20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway

20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway
A partnership that works

                        20 years of making a difference through the
                    provision of sustainable and people-centred services
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway
A space that will drive your business                 Lease, Sale & Turnkey Development Options

We understand the need to adapt; that’s why           • Tailored turnkey development
S&J Industrial Estate provides business with the        for sale to owner occupiers
very best in prime industrial space. Located in       • Flexible deal structures
the South-Eastern Corridor of Gauteng, S&J offers     • 24-hour access controlled and
flexible deal structures and proximity to essential     camera-monitored precinct
amenities for staff, such as schools and clinics.     • Established urban design
Tenants will also be able to enjoy easy access to     • Fibre connectivity
national highways, metropolitan routes and
public transport routes.                              Chantelle Mathomes / Michael Dickinson:
                                                      010 040 7571 | info@snj.co.za | snj.co.za |

Industrial stands                                     Move your business forward.
                                                      Move to S&J Industrial Estate.
from 1ha for sale                                     Proudly developed by
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway

EXECUTIVE MAYOR’S FOREWORD                                                                                 HEALTH & SOCIAL DEVELOPMENT
20 years of progress 				                                                                     3            Inclusive quality healthcare 			                                     42

CITY PRIORITIES                                                                                            ENTERPRISE DEVELOPMENT
10-point Economic Plan				                                                                    7            Supporting local business growth 		                                  46

FINANCE                                                                                                    WATER & SANITATION
Focused on clean governance 			                                                               8            Protecting a most precious resource 		                               50
Funding an inclusive, effective city		                                                        9
                                                                                                           INTEGRATED PUBLIC TRANSPORT
STATE OF THE CITY                                                                                          Connecting Ekurhuleni 				                                           54
An era of renewed commitment			                                                            12
                                                                                                           UNIVERSITY DEVELOPMENT
DEVELOPMENT ZONES                                                                                          Empowerment through education 		                                     59
Catalysing on development-based partnerships                                               29
                                                                                                           EKURHULENI TURNS 20
BIG IDEAS                                                                                                  20 years worth celebrating			                                        60
A City that thinks big 				                                                                36

Redressing SA’s spatial legacy 			                                                         38

Editor Tristan Snijders
Head of Design Beren Bauermeister
Production & Client Liaison Manager
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20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway


Even during these                                 uring December 2020,            lead lives characterised by dignity and
                                                  our City celebrated its         opportunity rather than abject poverty and
challenging times faced                           20th birthday. As in life,      despair. In the words of Nelson Mandela,
by all of humanity across                         there have of course            “Overcoming poverty is not a gesture
                                                  been growing pains and          of charity. It is an act of justice. It is the
the world, the City of                            many challenges, but            protection of a fundamental human right –
Ekurhuleni strives to                             we are extremely proud          the right to dignity and a decent life. While
                            of what we have achieved in bringing                  poverty persists, there is no true freedom.”
remain a responsive and     together 11 disparate administrations under             With an approach underpinned by a Pro-
modern public service       a single banner.                                      Poor Agenda, I feel that the City has made
                               The last 20 years of Ekurhuleni have               vast strides on so many fronts. From the
partner that fosters        been characterised by the exceptional                 provision of housing and expanding service
change towards building     dedication of the various administrations             delivery to previously unserved areas, to
                            that have presided over our City. Because of          formalising informal settlements and our
a better Ekurhuleni         this, we have seen radical transformation in          indigent relief support programmes, we are
some 20 years after         the everyday lives of our citizens, particularly      extending our hands to the disenfranchised
                            those living in townships and informal                and allowing them to join us in our journey.
its founding.               settlements, who have historically been
                            disregarded and pushed to the margins                 DRIVING DEVELOPMENT
                            of existence.                                         As a City focused on change and progress
                               The growth of Ekurhuleni’s population is           at every level, we certainly also like to
                            indicative of a City that has become a                think big. Of course, while the familiar
                            destination of choice for those seeking to            Aerotropolis City concept is very much
                            better their lives and the lives of their families.   the backbone of our developmental
                            This exponential population boom has of               framework, and continues to align our
                            course brought with it various challenges, yet        projects and growth strategies, we are
                            it is a source of great opportunity. Above all,       working on some other big ideas to make
                            it serves as the people’s stamp of approval           Ekurhuleni a truly noteworthy destination:
                            of the work the City has tirelessly put in over       establishing our own botanical garden,
                            the last two decades.                                 facilitating the building of a Formula 1
                                                                                  grand prix race track, potentially
                            IMPROVING LIVES                                       hosting the Disney Africa entertainment
                            Alongside ensuring improved dignity, service          megacomplex, and building Ekurhuleni’s
                            provision and standards of living, our work           own International Conference Centre.
                            has been geared towards building a local              And then, of course, there is the planned
                            economy that grows in the hands of the                science, engineering and technology
                            people through sustainable investments,               focused university in Ekurhuleni, which
                            strategic partnerships with both the private          inches ever nearer to breaking ground.
                            and public sector, as well as a responsive               Together, we have taken massive steps
                            and responsible governance framework.                 in growing our City and improving the
                              A point of particular pride, for the third year     lives of our citizens. As my term of office
                            running, the City has achieved yet another            draws towards its conclusion, I say honestly
                            unqualified audit opinion from the Auditor-           that we can hold our heads high looking
                            General for the past financial year, which            back at our achievements and commit
                            bears testimony to our commitment to                  our support to the work that remains to
                            clean governance.                                     be done.
                              As an administration, we have made
                            a point of uplifting the poorest and most             Cllr Mzwandile Masina
                            powerless in society so that they, too, may           Executive Mayor

