure before the project was initiated.

(ii) Safety and security – site used to be infested with criminals, gang violence and murders.

(iii) Invasive alien species – the site has invasive alien plant species that need to be eradicated to keep the site pristine.

(iv) Water quality – water quality in the lake used to be very poor but is gradually improving since the inception of the project. It is now safe to swim and engage to other water sports.

(v) Funding – there is no funding challenge at the moment but more funding will need be provided by the City of Cape Town for after care support.

(vi) Creating sustainable job opportunities; and

(vii) There is a need to make the area relevant and accessible to all, especially as there is a residential development planned in the area.

NDT recommendation to stakeholders:

National Department of Tourism indicated that the Rondevlei Renovations Section is not in crisis financially because the project started later in July 2012 than anticipated, as a result there is a lot of saving that was made. The NDT recommended that they would consider further funding of the project after completion of evaluating process of all the EPWP projects.

7.4 West Coast District Municipality

The following tourism stakeholders were invited to engage with the Committee:

7.4.1 Clanwilliam Living Landscape The development is the Living Landscape Project undertaken by the Krakadouw Trust under the leadership of Prof. Parkington. Professor John Parkington (Archeologist) from the University of Cape Town has been working in Clanwilliam area since 1968. He has been recording rock art, excavating in shelters and caves and digging coastal shells in order to understand the lives of the pre-colonial inhabitants of the Western Cape. He has been working through the Living Landscape Project to bring the results of this work into school curricula and museum displays. This unique project highlights an important part of South African history (that of San / Bushmen). Tourists and school children learn to understand the San way of life, art and language by visiting the Living Landscape Centre and participating in rock art tours. The Centre’s workshop has crafts produced on the San theme of history and archaeology, traditional methods of production, use of authentic materials and natural objects.

7.4.2 West Coast Fossil Park

Although the committee was not able to visit the West Coast Fossil Park, the presentation made indicated that: The West Coast Fossil Park is called “where past and present meet”. Guided tours to dig site display of 5 million year old animal fossils are undertaken. The 45-minute tour is a fascinating description of what the area could have looked like when animals such as Sivatheres, Gomphotheres and bears still inhabited this part of Southern Africa. As part of the tour, the visitors are given the opportunity to see if they too can find a new species to add to the museum collection. Although most of the material on the sieves is fossilised bone, it takes careful searching to pick up the tiny fossil bones from in between the larger fossil fragments. There is a Visitors Centre with Museum display with coffee and curio shops. School and students tours; bicycle and walking trails are offered to various sites in the Park. The Park also offers a Bird hide, bird watching and children play park.

7.4.3 Griqua Ratelgat Eco-Cultural Project The project is located on the farm “Ratelgat” situated about 40 kilometres North of Vanrhynsdorp. The Vanrhynsdorp is still in a construction and development phase. One of the three nodes for development, the open-air amphithreatre has been completed and is used during the Griqua community celebrations and festivals. The other two nodes, a tourist centre close to the road and tourist accommodation, still have to be completed. The farm has been returned to the Griqua people as part of the land restitution process. It has a significant cultural and spiritual meaning for the Griqua community. The Griqua Ratelgat Development Trust is part of the Griqua National Conference of South Africa. Sheep farming and small-scale agricultural farming are being reintroduced on the farm. The project has great eco-cultural tourism potential, as the farm will form part of the envisaged Knersvlakte Biosphere.

7.4.4 !Khwa ttu San Culture and Education Centre The project was started in 1994 by a Swedish philanthropic. !Khwa ttu is based on the theme “A celebration of the San culture, present and past, for a better future.” The objectives being to restore the heritage of the San, to educate the general public about the world of the San and to provide training to San community. Khwattu is a Section 21 Company supported by a Swiss based Ubuntu foundation. The project provides tour guide training to San youth from different communities sourced in the Southern African Countries. Fifteen students are enrolled at a time and go back to their various communities after completing the course. Training is CATHSSETA accredited and covers nature and cultural guiding and students are assisted to obtain public permit on site before they live they finish training. Training is done in English as there are about ten dialects of San languages not common to all students. The challenge with San languages is that they are not documented and others have died. Saturdays and Sundays are reserved for practical training in various aspects of the tourism industry within the institution. Approximately 80 percent of students from the centre are attached to employment and are doing well. !Khwattu follows up on all their students to assess the impact of the programme. In addition to training, !Khwattu operates a restaurant, has a curio shop, conference centre and a game farm used for guided tours and training.

