Gauteng Business 2016 edition

GAUTENG 

BUSINESS 

2016 EDITION 

THE GUIDE TO BUSINESS AND INVESTMENT 

IN THE GAUTENG PROVINCE 

SPONSORED BY 

WWW.GAUTENGBUSINESSGUIDE.CO.ZA

Epicentre for Growth 

Home for smart opportunity development 

www.aidc.co.za 

www.the innovationhub.com www.constitutionhill.org.za www.gidz.co.za

Tel: +27 11 085 2321 

Address: 124 Main Street, 

Marshalltown, Johannesburg 

Website: www.ggda.co.za

FOREWORD 

Together moving Gauteng’s 

city region forward 

GAUTENG BUSINESS 2016 

2

FOREWORD 

Gauteng is as rich in history as it is in minerals and other natural 

resources and it has evolved to become the economic 

hub of the African continent. The provincial economy is the 

one of the leading economies in Africa, accounting for 10 

percent of the continent’s gross domestic product (GDP). Although, 

in area, Gauteng is the smallest province in South Africa, it remains 

a leader across the board. The province hosts the headquarters of 

South Africa’s top four banks as well as the headquarters of many local 

and multinational commercial, industrial and mining companies; 

and three of South Africa’s six metropolitan municipalities are located 

within the province. 

The provincial economy is open and internationally competitive, and 

has much to offer to companies and investors alike. The province is 

home to a first-class stock exchange, the Johannesburg Stock Exchange 

(JSE), and there is much scope to initiate or expand mutually beneficial 

public-private partnerships with large and small businesses, entrepreneurs 

and developers. In addition, Gauteng enjoys a commanding 

geographical location, ambitious eco-tourism and heritage-tourism 

programmes and vibrant lifestyle opportunities. As many investors 

have come to realise, as Gauteng grows, so grows the South African 

economy! Any entrepreneur or investor looking to do business in 

Gauteng has already made a good choice. As an epicentre for growth, 

Gauteng is leading innovation in the South African economy. 

A multitude of advantages and incentives are available for investors 

looking to do business in Gauteng. Ready to assist, the Gauteng 

Growth and Development Agency (GGDA) is the first port of call for 

any investor or entrepreneur who is seeking to capitalise on the many 

profitable opportunities. 

CONTACT INFO 

Physical address: 124 Main Street, Marshalltown, 

Johannesburg 

Tel: +27 11 085 2321 

Website: www.ggda.co.za 

3 GAUTENG BUSINESS 2016

CONTENTS 

CONTENTS 

Gauteng Business 2016 Edition 

Introduction 

Foreword 2 

Welcome to Gauteng – home for smart opportunity 

development. 

Features 

Gauteng Growth and Development Agency 10 

A profile of the GGDA. 

Regional overview of Gauteng 14 

Gauteng, the economic powerhouse of South Africa. 

Metros and Districts 22 

An overview of the City of Gold’s municipalities. 

Corridor talk 26 

The Gauteng Provincial Government has committed itself to 

building a new Gauteng with a radically transformed economy. 

Transformation, Modernisation and 

Reindustrialisation 32 

Ambitious plans are afoot for Gauteng. 

Township Economic Revitalisation 36 

Massive investment in the township economy. 

The cost of doing business in Gauteng 40 

It’s cheaper to do business in Gauteng than in many 

of the province’s overseas competitor companies. 


4

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Industry competitive pricing are offered on vehicle rentals in three 

categories: 

VIP Self Drive: 

A luxury car hire service, consisting of a variety of medium to large 

luxury sedans and SUV’s. 

VIP Chauffeur Drive: 

Chauffeur Driving of Government Officials in luxury vehicles to any 

destination around the country, with the assistance of our drivers 

in the regions (Western and Eastern Cape, Free State and Kwa- 

Zulu Natal). Our drivers are responsible, reliable, professional and 

courteous. 

Pool Service: 

This service is ideal for usage during short term projects up to a 

maximum of 3- months renewable; the fleet includes a wide range 

of latest models of economy and commercial vehicles. Mini busses, 

busses and trucks are also available within this service and can be 

booked for one day up to a maximum of three months with the 

option of renewal. 

Forenquiries or bookings, kindly contact your nearest office: 

086 047 4358 (Call Centre) 

011 372 9000 (Johannesburg) 

012 310 2466/67/12 (Koedoespoort) 

031 208 1510 (Kwa- Zulu Natal) 

043 722 0139 (East London) 

021 531 0836 (Western Cape) 

051 430 1505 (Free State) 

“Making your fleet our business”

CONTENTS 

Gautrain 48 

The Gautrain Rapid Rail Link is the first rapid rail 

network in Africa. 

Gauteng lifestyle 54 

Gauteng is proving to be an African hub for business 

and leisure alike 

Brics: the opportunities for Gauteng 74 

An overview of why South Africa’s smallest province stands 

to gain the most from the country’s inclusion in the BRICS 

group of countries. 

Agencies 

The Innovation Hub 58 

Automotive Industry Development Centre 60 

Constitution Hill 62 

Gauteng Industrial Development Zone 64 

Gauteng Investment Centre 66 

Gauteng ICT Park Special Economic Zone 70 

Economic sectors 

Agriculture and agro-processing 80 

Transport 86 

Finance and business services 88 

Green economy 96 

Manufacturing 100 

Information and Communication Technology 108 

Outsourcing 109 

Reference 

Sector contents 78 

Index 112 

Maps 

Locator map 17 

Regional map 17 

Municipal map 26 


6

CREDITS 

Gauteng Business 

A unique guide to business and investment in Gauteng. 

The 2016 edition of the Gauteng Business and Investment 

Guide is the premier business and investment guide for 

the Gauteng province and the Gauteng Growth and 

Development Agency (GGDA). In addition to detailed 

profiles of key provincial organisations, including the GGDA, the 

Automotive Industry Development Corporation Centre (AIDC), the 

Gauteng Investment Centre, the Gauteng IDZ, the Gauteng ICT 

Park SEZ and Constitution Hill, this edition includes well-researched 

economic and demographic data on the province, as well as insights 

into the province’s five development corridors and the new industries 

and development nodes in these corridors; a focus on Gauteng as a 

global city region; and key growth sectors for the province. 

To complement the extensive local, national and international distribution 

of the print edition of the magazine (15 000 copies), the full 

content can also be viewed online at www.gautengbusinessguide. 

co.za. Updated business and investment news from the province is 

also available through the Gauteng Business e-newsletter, reaching 

an additional 15 000-plus recipients every month. Subscribe to the 

e-newsletter online at www.gan.co.za, where you can also request 

complimentary copies of Global Africa Network Media’s business-tobusiness 

titles covering South Africa’s other eight provinces as well 

as the flagship South African Business title. 

Chris Whales 

Publisher, Global Africa Network Media 

Email: chris@gan.co.za 

CREDITS 

Publisher: Chris Whales 

Publishing director: Robert Arendse 

Editor: Simon Lewis 

Writing: John Young, David Capel, 

Puseletso Nkopane, Shannon Manuel, 

Ralph Staniforth and Simon Lewis 

Online editor: Christoff Scholtz 

Art director: Brent Meder 

Design: Colin Carter 

Production: Linda Tom and 

Lizel Oliver 

Ad sales: Sam Oliver, Gabriel Venter, 

Jeremy Petersen, Nigel Williams, 

Veronica Dean-Boshoff, 

Debra Bender, Sydwell Adonis. 

Managing director: Clive During 

Administration & accounts: 

Charlene Steynberg and 

Natalie Koopman 

Distribution and circulation: 

Edward MacDonald 

Printing: FA Print 

DISTRIBUTION 

Gauteng Business is distributed internationally on outgoing and 

incoming trade missions, through trade and investment agencies; 

to foreign offices in South Africa’s main trading partners around the 

world; at top national and international events; through the offices 

of foreign representatives in South Africa; as well as nationally and 

regionally via chambers of commerce, tourism offices, trade and 

investment agencies, provincial government departments, municipalities 

and companies. 

PUBLISHED BY 

Global Africa Network Media (Pty) Ltd 

Company Registration No: 2004/004982/07 

Directors: Clive During, Chris Whales 

Physical address: 28 Main Road, Rondebosch 7700 

Postal address: PO Box 292, Newlands 7701 

Tel: +27 21 657 6200 | Fax: +27 21 674 6943 

Email: info@gan.co.za | Website: www.gan.co.za 

COPYRIGHT | Gauteng Business is an independent publication published 

by Global Africa Network Media (Pty) Ltd. Full copyright to the 

publication vests with Global Africa Network Media (Pty) Ltd. No part 

of the publication may be reproduced in any form without the written 

permission of Global Africa Network Media (Pty) Ltd. 

PHOTO CREDITS | Pictures supplied by flickr.com, Public Domain 

Images, Wikimedia Commons, skyscrapercity.com and Pixabay. 

DISCLAIMER | While the publisher, Global Africa Network Media 

(Pty) Ltd, has used all reasonable efforts to ensure that the information 

contained in Gauteng Business is accurate and up-to-date, the publishers 

make no representations as to the accuracy, quality, timeliness, 

or completeness of the information. Global Africa Network will not 

accept responsibility for any loss or damage suffered as a result of the 

use of or any reliance placed on such information. 


8

No more queues. 

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The Unemployment Insurance Contributions Act 2002, 

requires every employer to contribute 2% of the 

remuneration in respect of each employee who works for 

24 hours and more. The employer contributes 1% and the 

employee contributes 1% and the total to UIF is 2%. 

The employer is expected to provide the UIF with both the 

declaration and the contribution amount on or before the 

7th of each month in respect of each employee. It is the 

responsibility of the employer to ensure that all employee 

are registered with the UIF. 

uFiling provides the following benefits 

to employers and agents: 

• Improved service delivery 

• A secure and convenient online service 

• Instant updates and access to uFiling data ; and 

• Reduced data error. 

The fund has leveraged on technological advances to improve 

its operational systems to the benefit of its clients. The uFiling 

system is an online application that is convenient and user 

friendly that employers can use to declare and pay contributions. 

To activate as a uFiler the employer must have a UIF reference 

number.When opening the web page the user must logon to 

www.ufilling.co.za/www.ufliling.gov.za then click on Activate 

my ufiling account and select either domestic,commercial or 

agent to complete the activation process. The system will guide 

the user through the activation process. Once the activation 

process is completed, the user will immediately receive an 

e-mail notification confirming his or her login details. 

NB: The uFiling system also allows employees to submit their 

UIF claims online. 

For more information about uFiling 

Visit www.labour.gov.za or www.ufiling.gov.za 

www.ufiling.co.za 

Call centre number: 012 337 1680 

Toll free number: 0800 843 843 

The Unemployment Insurance Fund... Works for you!

PROFILE 

Gauteng Growth 

and Development 

Agency (GGDA) 

Gauteng may be the smallest South African province in terms of land size, but it remains 

the economic engine of the country and an important economy in Africa. 

In an effort to enhance the role of the Gauteng 

Provincial Government in driving investment, 

growth and innovation in the provincial economy, 

all of the Gauteng provincial agencies were restructured 

in 2012. This led to the Gauteng Growth and 

Development Agency (GGDA) coming into existence 

through a merger between the Gauteng Economic 

Development Agency (GEDA) and Blue IQ Holdings 

(Pty) Ltd. 

Key considerations for the GDED were that the 

merger should achieve a greater synergy and avoid 

duplication of services which had previously overlapped, 

in order to improve efficiency. The story 

of the GGDA is one of careful planning, targeted 

implementation and a tight focus on building local 

and regional economies for sustainable livelihoods, 

enhanced economic competitiveness and the creation 

of an enabling environment for growth. 

The company’s mandate is to serve as the implementation 

arm of the Gauteng Department of Economic 

Development and to assist the department to lead, 

facilitate and manage sustainable job creation and 

inclusive economic growth and development in the 

Gauteng City Region. 

The Mandate’s Core Focus Areas: 

Business Enablement 

The GGDA works with national government and 

related public entities, such as the South African 

Revenue Service (SARS), to create an environment 

that is more conducive for doing business for multinationals, 

large local companies and SMMEs. This 

may include engaging with national government to 

propose regulatory changes, as well as establishing 

a ‘one-stop-shop’ for doing business in Gauteng. 

The GGDA will target specific sectors to enable business 

to operate more effectively, actively addressing 

constraints specific to those sectors. 

Capital Projects 

The GGDA works with other spheres of government 

and the private sector to develop transformative 

infrastructure aimed at changing the way in which 

the province operates. It does not duplicate the work 

directly within the ambit of other departments, such 

as Public Works, Transport, Health and Education, 

but identifies projects that are catalytic, crosscutting, 

multi-sectoral and complex to manage. The 

particular expertise of the GGDA lies in designing 

large-scale projects, leveraging the necessary stakeholder 

and financial support and building the client 

base required to utilise the infrastructure. 

Trade and Investment Promotion 

In order to stimulate and maintain inward and 

outward trade and investment, the GGDA actively 

promotes Gauteng’s target sectors both locally as 

well as internationally. It works with industry bodies 

to determine appropriate strategies for identified 

import and export markets. In order to support 

emerging entrepreneurs within the selected sectors, 

the GGDA actively seeks market entry points 

for qualifying companies. 


10

PROFILE 

The list of sectors include: 

• Information and Communications Technology 

(ICT) 

• Pharmaceutical 

• Real Estate 

• Manufacturing (automotive etc.) 

• Tourism 

• Construction 

• Mineral benefication 

• Agro-processing 

The GGDA’s main function is to grow the economy 

by positioning Gauteng as a globally competitive 

city. Key to this is support growth of the cooperative 

economy, facilitation of trade and investment and 

increased strategic economic infrastructure. 

Vision 

The GGDA’s vision is to be the premier catalyst 

of innovative and sustainable growth and socioeconomic 

development within the southern African 

region. Its mission is to create an enabling environment 

for growth-targeted investment facilitation, 

strategic infrastructure development and social 

transformation, thus positioning Gauteng as a leading 

Global City Region. 

GGDA’s Functions 

In keeping with its mission statement, the GGDA was 

formed to provide the following key services to its 

diverse client base: 

• Facilitating the development and enhancement 

of strategic economic infrastructure within the 

Gauteng province. A number of major industrial 

development and infrastructure investment initiatives 

are currently underway in Gauteng, with 

several projects managed by the GGDA. 

Automotive Industry Development 

Centre (AIDC) – 2nd Automotive 

Incubation Centre at Nissan SA 

The project seeks to achieve the design and 

construction of a facility to be 

located between the vehicle 

assembly areas to accommodate 

between 10 to 12 

incubatees at a time. 

The size of the facility would 

be in the region of 10 000 

square metres. 

Automotive Supplier 

Park (ASP) 

The project involves the 

development of mini factories to 

accommodate tenants that may 

not require huge manufacturing 

space for their operation. 

The overall objective of the 

Park is to deliver mini factory 

spaces that will accommodate 

small to medium suppliers to 

the auto sector. 

• 8 000m 2 for SME Factories design and 

construction 

• 300m 2 Office Space to accommodate 

Central Administration 

Bio Park Facility 

The focus of the project is to construct the Biotech 

Park building on Land Parcel 12 starting with bulk 

underground services to top structure in line with 

the requirements of its tenants. 


PROFILE 

Gauteng ICT Park 

Special Economic Zone (SEZ) 

The ICT SEZ is an instrument available for the 

Gauteng Province to attract Foreign Direct 

Investment (FDI) and Direct Domestic Investment 

(DDI) to a dedicated industrial park (NASREC) using 

meaningful incentive packages from National 

Treasury, Department of Telecoms & Postal Services, 

SARS, Municipalities and other relevant institutions. 

It aims to provide world class economic infrastructure 

and facilities to investors through offering 

competitive incentive packages to attract and 

retain investments; developing and providing required 

ICT skills to investor businesses; shortening 

the processes of business registration, permitting 

and settling of investors. 

Establishment of green technology 

manufacturing hub 

The overall project objective is to formulate a robust 

foundation for the establishment of a commercially 

viable community-based renewable energy sector 

for rural development. 

Supporting targeted projects by: 

Working with development finance partners in a 

project appraisal capacity to assess the case for 

proceeding with specific projects or proposals. 

• Undertaking the coordination, pre-planning and 

evaluation of sites for clients, and conducting 

post-investment site visits. 

• Providing and disseminating market intelligence 

in the form of sectoral and regional 

economic data. 

• Assisting with company registrations and 

helping businesses to obtain work permits 

and visas. 

• Facilitating access to national and local government 

investment incentives. 

• Facilitating local and foreign business retention, 

expansion and after-care services. 

• Hosting and coordinating inbound foreign and 

local business delegations and undertaking 

outbound missions to promote Gauteng as a 

premier investment destination. 

• Providing export development and facilitation 

assistance. 

Creating an enabling environment 

Enterprise Program Management Office 

(EPMO) 

The GGDA has strategically aligned with its EPMO to 

provide holistic management over multiple projects. 

In this regard the EPMO serves as an overarching 

umbrella that enables the organisation to maintain 

oversight and quality assurance over multiple programmes 

and projects. EPMO primary output is to 

enhance the GGDA capability to align and oversee 

programmes and projects to be executed as part of 

the organisational strategy. 

Purpose 

Provide project management support for strategic 

economic infrastructure projects. 

Functions 

Provide transversal services in respect of centralized 

and coordinated management of capital infrastructure 

projects, i.e. project management support functions 

along the project cycle to: 

• Gauteng ICT & Media 

• Green Economy 

• Project oversight, incubation and development 

• Gauteng municipal infrastructure projects 

• Serve as registrar of Gauteng Economic 

Infrastructure projects 

Programme objectives 

• To increase investment in economic infrastructure 

delivery programmes through appropriate 

project packaging and optimal deal structuring 

• To develop and support Special Economic Zones 

in the Gauteng province 

• To support sustainable economic development 

through green economy approaches 

• To ensure sound project management processes 

incorporating risk management and quality 

standards 

• To ensure prudential appraisal of economic 

infrastructure projects 

• To ensure stakeholder engagement and 

management 

Services 

• Administrative support for project managers 


12

PROFILE 

• Collating and reporting project status to senior 

management 

• Providing standards, methodologies and a set of 

PM tools 

• Managing project documentation (including risk 

registers, schedules, incident logs etc) 

• Promoting project management within the 

organisation 

• Providing estimating, scheduling and risk management 

expertise to PMs 

• Coordinating plans between projects and 

reviewing resource use 

• Reviewing project performance 

Facilitate Trade and Investment 

The primary output is to improve the province’s ability 

to attract and retain investments (Foreign Direct 

Investment as well as Domestic Direct Investment) 

and enhance export capability resulting in economic 

growth that will contribute to business growth, job 

creation and poverty reduction. 

Subsidiaries 

Four subsidiary organisations fall under the umbrella 

of the GGDA. These organisations and their respective 

mandates are outlined below. 

Automotive Industry Development Centre (AIDC) 

The AIDC was established in 2000 as a supporting 

organisation to provide effective project delivery 

assistance in line with the province’s industrial policy 

and other strategic initiatives within the automotive 

sector in Gauteng. 

Constitution Hill (ConHill) 

ConHill was established in 2000 to provide the appropriate 

management arrangement to ensure the 

delivery of heritage, education and tourism programmes 

in Gauteng. 

Gauteng IDZ Development Company (DEVCO) 

Established in 2009, DEVCO’s main objective will be 

the management of the Jewellery Manufacturing 

Precinct (JMP), once this is fully established. 

Gauteng Investment Centre 

The GIC was set-up to support the Gauteng 

Provinces’ economic development initiatives as a 

one-stop-shop (OSS), and it is considered to the 

province’s key differentiator. The GIC differentiates 

Gauteng in terms of offering potential investors and 

exporter efficient services to enable them to more 

easily invest in Gauteng and play a role in developing 

the economy. The main goal of the GIC is to 

make Gauteng become the preferred location for 

investment, to provide an investment and export 

facilitation mechanism where relevant organs of 

state and state entities/agencies are brought to one 

location, co-ordinated and streamlined to provide 

prompt, efficient and transparent services to investors 

and exporters. 

The Innovation Hub (TIH) 

The TIH was set up in 2001 to foster the development 

of smart industries (high technology sectors) 


Newtown 

Situated in Johannesburg’s inner city, Newtown 

forms part of the city’s cultural and creative hub. The 

district houses theatres, art galleries, museums, restaurants, 

bookstores, craft markets, clubs and cafés. 

In the early 20th century, the area was originally used 

primarily for brickmaking since the land was rich in 

clay. Due to its easy access to Johannesburg’s railway 

lines, Newtown became a commercial and trading 

hub as banks, brick companies, breweries and fisheries 

were establishing themselves in the area. The 

district has a politically turbulent past and, due to 

its multiracial diversity, it was the scene of some of 

the first forced removals in Gauteng implemented 

by the apartheid government. Today, Newtown remains 

resolutely colour-blind with artists of all races 

gathering there. 

CONTACT INFO 

Physical address: 124 Main Street, 


Tel: +27 11 085 2321 

Website: www.ggda.co.za 


A REGIONAL OVERVIEW OF THE 

GAUTENG 

PROVINCE

Gauteng: the global city 

Gauteng is undoubtedly the economic powerhouse of South Africa, boasting the bulk 

of mining, manufacturing and financial services sectors, and is a major contributor to 

the country’s GDP, bringing in a third of the overall revenue. 

IMAGE: ANDREW BELL | PARAGON ARCHITECTS

SPECIAL FEATURE 

South Africa’s currency unit is the rand (ZAR), 

which is divided into 100 cents (c). Rands are available 

as banknotes in R10, R20, R50, R100 and R200 

denominations, while coins come in denominations 

of R1, R2 and R5, as well as 5c, 10c, 20c and 50c. 

Geography 

The dynamic province offers investors 

great opportunities through multiple 

locations for industrial and commercial 

business and well-developed infrastructure, 

to maximise your investment spend. 

The Gauteng economy is also a major player 

in Africa, accounting for 10 percent of the GDP of 

the entire African continent. With GDP valued at 

R811-billion (US$112-billion), the province contributes 

as much as 33.9% percent of South Africa’s 

total national economic output. 

Currency and the cost of living 

Despite the large scale of economic activity within 

the province, the cost of living is still relatively low 

in major cities like Johannesburg in comparison 

to first world cities such as London — with food, 

luxury items, services and electronics as much as 

50 percent cheaper. 

There are no foreign currency restrictions for 

people entering South Africa. Exchange rates fluctuate 

daily, so it is best to check updated figures, 

although travellers from the USA, Asia and Europe 

enjoy favourable exchange rates. 

The Vaal River forms a natural border with the Free 

State, which lies south of Gauteng, while the North 

West province is located to the west, Limpopo to the 

north and Mpumalanga to the east. The geography 

of Gauteng includes low parallel ridges, mountain 

ranges and undulating hills. 

Johannesburg is the capital of the Gauteng province, 

while Pretoria (also situated in Gauteng) is the 

administrative capital of South Africa. Other major 

urban areas include Roodepoort and Krugersdorp to 

the west of Johannesburg; and Germiston, Springs, 

Benoni and Brakpan to the east. Soweto, renowned 

as a focal point in the struggle against apartheid and 

home to more than 2-million people, is situated south 

of Johannesburg. 

Gauteng is South Africa’s smallest province, occupying 

just 1.4 percent of the total land area of South 

Africa. The province is located in the Highveld region 

of South Africa, approximately 1 700 metres above 

sea-level. It is a landlocked province, surrounded by 

four other provinces. 

Language and people 

The most widely spoken languages in Gauteng 

are isiZulu, English, Afrikaans and Sesotho, with 

19.8 percent, 13.3 percent, 12.4 percent and 11.6 

percent of the provincial population speaking 

these languages in their homes, respectively. 

English is the main language of commerce. In 

addition to the most prevalent languages, all of 

South Africa’s remaining official languages are 

spoken in Gauteng, together with a diverse range 

of international languages including Mandarin, 

Swahili, French, Portuguese and German. 

The Gauteng province is home to a vibrant 

and diverse population, reflected in a multitude 


16


of races, religions, cultures and ethnicities. More 

than 12-million people live within the province’s 

borders, accounting for almost one quarter (23.7 

percent) of the total South African population. 

Admin 

The South African Constitution provides for three 

levels of local government: metropolitan, district 

and local. Gauteng is divided into three metropolitan 

municipalities: City of Johannesburg, City 

of Tshwane and Ekurhuleni. In turn, there are two 

district municipalities within the boundaries of 

the province, which are divided further into a 

number of local municipalities as follows: 

• Sedibend District Municipality 

(Emfuleni, Lesedi, Midvaal) 

• West Rand District Municipality 

(Mogale City, Merafong City, Randfontein, 

Westonaria, District Management Area). 

Provincial powers 

In accordance with the South African Constitution, 

each province has its own government, with parliamentary 

power vested in a provincial legislature 

and executive power entrenched in the Premier and 

exercised in collaboration with the other members 

of a Provincial Executive Council. 

Based at the Johannesburg City Hall, the Gauteng 

Provincial Legislature is made up of between 30 

and 80 members who are elected for a five-year 

term, with the number of seats awarded to each 

political party being proportional to the outcome 

of the provincial election. The Members of Provincial 

Legislature are divided into 14 committees according 

to the distribution of political parties. The committees 

assemble regularly to debate and pass Bills 

(proposed legislation), and to interact with Provincial 

Government Departments. 

Strategic priorities 

The provincial government’s policy agenda is complemented 

by a number of strategic priorities: 

• Stimulating rural development and food security. 

• Intensifying the fight against crime and 

corruption. 

• Promoting quality education and skills 

development. 

• Creating decent work and building a growing, 

inclusive economy. 

• Improving healthcare for all. 

GAUTENG PROVINCE 

North West 

N1 

Limpopo 

Hammanskraal 

Mpumalanga 

N1 

Cullinan 

PRETORIA Mamelodi 

Ekangala 

N4 

Zithobeni 

N4 

Centurion 

N4 

Atteridgeville 

Bronkhorstspruit 

Irene 

N1 

N14 

R21 

Magaliesburg 

Midrand 

Muldersdrift 

Tembisa 

N12 

Sandton Alexandra 

Krugersdorp Randburg Kempton Park 

Roodepoort 

Isando Benoni 

Edenvale 

N14 Randfontein 

N12 

JOHANNESBURG 

Kagiso 

Boksburg Daveyton 

Mohlakeng 

Germiston 

Wattville Brakpan 

Soweto 

Alberton 

Bekkersdal 

Reiger Park KwaThema 

Lenasia 

Katlehong 

N12 

Springs 

Westonaria 

Vosloorus 

Devon 

N1 Tokoza Tsakane Duduza 

N17 

Nigel 

R59 

N3 

Heidelberg 

Evaton 

Ratanda 

Meyerton 

Sebokeng 

Boipatong Vereeneging 

Bophelong 

Vanderbijlpark Sharpeville 

Mpumalanga 

N1 

Free State 

N3 



• Building cohesive and sustainable communities. 

• Strengthening the developmental state and 

good governance. 

the winter months, from June to September, are 

typically cold and frosty. The toll-free Weather 

Line (082 162) can be contacted for a three-day 

weather forecast. 

Water and infrastructure 

Around 88 percent of the province’s water is sourced 

from the Vaal River, with the balance supplemented 

by transfers from the Thukela River and the Lesotho 

Highlands Water Project. 

City Improvement Districts within the 

Johannesburg CBD and the Braamfontein area 

have been set up by the Central Johannesburg 

Partnership in collaboration with the Johannesburg 

Development Agency (JDA). These districts have 

been established as part of a campaign to upgrade 

the Johannesburg city centre. As part of the upgrade 

programme, property owners agreed to pay for 

enhanced services to supplement those provided by 

the local municipality. Moreover, there are multiple 

sites for commercial and industrial development 

widely available in and around commercial hubs 

such as Sandton, Randburg, Fourways, Midrand, the 

West Rand and Pretoria. 