                                                                                                     EKURHULENI 2021        3
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway


       S&J Industrial
       Estate (S&J IE) sets
       the benchmark for
       industrial precincts
       in Gauteng, offering
       a new level of
       tailored warehousing
       for ownership, leasing
       and joint venture
                                                Alrode, Longmeadow Business
                                                Estate and Linbro Business Park

            and sales of serviced parcels       are less than 20 km from this
            start at one hectare and more       world-class business estate.
            are becoming available in the          Next-generation security systems
    estate. Industrial 1 zoning provides        with a state-of-the-art CCTV
    for light manufacturing, logistics          surveillance network are integrated
    distribution centres and warehousing,       with 24-hour, access-controlled,
    to name a few.                              manned gatehouses, creating a
      Located along the N3 between the          multi-zone business estate for
    Geldenhuys and Elands interchanges          multiple uses.
    (Ekurhuleni), this commercial estate           Comprising over 210 hectares of land
    offers high visibility with quality         for industrial development, which is
    infrastructure. Linking with Denver, City   being released in phases, S&J IE’s urban
    Deep and Main Reef Road via the             design and management guidelines
    M2 roadway and accessibility to the         form a cornerstone of the aesthetics
    N3, N12 and N17 complement central          envisioned by the estate’s architects.
    distribution hubs, enabling bulk break         Easy access to public transport and
    locations outside of congestion zones.      lifestyle-enhancing initiatives – such as    providing a prime environment from
    Further intersection and route upgrades     cycle lanes together with convenience        where your business may thrive.
    are in the pipeline.                        retail and boutique conference                Set your business in motion. Move to
      With its proximity to O.R. Tambo          facilities at one of the original winder     S&J Industrial Estate.
    International Airport’s cargo terminals     houses (retained heritage), supported
    – 15 km away – and City Deep Freight        by an extensive fibre data network –
    Hub – 10 km away – operational              provide a multi-dimensional industrial
    interest is gravitating to S&J IE. Prime    precinct for the future.
    manufacturing and logistics nodes such         S&J Industrial Estate sets the standard
    as Jet Park, Tunney, Isando, Spartan,       in industrial precinct design by                          www.snj.co.za

4    EKURHULENI 2021
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway

                                                                    CITY PRIORITIES

How do you grow the economy of a modern city to enable it to flourish and
improve the lives of its citizens? While the are some universal constants, it
strongly depends on the city. And the blueprint for a prosperous future for
the City of Ekurhuleni is its 10-point Economic Plan.

