The impacts of regulation on business in the Waste Sector: Evidence from the Western Cape

Abstract

The waste sector has been identified as a sector which can contribute towards South Africa’s economic growth and the creation of green jobs. Policies and regulations are often identified as a potential limiting factor for growth in the waste sector. In this regard, the Western Cape Department of Economic Development and Tourism commissioned a project to do a regulatory impact assessment for the waste economy in the Western Cape. The findings of this research suggest that a number of the legislative barriers identified by businesses entering the waste economy are perceived rather than actual barriers. It is not the law or regulation that is causing the barrier, but the interpretation and application of the law by the different players. Nevertheless, from the perspective of small businesses in particular, there are very real challenges that need to be addressed. Growing the waste economy requires navigating a host of environmental and financial laws and regulations, and compliance with the various requirements is hampering the sustainability and growth of small businesses, especially, in the waste sector.