Climate 

Gauteng is a summer rainfall area, and thunderstorms 

are common in the summer months. 

Nevertheless, summers in the province are hot 

and the ultraviolet radiation sunburn index can 

be very high during the summer months. In turn, 

CITY 

SUMMER 

AVERAGE 

WINTER 

AVERAGE 

Max Min Max Min 

JHB 26 15 17 4 

PTA 29 18 20 5 

The average summer and winter maximum 

and minimum temperatures (in degrees 

Celsius) 

SOURCE: GAUTENG INVESTMENT HANDBOOK 2013 

Conference facilities 

Gauteng has over 80 venues suitable for hosting 

conferences of varying sizes, expos, concerts, 

weddings and other events. The following venues, 

among others, can be used for large exhibitions, 

concerts or conferences: 

• Johannesburg Expo Centre (Nasrec) with a 

capacity of 15 000. 

• Ticketpro Dome (Randburg) with a capacity of 

14 000. 

• Gallagher Convention Centre (Midrand) with a 

capacity of 12.000. 

• Standard Bank Arena (New Doornfontein) with 

a capacity of 6 300. 

• Sandton Convention Centre (Sandton) with a 

capacity of 4 000. 

Transport 

Public transport systems in Gauteng are well established. 

The public transport network includes the 

Gautrain (rapid rail link), Gautrain bus services, trains, 

and meter cabs, as well as Metrobus services and 

minibus taxis (which are less regulated). In addition, 

the City of Johannesburg and Tshwane now benefit 

from a newly introduced Bus Rapid Transport (BRT) 

system (phase 1 of the BRT system has been rolled 

out successfully). 

There are a number of airports located within 

Gauteng. The largest, OR Tambo International Airport 

(formerly known as Johannesburg International), is 

South Africa’s main international and domestic airport. 

Smaller airports within the province include 

Lanseria, Rand, and Grand Central, all of which are 

equipped for both international and domestic flights. 

Gauteng is the epicentre of African Business, and 

good business starts here, so be sure to make use 

of all the opportunities to grow your future in this 

dynamic province. 


18

Entrepreneurship... 

Entrepreneurship has been widely acknowledged as 

a fulfilling, yet challenging space to operate in. These 

challenges create a fear of failure on many aspiring 

entrepreneurs in South Africa, and as a result we tend 

to have a relatively low level of entrepreneurial activity 

in South Africa. The Department of Small Busines 

Development and its agencies, Sefa and Seda, and 

numerous other organisations involved in small enterprise 

development, play a huge role in helping entrepreneurs 

navigate this challenging environment. 

One prevailing characteristic of the South African small 

enterprise sector is the tendency of people that start 

small enterprises in sectors with high levels of activity 

and competition instead of pioneering and starting 

ancillary sectors that can benefit from the dominant 

sector. This tendency can be attributed to numerous 

factors, such as access to information on emerging 

trends and opportunities, innovative capabilities, etc. 

One opportunity that is worth exploring is how we as a 

country can commercialise the research and innovation 

that is done by individuals and research institutions 

throughout the country. 

Seda, with its network of 55 branches in areas as diverse 

as Pretoria in Gauteng, Bloemfontein in the Free State, 

Jane Furse in Limpopo, Khayelitsha in the Western Cape 

and Mount Ayliff in the Eastern Cape, is well positioned 

to provide appropriate and needs based support to small

Where to find Seda Gauteng 

enterprises. The organisation is also cognizant of the need for improved 

economic inclusiveness, especially when it comes to increasing the participation 

of blacks, youth, women and people with disabilities in economic activity. 

Provincial Office 

Physical Address: No 33 Hoofd Street, Forum5, 2nd floor, 

Braamfontein 

Tel: 011 408 6520 

Most entrepreneurs cite access to funding as the biggest challenge in their 

efforts to grow and sustain their small enterprises. While this is true in most 

instances, Seda utilises an approach that does an in-depth assessment 

of the small enterprise and the entrepreneur to ensure that the support is 

as holistic as possible, and not limited to access to finance. This in-depth 

assessment is done by Seda’s business advisors. Through this approach, a long 

term relationship with multiple, needs-based interventions and continuous 

assessment of performance is established with the small enterprise. 

Seda Joburg Branch 

Thabo Sibeko – Branch Manager 


Braamfontein 

Tel: +2711 408 6511 

tsibeko@seda.org.za 

The Seda interventions include the identification of new market 

opportunities and exploring possible revenue new streams, addressing 

national compliance and quality standards and improving competitiveness 

of the small enteprises. The effect of the interventions is measured every six 

months, looking at outcome measures such as sustainability levels, increased 

turnover, increased number of people employed, improved profitability levels 

and access to new markets. 

Tel: +2711 408 6511 Fax: 

Seda Tshwane Branch 

Caren Coetzee - Branch Manager: Tshwane 

Physical address: 536 Francis Baard, Arcadia 

Tel: 012 400 8892 / 011 408 6520 

E-mail: ccoetzee@seda.org.za 

One critical intervention around access to finance is an online platform 

called Finfind which seeks to assist small enterprises with information on 

possible funders, advice on how to be ready for funding support, and how to 

prepare financial statements. Another important intervention, particularly on 

reducing the the mortality rate of start-up enterprises is incubation support. 

Seda’s network of 49 incubators balances the need to help small enterprises 

survive the nascent 36 months with the need to nurture businesses with 

innovative, high growth potential towards commercialisation. The network 

has demonstrated remarkable success, with 76% of incubated small 

enterprises surviving the first three years of business establishment, and out 

of those that graduate from the incubation programme, approximately 80% 

survive the first two years post incubation. These statistics are remarkable, 

Seda Ekurhuleni Branch 

Thabang Mpalami - Branch Manager 

Physical address: The Business Place, Cnr Monument and 

Voortrekker road, Kempton Park 

Tel: 

E-mail: tmpalami@seda.org.za 

Seda Emfuleni Branch 


Physical Address: VUT Southern Technology Park, No 5 Moshoeshoe 

Street, Sebokeng 

Tel: 0169302700 

E-mail:tsibeko@seda.org.za 

when looked at against the general statistics of the small enterprise sector. 

Seda is committed towards supporting start-up enterprises and helping small 

and medium enterprises to grow. You can call our National Information Centre 

at 0860103703 or visit www.seda.org.za to find a Seda office nearest to you. 

TOGETHER ADVANCING SMALL ENTERPRISE DEVELOPMENT

Where to find Seda Gauteng 

Seda contacts; 

Provincial Office 


Provincial Braamfontein Office 

Physical Tel: Address: 011 No 408336520 

Hoofd Street, Forum5, 2nd floor, Braamfontein 

Tel: +27 11 408 6520 

Seda Joburg Branch 

Seda Thabo Joburg Sibeko Branch – Branch Manager 

Thabo Sibeko Physical – Branch Address: Manager No 33 Hoofd Street, Forum5, 2nd floor, 

Physical Braamfontein 

Address: No 33 Hoofd Street, Forum5, 2nd floor, Braamfontein 

Tel: +27 Tel: 11 +2711 408 6511408 6511 

tsibeko@seda.org.za 

Email: tsibeko@seda.org.za 

Seda 

Tel: 

Tshwane 

+2711 408 

Branch 

6511 Fax: 

Seda Tshwane Branch 





Tel: +27 12 400 8892 / +27 12 408 6520 

Tel: 012 400 8892 / 011 408 6520 

Email: ccoetzee@seda.org.za 

E-mail: ccoetzee@seda.org.za 

Seda 

Seda 

Ekurhuleni 

Ekurhuleni 

Branch 

Branch 

Thabang 

Thabang 

Mpalami 

Mpalami 

- Branch Manager 

- Branch Manager 

Physical 

Physical 

address: The 

address: 

Business 

The 

Place, 

Business 

Cnr Monument 

Place, Cnr 

and 

Monument 

Voortrekker 

and 

road, Kempton Voortrekker Park road, Kempton Park 

Tel: +27 Tel: 11 408 6511 

Email: tmpalami@seda.org.za 

E-mail: tmpalami@seda.org.za 





Tel: 0169302700 

E-mail:tsibeko@seda.org.za 





Tel: +27 16 930 2700 

Email:tsibeko@seda.org.za 

www.seda.org.za


Metropolitan and District 

Municipalities 

Renamed after the first democratic election in 1994, Gauteng (the name means gold in 

English) is one of nine provinces in South Africa. Gauteng was formed from part of 

the old Transvaal Province following South Africa’s first all-race elections, 

blossoming into rich democracy thereafter. 

City of Tshwane 

Gauteng is governed by the Gauteng Provincial Legislature, 

a 73-person unicameral legislature elected by party-list 

proportional representation. The provincial government 

is responsible for the topics allocated to it in the national 

constitution, including such fields as basic education, health, housing, 

social services, agriculture and environmental protection. 

Gauteng contains three metropolitan municipalities (City of 

Johannesburg, City of Tshwane and Ekurhuleni) and two district munici 

palities (Sedibeng and West Rand). A further seven local municipalities 

– Emfuleni, Lesedi, Midvaal, Mogale City, Randfontein, Westonaria 

and Merafong City – fall within the jurisdiction of the two district 

municipalities. 

The metropolitan area of Tshwane 

boasts a total population of 

2.9-million and a combined 

budget of R24.9-billion for the 

2012/13 financial year. In 2011, the 

Metsweding District Municipality 

was added to the City of Tshwane 

metropolitan area. The services 

sector, which is dominated by 

government services, is the largest 

economic sector in the City of 

Tshwane, followed by the finance, 

manufacturing and trade sectors, 

respectively. 

One of three of South Africa’s 

capital cities, Pretoria, is located in 

the City of Tshwane. Interestingly, 

every foreign country is represented 

by an embassy in Pretoria. 

Tshwane contributes approximately 

27 percent to provincial 

GDP in Gauteng, and 9 percent 

to national output. 

City of Johannesburg 

The City of Johannesburg is one 

of the 50 largest metropolitan areas 

in the world. Johannesburg’s 

total GDP amounted to US$76- 

billion (PPP adjusted) in 2011, 


22


and the metropolitan area’s 

combined 2012/13 budget totalled 

R37-billion. Approximately 

3.9-million individuals reside in 

Johannesburg, and the city’s population 

is growing at an annual 

rate of 1.3 percent. A recent drive 

to invigorate the inner city has 

resulted in major development. 

The City of Johannesburg 

is the capital of the Gauteng 

province, and the headquarters 

of the metropolitan municipality 

are located in Braamfontein. 

Johannesburg was initially established 

as a result of the gold 

rush in the 19th century, but has 

evolved into a city in which the 

financial services industry dominates 

business activity. Today, 

Johannesburg is regarded as 

the financial capital of South 

Africa due to the high number 

of financial institutions located 

within the city. 

The JSE, Africa’s largest stock exchange, is situated in the heart 

of Johannesburg’s business district, Sandton. Aside from the financial 

services industry, other key sectors of the Johannesburg economy 

include trade, manufacturing, advertising and information technology. 

South Africa’s Constitutional Court is also located in Braamfontein, 

Johannesburg. 

West Rand District Municipality 

The Randfontein local municipality is located adjacent to the North 

West province and represents a major entry point for immigration into 

Gauteng. Perhaps as a result, the local municipality is renowned for 

having high levels of unemployment and poverty, which could also 

be an opportunity for businesses in terms of available manpower. 

The population of the Randfontein local municipality is estimated at 

150 000 people. 

The Westonaria local municipality has a total population of 

112 000. Approximately 25 000 people are employed in Westonaria, 

with the majority of those employed in the mining sector. As a means 

to boost economic activity within the municipal area, the local 

municipality is looking at creating new industries, research centres 

and tourism hotspots. 

Randfontein is the administrative centre of the West Rand district 

municipality. Approximately 820 000 individuals reside in the district, 



and Westonaria). Merafong City 

is the largest of the local municipalities 

in terms of land area and 

is home to approximately 200 000 

residents. 

The municipality boasts rich 

gold deposits, especially in the 

Carletonville area, and the domiwhich 

is home to the Cradle of Humankind (a UNESCO World Heritage 

Site). Mining and agriculture constitute the main economic sectors 

in the district, with the Western Deep Gold Mine near Carletonville 

currently the deepest mine in the world. Lanseria International Airport 

is situated in the district, providing an alternative entry point for 

visitors to Gauteng. 

There are four local municipalities within the jurisdiction of the West 

Rand district municipality (Merafong City, Mogale City, Randfontein 

MUNICIPALITIES IN GAUTENG 

Metropolitan/District 

Municipality boundary 

Local Municipality Boundary 

District/Metropolitan 

Municipality 

Local Municipality 

Gauteng 

North North West West 

Amajuba 

uMlalazi 

N1 

Mabopane 

City of Tshwane 

Metropolitan 

Akasia 

Bon Municipality 

Accord 

Cullinan 

Rosslyn Onderstepoort 

PRETORIA Mamelodi Rayton 

Atteridgeville 

N4 

Centurion 

Erasmia 

Bronkhorstspruit 

Sterkfontein 

Mogale Hekpoort City 

DMA 

R50 

Local Municipality 

N14 N1 

R25 

Clayville 

Halfway House 

Muldersdrift Tembisa 

West Rand 

Magaliesburg OaktreeCity of 

R21 Bapsfontein 

District Municipality 

Sandton 

Krugersdorp Johannesburg N1 

Kempton Park 

Randburg 

Ekurhuleni 

Randfontein 

Metropolitan 

Metropolitan Daveyton 

Local Municipality Roodepoort Municipality JOHANNESBURG Benoni 

Municipality N12 

N14 

Boksburg Brakpan 

Mohlakeng Randfontein 

N12 

Merafong City Westonaria Soweto 

Springs 

Bekkersdal 

Alberton Germiston 

Local Municipality Local Municipality 

N7 

Westonaria 

Lenasia 

Katlehong 

Carletonville 

Ennerdale Walkerville 

Lesedi Local Municipality 

R28 N1 

R59 

Nigel 

Randval 

Evaton Sedibeng District Municipality 

N3 

Sebokeng 

Emfuleni Local Municipality R82 

Heidelberg 

R42 

Meyerton Midvaal Local Municipality 

R54 

Vanderbijlpark 

Free State 

Vereeniging 

Temba 

Northern 

Province 

Babelegi 

Mpumalanga 

Mpumalanga 

Mpumalanga 

Mpumalanga 


24


nant economic activity in the 

municipality is mining. Mogale 

City has a population of around 

360 000. While economic activity 

within the municipality is comparatively 

diversified, manufacturing 

and agri-business constitute the 

leading economic sectors. 

Sedibeng District 

Municipality 

The administrative headquarters 

of the Sedibeng district municipality 

are located in Vereeniging. 

The municipality covers the whole 

eastern side of Gauteng and has 

a population of approximately 

920 000 residents. Three local 

municipalities (Emfuleni, Lesedi 

and Midvaal) fall under the jurisdiction 

of the Sedibeng District 

Municipality. The Emfuleni local 

municipality is renowned for iron 

and steel manufacturing, which is 

based primarily in Vanderbjlpark 

and Vereeniging. The local municipality 

has a total population of 

approximately 720 000 and contains 

six large townships: Evaton, 

Sebokeng, Sharpeville, Boipatong, 

Bophelong and Tshepiso. 

The economy in Sedibeng is 

dominated by the manufacturing 

sector. Major companies such 

as Sasol and ArcelorMittal operate 

within the district, with the 

result that the fabricated metal 

and chemical industries dominate 

manufacturing activity in the 

area. The agriculture and tourism 

sectors, on the other hand, 

present opportunities to further 

local development within the 

municipality. The Midvaal local 

municipality is home to around 

90 000 residents and is regarded as the fastest-growing municipality 


Ekurhuleni Metropolitan Municipality 

The Ekurhuleni metropolitan area includes Germiston, Boksburg, 

Benoni, Kempton Park, Brakpan and Springs. Ekurhuleni is home to 

approximately 3-million people, and the municipality had a combined 

budget of R21.3-billion in the 2012/13 financial year. The municipality 

is a focal point for manufacturing within the province, and the manufacturing 

enterprises located in the municipal area account for 19.7 

percent of Gauteng’s provincial GDP. Despite the level of economic 

activity within the metropolitan area, unemployment remains high 

(the unemployment rate in the municipality was 28.8 percent in 2011). 

The OR Tambo International Airport, South Africa’s premier airport is 

situated in Kempton Park, and the OR Tambo International Airport IDZ 

is also located within the borders of the metropolitan municipality. 

The most recent election of the provincial legislature was held on 

7 May 2014, and the African National Congress (ANC) won 53.59% of 

the vote, along with a 40-seat majority in the legislature. The official 

opposition is the Democratic Alliance, which won 30.78% of the vote 

and 23 seats. Other parties represented are the Economic Freedom 

Fighters with eight seats, as well as the Freedom Front Plus and the 

Inkatha Freedom Party, each holding one seat. Premier David Makhura 

of the ANC was elected on 21 May 2014 at the first meeting of the 

legislature following that general election. 

The Gauteng Division of the High Court of South Africa (which 

has seats in Pretoria and Johannesburg) is a superior court with general 

jurisdiction over the province. Johannesburg is also home to the 

Constitutional Court, South Africa’s highest court, and to a branch of 

the Labour Court and the Labour Appeal Court. 


Corridor talk 

The Gauteng Provincial Government has committed itself to 

building a new Gauteng with a radically transformed economy. 


26


The Gauteng Provincial Government’s introduction of the 

development of five business corridors to boost economic 

growth in the province could well be seen as South Africa’s 

biggest attempt to encourage transformative partnerships 

between different spheres of government and the private sector. 

The bold project, which was allocated a whopping R10-billion of 

the province’s R95.3-billion 2015/16 budget, will also, in conjunction 

with the municipalities involved, attempt to change the space and 

structure of the economy in order to address unemployment, poverty 

and inequality. 

Gauteng’s five development corridors 

A macro-intervention is staged, aiming to reduce unemployment, 

poverty and inequality. Over the next five years the government 

intends mobilising R100-billion on restructuring physical assets and 

capital transfers in the region, in partnership with municipalities and 

private sector partners. Considering Gauteng contributes to 34% of 

the country’s gross domestic product, appropriating 10.5% of the 

2015/16 budget towards the provinces regeneration is sure to ensure 

economic wellbeing! 

To achieve its ambitions, the government intends reconfiguring the 

City’s space along five ‘corridors.’ The success of the province’s radical 

transformation, modernisation and re-industrialisation programme 

rests largely upon the level of collaboration and dedication of all 

role-players involved. Joint partnerships supporting infrastructure 

investment will lend itself to township economy revival and planned 

spatial restructuring, and form the pillars of government’s planned 

intervention approach. 

Together, the focus is on building and coordinating industries 

into respective spaces or ‘corridors’. The five development corridors 

across Gauteng will have distinct industries and different comparative 

advantages, but still remain dependent on one another, operating as 

a single body of mutual co-operation. As more people each year find 

themselves migrating from rural areas into city nodes in search for 

employment, management of urban dynamics by planning experts 

and various stakeholders will ensure that citizens are positioned closer 

to economic opportunity. The outcome; economic as well as social 

inclusion across all corridors. This is in stark contrast to the apartheid 

era, where rural residents were marginalised from the economic hubs. 

Future policies around special planning will grapple with issues of 

apartheid’s legacy, effectively reversing the negative aspects of urban 

sprawl. In his speech, Gauteng Premier David Makhura urged on economic 

empowerment, insisting, “We need deliberate and conscious 

action by the entire city region leadership to reverse spatial injustice” 



The Gauteng City regions approach is to use land owned by government 

and earmark the location of specific sectors and industries in the 

five development corridors of our province as follows: 

The Central Development Corridor 

The Central Development Corridor, will embrace much of Johannesburg 

and Soweto, and will be the hub of finance, services, information and 

communications technology (ICT) and pharmaceutical industries. 

Joburg’s competitive environment with global high-tech compa- 

AS MORE PEOPLE MIGRATE FROM RURAL 

AREAS INTO CITY NODES IN SEARCH FOR 

EMPLOYMENT, MANAGEMENT OF URBAN 

DYNAMICS BY PLANNING EXPERTS AND 

VARIOUS STAKEHOLDERS WILL ENSURE 

THAT CITIZENS ARE POSITIONED CLOSER 

TO ECONOMIC OPPORTUNITY 

nies and pharmaceutical industry 

will continue to thrive under the 

continued efforts of the City, provincial 

government and private 

sector. Investment funding from 

these sources to the value of R10- 

million over the next five years will 

see the central business district 

and inner city regenerated. 

Neglected areas that have 

experienced significant deindustrialisation 

and decline will be restored. 

Revitalising the CBD with 

better buildings, cleaner streets 

and greener open spaces as a 

liveable and sustainable city, will 

stimulate an appetite for future investment 

by banks, mining houses, 

state-owned enterprises and 

other major companies. BRICS 

regional development bank will 

be positioned in the Central corridor 

as a model beacon of African 

investment. 

The City of Joburg is spending 

R2-billion on improving public 

transport and is expanding the 


28


existing Reya Vaya Bus Rapid 

Transit System to cover more areas 

in the city. The passenger rail 

agency of south African is rolling 

out approximately 7 224 new rolling 

units with a projected investment 

of R123-billion over 20 years. 

The city’s exisiting townships are 

also on the provinces radar for 

improvements. Kliptown and 

Alexandra will be revitalised as a 

priority as they are in a particularly 

sorry state of disrepair. 

New human settlements are 

also on the horizon, with R979.9- 

million set aside for provision of 

housing in Diepsloot, Fleurhof, 

Lion Park, Malibongwe Drive, 

Goud Rand and Lufhereng. A 

further R789.9-million had been 

allocated for new schools and 

refurbishment of existing classrooms, 

while R453.4-million and 

R263.4-million was set aside respectively 

for rehabilitating and 

building new roads and renovating 

and constructing new health 

facilities. 

Major infrastructure developments 

by the City of 

Johannesburg partnered with 

private sector are planned and 

will transform the spatial landscape 

of the Central Corridor. 

These include: 

■ Masingita City, an integrated 

commercial and industrial hub, 

is a R3-billion private investment 

that is expected to create 

15 500 jobs during its construction, 

which will begin in March. 

■ Rietfontein. With an investment 

of R20-billion, this will 

be a complete mixed-use 

node with more than 8 000 

proposed residential units, in- 

cluding commercial property, distribution and warehousing, retail 

and education facilities. 

■ Waterfall City, the largest city to be built in post-apartheid South 

Africa. The estimated investment during construction is R71-billion, 

with an estimated 100 000 jobs to be created by the project. 

■ The Modderfontein development will inject R84-billion into the 

economy of the Gauteng City Region and is expected to create 

150 000 jobs over the next 20 years. 

All these developments will have major socio-economic benefits 

with regard to decent employment and economic inclusion. Masinga 

City for instance will contribute to the township economy revitalisation 

by supporting township enterprises and SMMEs in Soweto, Lenasia 

and Bekkersdal/Randfontein. 

The Eastern Development Corridor 

The Eastern Development Corridor, which embraces much of 

Ekurhuleni, will undertake 29 industrial initiatives under the banner of 

Aerotropolis to revitalize manufacturing, aviation, logistics and transport 

industries linked to OR Tambo international airport. The footprint 

With regard to freight and logistics, Transnet’s investment in 

the inland ports of Tambo Springs and Sentrarand will also have 

a major impact in revitalising the economy of Ekurhuleni. The 

Tambo Springs inland port development will have an estimated 

R7.5-billion investment over five years. This project will create a 

total of 110 000 jobs over 15 years. 

Airports Company South Africa, Denel and major private sector 

companies are positioning themselves in line with the imperatives 

of the aerotropolis. There is huge potential for these projects 

to attract massive foreign direct investment into the OR 

Tambo IDZ and the SEZ. 

The Automotive Industry Development Centre (AIDC) has 

launched its second incubation centre in Rosslyn, Tshwane, to 

accelerate the development of sustainable SMMEs within the 

vehicle assembly industry. The establishment of a freight and 

logistics hub to support the industry is also on the cards. 

Working with the private sector, Tshwane will also continue rolling 

out free WiFi within the City, with R150-million invested in 

this initiative to date. The development of the African Gateway 

in the heart of Centurion in partnership with the private sector 

will comprise South Africa’s largest convention centre, an hotel, 

residential, commercial and additional office space and will create 

a more resilient economic node in Centurion. 


FOCUS 

With a private sector investment of more than R4-billion, this 

development will stimulate much needed economic activity 

in this corridor. The development is estimated to be worth between 

R7- and R11-billion, and will create up to 7 500 jobs in the 

construction phase alone. The new Vaal River City will comprise 

a unique residential and commercial development. 

The second area of focus is to unlock the agricultural potential 

of Sedibeng as the food basket of the Gauteng City Region and 

position the region as an Agropolis. In this regard, they are working 

with the private sector to support 32 black farmers to plant 

barley and maize to be supplied to the nearby Heineken Brewery. 

The project will create 1 000 permanent jobs per annum over 

three years. The Department of Agriculture would also establish 

an agri-park linked to township revitalisation near Sebokeng 

Zone 10 Industrial Area. 

Also in this corridor, they will continue to support the Gauteng 

Highlands development, a mixed-use development comprising 

industrial and residential space. This is a R40-billion investment 

aimed at creating 25 000 direct and indirect jobs,” said Makhura. 

For the southern corridor, R1.5-billion had been set aside for 

housing, services, new schools, rehabilitation and upgrade 

of roads, in particular R82 Phase 2 between Walkerville and 

Vereeniging, and maintenance and rehabilitation of health 

facilities.The Department of Human Settlement has set aside 

R892-million which will go toward building more than 120 000 

houses in Sedibeng over the next five years. 

The Southern Corridor 

In the Southern Corridor, which 

represents the Sedibeng district 

and the Vaal triangle, government’s 

goal is to shift the economy 

away from its overreliance 

on the steel industry and diversify 

to include tourism and entertainment, 

agro-processing, logistics. 

The development of the new 

Vaal River City (hydropolis) aims 

to unlock the potential of the 

waterfront developments in the 

Emfuleni and Midvaal areas. The 

second area of focus is to unof 

the Aerotropolis will also cover Lanseria Airport in Johannesburg 

and Wonderboom Airport in Tshwane. Because of the interregional 

nature and transformative magnitude of the Aerotropolis this project 

has now been elevated to being a Gauteng City Region-wide initiative. 

There are also a number of other unfolding initiatives by stateowned 

companies that will contribute to the reindustrialisation 

of Ekurhuleni . Worth mentioning is Tambo Springs Inland Port 

Development Project estimated to receive R7.5-billion investment 

over the next five years. 

Contributing further to the geographical and spatial change 

planned within the corridor, the provincial government will roll out 

the Bus Rapid Transit System and plans to build more than 100 000 

housing units in Chief Albert Luthuli, John Dube Extension 2, Tsakane 

Extension 22, Germiston South, Leeuwpoort, Rietfontein and Claysville 

Extension 45. 

The Northern Corridor 

The Northern Corridor is centred 

both around Pretoria, as South 

Africa’s administrative capital and 

Tshwane, South Africa’s capital 

city. The main economic drivers 

are the automotive sector and its 

research, development and innovation 

capacity. Along this vein, 

the West Capital development 

project will include the development 

of a student village, sport 

incubatory centre, retail and commercial 

components, inner city 

housing and health facilities. 

The City of Tshwane will further 

invest R525-million to establish 

a Business Process Outsourcing 

Park in Hammanskraal. The Park 

will offer on-site training, technical 

support and incubators for 

SMMEs. The project is expected 

to create over 1 000 jobs during 

construction and over 1 000 indirect 

jobs. Of the R2-billion set 

aside for this corridor, human settlements 

again absorbs the lion’s 

share of R964.2-million, of which 

over R400-million has been set 

aside for the Soshanguve and 

Hammanskraal vicinity. 


