The Department of Tourism’s recently launched Tourism Incentive Programme will not replace the Tourism Enterprise Partnership, Minister Derek Hanekom told members of the tourism industry and the launch of the new programme.
Hanekom said the department valued the Tourism Enterprise Partnership (TEP) – a development agency that provided business support and developments to SMMEs. “We think business support to small businesses is absolutely essential,” said Hanekom. “Don’t for a moment think that this incentive programme replaces the enterprise support that is being offered.”
TEP is a public-private partnership that is currently partly funded by the Department of Tourism in an agreement that comes to an end in March next year. The department has yet to indicate whether it will continue its support of TEP.
In the financial year ended March 2014, TEP supported 920 small tourism businesses, which collectively created 4 040 new jobs and increased their turnover by R850.5 million, it reported in its financial results.
Speaking to Tourism Update after the launch, Hanekom said there was currently a review and evaluation of the impact of TEP and the department had not yet decided whether it would renew its agreement with TEP. However, he emphasised that the department would continue to provide enterprise support.
“The principle of continuation of providing enterprise support is not at stake here,” said Hanekom. “[The partnership TEP] has continued into this coming financial year and it might well be that beyond, there will be a further extended partnership with the partners that we have today, but that I can’t say is a given.”
The Minister said a decision would have to be made in the next financial year.