The Cape Town International Convention Centre (CTICC) held its annual general meeting (AGM) for shareholders on 11 December 2019, where it tabled the past year’s financial statements. The results demonstrate that the centre is creating a positive and sustainable legacy that is benefiting the City of Cape Town, and South Africa.
The CTICC has generated more than 130 465 jobs since its inception in 2003, and has created or sustained 14 620 jobs in the past financial year alone
Creating jobs
In context of a nation battling a growing unemployment rate, the CTICC’s Economic Impact Report is an encouraging read. The CTICC has generated more than 130 465 jobs since its inception in 2003, and has created or sustained 14 620 jobs in the past financial year alone. It also contributed an estimated R1.2bn to indirect household income during the 2018/9 financial reporting year.
The CTICC’s revenue has grown by more than 30%, from R172m in 2013/14 to R277m during the past financial year
An economic boost
Despite the fact that South Afroca has just avoided a recession, the CTICC’s revenue has grown by more than 30%, from R172m in 2013/14 to R277m during the past financial year. In this period, the centre achieved an operating profit of R57.5m, which was R49.57m above the target of R8m.
The centre was able to increase its revenue by hosting 560 events, attended by a total of 417 070 delegates.
These delegates contribute significantly to the tourism industry of both Cape Town and South Africa as a whole. It is estimated that the CTICC’s events in 2018/19 resulted in an additional 566 057 room nights in the Western Cape and 575 898 in South Africa. It is also estimated that the total foreign exchange spend from the tourism generated by these events is R677m.
Effectively the CTICC contributed a total of R4.5bn to the Western Cape Gross Geographical Product (GGP) and R6.5bn to South Africa’s Gross Domestic Product (GDP). To date, the centre has made a cumulative contribution to the Western Cape’s GGP of R39.6bn and R47.3bn to South Africa’s GDP.
In addition, the centre procured R331m worth of goods and services from local Western Cape suppliers. R328m was spent on B-BBEE suppliers, while 39% of the total procurement spend was with women-owned enterprises.
Driving social upliftment
The CTICC is not exclusively profit driven, but is also committed to building a socially conscientious and environmentally sustainable business. As a result, the centre invested R1.6m in corporate social responsibility (CSR) initiatives this past year alone, while resources were shared and staff donated their time to benefit local community partners.
Responsible resource use
A significant sustainability initiative that the CTICC implemented in 2018 was an onsite reverse osmosis plant. The plant extracts underground seawater, and filters and purifies it, yielding 200 000 litres of drinking water in a 24-hour cycle. This, combined with a 400 000 litre storage tank, means the CTICC is able to offer 100% water neutral events.
In addition, the CTICC has installed rainwater tanks with a capacity of 265 000 litres, and is able to capture 20 000 litres of water each week from the air-conditioning units. This water is used for cleaning and to water plants.
Despite doubling the centre’s exhibition capacity with the addition of CTICC 2, energy consumption only increased by 6.25% in the year being reported on
The energy efficient measures implemented at the CTICC have been so successful that despite doubling the centre’s exhibition capacity with the addition of CTICC 2, energy consumption only increased by 6.25% in the year being reported on.
The centre has also focused on various waste reducing strategies which has resulted in 86% of all waste being diverted from landfill, either through recycling or upcycling. One of these strategies includes event-based ordering, which is when fresh produce is ordered specifically for events. Less stock is held at any given time, and waste is therefore reduced – while also ensuring only the freshest ingredients are used.
A shrinking carbon footprint
The CTICC is also invested in reducing its carbon footprint and helping its clients to host more sustainable events. A point in case was that every attendee at the AGM received a spekboom tree. This indigenous plant is gaining fame as a sustainability super star due to its ability to remove 8.5kg of CO2 from the air. It has a 200 year life expectancy, is easy to propagate and can be eaten. Greenpop also planted trees at the Platbos Forest, one on behalf of each AGM attendee.
Julie-May Ellingson, CTICC CEO (pictured left), says, “Our core business is to provide a platform for events which in turn facilitates the knowledge economy. This report showcases how our business is making a difference. This year’s results highlight our contribution to job creation, alongside our increase in revenue, our contributions to GGP and GDP, as well as local procurement. I must add that I am particularly proud of how many women-owned suppliers we work with and how we support our community through corporate social responsibility spend.
“All this was achieved while setting a standard for excellence in conscientious business practices, hospitality and event hosting, both locally and internationally. Our achievements are as a result of hard work and strategic alignment to the Western Cape Province’s trade and investment areas, and the City of Cape Town’s catalytic sectors.”
Ms Ellingson will be leaving the CTICC in the beginning of 2020, after a five year stint as CEO. She added, “It has been a real privilege to work alongside such a passionate and dedicated team. Together we have done great things, and I know that the team will continue to deliver exceptional events for our clients, make a meaningful contribution to our economy and more importantly, support our communities through job creation and volunteerism.”
You can view full report here or browse the 2019 Integrated Annual Report site and find out how the CTICC is ‘Shaping Tomorrow, Today!’
