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Red Tape Reduction Unit Western Cape. The Unit follows a twopronged approach in tackling bottlenecks in the business environment: • reactive through its response to cases lodged to the unit; and The Red Tape Reduction Unit makes it easier for businesses • proactive, which seeks to identify legislation and to thrive in the Western Cape, by growing our economy and processes that represent barriers to business or creating more jobs. The amount of red tape and bureaucracy efficiency in government, and designing faced by businesses when dealing with government restricts interventions that cut across an entire industry sector in the Western Cape. The Unit follows a twopronged approach in tackling bottlenecks in the economic development and growth. Creating an enabling or several processes. business environment: The Red Tape Reduction Unit makes it easier • reactive through its response to cases businesses to thrive in the Western Cape, by environment for business is,for therefore, fundamental tojobs. creatinglodged to the unit; and growing our economy and creating more • proactive, which seeks to identify amount of red tape and bureaucracy faced legislationThe and processes that represent a competitive economy. The outcome of the interventions must impact on the cost by businesses when dealing with government barriers to business or efficiency in restricts economic development and growth. government, and designing interventions Creating an enabling environment for business Research shows that red tape costs South Africans R79 of doing business that cut across an entire industry sector or in terms of reducing either time, costs is, therefore, fundamental to creating a several processes. competitive economy. billion per year. This is equivalent to 6,5% of GDP, or 16,5%Theofoutcome oforthecomplexity. To date the unit has dealt with almost 8,000 interventions impact in the Western Cape. The Unitmust follows a twoResearch shows that red tape costs South on pronged the costapproach of doingin tackling businessbottlenecks terms of in therelated matters. It maintains a resolution Africans R79 billion per Project year. This is (SBP) equivalent the total wage bill in 2003 (Small Business 2005). business andinred tape reducing either time, costs or complexity. business environment: The Red Tape Unit makes easier to 6,5% of GDP, or Reduction 16,5% of the total wageit bill To date the unit has dealt with almost 8,000 • reactive through its response to cases for businesses to thrive in the(SBP) Western Cape, by in 2003 (Small Business Project 2005). inunit;excess of its 85% target. business lodged and rate red tape related matters. It to the and growing our economy and creating more jobs. maintains a resolutionwhich rate in excess • proactive, seeks oftoits 85% identify The amount of red tape and bureaucracy facedtarget. legislation processes representRegulatory Impact Assessments (RIAs) Red tape is defined as: andThe WCGthatmade tape is defined as: with government byRed businesses when dealing barriers to business or efficiency in • restricts non-essential procedures, forms, and licences, economic development growth.The WCG made andRegulatory Impact government, designing interventions and regulations that add to the cost Creating an enabling environment for business • non-essential procedures, forms, licences, and of Assessments standard practice forornew policy and legislation. Cabinet has (RIAs) standard practice forsector new that cut across an entire industry with government; or to creating a is,dealing therefore, fundamental policy and legislation. Cabinet has approved it several processes. • competitive obsolete, economy. redundant, wasteful as a mandatory requirement foritallas significant regulations that add toanything cost ofthatdealing with approved a mandatory requirement for all significant or the confusing diminishes the legislation and policies. We are the must first and The outcome of the interventions impact competitiveness of the province, which Research shows that red tape costs Southonly province to elevate RIA to this level. on the cost of doing business in terms of stands in thebillion way ofper economic growth and government; or legislation and policies. We are the first and only province Africans R79 year. This is equivalent Thereducing Red Tape Reduction Unitorhas partnered either time, costs complexity. creation or wastes taxpayers’ time and bill tojob 6,5% of GDP, or 16,5% of the total wage withTosister departments improve businessthe unit has to dealt with almost 8,000 inmoney. 2003 (Small Business Projector (SBP) 2005). facing processes. This • anything obsolete, redundant, wasteful confusing date to elevate RIA business to this business and red tapebenefits related matters. Itlevel. The Red Tape Reduction Unit has process improvement (BPI) maintains a resolution rateprojects, in excesssuch of itsas85% the target. Department of Transport and Public Works that diminishes the competitiveness ofas:the partnered with sister departments to improve businessfacing RedRed tape interferes with: tape is defined (tourism signage and abnormal load permit • • the non-essential ability of businesses compete procedures,to forms, licences,applications) and Agriculture (export related The WCG made Regulatory Impact aand global marketplace as ato result of of regulations that economic add the cost province, which standsinunnecessary in the way of processes. This benefits business process improvement processes, permit applications auditing). Assessments (RIAs) standardand practice for new costs and/or delays; dealing with government; or Several BPI project possibilities policy and legislation. Cabinetwith has national approved it • • the anything rate ofobsolete, establishment of wasteful new redundant, departments are being explored as well. as a mandatory requirement for all significant growth and job creation or confusing wastes taxpayers’ time (BPI) projects, such as the Department of Transport and businesses; and or that diminishes theThe potential for making it easier, cheaper and legislation and policies. We are the first and • the competitiveness sustainability and/or of existing of growth the province, whichfaster to do business in the province is huge, only province to elevate RIA to this level. enterprises. and money. Public Works (tourism signage and abnormal load permit stands in the way of economic growth andconsidering the many approvals, and The Red Tape Reduction Unitlicences has partnered job creation or wastes taxpayers’ time andauthorisations that businesses need to operate. with sister departments to improve businessThe Red money. Tape Reduction Unit was established applications) andbusiness Agriculture (export related processes, permit facing processes. This benefits by DEDAT in 2011. Its main objective was to improvement projects, such as remove bureaucratic blockages to make it For process more information on the(BPI) Red Tape Reduction Department of Transport and Public Works Red tape interferes with:easier andRedmore applications and auditing). Several BPI project possibilities with cost-effective to do business Unitthe please visit https://www.westerncape.gov. tape interferes with: (tourism signage and abnormal load permit • the ability of businesses to competeza/red-tape-reduction/ applications) and Agriculture (export related in a global marketplace as a result of • the ability of businesses unnecessary to compete in a global processes, national departments permit applications and auditing).are being explored as well. costs and/or delays; Several BPI project possibilities with national • rate of establishment of new departments as well. for making it easier, cheaper and faster to marketplace as a result ofthe unnecessary costs are being Theexplored potential businesses; and The potential for making it easier, cheaper and • the sustainability and/or growth of existing faster to do business in the province is huge, and/or delays; do business in the province is huge, considering the many enterprises. considering the many approvals, licences and authorisations that businesses need to operate. The Red Tape Reduction Unit was established • the rate of establishment of new businesses; and approvals, licences and authorisations that businesses need by DEDAT in 2011. Its main objective was to remove bureaucratic blockages to make it For more information on the Red Tape Reduction • the sustainability and/or existingto enterprises. operate. easiergrowth and more of cost-effective do business Unit pleaseto visit https://www.westerncape.gov.

Red Tape Reduction Unit Red Tape Reduction Unit

za/red-tape-reduction/

For more information on the Red Tape Reduction Unit please visit https://www.westerncape.gov. za/red-tape-reduction/

The Red Tape Reduction Unit was established by DEDAT in 2011. Its main objective was to remove bureaucratic blockages to make it easier and more cost-effective to do business in the

WESTERN CAPE BUSINESS 2020

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Profile for Global Africa Network

Western Cape Business 2020  

A unique guide to business, investment and tourism in the Western Cape. The 2020 edition of Western Cape Business is the 13th issue of this...

Western Cape Business 2020  

A unique guide to business, investment and tourism in the Western Cape. The 2020 edition of Western Cape Business is the 13th issue of this...

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