30

FOCUS 

lock the agricultural potential of 

Sedibeng as the food basket of 

the Gauteng City Region and position 

the region as an Agropolis. 

The Western Corridor 

In the fourth corridor, the Western 

Corridor, the West Rand district 

has experienced significant de-industrialisation 

due to the decline 

of the mining industry, which was 

the main employer and source of 

revenue for municipalities. 

Going forward the economy 

of the Western Corridor will focus 

on the green and blue economy 

initiatives, tourism, agro-processing 

and logistics. The Lanseria 

Airport and Maropeng World 

Heritage Site will be the main 

anchors of the new city and new 

economy of the West Rand. 

Overview 

Both, the western and southern 

corridors will see the creation of 

new industries, new economic 

nodes and new cities, affirming 

Makhura account, “Gone are the days when some regions and municipalities 

will be neglected as the Cinderella’s on the periphery of 

the provincial economy. 

We need deliberate and conscious action by the entire city region 

leadership to reverse spatial injustice and economic marginalisation 

of Sedibeng and the West Rand.” 

Through the above cited initiatives, Gauteng aims to invest in 

economic infrastructure as the key stimulator of growth, while also 

pursuing infrastructure partnerships with the private sector. 

The provincial government is working with the municipalities and 

private sector partners to unlock the potential of the Lanseria 

Airport logistics hub. Thus far the private sector is injecting at 

least R500-million in Capex for the development of the airport, 

with over R10-billion expected to be invested in Lanseria over the 

next 15 years. Furthermore, working with national government 

and Busmark, they will support the manufacturing of coaches 

to supply various mass transit bus fleets. 

The corridor will be positioned as a hub of agriculture and agroprocessing, 

and work is underway to leverage the corridor’s high 

value horticultural potential. As part of the transformation of 

the agricultural sector, to ensure food-security and in order to 

stimulate economic activity in the corridor, government has 

invested in the Randfontien milling facility. In addition, publicprivate 

partnership will see the development of aquaculture 

projects, such as the prawn farming facility. This initiative will 

create a total of 6 512 jobs in the West Rand over three years. 



Transformation, Modernisation 

and Reindustrialisation 

Transformation remains a key focus of the Gauteng Provincial Government (GPG), 

with an ambitious plan afoot to make Gauteng an integrated city-region characterised 

by social cohesion and economic inclusion over the next five-to-15 years. 

Premier David Makhura’s government is committed to the initiative 

and says it will take decisive steps to implement it. The 

Premier announced during his maiden State of the Province 

Address that his administration has adopted a multi-pillar 

programme of radical transformation, modernisation and reindustrialisation 

of Gauteng. 

Over the next five years GPG is determined to revitalise and mainstream 

the township economy by supporting the development of 

township enterprises, cooperatives and SMMEs that will produce goods 

and services that meet the needs of township residents. 

Key sectors with the potential to address the twin policy imperatives 

of creating decent employment and greater economic inclusion have 

been identified. These sectors include finance, automotive industry, 

manufacturing, ICT, tourism, pharmaceuticals, creative industries, construction 

and real estate. 

THE GPG SAYS IT WILL INSIST ON 

PLANNED AND INTEGRATED URBAN 

DEVELOPMENT WHICH WILL ENABLE 

IT TO BUILD MORE INTEGRATED AND 

SUSTAINABLE HUMAN SETTLEMENTS 

SMMEs and township enterprises will by no means be overlooked, 

with firm undertakings having been made to bring these key sectors 

into the mainstream economy. 

The GPG says it will work with research institutions to vigorously 

promote innovation within the provincial economy and fast-track 

the development of new industries that will usher Gauteng into an 

innovation-driven, knowledge-based, smart and green economy. 

The government will also put 

the focus on the reindustrialisation 

of the Gauteng economy 

through strategic infrastructure 

development. This involves a 

massive rollout of public transport 

infrastructure across the 

province which will be utilised 

to revitalise and modernise old 

industries that will locally manufacture 

or assemble buses, trains 

and locomotives. 

In a significant boost to employment 

and economic inclusion, 

the provincial government 

and municipalities will procure 

75% of all goods and services 

from South African producers, 

especially SMMEs. 

Decisive spatial 

transformation 

In what is seen as a bold measure, 

the provincial government wants 

to radically transform the spaces 

people live in by connecting and 

integrating places of work and human 

settlements. 

The GPG has noted that 

even after the end of apartheid, 

government has continued to 

build houses and human settlements 

that reproduce the 

spatial legacy of apartheid – far 

from work and the majority of 


32


economic opportunities, and 

away from public transport 

nodes. In the next five to 15 years 

it intends to turn the tide against 

the current spatial patterns of 

apartheid in pursuit of spatial 

transformation and modernisation 

of human settlements across 

the province. 

The GPG says it will insist on 

planned and integrated urban 

development which will enable 

it to build more integrated and 

sustainable human settlements 

and communities that are inclusive 

and diverse. In addition, 

radical steps will be taken to transform 

the spatial configuration and 

landscape of Gauteng province 

through better and coordinated 

land use management and spatial 

development. 

Municipalities and stateowned 

land will also be brought 

into the picture, to ensure that a 

new built environment and inclusive 

spatial landscape emerges 

across the Gauteng city-region. 

This will be done through public 

transport infrastructure development 

and the creation of new integrated 

and sustainable human 

settlements and post-apartheid 

cities that are more connected, 

livable, smart and green. 

Accelerated spatial 

transformation 

Economic and spatial transformation 

must be underpinned by 

– and support – an accelerated 

programme of social transformation, 

at the centre of which is 

raising the living standards and 

quality of life of all the people of 

Gauteng. At the centre of Gauteng’s social transformation is its 

determination to improve the quality of education and healthcare, 

provide social protection to the vulnerable (in particular women 

and children) and to eradicate poverty and build social cohesion 

and social solidarity. 



Modernisation of the 

public service 

The GPG says it recognises that 

radical socioeconomic transformation 

cannot occur without 

fundamentally changing the 

way state institutions relate to 

society. As public officials and 

public servants, the GPG has to 

radically transform its attitudes 

and behaviour towards the public 

to reassert the dictum that it 

is there to serve the people, and 

not the other way round. 

“I am more convinced that we 

have to radically change the way 

government works in order to 

place service to the people at the 

centre of our work. It is for this 

reason that we have adopted the 

notion of an activist government 

as part of building a capable and 

developmental state envisaged 

in the RDP and more recently 

the National Development Plan, 

Vision 2030,” said Makhura. 

Dealing with – and eradicating 

– corruption among public 

officials and public servants 

(including in the private sector) 

is vital to the success of the 

initiative. The GPG will introduce 

measures to strengthen the integrity 

of public institutions and 

public processes so that fraud 

and corruption are prevented 

and detected early in the value 

chain in order to prevent losses. 

Makhura added it was not 

enough to simply talk about 

fighting corruption. “We have to 

demonstrate in action that corruption 

will not be tolerated in 

this administration,” he noted. 


34


Reindustrialisation of 

Gauteng province 

The reindustrialisation of the 

Gauteng economy through strategic 

infrastructure development 

is also top of the GPG’s agenda. 

The massive rollout of public 

transport infrastructure across the 

province will be utilised to revitalise 

and modernise old industries 

that will locally manufacture or assemble 

buses, trains and locomotives. 

In order to boost employment 

and economic inclusion, 

the provincial government and 

municipalities will procure 75% of 

all goods and services from South 

African producers, especially 

SMMEs, township enterprises and 

black-owned, women and youth 

enterprises. 

The government is working 

closely with state-owned enterprises 

PRASA and TRANSNET 

in order to re-industrialise our 

province and build economic 

infrastructure that will boost employment 

creation and economic 

inclusion through investing more 

than R300-billion in post, freight, 

rail and pipeline capacity. 

Modernisation of 

public transport 

infrastructure 

There can be no doubt that 

Gauteng will look different over 

the next five to 15 years to what 

it does today. Combined with 

public transport infrastructure 

rollout and the development 

of the Aerotropolis and the OR 

Tambo Special Economic Zone, and driven by the provincial government 

and municipalities, this infrastructure investment has major 

potential to create more than 300 000 jobs and boost the development 

of new SMMEs and township enterprises that are owned and managed 

by black people, women and youth. Over the next six months the 

Gauteng government will outline detailed plans in this regard. New 

post-apartheid cities will be a combination of modern public transport 

modes, integrated and sustainable human settlements that are socially 

and economically inclusive, and promote urban green development. 

Particular attention will be paid to the West Rand and Sedibeng regions 

in order to revitalise their economies and connect them to the 

economic centres of the Gauteng city-region. 

Modernisation of the economy 

Premier Makhura noted that township entrepreneurs were capable 

of producing food such as bread for school nutrition and hospitals, 

clothes for school and police uniforms as well as furniture for government 

offices. This will bring millions of township residents into the 

mainstream of the economy. 

“We shall convene a summit with township entrepreneurs and 

SMMEs in the next 200 hundred days – or around 6 months - to develop 

a detailed Programme of Action,” he confirmed. In addition, the 

provincial government has identified key sectors that have the potential 

to address the twin policy imperatives of creating decent employment 

and greater economic inclusion. These sectors include finance, 

automotive industry, manufacturing, ICT, tourism, pharmaceuticals, 

creative industries, construction and real estate. 

The promotion of new SMMEs and township enterprises will also 

be brought into these key sectors of the economy. In the near future, 

the provincial government will enter into serious dialogue with the 

private sector players in each of these sectors in order to hammer out 

consensus on how they can unlock the potential of these key sectors 

of the provincial economy to create more decent jobs and be more 

inclusive of blacks, women and youth. 

CONTACT INFO 

Physical address: 94 Main Street, Matlotlo House, Johannesburg 

Postal address: Private Bag X 091, Marshalltown, 2107 

Tel: 011 355 8000 

Fax: 011 355 8694 

www.ecodev.gpg.gov.za 



Township Economic Revitalisation 

Premier Makhura boosts investment in Ndlelanhle Khuzwayo. 

Township enterprises, cooperatives and SMMEs that produce 

goods and services that meet the needs of township residents 

are at the heart of the Gauteng Provincial Government’s (GPG) 

drive to revitalise and mainstream the township economy 

through supporting the development of township enterprises, cooperatives 

and SMMEs. 

The Township Economy Revitalisation (TER) project is integral to 

the five-year plan of the provincial government that aims to radically 

“Transform, Modernise and Re-Industrialise” Gauteng. The intention is 

to build a seamlessly integrated, socially cohesive and economically 

inclusive City Region. 

This follows the staging last year by the GPG of the Township 

Economy Revitalisation Summit, which was preceded by consultations 

with more than 50 000 township entrepreneurs from 65 townships. 

From these extensive consultations a strategy was created through 

which an enabling environment and a detailed programme of action 

can be established. 

It remains a fact that the level of entrepreneurship in South 

Africa is one of the lowest in the world, being ranked 27th out of 

59 countries in terms of the primary measure of entrepreneurship. 

According to a survey by the 

Global Entrepreneurship Monitor 

(GEM) in 2012, almost 4 400 small 

businesses closed down in South 

Africa due to a lack of funding. 

Unfortunately, the 2012 GEM survey 

also indicated declining levels 

of local entrepreneurship, from 

a reported 9.1% in 2011 down to 

7.3% in 2012. As accentuated in the 

Township Economy Revitalisation 

Strategy, the majority of the township 

enterprises operate on a 

small scale and would certainly 

have suffered as a consequence 

of this drop in performance. 

The recent emergence of 

shopping malls in the townships 

has also had a negative impact on 

small businesses. This is one of the 


36


reasons why the provincial government 

aims to partner with the 

corporate sector, township enterprises 

and local government to 

promote investment in the township 

economy and the development 

of township enterprises and 

cooperatives. The Cooperatives 

Banks Development Agency will 

work with the GPG to facilitate 

the establishment of cooperative 

banks that are owned by communities 

(including burial societies 

and stokvels) as part of promoting 

financial inclusion and broadening 

access to credit by township 

enterprises and communities. 

According to the Premier, the 

GPG currently spends at least 5% 

of its R10-billion procurement 

budget for goods and services 

that are provided by township 

enterprises. 

“We have now committed to set 

aside 30% of public procurement 

budget for township enterprises 

over the next five years,” he said. 

Seven new 

township hubs 

The key role that township hubs 

play in transferring skills and creating 

employment in the townships 

has also been recognised. 

Seven new township hubs will 

be established in Ennerdale, 

Hammanskraal, Mabopane and 

Reiger Park. Additionally, Industrial 

Parks in Katlehong, Orlando, 

Residentia, Khutsong and 

Ennerdale will be revitalised, while 

there will also be a strengthening 

of the three existing township 

economic hubs in Mohlakeng, 

Winterveld and Diepsloot. 

In another development, a R1.6-billion investment has been made 

in Diepsloot, from which about 160 township entrepreneurs who 

are involved in light manufacturing and other productive activities 

will benefit. Called the Riversands/Diepsloot SMME Incubation Hub, 

with state-of-art facilities, this is an exciting and far-reaching initiative. 

Township hubs allow entrepreneurs to concentrate on managing 

their business without being perturbed by having to plan and build infrastructure 

for their operations. Meanwhile, the Gauteng Department 

of Economic Development will embark on a comprehensive education 

and awareness campaign to empower townships businesses and 

entrepreneurs in terms of business formalisation and registration. The 

campaign is titled Qondisa Ishishini Lakho, and it aims to build confidence 

in township-based enterprises in addition to registering in the 

region of 10 000 Small, Medium and Macro Enterprises (SMMEs) across 

the five regions of the province to create a conducive environment for 

entrepreneurs and also to transform Gauteng townships from being 

reservoirs of cheap labour to being the pulse of the economy, where 

every rand generated from the township economy circulates within 

the township in order to benefit township residents. 

Revitalisation of the township economy 

Gauteng Premier David Makhura believes firmly that the province 

is committed to placing the township economy at the centre of its 

programme for radical economic transformation. 

“Townships can no longer be mere sites for the reproduction of 

cheap labour and for trading of goods and services that township 

communities do not produce,” he said. He added that in the interactions 

his government had with townships residents through the 2015 

Provincial Township Economy Revitalisation Summit that they had 

“agreed on the key steps needed to radically transform our townships 

from their historic role as reservoirs of cheap labour into centres for 

productive and light manufacturing activity. Our consultations have 

produced a strategy through which we will create an enabling and 

supportive environment for existing and future township enterprises 

to grow and flourish”. 

Makhura also confirmed that the township economy is now firmly 

part of the government’s national economic policy. 

During his State of the Nation Address (and subsequent response to 

the debate on the Address), President Zuma indicated that “economic 

transformation to unlock growth also means improving the support 

provided to small enterprises especially township and rural enterprises 

which will promote economic activities at local level”. 

The Provincial Government has already committed more than 

R160-million to the township economy. In the 2015/16 financial year 

it allocated more than R300-million to support township enterprises 

and cooperatives and, at the same time, municipalities have made 



substantial investments in the township economy, focusing on township 

enterprise hubs. 

Over the next five years the City of Johannesburg (a component of 

the township economy) has set aside R3-billion, Tshwane R22-million 

and Ekurhuleni R150-million to support the township economy and 

township entrepreneurs. 

Some government vehicles will be repaired by township-based enterprises 

at selected repair hubs that are supported by the Automotive 

Industry Development Centre (AIDC). 

Makhura also highlighted the fact that the infrastructure investment 

programme focuses on the following key areas: 

• Public Transport 

• Broadening the Energy Mix 

• ICT and Broadband 

• Water and Sanitation 

“Over the next four years, as the Gauteng Provincial Government 

our total investment in infrastructure development will be more than 

R32-billion, while Gauteng municipalities will spend R94-billion over 

the next five years. This investment will have a massive multiplier effect 

on the economy of the Gauteng City Region. We have adopted 

a 25-year integrated transport master plan focusing on developing a 

city region wide transport system and an efficient transport network 

to underpin spatial transformation and inclusive growth. 

“As part of strengthening our investment in public transport, we 

are conducting a feasibility study with a view to expanding the existing 

Gautrain Rapid Rail System. We have already outlined the work 

being done together with municipalities in investing in the rollout of 

Bus Rapid Transit systems in the 

metros,” said Makhura. 

He added that his government 

had also indicated the extent 

to which PRASA’s new rolling 

stock of passenger coaches 

will revitalise and modernise 

the public transport infrastructure 

and create a major stimulus 

for re-industrialisation and local 

production. 

“We wish to reiterate that 

only a massive increase in public 

transport infrastructure, including 

a significant expansion 

of the rail network, will help us 

drive industrialisation and spatial 

transformation. More innovative 

solutions will be required 

to fund public transport and 

infrastructure requirements. I 

also wish to reiterate that transformation, 

modernisation and 

re-industrialisation will not be 

possible without paying serious 

attention to the critical issue of 

energy security. 


38


“In order to broaden the energy 

mix plan in the Gauteng City 

Region, we adopted a plan with 

six interventions. We have been 

working with municipalities to finalise 

plans to bring in additional 

1200 megawatts of electricity by 

increasing generation capacity 

of the current coal-fired power 

stations in Tshwane (Rooiwal and 

Pretoria West Power) and Joburg 

(Kelvin Station),” he said. 

The other interventions included 

installing rooftop solar 

panels for all government buildings 

(it is estimated that there is 

available 8 million square metres 

of rooftop space suitable for 

such installations, which could 

generate 300-500 megawatts 

of electricity), implementing a 

programme to retrofit coal-fired 

boilers with natural gas and implementing 

the Tri-generation 

programme in six hospitals (Trigeneration 

is a technology that 

enables the production of electricity 

for heating and cooling using 

gas). In addition, they are also 

initiating their waste-to-energy 

programme (aimed at converting 

waste from government 

facilities into bio-gas) and continuing 

their energy efficiency 

programme through which government 

aims to replace existing 

lights in all government facilities 

and government buildings with 

LED lights. 

“We have thus far replaced 45 

000 lights in our health facilities 

alone,” confirmed the Premier. 

“Working together with the 

private sector, we will also invest 

in local solar technologies. 

In this regard, we are supporting 

an initiative by the University of 

Johannesburg and the private sector to build a manufacturing plant 

and a solar plant in Gauteng,” he added. 

The provincial government continues to invest in ICT infrastructure 

and, most importantly, in e-government services. The Provincial 

Government’s total investment in ICT infrastructure has been budgeted 

as more than R300-million over the next three years. It also works 

with private sector network companies to discuss how it can fasttrack 

the realisation of its goal of achieving 100% connectivity over 

the next five years in order to unleash the potential of the local ICT 

industry and, thereby, to promote SMME development and township 

economy revitalisation. 

Makhura noted that water scarcity can serve as a major stumbling 

block to the achievement of the goals of the TMR. 

“In Gauteng, we are working with national government and municipalities 

to address major concerns pertaining to water security and 

infrastructure development. The recent water supply interruptions 

have brought to the fore these concerns. 

We have established a water and sanitation coordinating forum 

which will enable us to rapidly develop and implement a City Regionwide 

plan on water and security, including on the urgent need to find 

a strategic solution to the problem of Acid Mine Drainage,” concluded 

the Premier. 

CONTACT INFO 

Physical address: 94 Main Street, Matlotlo House, Johannesburg 

Postal address: Private Bag X 091, Marshalltown, 2107 

Tel: 011 355 8000 

Fax: 011 355 8694 

www.ecodev.gpg.gov.za 



The cost of doing business 

in Gauteng 

The cost of doing business in Gauteng is of key interest to investors and business owners 

looking to explore opportunities within this diverse economy – and the good news is that it 

is cheaper to do business here than in many of its overseas competition. 

With an average petrol price of US$5.06 per gallon (approximately 

R11.75 per litre), South Africa ranked 19th out of 60 countries in a 

2013 study comparing petrol prices. According to the study, petrol in 

South Africa is more expensive in comparison to Egypt (ranked 3rd) 

and Nigeria (ranked 6th), the other African countries included on the 

list. South Africa fares somewhat more favourably when compared 

with her BRIC counterparts (except Russia): petrol prices are higher in 

Brazil (ranked 21st at R12.54 per litre), similar in India (ranked 18th at 

R11.61 per litre) and China (ranked 15th at R11 per litre), and considerably 

lower in Russia (ranked 10th 

at R8.06 per litre). 

Electricity supply 

and tariffs 

With infrastructure spend of key importance to government, 

every effort is being made to create as competitive 

working environment as possible in the bustling 

greater Gauteng region, to stimulate further growth 

and aid job creation. This article explores some of the daily costs that 

companies and commuters can expect to pay. 

Petrol prices and other transport costs 

In recent years, South Africa’s 

electricity supply capacity has 

come under increasing pressure, 

with moribund infrastructure 

and capacity shortages necessitating 

the introduction of loadshedding 

around two years ago. 

As a result, Eskom, South Africa’s 

state-owned power generator 

and transmitter, has faced growing 

pressure amid ever-increasing 

demand for electricity. 

Labour, water and 

communication costs 

A 2012 report by UBS indicated 

that in 2009, Paris (France) had the 

shortest annual working hours of 

1 558 hours a year. Johannesburg 

(South Africa) reported an average 

1 887 hours a year, whereas Seoul 

reported 2 308 working hours a 

year. Comparing telephone costs 

for local calls globally, South Africa 

charged 7 US cents per threeminute 

call. The United Kingdom, 

on the other hand, charged 17 US 

cents for the same call. 


40

Transport options 

Motor vehicle: As much as 

R23-billion has been spent on 

upgrading the road network 

across Gauteng. South African 

National Roads Agency Limited’s 

(SANRAL) Gauteng Freeway 

Improvement Project (GFIP) represents 

a key element of this programme 

of upgrades, and is set 

to drastically reduce travel times 

and traffic congestion along key 

routes within the province’s urban 

centres. It will also improve 

accessibility into Gauteng and 

inject approximately R29-billion 

into the economy. 

Rail and bus 

In recent years, a great deal of 

attention has been placed on 

upgrading the capacity of South 

Africa’s rail network and infrastructure. 

The Passenger Rail Agency 

of South Africa (PRASA) is set to 

spend R123-billion in the acquisition 

of 7 224 new trains, which will 

be added to its fleet at a proportional 

rate every year over the next 

two decades. General Electric is 

also partnering with Transnet to 

produce new locomotives for use 

within South Africa. 

A variety of public transport 

bus services are available in major 

urban centres within Gauteng. 

These include the Rea Vaya BRT 

System, Metrobus and Gautrain 

bus services. In Johannesburg, 

the one-way cost of a Rea Vaya 

bus ticket ranges from R5.50 on 

inner city circular routes and R8.50 

on trunk routes (the main routes 

from one destination to another), 

to R12.00 for the full trip from the feeder routes to the Central Business 

District (CBD). 

Taxi 

Metered taxi cabs in Gauteng typically charge R10 per kilometre 

with a flag rate of up to R50, although this can vary significantly 

depending on the company. This is relatively expensive when 

compared with equivalent fares charged by taxi cabs in other large 

cities internationally. For instance, the standard taxi fare in New York 

City is around US$2.50 upon entry and an additional US$0.5 for each 

one-fifth of a mile, which equates to a flag rate of approximately 

R23 and an additional charge of R5 for every 1.6 kilometres. 

Office rentals 

Rental rates for commercial property in South Africa are relatively 

affordable by most international comparisons. In 2010, the cost of 

rent for the average store owner in Johannesburg amounted to 

just 4 percent of that paid by his or her counterpart in London’s 

West End. In that same year, Johannesburg, together with Durban 

and Cape Town, were ranked as the most affordable destinations 

in terms of the cost of office rentals out of 55 cities worldwide, 

with rental rates varying between R110 per square metre and R140 

per square metre. 

Starting a business in Gauteng 


There are various types of business structures available in South 

Africa, namely sole proprietor, private company, public company, 

partnership, business trust, non-profit organisations, joint ventures 

and an external company (which is a branch of a foreign company). 

Ease of doing business comparisons with other countries 

At the global level, South Africa performs relatively well along a 

number of cross-country measures of competitiveness and the ease 

of doing business. In 2010/11, the World Economic Forum’s Global 

Competitiveness Report ranked South Africa in 54th position out of 

139 countries. In the latest Doing Business report produced by the 

World Bank, South Africa was ranked first out of 185 countries for the 

ease of acquiring credit; and also ranked relatively highly in terms of 

investor protection (10th). 



BRICS 

South Africa outranks her BRIC counterparts in terms of the overall 

ease of doing business. China (91st), Russia (112th), Brazil (130th) and 

India (132nd) are all ranked well below South Africa on the World Bank’s 

ease of doing business index. 

Overall 

ranking 

THE EASE OF DOING BUSINESS IN SOUTH AFRICA 

Starting a 

business 

Dealing with 

construction permits 

Getting 

electricity 

Registering 

property 

Brazil 130 121 131 60 109 

Russia 112 101 178 184 46 

India 132 173 182 105 94 

China 91 151 181 114 44 

South 

Africa 

39 53 39 150 79 

Ease of Doing Business — BRICS Countries 2013 

SOURCE: WORLD BANK 2013 

THE EASE OF DOING BUSINESS IN SOUTH AFRICA 

Overall 

ranking 

Getting 

credit 

Protecting 

investores 

Paying 

taxes 

Trading across 

borders 

Enforcing 

contracts 

Resolving 

insolvency 

Brazil 130 104 82 156 123 116 143 

Russia 112 104 117 64 162 11 116 

India 132 23 49 152 127 184 116 

China 91 70 100 122 68 19 82 

South 

Africa 

39 1 10 32 115 82 84 

Ease of Doing Business — BRICS Countries 2013 

SOURCE: WORLD BANK 2013 


42

Incentives 


As with any growing economy, business incentives are a vital component to getting new 

projects off the ground, especially during tough economic times. Discover which sectors 

are most suitable when perusing incentives in Gauteng, a province that prides itself on 

facilitating development. 

It must be noted firstly that the South African Government is giving 

consideration to expanding incentives for labour-intensive projects 

undertaken within IDZs to stimulate job creation, making that a 

prime area of investment. 

Urban Development Allowances 

For the construction of buildings, investors and firms can benefit from 

deductible allowances of up to 20 percent of the costs incurred in 

the development of new buildings or the refurbishment of existing 

buildings in designated urban development zones. 

Infrastructure Development 

In the case of infrastructure investments, a tax deduction of assets 

owned for the erection of pipelines, transmission lines and railway lines 

is available to encourage investment in local infrastructure. 

Public Private Partnerships 

Tax exemptions are provided for qualifying government grants that are 

utilised for the improvement of state-owned property. The objective 

of these exemptions is to encourage the private sector to invest in 

infrastructure in partnership with the public sector. 

Tax Incentives 

Preferential Corporate Tax Rate for Small Business Corporations Small 

and medium enterprises (SMEs) whose gross annual income does 

not exceed R14-million, are eligible for income tax deductions. The 

tax rates applicable to qualifying enterprises vary depending on their 

level of income. 

Research and 

Development 

Tax deductions of up to 150 percent 

are available for operational 

expenditure incurred during the 

discovery of new information, as 

well as in developing, designing 

and inventing programmes of a 

scientific or technological nature. 

Depreciation Allowances 

In the case of commercial buildings, 

a depreciation of 5 percent 

per annum is allowed on new or 

unused buildings, as well as for 

improvements used in the production 

of income. To qualify for 

the depreciation allowance, the 

building must be owned by a 

taxpayer. 

Rolling Stock Depreciation 

Tax deductions of 20 percent per 

annum are available for costs incurred 

in respect of rolling stock 

(trains, carriages and similar transportation 

modes) brought into 

use on or after 1 January 2008. 