                                          Support SMMEs       Implementation
                                          through Public      of Township
                                          Procurement         Economy
                     Land Availability                        Strategy
                                                                               An Enabling
                     for Strategic                                             Public Transport
                                                 05           06               System

                                         04                               07
            of IDZ/SEZ
            Programme        03                                                     08    Investment

         Aerotropolis                                                                       Promote
         Masterplan        02                                                       09      Localisation &
         Implementation                                                                     Production

                                 01                                            10
                                                                                     Skills &
                Manufacturing                                                        Capability
                Revitalisation                                                       Development

                                                At the heart of service
                                                 delivery is the City’s
                                               10-point Economic Plan

                                                                                                   EKURHULENI 2021   5
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway

       Zutari has spearheaded a
    multidisciplinary consortium
          comprising integrated
            urban and transport
          planners, financial and
    logistics experts, engineers,
       environmental managers
      and market strategists to
        create a 30-year master
     plan to increase the global
         competitiveness of the
            City of Ekurhuleni by
             transforming it into
                 an aerotropolis.

            utari’s assistance is making          Airport (ORTIA), Africa’s biggest and      The collaborative culture and absolute
            a direct impact on poverty            busiest airport. A significant logistics   commitment to excellence are what
            alleviation and job creation, as      corridor along the R21 highway             made the plan such a success. Zutari
    well as addressing the legacy of socio-       makes it a true gateway into Africa.       connects different stakeholders to
    economic inequality.                          The airport registers about 17 million     co-create new solutions to shape the
      The Ekurhuleni Aerotropolis Catalytic       passengers annually and is also a          future of African cities. As engineers
    Project (EACP) was launched in 2016.          critical transit point for goods, with     and advisors, we focus not only on
    This concept of an ‘airport city’ is in       more than 300 000 t of freight passing     design and maintenance, we bring
    line with the global trend in the Middle      through each year.                         urban planners, ecologists and
    East, Asia, North America and Europe.           Additional development plans             environmentalists and infrastructure
    Recently, Deputy Minister in the              for Ekurhuleni include the Oliver          advisors to the table to help cities
    Presidency Thembi Siweya was briefed          Tambo University of Science and            harness their potential and cope
    by Bongiwe Pityi-Vukwana, GM, O.R.            Technology, announced by President         with the increasing demand for
    Tambo International Airport, on the           Cyril Ramaphosa in his 2020 State of       infrastructure and housing.
    progress of the EACP vision, together         the Nation Address. The university           We provide engineering and
    with the City’s Executive Mayor Cllr          will play a key role in boosting           advisory services to green- and
    Mzwandile Masina and MMC for                  the manufacturing capabilities of          brownfield developments through the
    Finance Nkosindiphile Xhakaza. A              Ekurhuleni by ensuring it nurtures the     implementation of sound planning,
    R300 billion investment pipeline in           skills it needs for the future.            engineering design and project
    support of the master plan has also                                                      management to fulfil the client’s
    been unveiled.                                DEVELOPING A MASTER PLAN                   requirements, without negatively
      Ekurhuleni is strategically positioned      Developing the 30-year master plan to      impacting the environment and
    in Gauteng, South Africa’s industrial         transform Ekurhuleni was an immensely      immediate surroundings. This is
    heart. It contributes 23.3% and 8.1%          challenging process undertaken             complemented by our digital solution
    to provincial and national GVA                by Zutari, due to the complexity of        offerings to enhance the financial
    output, and 25% to provincial and             collaborating with and securing the        viability of municipalities based
    8.3% to national total employment.            buy-in of numerous stakeholders. It        on revenue recovery for water,
    Key economic activities include               will profoundly change and positively      electricity and other services. Tailor-
    manufacturing, farming, transport and         enhance the way Ekurhuleni and             made solutions focus on revenue
    logistics, which play a critical role in      Gauteng grapple with the realities         enhancement, infrastructure
    the national GDP.                             of future economic growth. In              assessment, data integration, skill
      It boasts state-of-the-art infrastructure   addition, it establishes the necessary     transfer and data ownership to build
    to support small to large businesses in       steps to access opportunities in the       a solid foundation of customer
    any market or industry, as well as being      municipality’s ambition to be the ‘Hub     data through digital tools and
    home to O.R. Tambo International              of Africa’.                                quality assurance.

