Ethekwini: Improved service delivery and infrastructure investment, supported by the Presidential eThekwini Working Group (PeWG), are propelling business confidence in eThekwini, facilitating major private-sector investment and bolstering job creation.
According to South African Government News Agency, the city's strategic interventions in electricity, water, and sanitation are enhancing industrial and manufacturing zones, positioning eThekwini as an attractive destination for investment. The city supports 61 designated industrial areas hosting approximately 27,000 businesses. These businesses generate around R9 billion annually, contributing over 50% of the city's total revenue, eThekwini Municipality Mayor Cyril Xaba revealed during a media roundtable discussing the PeWG's progress.
The Presidential eThekwini Working Group was established to coordinate and expedite measures addressing developmental, infrastructure, economic, and service delivery challenges within the eThekwini Metropolitan Municipality. The group aims to strengthen collaboration between national, provincial, and local governments while ensuring improved communication and stakeholder engagement on progress.
In Prospecton, significant infrastructure improvements have been made, with substantial investment directed towards roads, electricity, water, and sanitation. 'As a result of this work, Toyota has committed R10 billion towards expanding its investment in the area. This industrial node alone generates more than R1 billion annually in rates revenue for the city,' Xaba stated.
The Mayor also highlighted the resolution of service delivery challenges in the Phoenix Industrial Park, unlocking further investment opportunities. 'A few weeks ago, I visited Tiger Brands in Umbilo, where management indicated that they will soon announce plans to expand their investment in the area,' he mentioned. Other industrial nodes, such as New Germany and Springfield, are also receiving focused attention.
To hasten the implementation of catalytic projects, the city has set up a One-Stop Shop to centralize approvals related to planning, transport, infrastructure, and compliance. This structural reform aims to streamline processes and improve efficiency. The One-Stop Shop will provide a single point of entry for investors, integrated approval processes, and defined turnaround times to ensure certainty and predictability.
'We are confident that this initiative will accelerate the implementation of catalytic projects valued at R217 billion. This effort will be supported by an investment of R588 million in the next financial year towards bulk infrastructure for catalytic projects,' the Mayor said. The projects include Durban Film City, Durban Waterfront, Oceans Umhlanga, Brickworks, Westown/Shongweni, and Giba Business Park.
'We are encouraged that more than two-thirds of catalytic projects across all regions are already under implementation. For example, in northern Durban, construction has commenced on the R25 billion Sibaya Precinct Development. This mixed-use development, comprising retail facilities, a hospital, residential units, and a private college, is expected to create 70,000 sustainable jobs. Significant progress is also being made on the newly launched R3.6 billion Birchwood Estate development, which is expected to create 2,500 jobs,' he added.
In Cato Ridge, cranes are already on site at the R10 billion Insimbi Ridge Development, part of the Inland Port Development aimed at decongesting the Port of Durban. This project is expected to create 5,000 sustainable jobs.
Regarding financial management and governance, the city has secured an unqualified audit opinion for five consecutive years. 'Consequence management continues to be implemented against individuals involved in corruption and maladministration. Irregular expenditure is showing a downward trend, while our collection rate remains within the National Treasury benchmark of 93% to 95%,' Xaba mentioned.
The city is among the few municipalities not in arrears with Eskom and Umgeni-uThukela Water for bulk electricity and water purchases. Without the collaboration of all stakeholders through the PeWG and the District Development Model, these achievements would not have been possible. 'This demonstrates that when we work together as social partners, we can achieve remarkable results,' he concluded.
