Don't believe the hype around South Africa’s offshore gas find, says Kevin Bloom

Journalist Kevin Bloom has warned against the myth that the recent gas discovery will rescue the South African economy.

Bloom wrote an in-depth piece on the Daily Maverick analysing the Brulpadda prospect off the Mossel Bay coast, which is said to be a game-changer for Mzansi.

Bloom strongly argues that the trickle-down effect of economic growth doesn't work when it comes to natural resources in sub-Saharan Africa.

Read: Total South Africa's gas discovery a game changer - Jeff Radebe

Bloom says he's seen the so-called 'commodity curse' first hand in the heart of the oil-producing Niger Delta, in South Sudan and in Central African Republic.

He adds that any potential economic benefit should not come at the cost of the environment and explains that climate change is an example of market failure.

Bloom doubts that any South Africans, aside from what he calls the entrenched elite, will benefit from the gas find.

The International Monetary Fund (IMF) in 2012 found that [the trickle-down effect] doesn't work at all in sub-Saharan Africa.

Kevin Bloom, Author and journalist

We need six planets to, according to some of the latest estimates, keep on burning fuel the way we are.

Kevin Bloom, Author and journalist

Listen to the analysis:


This article first appeared on CapeTalk : Don't believe the hype around South Africa’s offshore gas find, says Kevin Bloom


Recommended

by NEWSROOM AI
Read More
Cheeky Vrye Weekblad makes a comeback as digital publication

Cheeky Vrye Weekblad makes a comeback as digital publication

The the historic Afrikaans newspaper that investigated the apartheid-era government a quarter of a century ago is making a return.

Parliamentarians plot plan of action for Constitutional amendment on land

Parliamentarians plot plan of action for Constitutional amendment on land

The committee was briefed by Parliament's legal services team and the committee discussed the programme of action to follow.

Eskom's R69 billion lifeline may help keep tariffs down, says energy analyst

Eskom's R69 billion lifeline may help keep tariffs down, says energy analyst

The cash-strapped power utility will get R69 billion over the next three years, Finance Minister Tito Mboweni announced.

Zuma says NPA is biased and he wants corruption charges dropped once and for all

Zuma says NPA is biased and he wants corruption charges dropped once and for all

Jacob Zuma filed an affidavit as part of his high court application to have corruption charges against him permanently dropped.

[LISTEN] What you need to know about 'game-changing' gas-condensate discovery

[LISTEN] What you need to know about 'game-changing' gas-condensate discovery

Total announced on Thursday that it has opened up a “world-class” new oil and gas province off the coast of Mossel Bay.

[LISTEN] Total South Africa's gas discovery a game changer - Jeff Radebe

[LISTEN] Total South Africa's gas discovery a game changer - Jeff Radebe

The French energy company announced on Thursday the discovery of a 'significant' gas condensate.

Popular articles
‘We’d be crazy to copy! Sometimes we get it wrong. There's no culture problem'

‘We’d be crazy to copy! Sometimes we get it wrong. There's no culture problem'

The Money Show’s Bruce Whitfield interviews Ian Moir, CEO at Woolworths.

Is EOH corrupt? Is that why Microsoft ran for the hills? Its CEO explains…

Is EOH corrupt? Is that why Microsoft ran for the hills? Its CEO explains…

The Money Show’s Bruce Whitfield interviews Stephen van Coller, CEO at EOH Holdings.

'R23 million for rent a month seems huge. I don't think we could've done better'

'R23 million for rent a month seems huge. I don't think we could've done better'

The Money Show’s Bruce Whitfield interviews Adrian Gore, founder and Group Chief Executive Officer at Discovery Limited.

NSFAS to introduce R275 monthly allowance for student's personal use

NSFAS to introduce R275 monthly allowance for student's personal use

This is in addition to the food allowance that NSFAS funded students receive monthly, says spokesperson Kagisho Mamabolo.