6    EKURHULENI 2021
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway
Africa’s future.
Decided today.
Infrastructure shapes what is possible. It compels us to make sense of the
many complex decisions required to deliver lasting value. For 90 years our
broad collective of engineering consultants and trusted advisors have helped
our partners engineer infrastructure solutions that support communities,
environments and local economies to thrive. Because for us, to co-create
a positive impact has always been an easy decision.

Visit zutari.com
20 years of making a difference through the provision of sustainable and people-centred services - Tambo Springs Logistics Gateway

                                     FOCUSED ON CLEAN

    The City of Ekurhuleni has once again
    obtained a clean audit opinion from
    South Africa’s Auditor-General.

             t the end of March 2021, the         to ensure that the administration              era, it has become so much more
             City of Ekurhuleni proudly           remained committed to improving the            important for government institutions
             announced that it received an        control environment. This oversight from       to provide ethical and honest
    overall clean audit opinion from the          the Audit Committee contributed to the         governance over state funds, explained
    Auditor-General (AG). This occurs when        effectiveness of the turnaround strategy       Executive Mayor Masina. “Every
    submitted financial statements are free       that has brought about the positive            cent of the taxpayer’s hard-earned
    from material misstatements and there         audit outcomes. Operation Clean Audit          money must go towards revitalising
    are no material findings on reporting         has produced a series of positive results      our local economy and providing the
    on performance objectives and non-            for the City of Ekurhuleni, including the      necessary relief and public services for
    compliance with legislation.                  following achievements:                        households to recover from the impact
      In late 2016, the fifth administration of   • T he City employed a suitably qualified     of the pandemic.”
    Ekurhuleni initiated a turnaround strategy       City Manager and Group Chief                  He added, “As our term of office
    for the City’s finances, named ‘Operation        Financial Officer who is also a certified   comes to an end as the fifth
    Clean Audit’. The interventions introduced       Chartered Accountant.                       administration of the City of Ekurhuleni,
    by the plan included a skills review of       • T he City has committed to zero             this clean audit outcome must stand
    personnel working within the Finance             irregular, unauthorised, fruitless and      as a benchmark for the incoming
    Department, monthly reconciliations              wasteful expenditure for the past three     administration. With the systems we
    of key accounts, stringent policy                consecutive years.                          have introduced, the focus must turn
    implementation checklists and an agile        • T he City has received unqualified audit    to building a resilient city that can
    framework for responding to legislative          opinions from the AG over the past          leverage the opportunities presented
    developments, especially during the              three years.                                in the Fourth Industrial Revolution
    Covid-19 pandemic. Compliance                 • T he City has maintained compliance         and withstand the shocks brought
    with the Municipal Standard Chart of             with the mSCOA for the past                 forward by potential future global
    Accounts (mSCOA) also served as a                three years.                                pandemics, uncertain global polity
    fundamental pillar of the strategy.           • T he City has successfully introduced an    and climate change. I want to take
                                                     Integrity Management Framework to           this opportunity to thank the political
    INTERNAL CHECKS AND BALANCES                     reduce fraud and corruption.                and administrative leadership of
    The City’s Audit Committee conducted                                                         the City, our coalition partners and
    quarterly reviews of internal processes       RENEWED COMMITMENT                             Council for their commitment to
    and interrogated the City’s performance       As we begin to enter a post-Covid-19           clean governance.”