7.5 Stony Point Eco Centre Project

7.5.1 Stony Point project was initially awarded to Casidra (Pty) Limited in 2005 by the then National Department of Environmental Affairs and Tourism. For 5 years thereafter the project stagnated due to environmental and heritage constraints, and objections by interested and affected parties.

7.5.2 In 2010 after undergoing a revitalisation process, a new business plan was developed and tabled for approval. This led to a complete overhaul and restart of the project.

7.5.3 The Stony Point project is a community initiative funded by the NDT as part of its Social Responsibility Implementation (SRI) programme. The project is implemented in collaboration with the Overstrand Local Municipality with the aim to develop a Visitor Information Centre, tea room and Heritage Site of Whaling history.

7.5.4 The Cape Agency for Sustainable Integrated Development in Rural Areas (Casidra) is an implementing agency. Approved plans were together with the business plan were submitted in September 2011. Final approval of business plan was obtained in July 2012. Construction work commenced in January 2013.

7.5.5 Total project value as per cost estimate is R9.7 million and the total budget allocated is R8.550 million while total value of payments received is R5.663 million. The available balance as at the end of January 2014 was R593,336.

7.5.6 Project deliverables are 90 percent completed with the exception of the outside seated area, the internal shop fitting for eco centre, tearoom and the external interpretive signage.

7.5.7 Outstanding work is scheduled to be completed by end of March 2014. The Implementing Agency and key role players are in the process of drafting an Operations Managements Plan for the facility. The plan will outline the role and responsibilities for all parties involved.

7.5.8 Discussion with a mentor to provide business support to the Mooiuitsig Community Trust is underway. The mentorship agreement will be for a period of 6 months.

7.5.9 The Southern African Foundation for the Conservation of Coastal Birds (SANCCOB) works with the project to protect and rehabilitate penguins found in the project site.

Challenges expressed to the committee:

(i) Lack of interest by the unemployed from Kleinmond and surrounding communities, and high staff turnover due to the low wages paid under the EPWP projects.

(ii) Shortfall in the project budget led to extension of the completion date.

(iii) In the absence of the amended project business plan completion of the project could not occur; and

(iv) SRI programme does not allow for cost escalation given that the EPWP projects take a while to complete.

7.6 Visit to Small, Medium and Micro Enterprises

7.6.1 Escape to the Cape

Mr Shaheed briefed the committee on the company as follows: Escape to the Cape is a young dynamic tour company specialising in luxury tours at affordable prices. The business was conceptualised after realising that many of the Cape Town tour operators did not offer a full, affordable, informative, safe and luxury tour experience of the standard that foreigners expected. He decided to devise a unique tour concept based on broad principles. All his prices are fully inclusive of all entry fees in attractions to be visited and there are no hidden costs to the tourist. Government provided support and created opportunities for the business to grow through the Tourism Enterprise Partnership programme and wining Emerging Tourism Enterprise of the Year Award (ETEYA). Light snacks and bottled water are provided on all set tours and a light lunch is also available on a set of full day tours. Tours are carried out with a luxury air-conditioned vehicle which is insured for passenger liability and has the necessary legal permit. The vehicle is equipped with satellite tracking, public address system, an on board fridge to keep drinks, multiple cell-phone and laptop charging facilities and 3G internet access. The company also advises and assists tourists at no extra charge with dinner and social engagements, accommodation and local flight bookings.

Challenges expressed:

(i) Market access.

(ii) Barriers to entry.

(iii) Access to finance.

(iv) Lack of communication from other state institutions; and

(v) General people negative perceptions.

