Procurement of locally manufactured products is one of the levers identified by government to support Industrial Development in South Africa. The amended regulations to the Preferential Procurement Policy Framework Act (PPPFA) in 2011 empowers the Department of Trade and Industry (the dti) to designate industries, sectors and sub-sectors for local production at a specified level of local content.
Designation of Domestic Water Heater components for local production was approved by the dti in January 2013 and the Instruction Note issued by National Treasury in July 2013 and updated following clarification in July 2014.
The Domestic Water Heating Manufacturers Cluster of South Africa - DWH-MANCOSA, has been established to promote the local industry within the parameters of designation and;
DWH-MANCOSA is housed under the auspices of the South African Capital Equipment Export Council (SACEEC), which operates as a public/private not-for-profit company in partnership with the Department of Trade and Industry.