8    EKURHULENI 2021

Cities across the world                       breakdown is unpacked as follows:            in the MTREF and R116.6 million in the
                                              • 100% rebate on assessment rates            2020/21 financial year to the Economic
are facing unprecedented                      • free refuse removal                        Development Department towards
challenges in the wake                        •	first 100 kWh of electricity per month    the revitalisation of the economy. Key
of Covid-19, which                               is free                                   projects being invested in include
                                              •	first 9 kℓ of water and sewer per         the Reiger Park Enterprise Hub, the
requires astute public                           month is free                             Ekurhuleni Fresh Produce Market, the
administration and careful                    •	special rates on emergency services       Katlehong Automotive Hub, and the
budgeting. The City of                           such as ambulances and fire-fighting      Labore Industrial Park.
                                              • free indigent burial.                        A further R178.3 million in the
Ekurhuleni is determined
                                              The City shall also continue to provide      MTREF and R45.6 million in the 2020/21
to use the funds it has                       the first 6 kℓ of water for free to all      financial year have been allocated
available to overcome this                    households with a property value of          under council general to actualise,

trying time to the benefit                    up to R750 000. When it comes to             among others, the Aerotropolis
                                              electricity, we will be giving 100 kWh       Master Plan and the provision of bulk
of every citizen.                             of electricity to every household            engineering economic infrastructure
                                              meeting the consumption requirements         in the City, paving the way for

        o unlock sustainable and inclusive    of 600 kWh and below.                        multifaceted development.
        growth, South Africa’s major cities     The City is also allocating R2.4 billion     The Growth and Development
        must be committed to serving          in the Medium-term Revenue and               Strategy 2055 directs seeks to build a
the needs of all and facilitating the         Expenditure Framework (MTREF)                city that is properly managed, efficiently
development and socio-economic                and R1.6 billion for FY 2020/21 to the       resourced and financially sustainable.
advancement of the most vulnerable            Department of Human Settlements.             It is for this reason that there is a deep
in society.                                   The allocation will be going to, among       commitment to the institutionalisation
  In the quest to bring dignity to its        other key projects, the John Dube,           of a set of policies intended to regulate
people and provide a better life for all,     Daggafontein, Leeuwpoort, Tembisa            and underpin governance operations
the City will continue deploying its social   Extension 25, Clayville and Chief Albert     and capacity. Part of this is ensuring
package, which is set to increase from        Luthuli megaprojects. The combined           systems run effectively.
R3.8 billion to R4.1 billion in FY 2020/21.   total yield of these is 27 154 well-           In its efforts to keep up with the world
Further, a R950 million relief package is     designed, sustainable and integrated         of technology and related trade,
being delivered through the imposition        human settlements, which will enhance        the City has allocated R1.3 billion
of a new tariff structure.                    the value of property ownership and          in the MTREF and R632 million in the
  The people of Ekurhuleni deserve            integrate the urban environment –            2020/21 financial year towards ICT. Key
a compassionate government now                making for a more equitable society          projects will include server upgrades,
more than ever, and the indigent relief       with greater opportunities for all.          data centre upgrades, call centre
                                                                                           refurbishment, fibre roll-out, and the
                                              FUELLING THE ENGINE                          Enterprise Resource Planning system, for
                                                          A key aspect of fuelling the     which R243 million has been allocated.
                                                              engine of Ekurhuleni is        These are just a handful of the City’s
                                                               the reindustrialisation     budgetary allocations aimed at
                                                         of the region. To this end,       running an efficient city that grows and
                                              the City is channelling R320.1 million       improves the lives of its people.
LOGISTICS                                                            Why unpack
                                                                   containers at the
GATEWAY                                                             coast if you can
                                                                     have them at
                                                                   your door step in
Sub-Saharan Africa’s largest                                        Gauteng within
intermodal terminal is coming                                         24 hours?
to Gauteng
Tambo Springs Logis�cs Gateway will be
equipped to meet all your manufacturing,
warehousing and distribu�on needs and will                             Latest, next
                                                    Main rail          genera�on             Special
double current freight logis�cs capacity in     link to Durban,                          Economic Zone
and out of Gauteng.                                                  security and IT
                                                  Coega, Cape      infrastructure with    with bonded
This inland intermodal port is a 607 ha            Town and                                and secure
industrial development, strategically located    Port Elizabeth      track and trace          area
on the southern border of the Johannesburg                              protocols
and Ekurhuleni metropolis – and is directly
connected by road and rail between
Johannesburg, Ekurhuleni, Durban,
Cape Town, Port Elizabeth and Ngqura.
                                                                     Tambo Springs
                                                                   will double current
PARTNERS                                                            freight logis�cs
                                                                      in and out of

