Why is inequality so unequality across the works? And why is it so difficult to do something about it in middle income countries?- Seminar by Jose Gabriel Palma

Jose Gabriel Palma is a Senior Lecturer in the Faculty of Economics, Cambridge University. He has a D. Phil in Economics from Oxford University, a PHD from Cambridge University (by incorporation) and a D. Phil in Political Science from Sussex University. He worked during the Government of Salvador Allende in the nationalisation of the copper industry, and after his graduate work in the UK he worked as a lecturer at the universities of London, Sussex, Oxford and Cambridge. He has published articles and books dealing with the economics of developing countries, with a strong focus on Latin America and Asia. He has also written extensively on inequality, financial liberalisation and financial crises, industrial policy, the history of ideas in development economics and politics, and Latin American economic history.

Background reading

South Africa has significant possibilities to grow its ship repair and boat building industry, with a large market in need of such services and a base from which the South African industry can emerge. These industries are labour intensive and have linkages to a range of other sectors.  There are, however, a number of constraints that hold back the growth of the industry. Sheila Farrell will present the outcomes of a TIPS research project, which looked at the challenges facing the boat building and ship repair industry and the opportunities for the industry.

About the speaker

Sheila Farrell is an experienced international ports consultant who has undertaken around 120 port consulting assignments in more than 50 countries, most of them concerned with port economics and finance, tariff setting, port reform and privatisation, and regulation. Several of the projects have been linked to the development of port-related industries. She has over 40 years of experience of port and shipping consultancy. As well as working as a port consultant, she is also a Visiting Professor in Port Operations Research at Imperial College London. She is a member of an EU-funded multi-national group of academics undertaking a four year research programme into improving the effectiveness of public private partnerships (PPPs) in transport, and has written two books on the subject of financing transport infrastructure. She also writes and teaches on economic and financial issues relating to ports.

South Africa is in a unique position to benefit from the transition to a greener development path, particularly owing to the country's abundance in renewable resources (solar and wind predominantly). Accordingly, the country has demonstrated an increasing commitment to sustainable development, notably in the field of renewable energy.

Recognising the importance of effective economic regulation for the sustainable growth and development of South Africa, the Economic Development Department (EDD) commissioned the Centre for Competition, Regulation and Economic Development (CCRED) at the University of Johannesburg (UJ) to undertake a Regulatory Entities' Capacity Building Project. The project involves a review of the orientation and performance of various economic regulators, the identification of the constraints impacting their performance and the design and implementation of a knowledge capacity development programme in response to identified needs.

Renewable energy is one of the key sectors identified for the project. This seminar aims to share the findings of the review carried out by TIPS and stimulate dialogue and discussions on the renewable energy regulatory framework in South Africa. Discussions will notably explore issues related to the role of renewable energy in the Integrated Resource Plan and the Integrated Energy Plan, the key aspects for designing a successful renewable energy procurement programme and the experience of independent power producers in the South African context.

About the speaker

Dr Babatunde Omilola is the Economic Advisor with the UNDP in South Africa. Previously, he served as the UNDP Regional Poverty Reduction Practice Leader for Eastern and Southern Africa. Prior to joining UNDP, he worked with the International Food Policy Research Institute and the Food and Agriculture Organization of the United Nations. He has served as an Economic Advisor to many African governments and institutions. He holds both MPhil and DPhil degrees with specialty in Development Economics from the Institute of Development Studies, University of Sussex.

There is growing concern that measures already in place or potentially adopted by developed countries to combat climate change could be trade distortionary, introduce new forms of 'green protectionism' and/or be discriminatory. Such policy and regulatory measures may range from emissions trading schemes (e.g. the EU's deferred airlines tax) to border tax adjustments that price carbon, subsidies, new public and/or private standards (including carbon labelling schemes), taxes on maritime transportation and, among other non-tariff barriers to trade, could entail the introduction of specific legislation.

Discussion bocussed on the following three questions from an industry/sector perspective:

• Using specific examples, is your industry/sector vulnerable to existing/new climate- or environment-related regulations/measures in international markets?
• Are any existing regulations/measures already impacting on your competitiveness, or would the latter be affected if these were to be introduced – and if so, how?
• What measures could your industry or sector take to reduce its carbon footprint?

For a summary of the roundtable discussion, see attachment below.

The African Growth and Opportunity Act (AGOA) is a unilateral trade policy concession governing United States and sub-Saharan Africa trade and investment relations. AGOA enhances US market access for 40 Sub-Saharan African (SSA) countries, including South Africa. Signed into law by the US Congress in May 2000, AGOA has been renewed several times and is now set to expire in September 2015.

With the review of AGOA currently underway, this seminar, will bring together the region's foremost trade think tanks (i.e. South African Institute of International Affairs (SAIIA), TIPS and trade law centre (Tralac); industry leaders and key government officials, to discuss and engage the impact of AGOA and what this unilateral dispensation means for South Africa.  Specifically, the session will provide an overview of AGOA's policy successes and challenges and engage participants on AGOA's impact on South Africa's competitiveness, with specific focus on the citrus and automotive sectors.