Empowering South African youth to reclaim consumer democracy

IOL News

01-07-2025

South Africans are urged to organise themselves into civic groups and take up space in consumer democracy.
Image: Supplied
The vacuum left by citizens, especially the youth, in consumer democracy is allowing big corporations and the government to excessively increase prices even if the quality of these products and services is poor, experts say.
They said that consumers can help keep big companies and the government in check, using their buying power to ensure they get value for their money.
Professor William Gumede, an expert from the Wits School of Governance, said youth are currently focused on the wrong things; instead, they must mobilise for their interests and hold private companies and the state accountable.
'The youth need to realise their power and utilise it to advance their interests. They must stop blindly following certain political parties that do not prioritise them. Instead, they should form civil society or community groups to deal with issues directly affecting them. Young people, especially university students, can mobilise for cheaper or free data. South Africa has the most expensive data in the world, and telecommunications companies are making huge profits and are not being kept in check.
'They can mobilise for the Black Economic Empowerment (BEE) to be turned into employment opportunities for the youth. With companies paying/offering 30% to do business in South Africa, which could range between R2 billion and R5 billion, it could easily be converted into 100,000 employment opportunities for the youth and advanced skills training. Of course, they must demand transparency on the selection or recruitment process,' Gumede said.
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He added that the youth can challenge the government and demand transparency on the recruitment processes of the South African Police Service, the metro police, soldiers, and other sectors. They can even determine who should be the next police chief or which minister is more suitable for a certain portfolio to advance their interests.
The same way the public pressure forced the Higher Education Minister, Dr Nobuhle Nkabane, to reverse her decision on the appointment of chairpersons of Sector Education and Training Authorities (SETAs), should be the norm to force the government and the private sector to do right. In this way, the youths can ensure that they are prioritised, whether in employment opportunities, recruitment, or value for their money, Gumede said.
'If they were to choose one political party and vote for it, that party would be in government through the youth's vote. The reality is, the political parties in this country are pushing their agendas and not prioritising the interests of the youth,' he added.
In his recent paper, published by Inclusive Society under the title Going for growth structural reforms needed for South Africa's economic recovery, Gumede argues that runaway administrative prices, which is the prices of products, services, and utility rates set by state-owned entities, government utilities, and municipalities contribute significantly to inflation, and are either set directly by state entities, or are strongly influenced by them, rather than by market forces.
He added that state-owned enterprises (SOEs) such as Eskom and government institutions, including municipalities, are allowed to charge exorbitant prices despite the dwindling quality of the services offered, and businesses then push down costs to consumers.
'Furthermore, the regulatory processes involved in setting prices for government services and products are woefully ineffective. Regulation is meant to correct government market failures, as in the case of ineffective price setting by state entities, which have no competition, by ensuring that they set prices more realistically.
'The quality of government entities' services, products, and aftercare services often does not reflect the prices they charge. Municipalities often set rates, water, and refuse prices at levels unrelated to those that equivalent private sector establishments would charge, but without any concomitant standards in service delivery,' Gumede said.
He added that South Africans pay double: taxes for the state and state infrastructure services that are not being delivered, and taxes for private public services because the state has failed to deliver effective policing, education, energy, and healthcare.
Phetho Ntaba, spokesperson for the National Consumer Commission (NCC), said the Consumer Protection Act empowers consumers to form consumer protection advocacy groups, recognising the strength of unity in advancing consumer rights.
'These groups serve as platforms for collective engagement, enabling consumers to voice concerns, influence policy, and demand accountability more effectively than isolated individual effort. A coordinated and organised consumer movement can drive meaningful change, challenge unfair market practices, and promote a fair, transparent, and responsive consumer environment,' Ntaba said.
She encouraged consumers to use the NCC's complaint handling system or contact the NCC via its contact centre to file complaints and concerns, including tip-offs.
'Wherein there are matters of public interest, any association or organisation can apply to the National Consumer Tribunal for permission to file a complaint in the public interest. We also analyse complaints received to propose policies to the Minister of Trade, Industry and Competition on any matter affecting the supply of goods and services. This may include proposals for legislative, regulatory, or policy initiatives that would improve the realisation and full enjoyment of their consumer rights by persons contemplated in subsection,' Ntaba said.
Where can you find guidelines on setting up a civic society or community group in the consumer space?
Shaunei Gerber, from Futurelect, a non-profit organisation dedicated to civic education and leadership development, said young people can and should engage in their democracy by thinking about the impact of the products and services they use.
'This means making the right choices, supporting responsible businesses, and participating in public discussions about the role of businesses in their community. Their strength comes not just from buying, but also from questioning, comparing, and choosing based on what is important to them. They have real power in their voices and can influence change. Our Civic Education Programme (offered for free online and in the Futurelect app) helps young people learn how to use their voice and power to hold their leaders accountable,' Gerber said.
She added that young people need to learn how to ask good questions, think for themselves, and understand how money flows in society, both in the market and in government.
'It's also important that they see how everyday choices, like where they shop or what they support, connect to bigger issues like fairness, the environment, and public services. Through our Civic Education Programme, we help young people make sense of these links so they can take part in society thoughtfully and responsibly,' she added.
Gerber said many young people feel that they can't make a difference. But that's simply not true. One doesn't need deep pockets to make an impact; they just need to be informed, confident, and willing to act together with others.
She highlighted that understanding the issues and speaking up is powerful because young people shape opinions, set trends, and influence what brands and leaders pay attention to.
'Our programmes create safe spaces for them to practise these skills and grow their confidence. Whether they go into public service or community work, they learn how to take action on the issues they care about, including being responsible and informed,' she said.
The civic education content is delivered through three-to five-minute short videos that break down complex processes and systems.
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