The principal objective of allowable 

deductions on expenditure 

on rolling stock is to encourage 



the development of rail transportation 

infrastructure. 

Environmental 

Expenditure Deductions 

and Allowances 

Expenditures on a range of environmentally 

friendly equipment 

also qualify for tax incentives. For 

instance, expenditure on environmental 

treatment, recycling 

assets and environmental waste 

disposal assets that are supplemental 

to a particular manufacturing 

process is eligible for a tax 

deduction of between 5 and 40 

percent per annum. 

Carbon Reducing Changes 

A tax exemption is available for 

companies whose revenues are 

derived from primary Certified 

Emission Reductions. It is applicable 

for all revenues received in 

respect of disposal on or after 11 

February 2009. 

Research and 

Development Incentives 

The Support Programme for 

Industrial Innovation (SPII) provides 

financial assistance to all 

manufacturing or software development 

enterprises that are 

registered in South Africa and 

engage in the development of 

innovative, competitive products 

and/or processes that promote 

technology development in the 

country. 

Enterprise Development Incentives 

• Grants – Critical Infrastructure Programme: 

Through the Critical Infrastructure Programme, cash grants amounting 

to between 10 and 30 percent of infrastructure development costs are 

available for new or expanding enterprises that invest in infrastructure 

such as roads, railways, electricity transmission and distribution, water 

pipelines, telecommunication networks and sewage systems. 

• Grants – Local Economic Development Programme 

Through the Local Economic Development Programme, grants of 

up to 70 percent are available for projects that create an enabling 

environment for investment in key areas. This is seen as critical to the 

development of markets that facilitate linkages between established 

and emerging sectors in these areas. 

• Grants – Business Process Service Sector 

In order to attract investment into the Business Process Service sector, 

grants of up to R112 000 per offshore job created, and an additional 

bonus structure is available to local and foreign investors that create 

jobs in South Africa to serve offshore clients. 

• Tax Exemptions – Manufacturing Investment Programme 

In order to stimulate local and foreign capital investment in productive 

qualifying assets and manufacturing, a tax-exempt reimbursable cash 

grant is available through the Manufacturing Investment Programme 

for investors in new or expansion projects in the South African manufacturing 

sector. 

• Grants – Foreign Investment Grant 

The Foreign Investment Grant is designed to encourage foreign businesses 

to invest in manufacturing companies in South Africa by assisting 

in the cost of transporting productive qualifying assets to the 

country. 

• Tax Exemptions – Local and Foreign Direct Investment in Industrial 

Policy Projects 

A tax incentive – in the form of an additional tax allowance – is available 

to promote local and foreign direct investment in industrial policy 

projects in South Africa. The additional tax allowance is provided for 

up to 55 percent of the cost of any manufacturing asset used in a 

qualifying industrial policy project and allocated preferred status (the 

allowance is 35 percent for other projects). 

• Grants – Tourism Enterprise Support Programme (TEP) 

The TEP assists large operators, investors, SMMEs and historically dis- 


44


advantaged entrepreneurs and enterprises in obtaining the requisite 

professional services such as ISO/SABS quality certification, debt and 

equity finance, proper business planning, packaging, legal advice, 

technology needs and marketing. 

• Grants – Co-operative Incentive Scheme (CIS) 

Cost-sharing grants are provided through the CIS to co-operative 

enterprises with a view to enhancing the competitiveness and viability 

of these enterprises. The CIS programme provides matching 

grants of 90 percent (up to a maximum of R300 000) for costs related 

to business development. 

• Grants – Small Enterprise Development Agency (SEDA) Technology 

Programme (STP) 

The STP offers a range of services and financial assistance to small 

enterprises, particularly those operating in the informal sector. 

Export Incentives 

• Grants – Emerging Exporters Development Programme 

The Emerging Exporters Development Programme offers financial 

support to export councils, industry associations, provincial investment 

promotion and economic development agencies, business chambers, 

and SEDA with a view to assisting these organisations to promote the 

development of emerging exporters. 

• Grants – Capital Projects Feasibility Programme 

The Capital Projects Feasibility Programme provides grants to South 

African registered companies to undertake feasibility studies. The value 

of the grants range between R100 000 and R5-million; and, in the case 

of feasibility studies for projects outside of Africa, grants are capped at 

a maximum of 55 percent of the total cost of the study. 

• Rebates – Imported goods, raw materials and components used 

in the manufacture or processing of goods for export 

Tax Exemptions – Limiting the VAT registration and administrative 

burden faced by non-residents 

VAT exemptions are available through licensed customs and excise 

storage warehouses in South Africa in order to limit the VAT registration 

and administrative burden faced by non-residents. 

• Export Incentives – Industry-specific 

The primary objective of the Clothing and Textile Competitiveness 

Improvement Programme (CTCIP) is to build capacity in manufacturing 

and in other areas of the apparel value chain in South Africa. The incentives 

are provided in the form of 

a matching grant of 75 percent of 

project costs on cluster projects 

and 65 percent of project costs for 

company level projects. 

Industrial Financing 

Finance is available through 

the Industrial Development 

Corporation (IDC) at a competitive 

risk-relative interest rate to 

promote the establishment of 

permanent infrastructure Equity 

funding amounting to between 

R1-million and R30-million per 

project (with maximum firstround 

funding of R15-million and 

the right, but not obligation, to 

provide follow-on funding up to 

maximum of R30-million). 

Municipal Incentives 

Certain municipalities within 

Gauteng provide additional 

incentives that are specific to 

the municipal area. In this respect, 

location-specific incentives 

are available in both the 

City of Tshwane and the City 

of Johannesburg metropolitan 

municipalities. 


INTERVIEW 

Standard Bank Group, 

Gauteng Province 

We speak to Josh Zwane, Executive Provincial Head, 

of the Standard Bank Group for the Gauteng Province, 

about how the banking group is playing a role in the 

province’s development. 

Josh Zwane 

What is Standard Bank’s purpose in South Africa? 

As a personal and business bank in South Africa, our purpose is to improve 

lives and fulfil aspirations across the African continent. We believe 

that we can achieve this through our vision, which is to radically redefine 

client experience by understanding and delivering what matters to 

our customers. Broadly, it’s about making sure that we contribute to 

the growth of South Africa Inc. and making sure that we partner with 

all the necessary stakeholders to achieve our shared goal which is the 

growth of our country. 

What are your strategies to maximise on economic 

opportunities and the infrastructure development in 

Gauteng? 

As we partner with all the stakeholders necessary to contribute to the 

growth of Gauteng Province, we continue to grow our branch footprint, 

as well as our business banking and private banking infrastructure. 

There has been significant growth in our representation and footprint 

in the past few years. For example, we’ve established a fully-fledged 

branch in the Mall of the South, as well as our investment in the Mall 

of Africa which includes a new private banking suite in Waterfall City 

area (construction is due to be completed in 2016). In addition, we’ve 

invested in a new region and private banking suite in the Fourways area. 

BIOGRAPHY 

Josh Zwane is Executive Provincial 

Head, of the Standard 

Bank Group for the Gauteng 

Province. 

In what way is Standard Bank getting involved in all the 

major infrastructure development that is changing the 

Gauteng landscape? 

We intend to form strong ongoing partnerships with provincial government 

in its quest to improve the provincial infrastructure. There 

are a few points to be made; the first is that Gauteng is the number 

one economic hub of the country. The second is that Gauteng is 

the gateway for investment, including foreign direct investment and 

general investment into South Africa. The third is that, country’s capital 

being located within the Province provides further opportunity for us 

to interact more frequently with stakeholders, clients, and representatives 

of Embassies and other foreign government entities not based in 


46

South Africa. But it’s not just about 

the government or the embassies; 

it’s also about the opportunities 

that they set up that links them 

to the South African businessmen 

and women, and to the economy 

of South Africa. 

The province is constituted 

largely of the City of Joburg, 

the City of Tshwane (Pretoria), 

Ekurhuleni in the East and Mogale 

City in the Westrand. In addition, 

Joburg is establishing connections 

with other bigger cities outside of 

the continent, one such example being our relationship 

with New York and the New York City mayor. 

WE PARTNER WITH ALL THE 

STAKEHOLDERS NECESSARY 

TO CONTRIBUTE TO THE 

GROWTH OF GAUTENG 

PROVINCE 

How is Standard Bank Gauteng helping 

clients to do business with the rest of 

Africa? 

We’ve had a longstanding relationship with the 

Johannesburg Chamber of Commerce and Industry 

and, through our relationship with them, our clients 

have got interests in - and a real passion to expand 

into - the rest of the continent. We’ve been able to 

link our clients with opportunities as well as information 

around how they should go about expanding 

themselves throughout the continent. 

Our strategic partner, the Industrial and 

Commercial Bank of China (ICBC) and Standard 

Bank played a major role recently in terms of China 

and Africa trade. Our Group Chief Executive, Sim 

INTERVIEW 

Tshabalala and President Yi Huiman of the ICBC, headed 

the ICBC delegation at the Johannesburg Summit 

& The 6th Forum on China-Africa Cooperation 

(FOCAC) that was held in Johannesburg from the 

3 to 5 December 2015. 

Both spoke at the ICBC/Standard Bank China- 

Africa Investment Financing Cooperation Forum 

which took place on the side-lines of the Forum. It 

was here that our Group Chief Executive reaffirmed 

our bank’s commitment to deepening Sino-Africa 

relations through our strategic partnership with 

ICBC, which has long identified Africa as an important 

growth market. 

A definite highlight was the signing of a collaboration 

agreement between Standard Bank and ICBC 

to raise R10-billion to support South African power 

generation in the presence of China’s President Xi 

Jinping and South Africa’s President at the FOCAC 

Heads of Summit. 

CONTACT INFO 

Josh Zwane 

Cnr Bradford and Smith Street, 

Bedford Centre, Bedfordview 

Tel: 011 677 0402 

Email: Joshua.Zwane@standardbank.co.za 

Website: www.standardbank.co.za 


The Gautrain Rapid Rail Link 

The Gautrain Rapid Rail Link is the first rapid rail network in Africa, and offers 

an incredibly fast and convenient public transport service. The Gautrain has 

also presented the province with an opportunity to empower its citizens and 

to expand the economic activity of the province. 

CONTACT INFO 

Call Centre: 0800 4288 7246 

SMS alert line: 32693 

Website: www.gautrain.co.za 

Twitter: @TheGautrain 

Facebook: www.facebook.com/gautrain 


48


FOCUS 

The Gautrain has already contributed R20-billion to Gauteng’s GDP. 

The Gautrain rail connection comprises two 

links, one between Tshwane and Johannesburg 

and the other between OR Tambo 

International Airport and Sandton. The system 

offers a fast, convenient, safe and efficient public 

transport service. It now takes just 15 minutes to 

travel from Sandton to OR Tambo International Airport 

on the Gautrain, and 35 minutes from Pretoria in 

Tshwane to Park Station in Johannesburg. As from 11 

August 2014, the Gautrain’s airport 

service (Sandton to OR Tambo International 

Airport) was improved 

with earlier trains in the mornings 

and later trains in the evenings. 

Using a cash-free ticketing system 

and reloadable smart cards 

(the Gautrain Gold Card) makes 

travelling on the Gautrain quick 

and convenient. Passengers 

can buy their Gold Cards at any 

Gautrain stations as well as at approved 

service outlets. 

Buses and shuttles are available 

to transport passengers 

during weekdays to and from 

all stations, excluding the OR Tambo International 

Airport station. 

Since the start of operations in June 2010, various 

objectives have been met on the Gautrain systems 

and the overall system (trains, busses and parking) has 

performed extremely well. 

Approximately 55 000 passenger trips utilise the 

Gautrain train service on any given day, and on average 

21 000 bus passenger trips are recorded on a daily basis, 

The Gautrain’s dedicated bus service transports passengers between 

the station and the eastern, northern and southern suburbs. 


50

FOCUS 

Gautrain’s train, bus and parking 

services are all fully integrated and 

may be used separately or jointly by 

transfering from one to another 

and the Gautrain service has delivered at an excellence 

rate of 99% train availability and 98% train punctuality. 

A significant number of people have been employed 

on the project since its inception. It is estimated 

that, at the end of June 2012, the Gautrain 

Concessionaire had already created or sustained 

about 34 800 local direct jobs and an estimated total 

of 121 800 direct, indirect and induced jobs. 

An economic study conducted by KPMG in 2015 

has shown that the Gautrain has contributed R20- 

billion to Gauteng’s GDP and R46-billion to property 

development along its route since its development 

phase that ran from 2006 to the current day. The 

study also found that Gautengers are making public 

transport a mode of choice, with 77% of Gautrain’s 

current ridership making the modal shift from private 

cars to using the Gautrain. 

These Socio-Economic Devel op ment achievements 

are proof that the Gautrain is more than just a 

train but rather a sustainable project that continues 

to contribute to the economy and the people of 

Gauteng throughout. 

The Gautrain is not competing with other modes 

of public transport, such as taxis and buses, which all 

have an important role to play in the total transport 

system. The service comprises of a fleet of modern 

low-entrance and low-emission buses with comfortable 

seating, providing feeder and distribution services 

to and from the Gautrain stations. The municipal 

Bus Rapid Transport (BRT) services are also integrated 

with the Gautrain at some of the Gautrain stations. 

Commuters, therefore, do not have to experience the 

same frustrations and delays as motorists experience 

in terms of escalating traffic congestion. 

The Gautrain Management Agency was recently 

given the approval by Gauteng MEC for Roads and 

Transport, Dr Ismail Vadi, to conduct a feasibility study 

for a possible rapid rail extension to the Gauteng rail 

network as part of the Gauteng Province’s Integrated 

Transport Master Plan 2025. The results of this study 

will be available in mid-2016. 

The purpose of the feasibility study is to inform the 

decision to proceed with the Gauteng rail extensions 

and the preferred routes that should be developed. 

This is based on a number of benefits such as the 

transformational impact on the Gauteng economy, 

the modernisation of public transport, passenger 

access and mobility, improved spatial development, 

environmental impact, and numerous other benefits, 

such as job creation and poverty alleviation. 

The Gautrain provides commuters with a world-class travel experience. 


FOCUS 

Gautrain at a glance 

The background to the designing of the themes of the 10 stations along the Gautrain route 

portrays the diverse South African resources, technology, economy and culture. 

The future lifestyle trend in Gauteng will be 

to live, work and seek entertainment along 

Gautrain’s route. In anticipation of this new 

way of living, quiet suburbs and empty land 

are turning into high-density economic hubs, while 

inner city rejuvenation projects are mushrooming 

along with a multitude of infrastructure projects 

which will change the face of Gauteng. 

Centurion Station is almost in the middle of one 

of the longest viaducts (elevated section) on the 

Gautrain system stretching from the John Vorster 

N1 interchange in the south, and to Jean Avenue 

N14 interchange in the north. The station is situated 

near the Centurion Lake at West Avenue and the 

Gerard Street intersection. Passengers experience a 

panoramic view of Centurion entering or exiting the 

station.The Gautrain Hatfield Station is a terminal 

station where the north-south train service will commence 

and terminates. The station is located within 

the Hatfield Business Node east of the Pretoria CBD 

adjacent to the existing PRASA railway network north 

of the University of Pretoria. From Marlboro Station, 

the Gautrain route heads north, running to the east 

of Buccleuch until it reaches Midrand Station, after 

which the route tracks the Old Pretoria-Johannesburg 

Road. 

Rosebank Station is an underground station located 

beneath Oxford Road, between Baker Street 

and Tyrwhitt Avenue, opposite The Zone shopping 

centre. It is served by the north-south train service 

that operates between Hatfield and Park Station, 

the most southern Gautrain station situated adjacent 

to Metrorail’s Johannesburg Park Station in 

Braamfontein. This underground station is located 

diagonally beneath Smit and Wolmarans streets. 

Transport to and from the station. Marlboro 

Gautrain Station is strategically positioned adjacent 

to the N3/Marlboro Drive interchange, south of 

Marlboro Drive and to the west of the N3. 

OR Tambo International Airport Station is an 

elevated station with platforms situated on a viaduct. 

The Station concourse is directly linked to the 

departures level of the adjacent central terminal 

building, one level below. Rhodesfield Station is 

situated west of OR Tambo International Airport and 

is close to the R21 and Aero City. Sandton Station 

is an underground station situated beneath Rivonia 

Road, between West Street and Fifth Avenue. From 

Sandton Station passengers can choose between 

a commuter service and an airport service. The OR 

Tambo International Airport Station revolves around 

air passengers and people working at the airport and 

The interiors of the Gautrain cabins offer comfort and sophistication to meet the needs of international 

travellers as well as local and international business people. 


52

FOCUS 

is one of the three corner posts of the Gautrain rail 

network. The Gautrain adds a new dimension to the 

Sandton area by introducing a new mode of transport, 

namely a modern rapid rail link and a direct nonstop 

service to the OR Tambo International Airport. 

The new Gautrain Station in Pretoria is located 

south-east of the existing Metrorail Pretoria Station 

and adjacent to the existing railway lines and platforms. 

Rhodesfield Station is located east of Anson 

Street and south of Valencia Street in Rhodesfield, 

Kempton Park. Located within the Hatfield Business 

Node, the Gautrain Hatfield Station is the last station 

on the route between the Johannesburg Park Station 

and Hatfield Station, which is one of two stations 

in the City of Pretoria Metropolitan – the other is 

Centurion Station, located near the intersection of 

West Avenue and Gerard Street east of the Centurion 

Lake. The site of Marlboro Station is south of Marlboro 

Drive, adjacent to the N3/Marlboro Drive interchange. 

There are five Gautrain stations in Johannesburg. The 

first is at Midrand and the second at Marlboro. From 

there the Gautrain Rapid Rail Link runs southward 

through the Sandton and Rosebank areas, continuing 

to the Joburg Central Business District, terminating at 

the Johannesburg Park Station. 

CONTACT INFO 

Call Centre: 0800 4288 7246 


Website: www.gautrain.co.za 

Twitter: @TheGautrain 




Gauteng lifestyle 

Gauteng is proving to be an African hub for business and leisure 

alike, with the continents high flyers drawn to its fast paced 

lifestyle, where hard work and a dream for a better life can move 

mountains. 

In Gauteng it’s true that, if you can dream it, you can 

live it. This vibrancy and spirit of the never-say-die 

New Yorker attitude is a driving force behind the 

province’s economic and technological success. 

South Africa’s most vibrant and exciting province 

offers numerous sights and places to visit. 

Gauteng offers the most diverse selection of arts 

and entertainment in the country. 

The Union Buildings, the seat of the national 

government, is also a popular destination for locals 

and tourists alike. The province is home to 

the Cradle of Humankind, a world heritage site 

comprised of thirteen caves that have yielded 

anthropological treasures dating back millions of 

years. From African street markets to café society, 

upmarket taverns and museums, it has it all. 

Nature lovers will fall for the great outdoors, the 

Krugersdorp Game Reserve, the Rhino and Lion 

Nature Reserve and nature reserves in Randfontein 

and Roodepoort provide opportunities to view 

the Big Five in their natural habitat. Tours of the 

province’s famous gold and diamond mines are 

also available. A number of vibrant craft markets, 

which includes Bruma Market World, African Craft 

Market, Rosebank Rooftop Flea Market and Michael 

Mount Organic Market showcase African ingenuity 

through traditional art, curios, carving, colourful 

caftans, beadwork and leather. 

Sports and arts 

Horse racing and equestrian sports are popular 

in Gauteng, and the province is home to three 


54


famous racecourses: Newmarket Turf Club, Turffontein 

Racecourse and the Vaal Racecourse. There are a number 

of golf courses and country clubs in Gauteng 

that feature facilities of an extremely high standard. 

Finally, tourists, visitors and residents in Gauteng can 

participate in an abundance of adventure sports ranging 

from skydiving and paragliding to hang-gliding. 

The moderate climate in Gauteng, characterised 

by fair weather all year round, is ideally suited for 

sporting and outdoor activities. The province is 

home to world-class sports stadiums (including 

the FNB Stadium, The Wanderers Club, Ellis Park 

and SuperSport Park) and exhibition venues, and 

has successfully hosted large-scale international 

events such as the 2010 FIFA World Cup. Soccer, 

rugby and cricket are the most popular spectator 

sports in South Africa, and many of the country’s 

most popular teams are based in Gauteng, including 

South Africa’s two most widely supported soccer 

teams — Orlando Pirates and Kaizer Chiefs. 

The arts and culture scene in Gauteng is a melting 

pot of talent, passion and diversity. For many seeking 

the ultimate arts and culture experience, Gauteng is 

the destination of choice, offering a diverse range of 

stand-up comedy, musicals, ballet, opera, contemporary 

art and international and local productions. 

Gauteng is home to the State Theatre in Pretoria, the 

Civic Theatre in Johannesburg and the Theatre on the 

Square in Sandton, with these theatres offering an 

array of classical music, theatre, opera, ballet, drama 

and contemporary political pieces. In addition, there 

are also a number of smaller theatres in the province, 

including the Market Theatre, the Sound Stages and 

the Barnyard. 

There are more than 60 museums and art galleries 

in Gauteng. The province is home to a number of 

South Africa’s most significant historical heritage 

museums and venues, including the Apartheid 

Museum, Museum Africa, the Transvaal Museum 

and the National Cultural History Museum. Through 

these museums, which cater to every interest from 

railroads to military history, visitors to the province 

are able to learn and experience South African history 

and the diversity of this Rainbow Nation. 

University of Pretoria. 

Transvaal Museum in Pretoria. 

Health and Education 

There is an abundance of medical facilities in 

Gauteng. The province is home to 30 public and 40 

private hospitals that provide world-class healthcare 

services. The provincial department also benefits 

from a staff complement that includes numerous 

highly-qualified medical professionals and practitioners, 

dentists and specialists. 

There are several educational institutions located 

in Gauteng, with some 3 374 schools, colleges 

and universities spread across the province, including 

several international schools. The number 

of institutions is set to grow with the Gauteng 

Department of Education, the DBSA and the 

Gauteng Funding Agency (GFA – an agency of 

the provincial Finance Department) aiming to 



build 79 new schools and renovate a further 300 

existing schools. Many of the numerous education 

institutions and research units within the province 

are highly rated both within South Africa and internationally. 

For instance, Gauteng is home to three 

of South Africa’s five top-ranked business schools. 

Technology 

Gauteng is a major hub for the ICT sector in South 

Africa and hosts the majority of the country’s largest 

media companies. A number of multinational 

technology companies — including Microsoft, 

IBM and Cisco — have a presence in Gauteng, 

where they operate alongside South Africa’s own 

technology firms. As the industrial and financial 

heartland of South Africa, the Gauteng province 

attracts a multitude of foreign and domestic ICTrelated 

investment and business. This is backed 

by a number of multi-billion rand support programmes 

directed towards ICT development by 

the Gauteng provincial government. 

Africa’s biggest subscription satellite television 

service provider, MultiChoice, and pay television 

channel provider, M-Net, are both based in 

Gauteng. Numerous radio stations are housed 

within the province, attracting millions of weekly 

listeners from many areas and language groups. 

There are four major cellular network operators in 

the province: Vodacom, MTN, Cell C and its partner 

Virgin Mobile, and Telkom. 

Housing 

Gauteng’s property market is internationally competitive. 

Returns on commercial property in the 

province currently outperform those in international 

business centres such as New York and London; 

more generally, property returns in Gauteng are 

favourable by many international comparisons. 

There is a thriving residential property market in 

Gauteng, backed by strong demand for housing in 

golf estates, cluster houses and condominiums. As 

one property expert remarked: “Gauteng is leading 

the market in high-end properties with long-term, 

stable returns on real estate.” 

Construction activity in Gauteng remains robust. 

General building and civil engineering are currently 

the largest construction sub-sectors in the province, 

and shopping malls and modern buildings continue 

to be built in every part of the province. These new 

buildings tend to be modern, well-built, and constructed 

to exacting and internationally competitive 

standards. 

The high level of construction activity has been accompanied 

by a concerted effort to improve inner 

city districts in Gauteng. These efforts have been 

driven by a partnership between lobby groups 

and the Affordable Housing Company, the JDA, 

and the Johannesburg Social Housing Company. 

In addition, the provincial government’s housing 

policy includes a strong focus on integrating human 

settlements and improving property and 

housing allocations. 

Dining out 

Authentic South African cuisine is available at a 

number of widely hailed restaurants throughout 

the province. Gauteng is renowned for the quality 

and breadth of its restaurant and fine dining options, 

which include Italian, Portuguese, Chinese, 

Japanese, Thai, Indian, Cape Malay and authentic 

African cuisine. The diversity of the provincial population 

has a positive influence on the range of food 

available within Gauteng. 

With so many activities to keep you busy on the weekends 

after a fruitful week of work, Gauteng really does 

offer residents the best of both worlds for business 

and pleasure, all under the warm African sun. 


56

Conference 

Banquets 

Luxury Suites 

Epsom Bistro 

Chief’s Boma 

Mowana Spa 

INDABA HOTEL, SPA & CONFERENCE CENTRE 

YOUR AFRICAN DESTINATION IN JOHANNESBURG 

Just north of the fast paced business world of Sandton lies the 258 bedroom Indaba Hotel, 

Spa & Conference Centre. It is a compelling blend of business-like efficiency and relaxed 

country atmosphere within close proximity of the International Airport making the Indaba 

perfect for groups and leisure travellers. 

The hotel features 24 multi-purpose conference venues ranging from Executive Boardrooms 

to large Banquet Venues seating up to 500 people. Boasting 2 world class restaurants and 

the renowned MOWANA Spa, the Indaba Hotel is sure to meet your business and leisure 

requirements. 

W: www.indabahotel.co.za | T:+27 11 840 6600 

E: indaba@indabahotel.co.za

PROFILE 

Catalyst for change 

Fostering socio-economic development 

and competitiveness in Gauteng. 

GGDA Investment Project is the 

construction of the Enterprise 

Building 2 at The Innovation 

Hub. The project is to create 

about 80 construction job opportunities. 

Possible partners 

include National Treasury, the 

IDC, the DBSA, the Department 

of Science and Technology, the 

City of Johannesburg and the 

City of Tshwane. 

Africa’s first international standard science and technology 

park, The Innovation Hub (TIH), was established 

by the Gauteng Provincial Government in 

2001 to drive the development of smart industries 


In line with the focus of the Gauteng Growth and 

Development Strategy (GGDS), the TIH’s role in the 

provincial innovation eco-system is to be a catalyst 

for innovation and a key knowledge economy driver. 

Key focus areas are ICT, biotechnology, renewable 

energies and low carbon economy technologies 

(green economy). 

Current development projects 

The three biggest projects on the TIH’s current 

agenda are the Gauteng Growth Development 

Agency (GGDA), Investment Project, the GGDA 

Investment Biomass Gasification Project and the 

BioSciences Park (Bio-Park) Project. The aim of the 

The Biomass Gasification 

Project’s primary objective is 

to promote innovation by having 

locally owned Intellectual 

Property (IP) technology from 

Biomass Gasification, while 

boosting electricity service 

coverage within Gauteng contributing to clean 

energy generation, security and self-efficiency as 

outlined in the Gauteng Green Economy Strategy. 

The plant should ideally be co-located with a sawmill, 

or in an area that has a lot of alien vegetation, 

which would need to be cleared. The clearing of 

alien vegetation can create between 10 to 20 jobs 

in an area of 100 square kilometres. 

The operation of the plant will also result in the 

creation of another 14 jobs, bringing the total to 

over 34 jobs in an area that would otherwise not 

see any investment. 

The BioSciences Park (Bio-Park) project will aim to 

provide a nurturing environment for biotechnology 

start-ups to develop and thrive to become important 

commercial players, contributing to economic 

growth. About 80 construction jobs will be created. 