7.6.2 Zwinoni Lodge – Milnerton Ridge

Ms Emmah Makatu briefed the committee as follows: Zwinoni Lodge, Venda word meaning birds, was built in 2002. The lodge was established based on a concept of to home away from home. The lodge offers traditional African food. Guests are exposed to African hospitality coupled with art, history, music and food. The owner also has a guesthouse with 10 elegant and stylishly decorated bedrooms overlooking the gardens, each fully equipped with satellite TV, a mini-bar, tea and coffee making facilities. The lodge is 15 minutes away from Cape Town and the Waterfront. Golf course and beaches are only one kilometre away. The two lodge has won ETEYA Award and Tsogo Sun’s Book a Guesthouse competitions which changed the way of doing business completely by giving the owner and the guesthouse extensive additional publicity. Book a Guesthouse was started by Tsogo Sun eight years ago for developing, mentoring and coaching accommodation establishments that displayed potential to become sustainable enterprises. The programme concentrates on the empowerment of black women as well as development of their businesses within the local tourism industry; and The facility was named the winner of the Guesthouse of the Year award for 2013 for the Tsogo Sun Book a Guesthouse competition.

Challenges expressed to the committee:

(i) Experience challenges with regard to capacity; and

(ii) Conference room can take only less than 20 people.

7.6.3 Malebo’s Bread & Breakfast – Khayelitsha

Ms Lydia Masoleng briefed the committee on the challenges experienced by business owners in the township: It is difficult to complete the B&B and the husband had to resign from work. They used all the pension payout to complete the establishment. Tsogo Sun assisted with training while TEP assisted to attend Tourism Indaba; and Cape Town Tourism assisted with marketing. It was difficult to hire staff because the occupancy rate is low and seasonal. TEP membership was not renewed after the TEP charged a R600 fee per annum. The internet was only installed in the establishment 3 months ago.

The committee found that:

(i) There is no signage to guide a person to the guesthouse.

(ii) Relationship with other businesses in the area is not strong.

(iii) There needs to be an intervention by provincial and national government in terms of ensuring sustainability of businesses in townships.

(iv) The establishment was not graded; and

(v) Ownership issue was not a challenge.

The National Department of Tourism agreed:

(i) That there is a need to engage the SRI Unit to have a meeting with the establishment to consolidate support; and

(ii) The establishment must be graded.

7.7 Look Out Hill Tourism Centre – Khayelitsha

7.7.1 The Centre is located in Khayelitsha at the intersection of Mew Way and Spine Road. It was planned and developed as a beacon of tourism for the south eastern area that includes Khayelitsha and Mitchell Plain.

7.7.2 The centre consists of the dune that is part of the City’s bio-diversity network; the boardwalk that leads to the dune summit; the parking area designed to accommodate private vehicles and tourist buses; the building that has a craft market, restaurant, out-door entertainment foyer, boardroom and exhibition hall.

7.7.3 In the short term, upgrades will include installation of CCTV cameras to secure the centre and augment current available security services; and to prevent vandalism.

7.7.4 In the medium term upgrades are to include the provision of billboards along Spine Road and Mew Way to heighten public awareness of the centre. Provision of lighting around the centre, parking area, boardwalk and dune summit.

8. Committee Observations

The Committee observed that

8.1 Governance – the Department of Economic Development and Tourism in the province had a good audit report in terms of a tourism function. The Province had a fully fledged tourism unit at a Chief Directorate level.

8.2 Intergovernmental relations – the province works well with the National Department of Tourism, the Western Cape Destination Marketing, Investment and Trade Promotion Agency (WESGRO), the City of Cape Town, district and local municipalities. Planning and coordination of tourism is seamless amongst public and private sector organisations.

8.3 Project management - implementation of Social Responsibility Implementation projects were implemented in a more efficient manner in the Western Cape. This could be attributed to two reasons:

(i) Project implementers were resident in the Province of Western Cape and could provide project management on daily basis.

(ii) The province and municipalities provided maximum support to the projects to ensure their success and sustainability.

8.4 Community participation – there is dual economic participation in the tourism industry in Western Cape. Tourism Development was observed more entrenched in the urban areas as compared to the rural areas. The SMMES in the city were fairing much better than those in townships.

In addition, ownership of some community projects such as Khwattu San Culture and Education Centre rests with organisations other than communities themselves and communities only serve as employees.

8.5 Poor Signage – road signage to some tourism attractions and facilities in Western Cape is poor or non-existent at all. Travelling to these attractions and facilities become difficult and time consuming as tourists may get lost and be prone to opportunistic crimes such as mugging. The Committee experienced the negative impact of poor signage when they were travelling Malebo’s Bed& Breakfast in Khayelitsha.