Tumi Mohulatsi | +27 82 826 4246 | tumi@tambosprings.co.za
Brent Wiltshire | +27 82 578 5094 | brent@tambosprings.co.za
Viv Delbridge | +27 82 550 1244 | viv@tambosprings.co.za

www.tambosprings.co.za                                            TAMBO SPRINGS
                                                                         LOGISTICS GATEWAY

to the future
The Tambo Springs                                port’s capabilities. Along with customs
                                                 clearance and the myriad SEZ perks,
Logistics Gateway                                Tambo Springs will provide the perfect

is set to change                                 next-generation intermodal platform to
                                                 move freight from port to rail, road or air,
                                                                                                     Tumi Mohulatsi, CEO, Tambo Springs,
                                                                                                     and Leon Boshoff, chief engineer: Bulk
Gauteng’s transport,                             and then warehousing and, finally, the end
                                                                                                     Infrastructure, Bigen Africa

logistics and                                    consumer. Whatever the manufacturing or
                                                 distribution needs, the privately run Tambo
warehousing scene                                Springs will be well equipped to meet them,

for good.                                        while also eradicating congestion on the
                                                 national road network.
                                                   With much of sub-Saharan Africa

         pon taking up the reins to our          developing at an accelerated pace, and
         nation’s highest office, President      intracontinental trade becoming a key part
         Cyril Ramaphosa earmarked               of our continent’s destiny, Tambo Springs is
infrastructure development – through             set to be a springboard from which future
planning, investing in and rolling out           rail networks move goods into, out of and
bankable projects – as being among the           across Africa.
biggest drivers of growth for the South
African economy. And while a lot has             WORKING TOGETHER                                    As a key partner in the development, the
changed in the last year or so, with the         Both the City of Ekurhuleni and the Office of       City of Ekurhuleni has started rolling out
                                                                                                     bulk infrastructure services to the site
unfolding global Covid-19 pandemic, the          the Presidency have in recent years extolled
importance of infrastructure-led growth is       the virtues of the public and private sectors
even greater now than before.                    working together, particularly in the form of
  History has shown that massive economic        public-private partnerships, which leverage
downturns are not miraculously reversed          the capabilities of both sectors to have
by simple austerity measures but require         an exponentially greater socio-economic
forward-thinking projects with a cohesive        impact than government or business could
vision that create employment and                on their own.
facilitate trade. This is why massive              As a key partner in the Tambo Springs
developments such as the Tambo Springs           development, the City of Ekurhuleni
Logistics Gateway are key in the recovery        commenced with the rolling out of
and rejuvenation of our economy.                 bulk infrastructure services in 2020. This
                                                 vital infrastructure is valued at around
WHAT IS TAMBO SPRINGS?                           R280 million. The capital commitment by         In looking to further improve regional
The 607 hectare Tambo Springs industrial         the City has served as the spark for the        and national freight capabilities,
development is located in the southern           development of this project.                    Transnet Freight Rail has been involved
region of Ekurhuleni and lies along the            On a provincial level, the Gauteng            in strategic discussions with the Tambo
road freight and rail corridor that links        Department of Roads and Transport               Springs developer since as early as 2009.
Johannesburg, Durban, Port Elizabeth             has committed over R370 million in              Agreements were reached with Transnet
and Cape Town. Combining all facets of           capital spend towards the adjacent              Freight Rail in 2016 to build and operate
warehousing, distribution and operational        road infrastructure, which will include a       a R2.5 billion freight rail terminal as
efficiencies, this next-generation inland port   new interchange to link Tambo Springs           part of the National Transportation
is set to double the current freight logistics   to the N3 National Route. News on the           Strategy Framework.
capacity heading into and out                    commencement of its construction is               Beyond the immediate commercial
of Gauteng. Tambo Springs is an approved         expected soon, following a successful           benefits of this development are the
Presidential Strategic Infrastructure Project.   tender process. As a further boon to the        employment opportunities it affords to the
   Businesses with operations at Tambo           development, the department is planning         people of South Africa. Not merely limited
Springs will benefit hugely, as part of it is    on building the first highway in Gauteng        to impacting the immediate surrounding
a nationally identified Special Economic         in more than 40 years, which, among             communities, Tambo Springs has been
Zone (SEZ), with the planned Intermodal          others, is planned to link Tambo Springs        projected to create 283 000 jobs for people
Rail Terminal set to drastically enhance         to Africa’s busiest airport, O.R. Tambo         across Gauteng, KwaZulu-Natal and the
this world-class rail and road inland            International Airport.                          Eastern Cape.