58

PROFILE 

Opportunities 

The TIH provides investment opportunities in an enabling 

environment for the stimulation and growth 

of technology-driven business and the development 

of R&D facilities, hi-tech incubators, corporate 

headquarters for hi-tech companies, and venture 

capitalists, boasting nine significant programmes: 

Maxum Business Incubator 

This incubator develops the business leaders of 

tomorrow by providing an enabling environment 

where start-ups from the knowledge intensive sectors 

are fast-tracked to compete in the global village. 

Incubation creates a synergistic environment where 

entrepreneurs can share learning, create working partnerships 

and open doors to markets and resources. 

Climate Innovation Centre 

The centre is The Innovation Hub’s first strategic 

green economy initiative to achieve sustainable 

growth and sustainable job creation aligned to the 

overall strategic goal of the Gauteng Green Economy 

Strategy. It is tailored for the South African context. 

CoachLab ® Skills & Leadership Development 

This youth skills development programme is committed 

to the development of a diverse skills base 

in the ICT, engineering, green and media sectors. 

The aim is to instill business principles and innovative 

and entrepreneurial thinking among the youth 

through mentorship. 

mLab Southern Africa 

This is an initiative of TIHMC, CSIR Meraka and 

Ungana-Frika. It is funded by the Finish Ministries 

of Foreign Affairs through infoDev, a programme 

of the Worldbank and the Department of Science 

and Technology of SA. mLab is a mobile applications 

laboratory, which incubates innovation and 

entrepreneurship in the mobile channel. 

BioPark@Gauteng 

This biosciences incubator offers opportunities 

for commercialisation to early stage biotech 

companies by providing business development 

support. 

Gap Innovation Competitions 

The competition has attracted more than 700 entries 

in the last four years running. Researchers and 

entrepreneurs have been awarded over R7 million 

in seed funding and incubation support. 

OpenIX 

OpenIX is an Open Innovation Exchange that delivers 

tangible solutions to real challenges posted 

by solution seekers in government and the private 

sector, and connects leading African researchers 

and entrepreneurs with new opportunities to commercialise 

their innovations.. 

eKasi Labs 

The purpose of establishing this programme was 

to take innovation to the people by establishing 

co-creation and innovation spaces in the townships 

where local communities are able to access 

the services and facilities that are offered at The 

Innovation Hub. Extending these services and facilities 

to the townships addresses problems of access 

and seeks to re-industrialise the community and 

unemployed youth. 

Fab.Lab 

Fab.Lab, an abbreviation for ‘fabrication laboratory’, 

is a platform for high school learners from 

disadvantaged backgrounds to create prototypes 

using world-class, cutting edge machinery. Learners 

are able to design, 3D print and manufacture using 

advanced manufacturing technology and use 

their prototypes to create a business. This platform 

is intended to promote a culture of participation 

in the innovation co-system and entrepreneurship 

through skills development and weekly training. 

CONTACT INFO 

Physical address: 124 Main Street, 


Tel: +27 11 085 2321 

Email: info@theinnovationhub.com 

Website: www.theinnovationhub.com 


PROFILE 

Automotive Industry 

Development 

Centre (AIDC) 

The AIDC is a project-driven organisation which focuses on excellence in technical project 

implementation and service delivery, while forming partnerships with the private sector to 

increase the level of innovation and co-operations within the Automotive Industry. 

AIDC was initially established in 2000 by the Gauteng 

Provincial Government, and its purpose is to develop 

the automotive manufacturing sector to globally 

competitive standards of excellence through a 

world-class value proposition which enables effective 

and sustainable socio-economic growth. 

The dynamic AIDC is currently involved in a number 

of projects aimed at technical project conceptualisation, 

implementation and service delivery in the 

automotive sector. 

Government Incentive Schemes 

AIDC’s Government Incentive Schemes department 

administers government and automotive industry 

incentives designed to grow and develop the automotive 

sector. It was established in 2002 and it 

is one of the longest-serving departments within 

the organisation. 

Incubation Programmes Department 

AIDC Incubation Programmes Department was 

responsible for launching South Africa’s first 

Automotive Incubation Centre at Ford Motor 

Company of Southern Africa’s Silverton plant in 

2011 and the Winterveld Enterprise Hub: Automotive 

in 2014. A second Automotive Incubation Centre 

has been created at Nissan South Africa’s plant 

in Rosslyn. 

Ford acquired the assistance of the AIDC in 2010 

to develop and manage an incubation model that 

could prepare them for the production launch 

of the T6 Ranger. Following the success of AIDC’s 

Automotive Incubation Centre at Silverton, Nissan 

expressed interest in establishing a similar facility 

at their plant in Rosslyn. The BEE entrepreneurs are 

earmarked to supply components directly to the 

production line for the next generation 1-ton pickup 

which will start production in early 2017. 

While the facility at Nissan is intended to replicate 

AIDC’s Automotive Incubation Centre at FMCSA, it 

will include the lessons learnt from implementation 

of the first incubation project at Ford. 

Operations Division 

AIDC’s Operations Division is responsible for the 

planning, maintenance, ICT and Soft Services at its 

four sites, namely the Automotive Supplier Park (ASP) 

in Rosslyn, Winterveldt Enterprise Hub Automotive, 

Gauteng Automotive Learning Centre in Rosslyn, 

and Automotive Incubation Centre at Ford Motor 

Company of Southern Africa in Silverton. 

Business Development 

AIDC’s Business Development Department (BDD) 

provides strategic input and support to all Key Focus 

Departments and Infrastructure Programmes of the 

organisation, with the aim to enhance, expand, increase 

and deepen its services offerings to both 

Government and automotive industry clients. The 

BDD supports the AIDC with project acquisition 

and assists each department to source funding for 

future projects. 

Supplier and Enterprise Development 

AIDC’s Supplier and Enterprise Development 


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PROFILE 

Special Programmes Department 

A key challenge facing the automotive supply 

chain is the cost of logistics. Extensive 

lead times coupled with the domestic reality 

of inefficiencies, fuel costs, and poor 

infrastructure presents a scenario that 

inhibits South Africa’s ability to compete 

globally. The AIDC’s Special Programmes 

Department, therefore, focuses on supply 

chain development and logistics to develop 

state-of-the-art solutions, tailored specifically 

to address the needs of the South 

African automotive industry. 

Department (SEDD) was established to develop 

component manufacturers in the supply chain to 

conform to the international standards prescribed 

by the automotive manufacturing industry. 

The department’s service offering ranges from a 

combination of efficiency improvement projects 

related to productivity, quality assurance in accordance 

with ISO standards, including environmental, 

lean and clean production (including all 

green projects as related to the Government and 

the Province’s low carbon economy projects), to 

manufacturing concepts, logistics, clustering and 

SMME development initiatives. 

Skills Development & Training Department 

Skills shortages are widely regarded as the main 

factor which slows economic growth globally. As a 

result, AIDC established its Skills Development and 

Training (SD&T) Department to identify sectors with 

skills deficiencies, and then develop programmes 

to nurture individuals to drive economic growth 

across South Africa. 

The main focus of AIDC is to become a catalyst for 

Government to explore solutions to overcome skills 

shortages in the automotive industry. 

Gauteng Automotive Learning Centre 

As part of Gauteng Provincial Government’s 

commitment to skills development, the 

AIDC and Nissan SA (NSA) launched the 

Gauteng Automotive Learning Centre in June 

2014. The Learning Centre is part of the Nissan SA 

Investment Support Programme. 

Winterveld Enterprise Hub: Automotive 

This is the first of six Automotive Enterprise Hubs 

to be established by AIDC and Gauteng Provincial 

Government. It was officially opened in February 2014 

by the Gauteng’s former Premier Nomvula Mokoyane, 

and it is one of the organisation’s flagship projects 

that addresses skills shortages and socio-economic 

challenges in the Province. 

Automotive Supplier Park 

The Automotive Supplier Park (ASP) is managed by 

the Facilities Department at AIDC. Based in Rosslyn, 

the ASP spans an area of 130 hectares, with a tenant 

pool comprising mainly of component manufacturers 

and suppliers to OEMs, who require a continuous 

supply of components to assembly plants. 

CONTACT INFO 

Physical Address: 30 Helium Road, Automotive 

Supplier Park, Rosslyn EXT 2, 0200 

Postal Address: Private Bag X35, Rosslyn 0200 

Tel: +27 12 564 5000 / 5300 

Email: info@aidc.co.za 

Website: www.aidc.co.za 


PROFILE 

Constitution Hill 

Dedicated to remembering past 

struggles, Constitution Hill is a site 

of consciousness and conscience. 

Located on the site of 

Johannesburg’s infamous Old 

Fort Prison Complex, where many 

apartheid struggle heroes were 

persecuted, Constitution Hill is 

a multi-million rand inner city 

regeneration project. The intention 

with the project, anchored by 

the South African Constitutional 

Court, is to develop the available 

portions as iconic infrastructure 

in such a way that it is sensitive 

to the context, the architecture 

as well as the overall ambition of 

the stakeholders. 

The site houses the Women’s Gaol Museum, Number 

Four Museum and the Old Fort Museum. The 

Constitutional Court and other strategic tenants play 

an educational role focusing on constitutionalism, 

human rights, and democracy. Boasting a variety 

of multipurpose venues, suitable for conferencing, 

performance, a large array of events and for public 

activities and programmes, this national heritage 

site reflects the stories of South Africa’s turbulent 

past and its extraordinary transition to democracy. 

Once a place of injustice and brutality, where South 

Africa’s leading political activists (including Nelson 

Mandela and Mahatma Gandhi were detained), the 

site has been transformed into a place of solidarity 

and democracy and today it boasts of a total of 21 

indoor and outdoor venues spread over three buildings 

ranging in capacity from 20 to 1 200 guests. 

Apart from hosting engaging and gripping exhibitions, 

Constitution Hill, or ConHill, as it is famously 

known, is also open to the public for guided tours 

and has become an important platform for heritage, 

education, and tourism related programmes. With 

its rich history and character, Constitution Hill boasts 

the ideal platforms to educate and learn about South 

Africa’s story. 

The Constitution Hill Development Company 

(ConHill) was established in order to set up the appropriate 

management arrangements to ensure the 

delivery of heritage, education and tourism programmes, 

including key functions that would realise 

the overall vision for the site and contribute to the 

revitalisation of the inner-city. 

Programmes 

Heritage, Education and Tourism Programme 

(HET): Through this programme, Constitution Hill 

promoted social entrepreneurship through the development 

and hosting of creative works. It also 


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PROFILE 

promoted active citizenry, patriotism and civic pride 

while providing a platform for dialogue. 

Tourism Development: Constitution Hill’s offerings 

directly impact on the tourism sector. Last year the 

site accounted for footfall totalling over 1 279 million, 

thus directly contributing towards tourism development 

in the province, attracting both domestic and 

international tourists. 

Creative Sector impact: The site facilitated and 

hosted 20 exhibitions. These were developed in collaboration 

with creative workers and thus had an 

impact on temporary job creation. 

Education Development: Public programmes 

enhance responsible and active citizenry through 

the participation of citizens, while educational programmes 

are closely aligned to the history of South 

INFORMATION 

Entrance fees: R55 per adult, R27.50 for pensioners 

and R22 for students/children for a 

tour of 3 sections of the prison (Women’s Jail, 

Old Fort and Number Four Prisons) and the 

Constitutional Court lasting two hours. 

Opening times: 

Monday to Friday 09:00-17:00 (last tour is at 

16:00) 

Wednesday 09:00 – 14:00 (last tour is at 13:00) 

Saturday & Sunday 10:00-15:00 (last tour departs 

at 14:00) 

Tours run are every 30 minutes. 

Booking required for groups of 10 or more 

people. 

Venue Hire: 

The site boasts of a total of 21 Indoor and 

outdoor venues spread over three buildings 

ranging in capacity from 20 to 1,200 guests 

For booking enquiries email 

info@constitutionhill.org.za 

Africa and constitutional education. The site hosted 

63 public programmes and 83 educational programmes 

last year. 

Opportunities 

The site is blessed with investment opportunities 

including heritage tourism through the proposed 

establishment of the Judicial College, a Struggle 

Hero Visitor’s Centre and a boutique hotel; the development 

of a Justice Precinct; and other commercial 

and housing developments, cultural tourism 

initiatives, archives and libraries and recreational 

facilities. An example of one such investment opportunity 

is the Gauteng Growth and Development 

Agency’s (GGDA) Investment Project Constitution 

Hill Redevelopment Project. 

Aim of the GGDA project 

A proposal was submitted to develop the site 

with a Justice Precinct that will include various offices 

for the Chief Justice, Chapter 9 Institutions, 

the Judicial Institute and the Court Management 

Agency and other related activities. The development, 

which is proposed to be approximately 105 

000 square metres in area, will become a national 

icon and is directly related to the location of the 

Constitutional Court. It will also ensure development 

in the Inner City of Johannesburg. It is estimated that 

the project would generate about 250 construction 

jobs. Possible partners for the project include 

National Treasury, the Independent Development 

Corporation (IDC), the Development Bank of 

Southern Africa (DBSA), the Public Investment 

Corporation (PIC), the National Department of Arts 

& Culture, the City of Johannesburg, the JDA and 

the Chief Justice Office. 

CONTACT INFO 

Physical address: 11 Kotze Street, Braamfontein, 

Johannesburg 

Tel: +27 11 381 3100 

Email: info@constitutionhill.org.za 

Website: www.constitutionhill.org.za 


PROFILE 

Gauteng Industrial 

Development Zone 

(GIDZ) 

All aboard! The new OR Tambo Aerotropolis is now ready for take-off. 

Being part of the new aerotropolis precinct, which 

was established to enhance developments in 

the Eastern Corridor of Gauteng, the OR Tambo 

International Airport Industrial Development Zone 

(ORTIA IDZ) programme is aiming to develop 725 

hectares of land situated around the OR Tambo 

International Airport. This will indeed be a welcome 

financial injection – set to stimulate economic development 

in the region. 

The ORTIA IDZ is a Gauteng Provincial Government 

initiative lined up to realise the objectives of implementing 

its economic development goals. The 

initiative is aligned to the priorities set out by both 

national and provincial government, which among 

others include leading, facilitating and managing 

sustainable job creation and inclusive economic 

growth and development in the Global City Region. 

2009 to develop and operate the IDZ at the ORTIA. 

The GIDZ Devco is a subsidiary of the Gauteng 

Growth Development Agency (GGDA); it was incorporated 

as a pre-requisite for the application of 

an IDZ Operator permit. The IDZ Operator Permit 

License was issued in December 2010 to DEVCO to 

develop and operate the ORTIA IDZ, on recommendation 

by the Manufacturing Development Board to 

the Minister of Trade and Industry. 

Focus on precious and 

semi-precious metals 

Guided by the GIDZ Devco, the new JMP programme 

is directed at light, high-margin, export-oriented 

manufacturing of South African precious and 

semi-precious metals. The multi-site development 

With a strong focus on developing beneficiation 

capacity related to the precious metals and minerals 

sector, the first phase of the Gauteng Industrial 

Development Zone (GIDZ) has been identified as a 

catalyst to develop the broader GIDZ – an important 

key to unlock Gauteng’s jewellery benefit potential 

in the newly introduced Jewellery Manufacturing 

Precinct (JMP). Being part of the broader aerotropolis 

framework, which was defined to enhance developments 

in the eastern corridor of the province, 

the delivery of the JMP is divided into three parallel 

processes: infrastructure development, investor 

attraction and skills development. Development 

of the precinct is driven by the Gauteng Industrial 

Development Zone Development Company (GIDZ 

Devco), a special purpose vehicle that was created in 


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PROFILE 

consists of several industry-specific areas to be 

developed in phases over a 10 to 15 year period. 

Various skills development programmes will be 

implemented to enhance skills in the sector. The 

programme contributes directly to Strategic Goal 

1 (Gauteng’s economy radically transformed) and 

Strategic Goal 2 (Gauteng’s economy re-industrialised) 

and supports delivery of Strategic Goal 3 

(GGDA capacitated to deliver and implement efficiently 

and effectively). 

Once completely established, the JMP will be a 

fully operational programme, set on 6.1 hectares of 

land with a mixture of facilities for storage, design, 

manufacturing and retail businesses, bringing with 

it a myriad of investment opportunities including 

ICT production and distribution, aerospace, 

electronics, avionics, and related industries. The 

JMP further offers investors the opportunity to get 

involved with the mineral beneficiation sector in 

South Africa, whilst receiving special export conditions 

and business incentives. 

Special Economic Zones 

Looking at the bigger picture, apart from enhancing 

the economic competitiveness, establishing 

Special Economic Zones (SEZs) in the region will 

also promote competitiveness among enterprises. 

Moreover, it will seek to encourage domestic 

and Foreign Direct Investment (FDI) for Township 

Industrial Hubs. It is expected that the intervention 

will contribute to job creation, while also 

reducing the cost of doing business in SEZs and 

industrial hubs. Once developed, the SEZs will 

provide significant opportunities in terms of: 

• Attracting domestic investment and FDI in 

manufacturing and tradeable services; 

• Providing non-core services, such as transport 

and distribution, to the SEZ; 

• Providing increased export opportunities 

through export incentives; and 

• Establishing green industries, oil and gas 

services investors, aquaculture projects, as 

well as a possible mineral sand beneficiation 

investment. 

Partnerships 

Critical to the success of the precinct is infrastructure 

development and the creation of successful 

partnerships and collaboration with other roleplayers 

in the region, such as the Airports Company 

South Africa (ACSA) and the Gauteng Department 

of Economic Development (GDED) and a land lease 

agreement between ACSA and the GDED on the 

6.1 hectares of land to be developed as Phase 1 

of the IDZ programme was concluded last year. 

In addition, a funding understanding with the 

National Treasury for the bulk infrastructure development 

were also reached. In respect of infrastructure, 

the bulk infrastructure of the JMP will 

be undertaken with the support of the GDED’s 

infrastructure unit. In the year under review, consulting 

engineers were contracted through GDED 

to develop the detailed designs required to secure 

site development plans approval by the Ekurhuleni 

Metropolitan Municipality, as well as to provide 

professional engineering services. 

. 

CONTACT INFO 

Physical address: Office NL 46, 3rd floor north 

wing, OR Tambo International Airport 

Tel: 010 001 9120 

Email : info@gidz.co.za 

Website: www.gidz.co.za 


PROFILE 

Gauteng Investment 

Centre (GIC) 

The much anticipated Gauteng Investment 

Centre (GIC) officially launched last year, with 

a single task in mind; making Gauteng-based 

business for investors easier. 

The GIC was set-up to support 

the Gauteng Provinces’ economic 

development initiatives 

as a one-stop-shop for foreign 

investors and established local 

businesses where essential government 

information and services 

can be accessed from a single 

platform. The GIC is considered 

the Province’s key differentiator 

in offering quicker investor turnaround 

times. It affords potential 

investors and exporters efficient 

services, which expedites investment 

in the province. 

Main Purpose 

The aim of the GIC is to make it easier for investors 

to do business in Gauteng. The Sandton-based GIC 

is set to offer a central business services centre that 

will offer domestic and foreign investors access to 

all the services they need in a convenient location 

and from all the various tiers and agencies of 

government. The goal is to make Gauteng become 

the preferred location for investment by exposing 

potential and existing investors and entrepreneurs 

to appropriate economic information, technology 

for business registration and overall business support 

and development services. By simplifying the 

investment procedure the cost of doing business 

in Gauteng will lessen and, as a result, will improve 

the overall competitiveness of local industry in the 

world market. 

The centre would also undertake inward investment 

promotion missions, which would include hosting 

and coordinating inbound foreign and local business 

delegations, as well as undertaking outbound 

missions to promote Gauteng as a premier investment 

destination. The centre, is managed by the 

Gauteng Growth and Development Agency (GGDA). 

Services 

The GIC draws all the relevant organs of state and 

state entities/agencies to a single convenient location, 

from where it co-ordinates and streamlines 

investment intrests to provide prompt, efficient and 

transparent services to the investors and exporters 

by providing the following: 


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PROFILE 

• World-class facilities where investors can meet 

and discuss investment opportunities 

• Investment and trade information of Gauteng 

as well as in Africa 

• Project appraisal – provided through collaboration 

with the Gauteng Growth and Development 

Agency’s (GGDA) development finance partners 

in order to assess a case for processing a project 

or proposal. 

• Site identification and evaluation 

• Provide potential investors with sector-specific 

economic data through the stipulation and dissemination 

of market intelligence and would, 

through collaboration with the Department of 

Trade and Industry – a critical project partner – 

supply business and work permits 

• Co-ordinate the involvement of different entities 

within government on various spheres of government 

involved in the establishment of a business. 

• Facilitate investor access to national and local 

government incentive programmes 

In summary, the GIC offers all information and research 

services, complete administrative assistance 

with business registration, pre-investment support 

services and investment aftercare. The service delivery 

outcome will ensure a simplified and shortened 

administrative process, removing bottlenecks 

in establishing and running businesses in Gauteng. 

GIC partners 

Gauteng Premier Nomvula Mokonyane reported 

that the GIC will include “services such as company 

registration, tax registration and investment 

services and information, which would be provided 

by [inhouse] representatives from the Companies 

and Intellectual Property Commission, the South 

African Revenue Service (Sars), State utilities, 

State-owned enterprises, municipalities and the 

Department of Home Affairs (DHA). The GGDA’s 

CEO Siphiwe Ngwenya added to this, saying “such 

partnership agreements with district and local municipalities 

are particularly critical, as many lack 

the skills and capacity necessary to effectively 

promote and facilitate investment within their region”. 

He highlighted, “Given the GGDA’s mandate 

as the provincial investment promotion agency, our 

agreements with local government will make for a 

smoother and more uniform process of engagement 

with investors”. 

The companies, organisations and departments 

working with the GIC are as follows: 

• Brand South Africa 

• Companies and Intellectual Property Commission 

(CIPC) 

• City of Johannesburg 

• Department of Trade and Industry 

• EY & Mercantile Bank 

• Gauteng Funding Agency 

• SARS 

• Westrand District Municipality 

• Ekurhuleni Metropolitan Municipality 

• DHA 

• City of Tshwane 

• Gauteng Department of Agriculture and Rural 

Development (AICEP) 

• Mercantile Bank 

Reasons to invest in Gauteng 

There are many reasons why Gauteng has become 

known as a “Gateway to Africa,” an attractive place 

for investments on the continent. The province 

offers: 

• Access to African markets 

• Functional national institutions protecting the 

right of investors 


PROFILE 

• Clear and consistent economic policies in line 

with national policies 

• Good infrastructure and facilities 

• World-class road, rail and air networks 

• An investor-friendly environment 

• A large pool of young, highly skilled labourers, 

whose skill sets match the needs of modern 

manufacturing, finance, and engineering industries; 

as well as a large pool of unskilled labour for 

the manufacturing, trade and transport sectors 

• Low land and commercial building costs 

• Supply of electricity that is among the cheapest 

in the world. 

However, by far the most attractive feature is the 

elimination of time-consuming ‘red tape’ as a result 

of the work done by the GIC, where special economic 

zones integrated with large infrastructure 

projects will see seamless interplay between public 

and private sectors. 

Investment opportunities 

Gauteng boasts a number of attractive business 

ventures for investors: 

Automotive Supplier Park 

The intention is to establish a consolidation 

centre within the Automotive 

Supplier Park (ASP) in Rosslyn 

that would cater for the logistics 

needs of Original Equipment 

Manufactures (OEMs) and component 

suppliers to the automotive 

industry. 

Solar Geyser 

The City of Tshwane (CoT) aims to decommission 

all conventional electric geysers and replace them 

with solar water heaters. This will require various 

technological interventions and skills. Both the low 

pressure and high pressure solar water heaters will 

be installed. Ultimately only high pressure solar systems 

will be installed due to the inherent benefits 

and the low pressure systems will be fazed out. The 

City will require project managers, plumbers and 

fairly trained labour to achieve the milestones, as 

such local economic development will benefit the 

communities of the City. 

Tshwane ICC 

Construction of a convention centre that meets international 

norms. This is a phased development, 

with future developments including international 

hotel(s) and further mixed use developments. 

West Capital 

The concept includes the proposed development of 

inter alia: a student village, sport incubatory centre, 

retail components, commercial components, innercity 

housing and health facilities. 

Centurion Symbio City 

The conversion of some 10 hectares of land, sur- 

Tshwane Automotive City 

The creation of a zone where the 

automotive chain of suppliers are 

located. 

Power Station 

The City of Tshwane (CoT) owns 

and operates two power stations, 

Pretoria West and Rooiwal, with a 

designed capacity of 180 MW and 

300 MW respectively. 


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PROFILE 

arts, culture, business and sporting contributions of 

global significance (amongst other potential occupants). 

This structure has the potential to become an 

iconic building not only as an addition to the built 

environment of Johannesburg, but also within the 

socio-political context of the country. The facility 

will serve to inspire the youth by highlighting South 

African individual’s successes on the global stage. 

rounding and including the man-made Centurion 

Lake, into a vibrant mixed-use Symbio-City, linking 

the Centurion Gautrain Station with the existing 

Centurion Mall. 

Legacy 

The creation of a knowledge based commercial and 

residential environment. 

Menlyn Maine 

The creation of a first “Green Living Precinct” in 

South Africa. 

Rainbow Junction 

The vision of Rainbow Junction encapsulates the 

delivery of a vibrant New Economic Node, on a premier 

address of 140 ha in the foyer of the Capital City, 

reflecting the dynamic lifestyle of the new South 

Africa with a mixed land use property development. 

Hammanskraal Business Process 

The creation of a Business Process Outsourcing and 

Off-Shoring Park (BPO&O) as an employment stimulator 

in the Hammanskraal area. 

Metsweding Arts and Crafts Business 

The establishment of a business incubator that will 

support small- and micro enterprises in the arts and 

crafts sector within the Cullinan, Rayton, Refilwe 

region. 

Constitution Hill Visitors Centre 

Investment is required to fund the building and 

operation of a unique building at Constitution 

Hill which is envisaged to showcase South African 

achievement, will celebrate Iconic Struggle Stalwarts, 

ORTIA-IDZ 

The OR Tambo International Airport Industrial 

Development Zone (ORTIA–IDZ) is a Gauteng 

Provincial Government initiative lined up to be able 

to realise the objectives of implementing its economic 

development goals. The initiative is aligned to 

the priorities set out by both national and provincial 

government, which among others include leading, 

facilitating and managing sustainable job creation 

and inclusive economic growth and development 

in Global City Region. 

Heidelberg Extension 24 

Industrial 1 stand, 1 municipal, 3 parks and 5,94km 

of roads. 

Farm Klippoortjie 

Residential development Heidelberg Extension 25: 

Retail Development. 

Ratanda Extension 5 

Development of a pleasure resort. 

Rensburg Extension 2 

Residential Development. 

Portion 86 and R/5 

Mixed Development 

CONTACT INFO 

Physical address: The Place, 1 Sandton Drive, 

Sandton, Johannesburg 

Tel : +27 10 001 8650 

Email: info@gautenginvest.co.za 

Website: www.gautenginvest.co.za 


PROFILE 

Gauteng ICT Park Special 

Economic Zone 

As we seek solutions to bridge the digital divide in Africa, provincial 

government will play an important role in providing digital platforms 

to help unlock new economic opportunities for growth and development. 

Gauteng ICT Park SEZ 

The ICT SEZ is an instrument available for the Gauteng 

Province to attract Foreign Direct Investment (FDI) 

and Direct Domestic Investment (DDI) to a dedicated 

industrial park (NASREC) using meaningful incentive 

packages from National Treasury (through agencies 

such as the GGDA), the Department of Telecoms 

& Postal Services, SARS, Municipalities and other 

relevant institutions. It aims to provide world class 

economic infrastructure and facilities to investors 

through: offering competitive incentive packages 

to attract and retain investments; developing and 

providing required ICT skills to investor businesses, 

shortening the processes of business registration, 

permitting and settling of investors. 