8.6 Impact of Expanded Public Works Programme on Communities – workers in the False Park Ecology Park indicated that they had been employed in the project for more than three years and the project had been the only source of livelihood at their homes. The Project Implementer also indicated that some employees had left the project due to permanent employment they had received elsewhere based on skills acquired in the project.

8.7 Entrepreneurship spirit – most of the SMMEs visited by the Committee had started business ventures on their own without government assistance. Their businesses showed sustainability and they had won some national competitions including Emerging Tourism Entrepreneur of the Year Award (ETEYA) and Best Guesthouse Award. Government support was only received later in a form Tourism Enterprise Partnership (TEP) programmes to support the already established businesses.

9. Conclusion

The oversight visit highlighted that good intergovernmental relations amongst the three spheres of government promote coordinated tourism planning and development in a destination. The good relationship between the West Coast District Municipality and Overstrand Municipality in Betty’s Bay with the provincial Department of Economic Development and Tourism ensured that projects implemented in these areas have a well coordinated, structured and synchronised implementation. The Committee was also pleased with how the provincial department coordinated activities with the National Department of Tourism.

The Department of Tourism officials from the national and provincial level also accompanied the Committee throughout the oversight visit and provided clarity to all the issues raised by the Committee. This assisted the Committee in its oversight work. The Department is commendable for listening to the call made by the Committee in previous oversight visits wherein there were no Departmental officials. The Project Implementers were also available on project sites and interacted with the Committee on pertinent issues related to technical project information.

However, the inequalities and levels of efficiency observed between the SMMEs in the city and those in the townships raised concerns in terms of how the Province provides support to various tourism role players. The observation was that entrepreneurs in the township are struggling and need more support. Notwithstanding poor support given to township businesses, the Committee observed that the township SMMEs themselves did not show much enthusiasm about their own businesses. They displayed a dependency mentality tantamount to the notion that government needed to support them in everything. The entrepreneurship and private sector drive was clearly lacking. This calls for a concerted effort from the Western Cape provincial government to conduct business management type workshops, particularly to township SMMES to assist them to run their facilities as businesses.

10. Recommendations

It is recommended that:

10.1 The Department considers appointing implementing agents for SRI Projects from provinces where projects are located to ensure effective and efficient project management.

10.2 The Table Mountain National Park develops a media strategy to deal with negative media crime reporting to prevent negative perceptions of safety at the mountain. This should include an immediate meeting with media houses to discuss the damage done to the image of Table Mountain based on perceptions of safety created by negative media reports.

10.3 The National Department of Tourism continues to place Tourism Assistants at the Table Mountain as part of Social Responsibility Implementation Programme

10.4 The Western Cape Province should improve road signage to tourism attractions throughout the province, especially in townships.

10.5 The Department of Tourism should conduct an audit of how many institutions provide unaccredited tour guide training in the country. The audit must start with Cape Peninsula University of Technology where it was discovered that the institution has been offering unaccredited training.

10.6 The Western Cape Province in partnership with the Department of Tourism and Tourism Enterprise Partnership should conduct SMME workshops, particularly in townships, to assist emerging enterprises to be innovative and run profitable businesses.

10.7 The Department of Tourism engages the Tourism Enterprise Partnership (TEP) to ascertain how the requirements of a R600 fee by the SMMEs has affected the number of emerging enterprises enrolled in TEP programmes.

10.8 The Department of Tourism looks at possibility of assisting the Griqua Ratelgat Eco-Cultural Project with finishing the building that was partially funded by the erstwhile Department of Environmental Affairs and Tourism.

10.9 The Department of Tourism convenes a meeting with the Department of Arts and Culture, Western Cape Department of Economic Development and Tourism, and the Robben Island Museum to discuss the transport issues relating to ferrying tourists between Cape Town and Robben Island.

10.10 The Department of Tourism devises generic guidelines aligned to the 2010 Environmental Impact Assessment (EIA) Guidelines to assist potential developers to deal with EIA requirements of developing tourism projects. This may be posted on the Departmental websites and discussed in SMME workshops to assist in shortening the time taken to acquire EIA approvals.

10.11 There need to be more collaboration between Brand SA and South African Tourism when it comes to marketing of the Western Cape.

10.12 The Department of Tourism may engage the Department of Arts and Culture on how they can assist the! Khwa ttu project as it has both tourism and cultural/ heritage aspects.

Report to be considered.


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