The primary objectives of the Centre for Real Economy Study (Crest) are to catalyse economic research with a sectoral focus, especially relatively under-researched service sectors, and to improve the flow of information on relevant research between the policy and academic communities. The Provincial Economic Intelligence Unit’s (PEIU’s) objectives are to develop sub-national economic analysis capacity so as to inform Provincial Growth and Development Strategy processes. The SADC Trade Development Project is a three-year partnership between AusAID and TIPS created to conduct a number of research projects on trade reform in Southern Africa. The project aims to develop research infrastructure in the region by creating new databases, formulate policy- and private sector-relevant information tools and publications to inform policy, and build capacity in the region. The Trade & Industry Monitor’s main objective is to disseminate policy-relevant economic research, from macroeconomic policy to competition and regulation policy, ‘development’ issues in general, as well as sub-national economic policy issues, in an accessible format to policy-makers and analysts. The Academic Data Access and Training facility (ADAT) seeks to reinvigorate the relationship between TIPS and the economics departments of tertiary institutions. The ADAT facility will provide post-graduate students with access to new economic data not readily available to Universities as well as provide Small Research Grants to researchers undertaking policy-oriented studies in TIPS’ programme areas. The Southern African Development Research Network is a broad-based policy and research network which aims to increase the supply of policy-relevant research in the region and strengthen evidence-based policy-making. SADRN will initially focus on industrial policy and sector development at the regional level, service sector development and the impact on poverty, and trade policy and its linkages to pro-poor growth. Under the Small Enterprise Development (SED) programme, TIPS as an independent, credible institution not directly involved in the delivery of SMME services has since 2004 undertaken a number of broad-ranging, qualitative assessments of the outcomes of government's policy, strategy and initiatives in small enterprise development. The purpose of this project is to contribute to reducing poverty and inequality in South Africa by supporting the government to develop a Strategy for the Second Economy, as part of its Accelerated Shared Growth Initiative of South Africa (Asgi-SA), located in the Presidency. Economic Regulation
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Economic Regulation

What we have done so far

Work carried out on economic regulation by TIPS has been mostly articulated around project related work during 2008.  Research was carried out on behalf of the Organisation for Economic Co-operation and Development (OECD) regarding regulatory frameworks in network utilities (specifically telecommunications, transport and energy) and issues around the developments in and performance of these industries and respective economic regulators in South Africa specifically.  The research also considered the challenges for competition in these network utilities under the current regulatory regimes.    

Other work related to a project that was commissioned by ComMark regarding the air transport industry in Mozambique.  The work was mostly conducted through desktop research and the focus was on an investigation and analysis regarding the issues around liberalization and whether it is the only option for Mozambique in order to grow the air transport market to capture other spin-offs such as an increase in tourism and the subsequent advantages that come with that.  The research considered issues such as the concepts of deregulation and liberalization and state protection; some case studies with regard to developing countries; the case for and the case against liberalization; different options that exist with regard to the airline industry; issues around the Yamoussoukro decision (that in essence relates to a quasi “open skies” policy for Africa) and finally the air transport situation in Mozambique.  This report is currently still in draft format.

TIPS were also involved in a project that was commissioned by the Presidency.  This particular project investigated the responsibility and jurisdiction of economic regulators in South Africa.  The research’s main focus is with developing a coherent framework for economic regulators (transport, water, energy and telecommunications) relating to clear responsibilities, clarity on jurisdictions and unambiguous policy objectives that are in line with ASGISA.  This project was commissioned to GENESIS-Analytics with TIPS playing a supporting role.  This project, which is nearing completion, forms part of the public good work of TIPS.

It is foreseen that for the rest of 2008 economic regulation research will seek to comment on relevant regulatory issues.  Cornel van Basten, in charge of economic regulation research will prepare papers and commentaries on miscellaneous economic regulation themes.  In the long run TIPS will look at areas of capacity-building needs in the regulatory environment and investigate where it can assist.

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