ICT and Gauteng 

The technology explosion of the 21st century 

also introduced the world to the digital economy. 

Where just a few years ago this concept was 

hardly known to those outside the Information and 

Communication Technology (ICT) sector, we are 

today fully submerged in the information age—and 

equitable access to broadband has become a basic 

human freedom, which must be guaranteed to all, 

in an age where connectivity has become a utility 

that can measure the quality of life, human progress 

and economic development. 

As the pressure on the South African Government 

increases to bridge the digital divide and take technology 

to the people in even the most remote areas 

of the country, the ICT sector is blooming, and is 

increasingly contributing to the country’s GDP. 

In Gauteng, where nearly two thirds of all South 

African ICT companies are locat ed, ICT contributes 

more than 6% to regional GDP. A sure step in the 

right direction in modernising the public service 

and stimulating the province’s knowledge-based 

economy, was last year’s inaugural Gauteng ICT 

Summit, which highlighted the province’s goal of 


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PROFILE 

100% broadband connectivity in the Gauteng City 

Region (GCR) by 2020. 

During his keynote address at the summit, the 

Minister in the Presidency, Mr Jeff Radebe, commended 

the Gauteng province for taking the initiative 

to be the first province to introduce tablets in all 

high schools with the aim of taking public schools 

into the 21st century. He said ICT is considered by 

the National Development Plan as critical to the 

attainments of its goals of economic growth and 

improved the provision of services. “This is what I 

call leadership and this can only be expected from a 

province such as Gauteng, our economic heartland,” 

said Radebe. 

At the same event, Gauteng Premier, David Makhura, 

urged the private sector to train more young people 

to take up jobs and other economic opportunities 

within the ICT space and partner with Government 

to achieve the province’s ICT goals. He said, aligned 

with this, the Gauteng Provincial Government has 

adopted a five-pillar strategy “to transform Gauteng 

into a ‘Smart Province’ and a Connected Global City 

Region”. 

Through this strategy the GCR will seek to: 

• Build an enabling broad-band infrastructure for 

a connected government. 

• Create an enabling platform to deliver e-government 

services. 

• Establish a Gauteng City Region structure to coordinate, 

standardise, regulate and prioritise the 

implementation of our e-government initiatives. 

• Promote the use of e-government services across 

the board—by government, citizens and the 

private sector. 

• Stimulate the ICT economy by encouraging 

public, private partnerships for the development 

and roll-out e-government services. 

ICT presence in Gauteng 

Being the digital hub in the country, a range of ICT 

activities is undertaken within the province, including 

hardware manufacturing and software design, 

and various service offerings such as software management, 

systems programming and technical support. 

A number of international giants, including 

Microsoft, Hewlett-Packard, IBM, ICL, Cisco and 

Unisys, have a strong presence in Gauteng, where 

they operate alongside South Africa’s own ICT firms. 

With a view to drive growth within the ICT sector, 

the Gauteng Provincial Government has introduced 

a programme that provides mentoring support and 

venture capital for the commercialisation of technology 

firms. The provincial government has also established 

a science park in the form of The Innovation 

Hub (TIH). The City of Tshwane has an Innovation 

Office based at TIH. The metropolitan municipality 

already has a fibre optic network infrastructure that 

hosts two technology-related projects, TIH and ASP. 

Innovation in the sector will be further encouraged 

by the newly established mLab, a centre designed 

to support entrepreneurs in the mobile-technology 

field. The CSIR in Pretoria hosts the mLab facility 

together with TIH. At a national level, the National 

Treasury has introduced the South African Vanguard 

of Technology (Savant) programme in order to provide 

marketing support to the South African ICT and 

electronics sector and improve the level of awareness 

of the local sector. 

ICT Development Strategy 

Showcasing its commitment to the development 

of the digital economy, is the impressive 45-page 

Gauteng ICT Development Strategy, providing a plan 

and platform to unlock new economic opportunities 

for growth and development. 

According to the strategy, the New Growth Path 

has identified rapidly extending access to, and use 

of, ICT based on a continual and rapid reduction in 

broadband costs, as part of the technology policy. 

In this light, the Gauteng ICT Development Strategy 

aims to foster realisation of the potential value that 

information and communications technology 

can bring to employment, growth and economic 

development in Gauteng. It derives its foundations 

from the Gauteng Employment, Growth and 

Development Strategy, which focuses on the need 


PROFILE 

to resuscitate industrial development through appropriate 

policy measures, while also recognising 

the economic value of the services and innovation 

input sectors. 

“One of the main objectives of ICT policies and strategies 

is to ensure the greatest possible diffusion of 

ICTs, commensurate with national needs, ambitions, 

specificities and concerns. Thus, information and 

ICT policies must take into account local, national 

and international issues, as well as sectoral concerns. 

The strategy notes the trend for the services sector, 

in particular the ICT services sector, to grow in 

tandem with development in the manufacturing 

and construction sectors. The strategy, therefore, 

is aimed at facilitating the contribution of ICT to 

economic participation, while also lowering the 

cost of such participation, with the particular focus 

on reducing the communications barriers for small 

and micro-enterprises,” as recorded in the strategy 

document. 

The vision of the Gauteng ICT Development Strategy 

is interpreted through the following goals: 

Productivity 

To create a heightened environment for ICT-enabled 

economic activity amongst large firms and SMEs; 

for electronic government services to citizens and 

business; and for support measures for ICT research 

and development (R&D). 

Connectivity Networks 

To foster the diffusion of ICT fixed and mobile 

broadband infrastructure and the connectedness 

of SMMEs, schools and households, in ways that 

contribute to reducing the cost of communications 

and, therefore, of economic participation. 

ICT skills Capacity 

To address the demand for skills in the broad ICT 

infrastructure and ICT services sectors, as well as 

in the society at large; and to provide for online 

learning in every primary and secondary school 

classroom; as means to increasing South Africa’s 

future competitiveness and laying the foundation 

for ICT innovation and sector development. 

ICT sector in SA and Gauteng 

According to the strategy document, the 

Department of Trade and Industry has identified 

ICT and electronics among 11 priority sectors that 

have the highest growth and investment potential 

in South Africa. ICT is a growing industry and 

its market has grown to R179-billion in 2010 and it 

is expected to grow to R187-billion in 2011 and to 

R250-billion by 2020. 

“ICT is one of South Africa’s leading sectors and contributes 

about 7% to the country’s GDP. South Africa 

has nine provinces, three of which have thriving ICT 

industry clusters. Gauteng (which accounts for 57% 

of all ICT firms), the Western Cape (Cape Town: 17%) 

and KwaZulu-Natal (Durban and Pinetown: 8%). The 

three clusters have the potential to grow and make 

South Africa the technological hub of the African 

continent. Gauteng, as the largest cluster and the 

largest commercial centre in Africa, has the potential 

to lead in innovation and research in ICT,” according 

to the document. 

The Gauteng ICT’s strategic objectives are: 

• To provide universal access to broadband (as 

defined by the national broadband policy) 

for citizens, business as well as government 

institutions. 

• To build the Network Infrastructure and 

Information Super-highway to encourage the 

development of advanced workforce with better 

ICT skills. 

• To enhance economic productivity through ICT 

infrastructure development in order to lower the 

cost of doing business and increase connectivity 

for companies especially SMMEs. 

• To increase the ICT skills capacity within the 

public and the private sectors to create a pool 

of ICT practitioners and entrepreneurs. 

• To improve service delivery by providing high 

quality ICT services through e-government; 

• To build an economic and industrial sector with a 

focus on ICT, and in particular, software industry. 

• To ensure that innovation becomes part of the 

economic network in Gauteng Province in relation 

to ICT. 


72

PROFILE 

• To reduce the carbon footprint of the province 

through Green ICT. 

• To create employment in the ICT sector. 

ICT profile 

As the largest ICT cluster in SA, Gauteng has two 

sub-clusters: Joburg and Tshwane. Gauteng has all 

the elements required to create a large and successful 

ICT innovation cluster in South Africa. These 

include world class institutions of higher learning, 

as the largest province economically it has the capital, 

young talented people flocking from all parts 

of South Africa, incubation centres, a large market 

and the largest number of ICT multinationals in the 

whole of South Africa. According to the provincial 

government, all that is needed is a co-ordinated 

way of bringing these elements together to create 

an innovation ecosystem. 

“One of the most important dynamics in developing 

ICT and building the Information Society in Gauteng 

is providing an advanced ICT network infrastructure 

that is characterised by a high performance 

broadband network and extensive penetration 

that covers all areas in Gauteng without exception. 

Infrastructure accessibility should be of a reasonable 

cost that corresponds to the purchasing power of 

individuals, in a way that enhances public accessibility 

in remote areas where the means of access 

to infrastructure and services are lacking. This can 

be achieved by establishing public access centres, 

such as community centres, post-offices, schools, 

libraries and archives. 

“Expanding of ICT infrastructure in Gauteng should 

improve its status according to international indicators 

of e-readiness. The fast-evolving nature of 

ICT makes it important for Gauteng to take rapid 

changes into account to be able to keep up with 

the global development in the coming years. By 

rapidly expanding of accessibility to infrastructure 

in Gauteng, the ability of individuals to access, process, 

and exchange information on the national and 

international levels, for the purpose of promoting 

socio-economic, political, educational, cultural, 

scientific, academic and health activities will be increased. 

Gauteng has a low broadband penetration, 

therefore consolidation and new investments are 

required to provide universal access to broadband in 

the province,” according to the strategy document. 

Further to this, the Gauteng province is home to a 

number of dedicated and specialist data centres, 

many of which service specific companies (for instance, 

the 27 000 square metre. Samrand Data 

Centre used by Standard Bank). Specialist data centre 

operators such as Business Connexion are also 

located in Gauteng. Metrofibre Networx, a company 

based in Midrand, is a new entrant to the market and 

competes with Vodacom and Neotel in providing 

metro Ethernet technology. Ethernet technology 

is a fibre-based broadband technology that offers 

a cheaper alternative to connect subscribers to the 

Internet or to connect different offices owned by a 

single company. 

In conclusion, implementing the strategy with these 

goals in mind will ensure the stated strategic objectives 

are achieved. The implementation will also ensure 

the expansion of the Gauteng ICT cluster. In the 

end, the ICT strategy has to be within the context of 

the Gauteng Employment, Growth and Development 

Strategy (GEGDS) and government priorities, according 

to the Gauteng ICT Development Strategy. 



Brics: the opportunities for Gauteng 

Why South Africa’s smallest province stands most to gain from the country’s inclusion in 

the BRICS group of countries. 

One of the biggest advantages of South Africa’s relationship 

with BRIC (Brazil, Russia, India and China) is that the 

country can benefit through the flow of foreign direct 

investment and increased trade. 

Bearing in mind that South Africa holds the key to the door 

through which BRICS, especially China, wants to do business with the 

rest of Africa, it has become even more important for South Africa 

to take the lead in Africa’s new industrial revolution – even amidst 

undertaking the huge task of radical economic transformation. 

Despite mixed reactions to our inclusion in BRICS, and some 

critics saying that other emerging countries with faster economic 

growth than South Africa could have been included, South Africa 

joined the bloc as the ‘jeweller of the world’ and as a ‘Gateway 

to Africa’, offering fellow BRICS members improved access to a 

very large consumer base in the African continent in addition to 

mineral resources, including oil 

and platinum. 

Although all regions in South 

Africa stand to benefit from the 

BRICS partnership, the economic, 

demographic and labour statistics 

for Gauteng give the province 

quite an advantage when it 

comes to economic benefaction 

in this regard. 

Also counting in favour of 

Gauteng is South Africa’s availability 

of vast natural resources 

such as gold, diamonds and platinum, 

excellent infrastructure, es- 


74


tablished corporate footprints, a 

culture of innovation, easy access 

to finance for business, a stable 

macro- and micro-financial climate, 

an advanced banking system 

and functioning regulatory 

frameworks, of which most either 

reside in the province, or are governed 

from there. 

Opening more doors of opportunity 

is the fact that Gauteng 

is the leading economy in the 

country and SADC region, and 

a key player in Africa’s business 

landscape, contributing 11% to 

Africa’s economy. 

Yet, no matter how one looks 

at it, the facts underscore the 

strategic significance of Gauteng, 

the fourth biggest economy in 

the continent, in strengthening 

economic trade and partnerships 

with African and BRIC countries. 

In the BRICS context, Gauteng 

is viewed as the ‘Gateway to 

Africa’ – an attractive place for 

investments on the continent 

– for a number of reasons. The 

province offers: 

• Easy access to African markets. 

• Functional national institutions 

protecting the right of 

investors. 

• Clear and consistent economic 

policies in line with national 

policies. 

• Good infrastructure and facilities; 

high-quality road, rail and 

air networks. 

• An investor-friendly environ 

ment. 

• A large pool of young, highly 

skilled labourers, whose 

skill sets match the needs 

of modern manufacturing, 

finance, and engineering 

industries. 

• A large pool of skilled labour for the manufacturing, trade and 

transport sectors. 

• Low land and commercial building costs. 

• Believe it or not, Gauteng’s electricity is among the cheapest in 

the world. 

The recent global economic crisis, which started in the United States, 

had a huge impact on the world economy. It especially impacted 

the economic recovery expectations of developed countries. As the 

countries with the most active economic growth in the world, BRICS 

countries face a great challenge. They need to adjust their development 

strategies when facing the new challenge in order to achieve 

rapid and sustainable economic development. 

Economy 

Gauteng outflanks other provinces in a number of key economic 

metrics. It has continuously outperformed South Africa’s other eight 

provinces when measured in terms of their respective provincial contributions 

to national GDP and in comparisons of provincial real annual 

economic growth rates. In 2015, Gauteng contributed 36% to national 

GDP (up from 34.5% in 2011)—well above the second and third largest 

contributions from KwaZulu-Natal (16%) and the Western Cape (17%) 

respectively. 

The contributions of the remaining six provinces to national GDP 

were all below 10%. Furthermore, average growth rates in Gauteng 

have comfortably exceeded the national average in the past decade— 

the province’s annual average growth rate between 2001 and 2011 was 

4.6%, above the national average of 4%. 

In addition, the province boasts a comparatively wealthy consumer 

base, with a population that has, on average, both the highest earners 

and biggest consumers on the continent. According to the 2011 Census, 

annual average household incomes in Gauteng (R156 243) far exceed 

the national average of R38 734. 

All of the above contributes to the fact that Gauteng is South 

Africa’s strongest economic performer, and a very favourable partner 

to both contribute to the BRICS relationship, and benefit form it as well. 

However, one cannot lose sight of the fact that the global financial crisis 

had a major impact on the world economy and the economic recovery 

prospects of the BRICS countries as well. Neither South Africa, nor the 

Gauteng province was immune to this blow. Leading economists have 

warned that BRICS, as a group of developing countries (with the most 

active economic growth in the world), will have to adjust their development 

strategies in order to achieve rapid and sustainable economic 

development in this new climate. 

In this regard, developing its economic hubs with the introduction 

of five new business corridors was a brilliant strategy by the Gauteng 



Provincial Government - and it was a move that will surely secure 

confidence among South Africa’s fellow BRICS members. 

Industry 

Although the province boasts a well-balanced industry across all the 

major sectors, the most important economic sectors are financial and 

business services, logistics and communications, and mining, making 

it the financial capital of the country and the continent. With more 

than 70 foreign banks having their head offices in the province, and 

at least that number of South African banks, stockbrokers and insurance 

giants, the country’s economic hub is set and perfectly aligned 

for international trade and investment. 

Saying that, Gauteng’s economy has, over the last few years, been 

moving away from traditional heavy industry markets and low valueadded 

production towards sophisticated high value-added production, 

particularly in information technology, telecoms and other hightech 

industries. 

Labour 

Looking at the labour market in South Africa, Gauteng compares very 

favourably with the other provinces. Though it is a fact, the country’s 

unemployment rate is high and the trend is still increasing. Some 

consolation, if any, is the fact that amidst the rising unemployment 

levels, employment in the country has also increased since 2011 to 

more over 1.1-million. 

Between 2010 and 2014 earnings 

levels increased in all industries, 

with the exception of community 

and personals services 

(down R1 000). The largest increase 

in earnings was observed in 

mining (R2 000), utilities (R1 000) 

and agriculture (R858) – all areas 

in which Gauteng is taking a lead 

role in the production arena. 

Earnings growth over the period 

was robust in skilled occupations, 

in particular Managers (R5 000) 

and Professionals (R4 400). 

According to Stats SA, at provincial 

level, median earnings in 

2014 were highest in Gauteng and 

the Western Cape, while earnings 

increased the most over the period 

2010–2014 in Gauteng (R833), 

Free State (R500) and the Western 

Cape (R423), making the province 

a popular space for young graduates 

to seek employment. This 

would also explain the influx of 

young professionals into the province, 

thus largely complementing 

the growing economy. 

Furthermore, studies revealed 

that while young people are less 

likely to transition into employment 

compared to adults, in 2014 

these transition rates were highest 

in provinces such as Western 

Cape (6,9%), Mpumalanga (6,4%) 

and Gauteng (6,1%). 

Government job creation 

programmes 

The South African government 

has since the advent of apartheid, 

continuously been introducing 

new job creation programmes in 

the country and by 2014 awareness 

about the Expanded Public 


76


Works Programme and other 

government job creation programmes 

increased from 42,8% 

to 52% in 2014. The Eastern Cape 

accounted for 22,7% of those 

who participated in these programmes, 

followed by Gauteng 

(17%)—thus raising the level of 

job creation and in the process 

favourably boosting the province’s 

readiness for direct foreign 

investment. 

Demography 

While Gauteng is the country’s 

smallest province (with a total 

area of 16 548 square kilometres), 

it has the largest population, and 

by far the highest population density—around 675 people per square 

kilometre. Compare that to the Northern Cape with an average of 

around three people per square kilometre, the province should have 

no shortage of citizens to participate in its lucrative economy. As at 

2015, the population of Gauteng was estimated to be 13.2-million. 

Furthermore, the province’s cosmopolitan mix of local and foreign 

cultures, also forming part of the business world and adding extra 

diversity to the economic landscape, sets Gauteng (and the businesses 

within it) apart from the rest as a region of tremendous trade and 

investment possibilities. 

When it comes to education, especially on a tertiary level, the 

province is set-up for a reasonably established system that will serve 

generations to come. Prime examples are the largest residential university 

in South Africa (the University of Pretoria) and UNISA, the latter 

being the largest correspondence university in the world. 

Most of South Africa’s research and development takes place in 

Gauteng, which is home to many of the country’s core biotechnology 

companies. Leading research institutions such as the Council for 

Scientific and Industrial Research, the Agricultural Research Council 

and the Onderstepoort Veterinary Institute. 



78

KEY SECTORS 

Overview of the main economic 

sectors of Gauteng 

Agriculture and agro-processing 80 

Transport 86 

Financial and business services 88 

Green economy 96 

Manufacturing 100 

ICT 108 

Outsourcing 109 


OVERVIEW 

Agriculture and Agro-processing 

Gauteng is experiencing a boom in agriculture-related investment. 

With mining starting to take a back seat as the main economic 

driver of Gauteng, we’ve seen a shift in focus to 

other areas to balance the books. Agriculture is one such 

area that has received a lot of investment in recent years, 

with food security being at the top of everybody’s list. 

While Gauteng occupies the smallest land-mass at 1.4 percent, it has 

a fairly big agro-processing industry, with over half of food processing 

companies being based in Gauteng. The food and beverage sector 

has experienced an 18 percent growth from 1996 to 2013 and now 

employs well over 120 000 people in the province. 

Gauteng is home to some of South Africa’s largest agricultural 

companies, including AFGRI, a listed agriculture services and foods 

company, which specialises in animal feed production. A significant 

share of agricultural activity within the province is concentrated on 

the production of vegetables. 

Fruit, dairy products, eggs, maize and grain are also produced in 

large volumes within the province. Agricultural activity is quite specialised 

in certain areas of Gauteng. For instance, farming activity in 

regions near Bronkhorstspruit (in 

the east) and Heidelberg (in the 

south) centres predominantly on 

cotton, groundnuts and sorghum 

production. 

Heidelberg is also a home to 

Africa’s largest feedlot for cattle. 

More exotic agricultural products 

are also farmed and produced in 

certain areas. For example, crocodiles 

are farmed at Izintaba farm 

outside Pretoria. These are used 

primarily for the production of 

crocodile skins – South Africa 

has three tanneries and produces 

about 55 000 crocodile skins 

every year. 

The Gauteng Provincial 

Government, together with the 

Sedibeng and West Rand district 

municipalities, are actively 

promoting the development 

of small-scale farming and 

agricultural co-operatives within 

the province with a view to 

addressing food security concerns 

and promoting sustainable 

development. 

There has also been a shift in 

focus in government policies towards 

the promotion of agro-processing 

activities and the production 

of value-added agricultural 

products. This is seen as a key 

mechanism to eradicate poverty 

and inequality within the province. 

Investment in agro- process- 


80

OVERVIEW 

and Agricultural Biotechnology Institute (FABI) is located at the 

University of Pretoria. 

Malt and Beer 

ing is focused on the production 

of strategic value-added products 

such as soya beans, rooibos tea, 

beverages, fruit and vegetables. 

A number of agriculturefocused 

research institutions are 

based in the province, providing 

critical support to agricultural 

production. For instance, the 

Agricultural Research Council’s 

(ARC) national research facilities 

are located in Pretoria, and include 

the Roodeplaat Vegetable 

and Ornamental Plant Institute 

and the Onderstepoort Veterinary 

Institute. In addition, the Forestry 

Three of the seven breweries operated by SAB in South Africa are 

located in Gauteng, and various complementary industries, activities 

and facilities (such as bottling plants and distribution hubs) have grown 

as a result of the company’s presence within the province. In addition, 

Heineken launched a new brewery in southern Gauteng in 2010, where 

it will brew 400-million litres of beer per annum. 

The alcoholic beverages industry is a significant contributor to 

national GDP in South Africa. An estimated R94.2-billion (or 4.4 percent 

of GDP) can be traced back to the industry’s manufacturing operations 

and capital expenditure. The industry is also a major employer within 

the country, employing in excess of an estimated 21 300 workers and 

supporting an additional 66 000 jobs directly through suppliers. 

Key players in the industry in South Africa include South Africa 

Breweries (SAB) (malt beer), United National Breweries (sorghum 

beer), Distell (spirits and flavoured alcoholic beverages, or FABs) and 

Brandhouse (malt beer, spirits and FABs). Each of these firms holds a 

substantial share of the respective segments of the market in which 

they operate. 

Brandhouse, the Heineken-Diageo-Namibian Breweries joint venture, 

is SAB’s main competitor in the malt beer market, and the third 

largest liquor company in South Africa by value of sales. In the case of 

the wine industry, Distell, KWV and DGB control a number of brands, 

while there are also a large number of smaller “independent” producers 

actively competing in the industry in South Africa. 

Gauteng is a key centre for the production of beer and malt within 

South Africa. United National Breweries produces Umqomboti, a traditional 

African beer, in northern Gauteng. The Amalgamated Beverage 

Industries, a subsidiary of SAB, has a manufacturing plant in Midrand 

which makes use of advanced technology. It also operates plants in 

Devland and Pretoria. 

Investment opportunities: 

• Investment in the production of ground-nuts, sunflowers, cotton 

and sorghum; 

• Investments in agro-processing products such as soya beans, 

rooibos, beverages, fruit, vegetables, and forestry; 

• Essential oil extraction from herbs and indigenous plants; 

• Expanding the ‘exotic’ meat (kudu, ostrich and springbok) market, 

locally and globally; 


OVERVIEW 

• Packaging of agro-processed goods; 

• Development of additional agro-processing facilities, 

• R&D in medicinal plant production; 

• The proposed Green Hub in the West Rand District Municipality, 

which will aim at promoting the growth of sustainable, green 

industries; 

• Opportunities in the non-core activities of the agricultural sector, 

such as transport, packaging and distribution; 

• R&D related to organic food production, as well as health foods 

and natural remedies; 

• Small business opportunities within the brewing industry, through 

development training; 

• Food and Beverage. 

Close to half of the companies operating in the food and beverage 

sector in South Africa are located in Gauteng, including Nestlé, Tiger 

Brands, Pioneer Foods, AVI and Astral. There are approximately 4 000 

food processing companies operating in the province, employing 

roughly 50 000 workers and contributing more than R10-billion to 

Gauteng’s GDP. 

Many major food and beverage processing brands have a significant 

presence in Gauteng. For instance, Nestlé operates four manufacturing 

plants in the province. The company has spent R505-million 

on increasing its production capacity within South Africa, with the 

majority of this expenditure incurred within Gauteng. 

The poultry business in Gauteng presents significant opportunities 

for future investment. Earlybird Farm, one of Astral’s operations, 

processes 800 tons of chicken per day at its two factories in 

Olifantsfontein. Rainbow, the 

second biggest poultry producer, 

operates 18 farms and two feed 

mills in Gauteng alone. Daybreak 

Farms, an AFGRI operation, is 

located in Springs and produces 

about 650 000 broilers every 

week. 

Pioneer Foods has spent 

R150-million on a biscuit-making 

facility in Clayville. Astral Foods 

owns two broiler production 

operations located just east of 

Johannesburg, and two of its 

eight feed mills are located in 

Randfontein (to the west) and 

Delmas (to the east). 

Tiger Brands runs six plants 

in Germiston that produce a 

range of meat products, and 

the establishment of a new tomato 

sauce plant and pasta plant 

rank among the company’s recent 

investments in the province. 

McCain Foods, located in 

Springs, produces frozen vegetables 

for the Gauteng market. 


82

OVERVIEW 

Finally, a variety of the beverages 

in AVI’s portfolio (including Ciro) 

are produced at the group’s 

Kempton Park facilities. 

By the numbers 

About 84% of South African 

households engaged in agriculture 

are headed by people with 

incomes of less than R38,400 a 

year according to a Statistics 

South Africa survey. However, 

almost 2 800 of those in the 

high-earning category are from 

Gauteng. It is the highest number 

in this segment among the 

provinces, even though Gauteng 

(279 000 agricultural households) 

ranks only a distant fourth behind 

KwaZulu-Natal (717 000), 

the Eastern Cape (597 000) and 

Limpopo (468 000). 

Women make up 48% of agricultural 

household heads in 

South Africa. In the Eastern Cape 

(55%), KwaZulu-Natal (54%) and 

Limpopo (52%) they outnumber 

men. Regarding rural access to 

water, the survey found that 20% 

of the households nationally had 

no access to piped water, and a 

further 28% had piped water 

only outside their yards. In this 

respect again Gauteng and the 

Free State seem best served. 

Most of the rural households use 

electricity for lighting and cooking, 

though wood is also used 

to a great extent for cooking in 

KwaZulu-Natal, Limpopo and the 

Eastern Cape. 

Meanwhile, Economic 

Development, Agriculture and 

Rural Development MEC for 

Gauteng Lebogang Maile said 

access to land was key to transforming agriculture in the province, 

“The decline in mining activity and the attendant consequences of 

deindustrialisation, the agricultural industry presents real possibilities 

for a shift in the orientation of these regions. More importantly, as an 

industry that can propel growth in other sectors placing Gauteng on 

different economic trajectory. 

“We must emerge out of this summit with a strategy that merges 

our agenda to promote food security, integrate black farmers, lessened 

our dependence on food imports, and empower poor communities 

to take charge of their nutritional needs by supporting 

community and household food gardens on a massive scale. We 

must emerge with a resounding commitment to use agriculture as 

a launching pad toward the realization of the transformation, modernization 

and reindustrialisation programme. I believe that agro 

processing, along with a clear strategy for economic diversification, 

can give the economies of the West Rand and Sedibeng a new lease 

on life,” concludes Maile. 


OVERVIEW 

Transport 

Public transport in Gauteng has undergone a complete makeover in recent times, 

with the likes of being a prime example of the power of possibilities. 

The notoriously busy highways of Gautengs have experienced 

some easing of both congestion and pollution thanks to the 

roll out of the Gautrain and the BRT. Plans are also afoot to 

have a single ticketing system that incorporates busses, rail 

and metered taxis, which would be a game changer for the sector. 

The harmonious integration of all forms of public transport will offer 

passenger benefits such as shorter waiting times, reduced travel time, 

greater flexibility and accessibility. It will also allow passengers to plan 

their trips accurately thereby making public transport a mode of choice. 

Gautrain runaway success 

The high-speed rail system, Gautrain, has graduated beyond ferrying 

customers to and from the airport, and after two years is averaging 

32 000 passengers per day, and to over 50 000 daily currently. The 

recent increase in the usage of the Gautrain passengers shows that 

commuters are making a conscious shift from private car use to public 

transport, and that public transport is safe, reliable, accessible and 

affordable. 

The extension of the Gautrain Station platform at the OR Tambo 

International Airport will, upon completion, enable passengers 

to embark or disembark from a 

full four-car train set, which at 

present is limited to two cars. 

The extension, as part of the 

Concession Agreement with the 

Bombela Concession Company, 

is being implemented to make 

provision for future capacity 

options. Construction work to 

extend the platform has commenced 

and the anticipated 

completion date is mid-2016. 

An assessment of the economic 

impact of the Gautrain 

has been completed and the 

results are better than what we 

could have imagined. The results 

have shown that the Gautrain 

has created 34,800 direct job 

opportunities during construction 

and 922 sustainable jobs 

after the start of operations. 

The Gautrain has also re-activated 

property development 

in many areas around its stations 

and thus has contributed 

to the goals of transit oriented 

development, better land use 

and redress apartheid special 

development planning. 

Reports estimate that R46- 

billion in total GDP impact has 

been added to the provincial 

economy due to property development 

induced by the 

Gautrain, contributing a further 

245, 000 jobs. The value of property 

near Gautrain Stations has 

also appreciated substantial with 


86

OVERVIEW 

many high-end cooperates competing 

for space in new office 

buildings close to the stations. 

However, due to the regions 

rapid economic and population 

growth, integrated solutions 

need to be implemented in 

order to ease escalating traffic 

congestion on Gauteng’s many 

new and existing highways. 

The revamping and modernisation 

of public transport and 

roads is aimed at creating a coordinated, 

integrated transport 

system for the entire province. 

It will also establish Gauteng 

as a Global City Region that 

uses international standards of 

service delivery with seamless 

mobility between municipalities 

provided by different modes of 

transport. 

Transnet upgrades 

Meanwhile, Transnet is spending 

R300-billion on upgrading 

and expanding every aspect of 

its operations. Many of those 

improvements will come in 

Gauteng, where Transnet Rail 

Engineering (TRE) has a major 

presence from its workshops 

in Pretoria and Germiston. The 

Wits Metrorail system serves 

Johannesburg and its surrounds. 

Park Station, in the north of the 

The new construction at OR Tambo airport. 

central business district, is the largest station in Africa and acts as 

the metropolitan hub. 

Airports 

OR Tambo International Airport caters for more than 17-million passengers 

every year, receives more than 105 000 arriving air-traffic 

movements and employs 18 000 people. Greater Johannesburg has 

several smaller airports that host mostly commercial aircraft: 

• Rand Airport in Germiston in the south-east 

• Grand Central Airport in Midrand, halfway between Johannesburg 

and Pretoria Wonderboom Airport in Pretoria North 

• Waterkloof Air Force base, south of Pretoria 

• Lanseria Airport, to the north-west of Johannesburg 

The developers of the Cradle City project, Amari Land, expect the 

number of departing passengers at Lanseria to grow to seven million 

annually by 2017, and that scheduled flights will increase from 1 100 

to almost 4 000. Freight tonnage is expected to reach 20 000 tons by 

2017, up from the current total of 5 000 tons. Brakpan and Springs are 

among several towns that have good airfields. Nigel is home to the 

Dunnottar Airport and an aeronautical museum. 

CONTACT INFO 

Call Centre: 0800 4288 7246 


Website: www.gautrain.co.za | Twitter: @TheGautrain 



OVERVIEW 

Finance and business services 

Gauteng is without doubt the financial hub of Africa, boasting more than 70 foreign banks 

and a wide range of financial services, that are comparable to any first world country. 

The quality of the financial and business service infrastructure 

throughout Gauteng makes it the ideal launch-pad 

for a variety of companies looking to do business in this 

vibrant region. 

Leading players within the sector include First National Bank, Absa, 

Nedbank, Standard Bank, the Johannesburg Stock Exchange (JSE), 

Investec and Rand Merchant Bank, while the JSE, Africa’s largest stock 

exchange, is also located in Gauteng. Each year, the financial services 

sector contributes 21 percent to the province’s GDP. 

Business Process 

Outsourcing (BPO) 

Gauteng is home to more than 

70 percent of South Africa’s call 

centres. The sector’s strong 

presence in Gauteng is expected 

to continue to grow — 

Business Processing enabling 


88

OVERVIEW 

South Africa (BPeSA) predicts 

that the sector will continue to 

grow at between nine and 14 

percent. Confident of the sector’s 

future growth prospects, 

the IT firm Wipro opened a 1 000 

seat call-centre in Johannesburg 

in 2011. 

Benefiting from a range of incentive 

schemes offered by the 

national government (through 

agencies such as the GGDA), 

the BPO sector contributed R1.7- 

billion to South Africa’s economy 

in 2010. Call centres catering for 

the United Kingdom account for 

more than half (54 percent) of 

South Africa’s overseas business 

within the BPO sector. Customer 

service is the most significant segment 

of the domestic call-centre 

industry. Billing and account-handling 

is the second-largest service 

area, followed by technical support, 

telemarketing and telesales, 

and reservations. 

More centres are likely to open 

in the future. The province has 

high volumes of vacant prime office space in peri-urban areas, and 

Johannesburg’s Urban Development Zone (UDZ) has been earmarked 

for the development of ICT firms (including call centres) and subsidises 

rent, utilities and services. 

Insurance sector 

Gauteng is a dominant location for the insurance industry on the African 

continent. French reinsurer Scor Group has established a presence in 

Johannesburg in order to target the English and Portuguese speaking 

markets on the continent, specifically Nigeria and Angola. 

All of the major banks are well represented in the province, and all 

the large insurance companies have a major presence throughout the 

province. Many of the major life insurance companies are also playing 

their part by helping to develop SMEs. In 2015 alone, the Liberty Group 

provided financial access to over 16 SMEs. 

“By investing in SMEs we are investing in the future of our business, 

our industry and our economy. Liberty started off as a small business 

and at our core we understand entrepreneurship,” said a spokesperson 

for the Group. 

The City of Tshwane 

The City of Tshwane is strategically positioned to service international 

Business Process Outsourcing (BPO) investments. With an estimated 

11 000 people employed in the BPO industry in Tshwane and its 


OVERVIEW 

R2,5-billion contribution to Tshwane’s economy. The 

new Tshwane BPO Park will be the ideal investment 

opportunity for both local and foreign businesses. 

Tshwane is the third-largest city in the world in terms 

of land area, after New York and Tokyo/Yokohama. 

It contributes 27% to Gauteng’s economy and 10% 

to South Africa’s economy. 

Tshwane is also South Africa’s automotive industry 

hub and the main anchor for research, innovation 

and the knowledge-based economy in Gauteng, 

owing to the location of renowned research institutions 

in the region. As South Africa’s capital, it 

also hosts 132 diplomatic missions and institutions. 

This makes Tshwane the second-biggest home of 

diplomatic missions globally after Washington DC, 

making it an extremely viable destination for international 

business investment. 

The planned Tshwane BPO Park will provide a 

globally competitive facility to both the public and 

private sector, employ more than 3 000 people and 

contribute significantly to the Gauteng Province’s 

Township Revitalisation Programme. The recent addition 

of the Gautrain (a mass rapid transit railway) 

conveniently connects Tshwane with the OR Tambo 

International Airport making the province a true 

gateway into Africa. 


• The banking industry presents investors with the 

opportunity to engage in world-class corporate 

services, as well as providing access to mortgage 

financing for starting a business; 

• The call centre industry is ever expanding, and 

this provides investors with the opportunity 

to invest in the development of the industry, 

particularly in areas such as infrastructure and 

telecommunications. 


90

INTERVIEW 

Private Banking 

Prudence Dlamini provides a breakdown on 

Standard Bank’s high-value Private Banking offering. 

What is your division’s core value proposition? 

In Private Banking our aim is to give our clients 

personalised banking, and this means that each 

client will have a Private Banker dedicated to you, 

and a private transactional banker managing your 

portfolio. A financial advisor 

who assists clients with 

wealth management will 

offer them support. 

What is Private Banking and who qualifies 

for this service? 

Private Banking is an exclusive offering for wealth 

management solutions and it is targeted at affluent 

clients as well as young professionals. To quality you 

need to earn a minimum grossly monthly income of 

R58 000 or more or have net investible assets of 

over R3-million. 

Who is the young professional that would 

benefit from Private Banking? 

The young professional is between the ages of 22 

and 32, or in their final year of study, or working in 

their first job, permanently employed or undergoing 

on the job training. We’re looking at specific 

qualifications, such as an actuary, a CA, medical 

doctor, engineer or a lawyer. A young professional 

doesn’t necessarily have to earn the qualifying salary, 

as long as they have a qualification, although such 

a professional would be likely to earn at that level 

in the future. 

What are the benefits 

of Private Banking? 

It’s convenience, time-saving 

and a wealth of knowledge. 

There is also access to your 

own Private Banker, special Prudence Dlamini 

lending rates, and a range of 

specialised benefits and rewards programmes. As a 

client I want to have a single person that I trust, who 

will open me up to the best solutions and services 

that I require. 

What new developments has Private 

Banking recently released? 

We’ve just re-launched the value proposition for 

young professionals as we want to recognise them 

for their future potential not just their current income. 

We’ve upgraded the status of our Professionals cards 

to black to resonate more with this customer base. 

We’re also offering better credit so that from a lending 

perspective, in terms of personal loans, credit 

card rates and car financing, we can offer our clients 

a preferential guaranteed rate. This is, of course, in 

line with their affordability, so everything is within 


92

INTERVIEW 

Our strategy has really changed as we were previously 

more of an emerging bank trying to grasp market 

share all over the world. However, now we are honing 

in on Africa and that is evident in adverting that 

highlights our African commitment. Our approach 

is that Africa is our home and we drive for growth. 

As we’re now in 19 countries throughout Africa it 

obviously makes it easier for us to facilitate any business 

transactions for our clients who have business 

interests in the rest of Africa, either business interests 

of even personal interests. 

WE ARE BECOMING A LOT 

MORE FLEXIBLE AROUND 

INCOME, BECAUSE INCOME 

DOESN’T ALWAYS DETERMINE 

WHERE YOU’RE GOING TO BE 

FIVE YEARS FROM NOW. 

What support do you offer for clients from 

Africa? 

If a Private Banking customer from a Standard Bank 

branch from anywhere in Africa is visiting South 

Africa they can contact us and we will introduce 

them to a local Private Banker who can assist them 

with their needs during the time they’re in South 

Africa. Naturally the same applies for South Africans 

travelling in Africa. Often enough there’s not much 

they will need, but customers really appreciate the 

access to a friendly face. Sometimes a customer 

can get stranded or find themselves in difficulty in 

a foreign country, and in such situations we do all 

we can to help our Private Banking clients. 

the terms of the NCA. We also offer them investment 

options and seed capital to start out their investment 

portfolio with our award winning Online Share 

Trading, free AlwaysOn data, and we now have 24/7 

support team via the WeChat option. 

We’ve also got a special email address that clients 

can email, as well as a contact centre so that, if you 

want to speak to someone directly you can, but if a 

client wants email instead they can choose at their 

discretion, and all of this is available to them 24/7. 

Contact us: 

Email professionals@standardbank.co.za 

24/7 Banking Centre: 086 012 3101 

Is Standard Bank doing business with the 

rest of Africa? 

CONTACT INFO 

Janice Noble 

Gauteng Province | Marketing Coordinator 

Tel: 011 601 4311 | Mobile: 076 157 3019 

Fax: 011 622 9858 

Email: Janice.noble@standardbank.co.za 



INTERVIEW 

Randburg CCI 

steering local business 

A finalist in the SADC South, 2015 Africa’s Most Influential Women in Business and 

Government Awards, Linda Blackbeard is the dynamic and driven CEO of the Randburg 

Chamber of Commerce and Industry, an organisation that doesn’t take can’t or no for an 

answer, when it comes to standing up for the rights and needs of local business. 

Please share with us some of the success 

stories of your Chamber? 

In the last couple of years we have done a lot to unite 

business in the Randburg, Sandton and Midrand region 

and, in the process, have succeeded in creating 

awareness of what we as a Chamber can effectively 

do for the business community. We have achieved a 

lot for our members this year and have earned credibility 

a lot of out in the market place. 

What is the Chamber’s representation in 

terms of all communities? 

SMME’s and black businesses form a large part of 

our Chamber, We have a very strong BEE component. 

We’ve facilitated many worthwhile introductions 

and given assistance to the newer businesses 

through training courses and are in the process of 

negotiating with CoJ, to set up a central business 

hub that will allow us to offer a one stop info and 

assistance location. Many of the young businesses 

don’t know where or who to go to for help, so we 

will step in here to guide and assist them. 

Tell me about the trade delegations you 

lead? 

Much emphasis on cross-border business opportunities 

has enabled us to develop excellent relationships 

with our SADC countries. This is a very strong point for 

which Chambers is well known. It includes facilitating 

cross border trade and investment opportunities as 

well as introductions for agencies & development/ 

investment into Africa. 

We have at present excellent relations with Zambia, 

Namibia, Botswana, Mozambique, Malawi, Nigeria, 

and Taiwan. 

Our relationships with various Taiwanese companies 

have enabled us to negotiate the rights to 

purchase the use of their technology and machinery 

in RSA. They offer transfer of skills to the local 

businesses in RSA, to enable them to manufacture 

goods needed in our country. The technology and 

the especially their knowledge, is way ahead of us, so 

this is proving to be such a valuable and important 

relationship for businesses RSA. 

Strong relationships built with a number of 

European investors, interested in various local projects, 

is proving most beneficial. We focus a lot on 

energy and water as well as green projects. Our Rural 

water purification project, to supply clean healthy 

drinking water to the RSA rural areas; is a very difference 

concept, where the rural communities benefit 

financially from this to help them grow and develop. 

How else does the Chamber play a role? 

We do Certificates of Origin and are officially accredited 

officers. We work closely with the City of Jo’burg and 

sit on their business and tourism sub committees. We 

will do anything we can to help businesses. I believe its 

always best to establish what the needs of business is, 

so we offer the correct benefits to members. 

We face a tough year with the prospect of more 

interest rate hikes, along with other issues such as 

energy supply and water shortages, but for every 

problem there is a solution. We don’t like to look at 

the negatives, we prefer to focus the positive options. 

It helps to have good people beside you, to seek out 

the solutions to all the challenges we face on a daily 

basis and I am most grateful for the amazing EXCO 

team I have, made up of members of our Chamber. 

Without them, I would be lost. 


94

The Randburg Chamber 

of Commerce and Industry 

PROFILE 

The Randburg Chamber of Commerce and Industry was created to effectively protect and 

promote the interests of business in the Randburg, Sandton and Midrand regions. 

The Randburg Chamber of Commerce is a non-profit 

organisation setup to represent the voice of local 

business in the Randburg, Sandton and Midrand 

suburbs of Johannesburg. Now in its 56th year, the 

Chamber is a formal institution that operates under a 

strong code of good business practice and operates 

under a constitution 

“Primarily we facilitate the introduction of relevant 

stakeholders to one another, as well as supporting 

and lobbying for local business interests. Basically, 

we make waves where required in order to improve 

the ways things happen and to ensure that any bad 

things that happen can be turned around into a 

positive situation for everyone involved,” says Linda 

Blackbeard, CEO of the Chamber. 

The Chamber also plays a role in terms of being a 

voice for general business issues, for instance where 

there are issues relating to the local municipality or 

even tax laws, or if there are problems that affect 

business such as interest rate hikes, issues around BEE 

implementation or relating to labour law changes. 

“Anything that affects business that they can’t sort 

out alone, they come to us and we support them by 

helping to give a voice to the business community 

and its needs,” adds Blackbeard. 

The chamber is affiliated to the South African 

Chamber of Commerce & Industry. 

Aims of the Randburg 

Chamber of Commerce 

• Protect the interests of business in the region, 

promote the private enterprise system and 

market-orientated approach with equal opportunities 

for all while assisting businesses to adapt 

to realities that cannot be changed 

• Promote member’s businesses locally and internationally 

and provide facilities for members to 

identify business opportunities through events, 

information services, advertising and other special 

business development facilities available 

from the Chamber. 

• Contribute to the formulation of national and 

local policies on key issues that affect business – 

be the voice of business operating in Randburg, 

Sandton and Midrand and give these localities 

a better place on the economic map 

• Influence constructively the environment & 

operating conditions nationally and in our area 

of responsibility 

• Attract local and international investment to our 

area of responsibility and facilitate international 

business and contacts 

• Act as a business information, training and facilities 

resource utilizing members expertise – aimed 

at assisting members to grow their business and 

fulfil a leading role in the community 

• Promote security, the growth of business, 

employment skills in the region 

• Contributing business expertise and resources 

to community development projects addressing 

social needs 

CONTACT INFO 

Address: Unit G8 Atrium Terraces, 272 Oak 

Avenue, Randburg, Gauteng 2194 South Africa 

Tel: 086 101 9218 | Fax: 086 212 4407 

Email: admin@rcci.co.za 

Website: www.rcci.co.za 


OVERVIEW 

Green economy 

South Africa is without doubt the premier energy innovator of Africa, with renewable 

energy projects streets ahead of the developing world, as South Africans explore the 

many sustainable options for a better, and certainly brighter future. 

in Gauteng, while solar panels are 

already being used by many state 

buildings in the city centre, showing 

government’s commitment to 

the green economy. 

Gas development 

One of the main drivers of renewable energy development 

has been the Renewable Energy Independent Power 

Project Procurement Program (REIPPPP), which, through 

serious investment from the Development Bank of South 

Africa, together with Independent Power Producers has forged ahead 

with numerous wind, gas and solar project in this energy rich area. 

Gauteng has seen a rise in roof-top solar, with business generating 

their own electricity, while putting the power back in their own hands, 

after a debilitating spell of load-shedding in 2015, which appears to be 

under control in 2016 with new management at Eskom. 

At a residential level solar water heaters are being rolled out to 

municipalities and solar street and traffic lights were being introduced 

The Bronkhorstspruit Biogas Plant 

in Gauteng is the first commercially 

viable biogas project in South 

Africa, and powers directly into 

the national grid. An independent 

commercial enterprise with 

an initial life cycle of 20 years, it 

will contribute to diversifying the 

South African energy mix away 

from coal. The project has resulted 

in the creation of long-term 

direct and indirect employment 

in peri-urban South Africa, which 

currently experiences high levels 

of unemployment. 

Meanwhile, Natural gas 

Company, Egoli Gas launched its 

eight kilometre pipeline, which 

will initially deliver 1.5-million 

gigajoules of natural gas per year. 

The natural gas will be imported 

from Mozambique by Sasol and 

at full capacity the pipeline will 

be able to deliver 2.5-million gigajoules 

yearly. The pipeline will run 

from Sasol’s pressure reducing 

station in Robertsville to MTN’s 

14th Avenue Campus, and the gas 


96

OVERVIEW 

will feed a new MTN generation 

plant as well as other customers in 

Lakeview and Constantia. 

Green building 

Increasingly, new building developments 

aim to become more 

environmentally friendly in order 

to comply with new legislation, 

reduce costs and ensure the sustainability 

of buildings in a time of 

diminishing resources. According 

to the Green Building Council of 

South Africa (GBCSA), a green 

building is a building which is ‘energy 

efficient, resource efficient 

and environmentally responsible’ 

– it incorporates design, construction 

and operational practices. 

According to the MasterCard 

Insights Report on Urbanisation 

and Environmental Challenges, 

Johannesburg ranked second 

among countries from Asia/ 

Pacific, Middle East and Africa in 

dealing with urbanisation and 

environmental challenges. One 

example of a newly erected envi- 

ronmentally friendly building in Gauteng is the Nedbank head office 

in Sandton. This is the first building in South Africa to win a four-star 

rating from the Green Building Council of South Africa. 

The rating encompasses key elements such as energy-efficient 

lighting, an excellent waste recycling system and a full- economy airconditioning 

system. Altogether the building is set to use 30 percent 

less energy than a conventional building. Another ‘green’ building is 

Absa’s huge new office complex in downtown Johannesburg — Absa 

Towers West. The building has incorporated green design elements 

including the largest grey-water system ever installed in South Africa 

with a capacity of 43 000 litres of water per day. 

In terms of national support, the Industrial Development Corporation 

has pledged to spend R25-billion on the green economy in the five 

years to 2016, with a major focus on solar panels, technology to extract 

carbon from the smoke emitted by power stations, and other technologies. 

Furthermore, the National Cleaner Production Centre (NCPC-SA), 

which is funded through the National Treasury and hosted by the CSIR, 

aims to boost the competitiveness and productive capacity of industry 

in South Africa through cleaner production methods. 


• Development of environmentally friendly infrastructure. 

• R&D into more efficient environmentally friendly practices and 

technology. 

• Establishment of appropriate waste management and waste 

disposal. 

• Production of fertilisers from chemical waste. 

• Recycling (bottles, tyres, etc). 


INTERVIEW 

Supporting small 

enterprise development 

Friedl Claassen and Wilhelm Pienaar of Standard Bank Gauteng’s Small 

Enterprise Development division provide some insight into what’s 

happening in the world of small business. 

What is your division’s target market? 

We look after the Small and Medium Enterprises 

segment for the Gauteng Province. This market 

segments consist of businesses from the start-up 

phase up to businesses with an annual turnover of 

R20-million. 

What is the core value proposition that 

your division offers? 

We have two value propositions, the first being for 

start-ups with an annual turnover of up to R5-million 

and the second is for businesses with an annual 

turnover of between R5-million and R20-million. 

Have you seen any change in the rate of 

success of small businesses in the last 

few years, given the increasing support 

from government and numerous agencies 

to support them? 

The assistance to new businesses by government 

and agencies certainly makes a difference, but it is 

not the main contributing factor. The management 

of each business or small enterprise remains without 

doubt the single most important factor that determines 

the success or failure of a business. 

From your experience of helping clients, 

what are the signs of a customer who is 

likely to succeed… and what are the signs 

of a customer who is more likely to face 

struggles to keep their business going? 

Success is definitely determined by the management 

team’s ability to actively manage the business’ 

cash flow cycle. Cash flow is the key driver for 

business sustainability and, as a consequence, not 

Wilhelm Pienaar 

Friedl Claassen 

pro-actively managing this component for start-up 

businesses is generally detrimental to the future 

profitability and even survival of the business. 

What are the main reasons that more 

small businesses are starting in Gauteng? 

It would have to be because of the unemployment 

factor, coupled with a bigger emphasis on entrepreneurial 

thinking. Another element to remember in 

terms of the current financial climate is that there is a 

large portion of the “working class” that now operate 

side-line businesses. 

What are the small business areas that 

are proving successful on a broad scale? 

The key sector at this point in time is franchising, and 

the success of these ventures is largely due to the 

fact that there is serious due diligence conducted 

before there franchisees are able to start up their 

branch of the franchise. It’s important for any business 

that the business environment, location and 

the competitive advantage is analysed with great 

care before embarking on a financial venture, and 

when it comes to franchising this is done by the 

franchisors. Because the franchisors have the overall 


98

PROFILE 

success and reputation of their brand at stake, this 

ensures that the due diligence does its job. This is 

such an important lesson for any business person 

entrepreneur to learn from. Another factor which 

is helping franchising to offer franchisees a competitive 

advantage is the fact that franchisors also 

negotiate preferred prices in terms of raw materials 

and or stock. 

THE ASSISTANCE TO NEW 

BUSINESSES BY GOVERNMENT 

AND AGENCIES CERTAINLY 

MAKES A DIFFERENCE, 

BUT IT IS NOT THE MAIN 

CONTRIBUTING FACTOR 

What are the areas of opportunity you believe 

offer the greatest opportunities for 

small business success in the next two to 

three years? 

Timing is really the key in business - it’s about starting 

the right business at the right time. Businesses 

that seek to investigate and address a specific niche 

will also always be successful if they have done 

their homework right and have been guided by 

their head and not their heart. Management will, 

however, always remain a key component in the 

success of any business of any size. 

Have there been any recent developments 

or innovations that your division has introduced? 

Well, we’ve recently introduced industry specific 

solutions for, example, tradesmen and the School 

CVP, along with our technological innovations such 

as Blue MObi. 

How has your division helped to open 

doors for your clients to do business in the 

rest of Africa? 

Standard Bank is well represented across Africa and 

forex transactions are still governed by Exchange 

Control. It is, therefore, difficult to have a one-sizefits-all 

approach. We do, however, have a team of 

experts that can address any and every Forex requirement 

that could arise for our clients. 

Any specific success stories that your 

division is proud to have played a part in 

bringing to fruition? 

We have created the Innovation Hub where we assist 

young and upcoming entrepreneurs by providing 

guidance and coaching in terms of critical focus 

areas. We also get involved with certain college campuses 

in identifying and supporting up and coming 

young entrepreneurs. 

CONTACT INFO 

Janice Noble 


Tel: 011 601 4311 | Mobile: 076 157 3019 

Fax: 011 622 9858 




OVERVIEW 

Manufacturing 

The provincial government is placing major emphasis 

on the development of local manufacturing. 

Recent reports suggest that South Africa’s manufacturing 

sector has outstripped mining in terms of overall input to 

the country’s GDP, with the automotive sector claiming a 

fair chunk, while the pharmaceutical and steel sectors are 

in hot pursuit. 

Some of the world’s largest and most famous motor vehicle brands 

(including BMW, Ford, Nissan and Tata) have established manufacturing 

facilities in Gauteng. The province is also home to a thriving automotive 

components industry, together with several bus and truck assembly 

plants. These include Scania, TFM Industries and MAN Truck and Bus 

South Africa, as well as the Chinese truck manufacturer FAW, which 

owns an assembly plant in Isando. FAW has joint venture operations 

with many of the world’s leading 

vehicle manufacturers, including 

Volkswagen, Toyota and Mazda. 

In 2010, over one million automobiles 

were sold through these 

joint venture operations. 

Automotive parts and 

components 

Overall production levels at this 


100

OVERVIEW 

plant were expected to double 

to approximately 100 000 units 

by 2014, creating around 800 jobs. 

The BMW facility at Rosslyn is a 

top manufacturer of the German 

marquee’s famous 3 Series cars 

and recently won a contract to 

make the newest model in the 

series. BMW’s current production 

is about 50 000 units per annum, 

approximately 80 percent of 

which is destined for export markets. 

The Ford Motor Company 

of South Africa has an assembly 

plant in Silverton, Pretoria. Ford 

intends to double its production 

volumes every year until 2016, and 

plans to assemble 110 000 Ford 

Ranger pickup trucks per year at 

Silverton. 

A number of different types 

of vehicles – including armoured 

cars and standard passenger 

vehicles – are produced within 

Gauteng. DCD Protected Mobility 

manufactures armoured cars in 

Boksburg, which are branded as 

Vehicle Mounted Mine Detectors. 

In nearby Benoni, BAE Systems 

OMC designs and manufactures 

protected vehicles. Turning to 

passenger vehicles, the Nissan/ 

Renault plant at Rosslyn, Pretoria, 

produces the Renault Sondero 

hatchback, Nissan light commercial 

vehicles and the Tiida and 

Livina models. 

Tshwane automotive 

sector 

In its quest to improve economic 

growth, the City of Tshwane 

has earmarked its automotive 

sector as a bulwark to build the 

Automotive City. The Tshwane 

Automotive City (TAC) concept was started in 2008 as a shared vision 

between Government and the automotive industry to transform the 

City of Tshwane into a leading automotive investment destination. In 

June 2014, the Automotive Industry Development Centre (AIDC), the 

City of Tshwane (CoT) and Tshwane Economic Development Agency 

(TEDA) entered into a three-year partnership that will see the completion 

of the TAC Development Framework, Master Plan and Precinct 

Plan TAC concept. 

The TAC programme is a strategic infrastructure programme 

aimed at stimulating automotive vehicle assembly and components 

manufacturing in the Rosslyn area by accelerating the development 

of key infrastructure such as logistics, residential, recreational 

and so on through public and private partnerships. The TAC 

vision is based on other well-established automotive cities such as 

the Shanghai Automotive City in China, ‘The Autostad’ in Germany 

and Toyota Automotive City in Japan. The TAC programme aims to 


OVERVIEW 

transform the CoT into a more attractive region in order to create 

partnerships with investors interested in setting-up automotive 

manufacturing facilities with the view to exporting components 

into the Southern African market as well as to existing international 

trading partners. 

The programme aligns strongly with a number of policy drivers 

at national, provincial and municipal level. The expected strategic 

benefits of the TAC programme are as follows: 

• Economic growth 

• GDP growth 

• Infrastructure development 

• Attract Investment both foreign and domestic 

• Create Enterprise Development opportunities 

• Create thousands of jobs 

• Increase tax revenue 

• Support Government’s strategic objectives 

Finally, a range of incentives are available to firms and investors 

within the automotive industry in Gauteng. The value of incentives 

provided through the national Department of Trade and Industry 

amounts to around R5.9-million. Such incentives are a key factor 

in encouraging firms within the automotive industry to upgrade 

or expand their facilities within the province. For instance, Tata is 

considering converting its assembly plant in Gauteng into a full-scale 

production facility. This would be the company’s first big assembly 

plant to be developed outside India. 


• Export of automotive components 

• Joint ventures with existing manufacturing companies 

• Non-core activities such as distribution and transport 

Pharmaceuticals 

South Africa’s pharmaceutical 

sector is worth approximately 

R20-billion annually. Although 

there are more than 200 pharmaceutical 

firms in the country, 

large companies tend to dominate 

the field, with Aspen (34 

percent) and Adcock Ingram (25 

percent) the two key players, followed 

by Sanofi, Pharmaplan 

and Cipla Medpro. A number of 

large pharmaceutical firms have 

made significant investments in 

South Africa. Adcock Ingram, for 

instance, has invested heavily in 

its South African operation. The 

company is planning to spend 

R1-billion on new developments 

and upgrades in Gauteng. 

The private sector accounts 

for 80 percent of pharmaceutical 

industry sales by value and 

20 percent by volume, while 

this ratio is reversed in the case 

of the public sector. The public 

sector dispenses comparatively 

cheap pharmaceutical products 

to its users in public hospitals and 


102

OVERVIEW 

healthcare centres within South 

Africa, whereas pharmaceutical 

products produced by the private 

sector in South Africa serve 

a niche market. 

Investment opportunities: 

• Joint ventures with small 

manufacturers 

• Marketing of pharmaceuticals 

• R&D of new, innovative 

products 

• Scientific services such as clinical 

trials. 

Steel-related industries 

Within South Africa, most of the 

industry’s steel is produced and 

consumed in Gauteng. Metal 

products, machinery and equipment 

are produced predominantly 

in the Emfuleni Local 

Municipality, which is at the 

heart of South Africa’s iron and 

steel industry. Vanderbijlpark 

and Vereeniging in southern 

Gauteng are synonymous 

with steel production in South 

Africa. There are as many as 35 

aluminium processing firms operating 

in Gauteng, involved in 

both secondary processing to 

produce foils, cans, bars, rods 

and sheets, with final fabrication 

in the form of die-casting 

and sheet metal work. Within 

Gauteng, the automotive and 

packaging industries are the 

chief consumers of these products. 

With domestic production of 

crude steel amounting to 7.6-million 

tons in 2010, South Africa was 

ranked the 21st largest crude steel 

producing country in the world 

by the World Steel Association. South Africa is also the largest steel 

producer in Africa, producing nearly half (47 percent) of the continent’s 

total crude steel output in 2010. 

There is a relatively large domestic market for steel products within 

South Africa. Local sales of primary carbon steel products (as reported by 

SAISI members) were estimated at 4.2-million tons in 2010. Domestically, 

the main consumers of steel products are the mining, manufacturing, 

building and construction sectors, while a significant share is destined 

for the export market. With respect to the latter, 1.2-million tons of 

ferrous-scrap was exported from South Africa in 2010. 

The national government provides a range of incentives to support 

steel-related industries in South Africa. These are available through 

the Investment Support, Small Business Development, Empowerment 

Finance, Competitiveness Improvement, Techno-Industry Development 

Finance and Export Assistance programmes. In addition, the COSM Trust 

has created a privately owned fund to support exporters of value-added 

steel products. 

ArcelorMittal, based in Vanderbijlpark, produces flat iron and has been 

a major employer in the province since 1947. Another key industry player, 

AECI, is located in Modderfontein near Johannesburg. AECI is comprised 

of two principal divisions: AEL Mining Services (with a large factory site) 

and Chemical Services, which presides over 20 separate companies 

(including Senmin, the group’s mining Chemicals Company). 


• Joint ventures with small stainless steel manufacturers 

• Marketing and export of stainless steel products 

• Manufacturing of final products, such as pipes and tubes 

• Non-core activities such as distribution and transport 

• With Gauteng’s proximity to key trading partners, ports and logistics 

arteries, the manufacturing sector is sure to continue to thrive 

in the region. 


PROFILE 

Zig Enterprise 

Caiphus Mokotedi is the founder of Zig Enterprise, a 100% 

black-owned automotive company operating in Silverton. 

Caiphus Mokotedi owns and manages Zig 

Enterprise and is one of the great success stories 

from the Automotive Industry Development 

Centre (AIDC), as he is the first Incubatee to 

graduate from the Centre. The AIDC centre is 

a business Incubation programme developed 

to support black-owned businesses during the 

critical start-up phase that would then perform 

value-added sub-assembly work for Tier 1 suppliers 

on the Ford Ranger assembly at the Ford 

Motor Company of Southern Africa (FMCSA). The 

training and development plan, jointly conceived 

by FMCSA and the AIDC, led to a five-year plan to 

enhance the overall skills and knowledge base 

of automotive workers in the Silverton Assembly 

Plant in Pretoria. This is to ensure that globally 

competitive businesses are able to enter the 

automotive supply chain and to be able to operate 

in line with its high standard of requirements 

and demands. Mokotedi was also one of the first 

BEE entrepreneurs who joined the Incubation 

programme in 2011. 

How would you describe the AIDC programme 

and the role it has played in 

your life? 

The AIDC is a programme that helped me a great 

deal as it supported me in building and living my 

dream of becoming one of the few black-owned 

business owners in our country. The programme 

has been an incredible journey and milestone 

in my personal as well as professional life. It 

played a huge role during our start-up phase 

with the many highs, lows and challenges that 

we needed to overcome over the past four years 

however with motivation and perseverance, we 

prospered. 

Caiphus Mokotedi is a qualified Mechanical 

Engineer from Technikon Witwatersrand with 

18 years in the automotive industry. He previously 

worked as a Trainee Engineer at the BMW 

SA Assembly plant in Rosslyn, and as Process 

Engineer for “Widney Transport Components”. 

What does Zig Enterprise do, and what 

success have you had in the past year? 

We provide logistics services and offer a valueadding 

service to The Ford Motor Company 

of Southern Africa through our Vehicle 

Personalisation Centre (VPC). This services includes 

the fitment of the following parts: wheel 

lock nuts, spare wheel locks, bullbars, heavy duty 

seat covers, window etching and metal e-marking. 

We also recently ventured into providing a 

carwash service for fleet cars at Ford. 

What is the growth of competition in the 

auto service businesses? 

The scale and importance of the automotive 

industry has created many opportunities for 

people to get involved, especially as the com- 


104

PROFILE 

The Zig Enterprise team. 

petitive pressure is growing in the auto service 

market. Alongside OEMs’ owned repair shops, 

providers and the number of new market players 

offering various car-related services is increasing. 

Independent players operating under franchise, 

insurance companies, leasing firms and alternative 

mobility companies are all crowding onto 

the market. Irrespective of this highly and increasing 

competitive market, Zig has strategically 

placed itself through the operationally competitive 

aspects it has acquired from the past. 

What partnerships have proved to be an 

important part of your growth? 

We partnered with Schnellecke Logistics Solutions 

(SA) and partnered with the FMCSA’s plant during 

the initiative start-up. Through our partnership 

with Schnellecke SA we provide sequencing and 

logistics of interior trim panels directly to the Ford 

T6 Ranger production line. We have also provided 

sequencing and logistics services to various Tier 1 

component suppliers at the FMCSA plant. 

The company has quality management 

against the international set of requirements. 

This enables a high-quality service offering to 

its client in order to ensure they receive ultimate 

satisfaction. The success we have generated 

through working within FMCSA’s plant over 

the years enables us to continue to flourish as a 

supplier to FMCSA and, hopefully, to meet and 

exceed the high expectations of our customers 

for years to come. We are committed to supporting 

the Ford Motor initiative as our service 

centre has identified opportunities and created 

16 additional jobs in the process as we want to 

become a one-stop-shop so that we are able to 

support manufacturing businesses with various 

service offerings. 

CONTACT INFO 

Physical Address: Office 117, Domus Building, 

57 Kasteel Street, Lynnwood Glen 0081 

Tel: 012 348 3953, 082 708 6275 

Email: info@zigza.co.za 

or caiphusm@zigza.co.za 

Website: www.zigza.co.za 


INTERVIEW 

MASISIZANE FUND 

Interviewee Name 

Helping small business 

thrive 

BUILDING SUSTAINABLE 

BUSINESSES THROUGH 

SUCCESSFUL PARTNERSHIPS 

Nandipa Gaqa, the Provincial Manager for Masisizane 

Fund Gauteng, is helping to drive development of small 

business in the City of Gold. 

What is the Masisizane Fund’s footprint in Gauteng? 

We have one branch in Sandton which looks after businesses partnerships across all with Omnia, Gra 

the metros in Gauteng (Johannesburg, Tshwane and Ekurhuleni). 

Association 

Being 

and municipalities, th 

their planting significantly in 2014 

Nandipa Gaqa 

a largely urban province, we predominantly fund urban and peri-urban 

channeled towards Grain Co as 

businesses with a small percentage of rural business. 

The Masisizane Fund (NPC), is an initiative Given of Old the increasing Mutual South residential Africa, established and property developments Masisizane across opera 

in 2007 following the closure of the Unclaimed Gauteng, Shares this Trust. has This created was done an opportunity in consultation for franchises to open nationally businesses 

in small to medium size shopping centres, in addition in to Gauteng large and r 

with it 

with the National Treasury of South Africa. The mandate of the Fund at inception was 

and remains to contribute meaningfully to employment creation, poverty eradication 

malls that also offer a diverse shopping experience. This has offices led to a in KwaZu 

and reduction of inequality, economic growth and the attraction of investment. This is 

significant growth in new and established franchised outlets. 

BIOGRAPHY 

Limpopo, Eastern 

done mainly through promotion of entrepreneurship, enterprise finance and support to 

small, micro and medium enterprises (SMME’s). 

Western Cape. 

Nandipa Gaqa is the Provincial What franchising opportunities are you able to fund? 

The process to follow when apply 

Manager Central Regions for The Fund’s focus is on enterprises that are 51% or more owned from the Masisizane by Fund is: 

The Fund provides loan finance in the following sectors: 

the Masisizane Fund. Nandipa previously disadvantaged individual(s), giving priority to rural Submit and the periurban/township 

• Manufacturing areas. Masisizane gives preference to businesses that 

following documents fo 

• Agriculture 

relevant provincial office: 

joined the Masisizane Fund in 

• Comprehensive business plan 

• Supply Chain 

April 2013. Prior to that she was are owned by the youth, people with disabilities, or that are projections; owned 

• Franchising 

a Risk Analyst in the Group Risk by (51% or more) women and which target productive and • For labour- established businesses – 

• Commercial Enterprise 

three years) and the latest man 

Division of Investec Bank for absorbing sectors. There are numerous benefits of funding an SMME 

Non-financial value adding services include capacity 

• For start-up businesses – financ 

five years, two of which were that wants to open up a franchise, notably the fact that investing in 

development, business management and technical support, 

• Tax clearance certificate; 

spent as a graduate trainee in an established financial education, brand market with development a standardised product/ business operating • Off model take agreements and/or l 

Balance Sheet, Credit and Operational 

Risk. 

also makes it simpler for the franchisee to run the business (compared 

ensures service it quality is fairly standards easy to and replicate compliance. in any A Business location. The franchise • Signed model consent for a credit ch 

After working as Credit Risk to an independent brand) as the franchisee has access to approved 

and Deal Structuring Specialist 

for two years, Nandipa The franchisee also has access to a comprehensive training pro- 

systems and reputable suppliers from which to source supplies. 

moved into her current role in gramme, including on-site practical training and operating manuals 

December 2015. Nandipa has should they require additional information. The franchise model removes 

(to an extent) barriers to entry, given that it allows individuals 

a BCom Honours in Business 

Finance (Wits University) and a with a lack of relevant experience to invest in franchised outlets, as 

BCom in Economics and Business 

Finance (Wits University). is that the marketing of the brand is shared, and the existing 

long as they have been approved as franchisees. Another major benefit 

brand 

The target market is enterprises that are 51% or more owned 

by the previously disadvantaged individual(s) giving priority 

to rural and peri-urban/township areas. Masisizane funding 

is biased towards 51% plus owned women, youth and 

people with disabilities. Masisizane will target productive 

and labour absorbing sectors as approved by the Board of 

Directors from time to time. 

The Fund’s success is driven through a focused approach on 

high impact industry sectors, coupled with a comprehensive 

SMME finance solution that includes business support. 

Acceleration Program has been e 

clients receive training and suppo 

eligible to receive financial suppo 

The growth of the Masisizane Fu 

inception. Although the initial foc 

the fund has gradually grown to b 

fund with the vision of being able 

as a sustainable entity and thereb 

for many years to come. The fu 

R1b and it plans to invest R420 

SMME’s by the end of 2017. 

The development of agri-clusters 

Masisizane Fund’s approach in 

entail the clustering of small sca 

the farmers benefit from economi 

on value chain financing, agro-p 

partnerships. 

In 2013 the Fund initiated a p 

Harry Gwala municipalities co 

trading in grain and dairy prod 

focused on development of value 

mechanization, storage and micro 


106

INTERVIEW 

equity assists the franchisee in marketing the store 

locally as the product is already known and tested 

in the market. 

How are you able to assist your clients? 

We offer short- and long-term funding solutions to 

our clients based on their business needs. We use 

either pure debt or blended finance instruments 

(this can include both debt and equity funding), 

depending on the viability of the business concept. 

We also offer incubation opportunities to businesses 

that meet the criteria but that are not at the right 

stage of being funded – be it a lack of access to 

markets or the requisite technical skills or knowledge. 

We also offer business support services to funded 

businesses to ensure they grow and sustain their 

business performance. The level of support can also 

entail linking the client to a mentor to assist with 

areas of development or improvement. 

CTU MANUFACTURING CO-OP 

This co-operative was founded in 2008 in 

Gauteng centring around manufacturing fully 

guaranteed products such as hospital linen, 

apparel/attire, uniforms as well as corporate 

and personal protective clothing. 

As professional nurses the owners saw an 

opportunity to supply hospitals with apparel. 

They resigned and went for business training 

to turn their idea into reality and have since 

created 56 employment opportunities for 

disadvantaged women in Gauteng. CTU received 

loan funding from the Fund in 2013 for 

the fulfilment of contracts with the Gauteng 

Department of Health. A second facility in 

2014 ensured successful delivery of various 

contracts in 2015. CTU provides in-house training 

and experience to young graduates. 

What difficulties do SMMEs face? 

There is a funding gap or shortfall at this level, as 

funding is not easy to obtain without a track record 

in terms of products, services and access to consistent 

markets. In the semi-established business 

category there is a drive for business owners to grow 

their businesses and take them to the next level, but 

access to markets and flexible funding solutions still 

pose a major challenge. The Fund sees great value in 

assisting these companies as they are committed to 

creating jobs and thus contributing to the reduction 

of unemployment and alleviating poverty. 

What makes a successful SMME? 

A hardworking and passionate entrepreneur who 

has both a clear vision in addition to the ability to 

implement a sound business strategy throughout 

the business. Someone with the ability to produce or 

offer a quality product or service to the market and 

deliver on time. Access to consistent markets and the 

ability to market the product to the target market. 

Also important to enable their business to grow is 

access to affordable funding opportunities, stringent 

cash management and budgeting, the ability to 

identify good investment opportunities and having 

a business model that is sustainable, in addition to 

the ability to create or maintain jobs. 

CONTACT INFO 

Physical address: Isibaya Building, 

93 Grayston Drive, Sandton 

Postal address: PO Box 784531, 

Sandton, 2146 

Tel: +27 11 217 1746 

Website: www.masisizane.co.za 


OVERVIEW 

Information and 

Communication Technology 

Nearly two-thirds of all South African ICT companies are located in Gauteng, 

collectively contributing more than 6 percent to regional GDP. 

Arange of ICT activities is undertaken 

within the province, including hardware 

manufacturing and software design, and 

various service offerings such as software 

management, systems programming and technical 

support. A number of international giants, including 

Microsoft, Hewlett-Packard, IBM, ICL, Cisco and 

Unisys, have a strong presence in Gauteng, where 

they operate alongside South Africa’s own ICT firms. 

The Gauteng province is home to a number 

of dedicated and specialist data centres, many of 

which service specific companies (for instance, the 

27 000 square metre Samrand Data Centre is used 

by Standard Bank). 

Specialist data centre operators such as Business 

Connexion are also located in Gauteng. Metrofibre 

Networx, a company based in Midrand, is a new 

entrant to the market and competes with Vodacom 

and Neotel in providing metro Ethernet technology. 

Ethernet technology is a fibre-based broadband 

technology that offers a cheaper alternative to connect 

subscribers to the Internet or to connect different offices owned 

by a single company. 

With a view to driving growth within the ICT sector, the Gauteng 

provincial government has introduced a programme that provides 

mentoring support and venture capital for the commercialisation of 

technology firms. The provincial government has also established a 

science park in the form of The Innovation Hub. The City of Tshwane 

has an Innovation Office based at TIH. The metropolitan municipality 

already has a fibre optic network infrastructure that hosts two technology-related 

projects, TIH and ASP. Innovation in the sector will be 

further encouraged by the newly established mLab, a centre designed 

to support entrepreneurs in the mobile-technology field. The CSIR in 

Pretoria hosts the mLab facility together with TIH. At a national level, 

incentives have been introduced and the South African Vanguard of 

Technology (Savant) programme has been created in order to provide 

marketing support to the South African ICT and electronics sector and 

improve the level of awareness of the local sector. 

Opportunities for 

investors: 

• Hardware and software 

consultancy; 

• Service support for users of 

ICT; 

• Sales and export of ICT 

technology. 


108

Outsourcing 

Call it business process outsourcing (BPO), call it business process management, 

call it what you like—the business of outsourcing is about to put the City of 

Tshwane on the international BPO map. 

OVERVIEW 

Outsourcing brings with it many benefits to all the role-players 

involved. The biggest of them all is most likely that it’s a costsaving 

measure for tasks that a company requires but does not 

depend upon to maintain their position in the marketplace, 

thus such activities are non-core business. 

A big player in the Business Process Outsourcing (BPO) field is the 

contact centre (also known as captive centres, call centres or global inhouse 

centres) industry. Until recently, India was favourably looked upon 

by countries in the west, which could have their outsourced work done 

at a fraction of the costs than would otherwise be expected locally due 

to much higher labour costs in their countries of origin. 

According to the national agency promoting the sector in 

South Africa, Business Processing enabling South Africa (BPeSA), 

Gauteng is host to the head offices of most of South Africa’s largest 

companies and the province h as the largest domestic market in South 

Africa, with approximately 133 800 employees contributing 71% to the 

national domestic market share. Gauteng is also home to more than 

70% of the country’s call centres, and the sector is growing all the time. 

Among the reason for the rapid growth of the outsourcing industry 

in Pretoria, is the City of Tshwane’s strategic position in the province 

to service international Business Process Outsourcing (BPO) investments. 

At present an estimated 11 000 people are employed in the 

BPO industry in Tshwane, while the sector annually contributes in the 

region of R2,5-billion to the city’s economy. 

The ultramodern Tshwane BPO Park (TBPO), to be created in partnership 

with the University of Pretoria, will secure the city’s position as BPO 

leader in the region. Consisting of a contact centre that can seat 3 000 

people, an incubator for SMMEs and an academy offering a national 

tooling programme, the TBPO will benefit both the university and 

all those living in the metropolitan area and has been described as a 

milestone that will help to the realise the City of Tshwane’s Vision 2055. 

Referring to the development of the new project, Tshwane’s 

Executive Mayor, Councillor Kgosientso Ramokgopa, said over and 

above the benefits of job creation, infrastructure and skills development 

envisaged by the Tshwane BPO Park, the City of Tshwane will gain 

first-mover advantage above other regions, accelerate industry growth 

and attract new clients. “The Tshwane BPO Park will also position the 

city as a key role player and an ideal BPO investment opportunity,” 

said Ramokgopa. 

Investment opportunity 

The new Tshwane BPO Park will be 

the ideal investment opportunity 

for both local and foreign businesses. 

Tshwane is the third-largest 

city in the world in terms of land 

area, after New York and Tokyo/ 

Yokohama. It contributes 27% to 

Gauteng’s economy and 10% to 

South Africa’s economy. It is South 

Africa’s automotive industry hub 

and the main anchor for research, 

innovation and the knowledgebased 

economy in Gauteng, owing 

to the location of renowned 

research institutions such as the 

Council for Scientific and Industrial 

Research, the National Research 

Foundation, the Department 

of Science and Technology and 

Onderstepoort Veterinary Institute. 

Once operational, the TBPO 

will provide a globally competitive 

facility to both the public and 

private sector and will contribute 

significantly to the Gauteng 

Province’s Township Revitalisation 

Programme. The park will also provide 

modern fully equipped plugand-play 

infrastructure including: 

high-speed fibre-optic link; VOIP; 

high redundancy servers; back-up 

power supply; on-site technical 

support; training; and excellent 

staff care and support facilities. An 

on-site incubator will oversee the 

development of SMMEs in the BPO 

domain and related industries. 


FOCUS 

Standard Bank’s 

Corporate Social Investment 

The Standard Bank Group is putting the full weight of their CSI initiatives 

behind the drive for local education. 

What is Standard Bank’s 

CSI strategy in Gauteng? 

Our strategy is aligned to the 

strategy of Standard Bank’s 

Corporate Social Investment Unit. 

The aim of CSI in Standard Bank is 

to demonstrate that the bank is 

socially responsive and relevant. 

We aim to create social value that 

will positively impact communities 

within which we operate. We 

seek to improve the communities’ 

capacity to be sustainable 

and to enhance future business 

prospects. The Bank’s focus is 

on Education and Employee 

Community Involvement (ECI). 

As a result, our Gauteng CSI strategy 

is linked directly to this. We 

have implemented initiatives to 

support access to education and 

ensure quality education for learners in Gauteng. 

What have been some of the highlights 

for the education initiatives in Gauteng? 

One of our flagship CSI projects in Gauteng is 

the Thandulwazi Maths and Science is a Saturday 

school programme that provides quality tuition in 

maths, science, accounting and English to learners 

from schools within township communities 

in Gauteng. The aim of this programme is to alleviate 

the academic challenges faced in maths 

and science subjects by learners by providing curriculum 

based extra tuition. St Stithians School 

uses its facilities to run extra classes for public 

schools and thus serves as a centre of excellence for 

Standard Bank in Gauteng. The Academy runs every 

Saturday morning of the school calendar year. The 

participants are learners from schools in Soweto, 

Dieplsoot, Soshanguve, Vosloorus, Tembisa, Ivory 

Park, Northriding, Randburg, Ferndale, Orange 

Farm and Kagiso. Annualy Thandulwazi supports 

about1039 learners, drawn from 160 high schools 

across Gauteng. Another successful CSI project 

was the Gauteng book drive where we collected 

books from across Gauteng province and then 

delivered them to a needy school that had the 

infrastructure of the library but, no books. We’ve 

recently unveiled our projects to provide pupils 

with learning materials that will be helping pupils 


110

FOCUS 

This could range from teacher development and 

support to staff initiatives that include buying 

books for schools or projects that enhance the 

learning experience for pupils at schools. 

with their studies. In addition, we have provided 

a mobile laboratory and three more laboratories 

to two high schools and a primary school, plus 

machinery for a technical school. 

What plans does the CSI department 

have for future projects in Gauteng? 

As a bank we continue to support the Thandulwazi 

Maths and Science Programme. The Gauteng 

Standard Bank office will continue to build a partnership 

with the Gauteng Office of the Premier. 

The Premier will assign certain people from the 

Department of Education to monitor the progress 

we’ve made in our CSI projects over the next three 

years at the particular schools to which we have 

donated machinery and a mobile laboratory. There 

will be constant progress reports produced based 

on their performance. Our hope is that the progress 

made by these schools will illustrate that we at 

Standard Bank also add value to the lives of the 

pupils and the teachers who we have supported. 

In the following year we will not only be focusing 

on the schools we are currently supporting, but we 

hope that, in the years to come, we will be able to 

focus on other schools in the province. 

WE SUPPORT INTERVENTIONS 

THAT ENHANCE THE SUPPORT 

LEARNING FOR TEACHERS 

AND PUPILS 

CONTACT INFO 

What does Standard Bank Gauteng look 

for when selecting CSI projects? 

Our projects are selected in alignment with our 

focus on Education, with the aim to influence education 

outcomes in early childhood development, 

schooling and the further education environment. 

Janice Noble 


Tel: 011 601 4311 | Mobile: 076 157 3019 

Fax: 011 622 9858 




LISTING 

INDEX 

Automotive Industry Development Centre (AIDC) ...............................................................60 

Constitution Hill ......................................................................................................................62 

Gauteng Growth and Development Agency (GGDA) ........................................1, 2, 10, OBC 

Gauteng ICT Park Special Economic Zone ..........................................................................70 

Gauteng Industrial Development Zone (GIDZ) .....................................................................64 

Gauteng Investment Centre (GIC) .........................................................................................66 

Gautrain Management Agency ..................................................................................48, 52, 87 

g-Fleet Management ................................................................................................................5 

Indaba Hotel, Spa & Conference Centre ..............................................................................57 

Liberty Holdings ................................................................................................................. 7, 91 

Masisizane Fund ..................................................................................................................106 

National Metrology Institute of South Africa (NMISA) .......................................................84 

Randburg Chamber of Commerce and Industry (RCCI) ................................................... 94 

Small Enterprise Development Agency (Seda) ...................................................................19 

Standard Bank Gauteng .......................................................................... 46, 92, 98, 110, IBC 

The Innovation Hub .................................................................................................................58 

Unemployment Insurance Fund (UIF) ................................................................................... 9 

Zig Enterprise .......................................................................................................................104 


112

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