                                                                                                                        EKURHULENI 2021           11

                                        conducive to growing the productive        understood in the context of the
In the final State of                   capacity of the City and its people.       strategy to revitalise our economy.
the City Address of his                   As with all municipal authorities          The City has also been working

current term of office,                 across the world, a primary goal is to     together with the private sector on
                                        alleviate the devastation wreaked by       a range of large-scale development
Executive Mayor                         the Covid-19 pandemic. Therefore,          projects to promote industrialisation.
Cllr Mzwandile Masina                   the City’s Economic Reconstruction         These projects include:
                                        and Recovery Plan must be one that         •	investment in Strategic Urban
unpacked numerous                       talks to the people.                          Developments, such as the
programmes over the                       The City has invested efforts to            ACSA Western Commercial
                                        crystallise the 10-Point Economic             Precinct, S&J Industrial Precinct,
past five years that have               Plan strategic framework to                   and developments along the
helped the City in its                  systematically and deliberately drive         R21 Corridor
quest to meet the stated                programmes to position Ekurhuleni as       •	investment in the O.R. Tambo
                                        the primary anchor and footprint of           International IDZ
goals of its 10-point                   the provincial economy.                    •	the Northern Precinct (R1 billion),
Economic Plan.                            Great strides have been made in             currently under implementation,
                                        various aspects of the City’s work.           with over 2 000 people working in
                                        During the 2021 SOCA, Cllr Masina             the precinct
                                        unpacked 10 points regarding the           •	Tambo Springs Inland Port SEZ (R20

       his year’s State of the City     implementation and successes of               billion over 15 years), currently being
       Address (SOCA), which was        various City-driven programmes.               implemented to deliver the required
       held virtually on 24 March,                                                    bulk infrastructure to support
was the final municipal address
for Executive Mayor Cllr Masina in
his current five-year term of office,
                                        1   REVITALISATION OF THE
                                            MANUFACTURING SECTOR
                                        Ekurhuleni has historically been a
                                                                                   •	the Wadeville Industrial
                                                                                      Revitalisation Plan, in partnership
which is set to conclude later this     manufacturing powerhouse in the               with the National Treasury City
year. Themed ‘Ushering in an era        southern hemisphere; however, over            Support Programme.
of renewed commitment and               the years, manufacturing took a            Catalytic projects such as there are
unity towards rebuilding a people-      knock, which is a situation the City       essential in reigniting the capabilities
centered post-Covid economy’, the       aims to turn around. In this regard, the   of the weakened manufacturing
address highlighted the importance      development of various Ekurhuleni-         sector. The City urges provincial and
of creating an environment that is      owned industrial parks must be             national government to work with it to

harness the industrial capabilities that   O.R. Tambo International
have been developed over time.             Airport Industrial
                                           Development Zone (IDZ).

In 2017, the Ekurhuleni Council            3  ACCELERATION OF
                                              THE IDZ/SEZ
approved the 30-year Aerotropolis          PROGRAMME
Master Plan for implementation to          This is a Gauteng IDZ
drive sustainable socio-economic           programme, led by
development and an economic                the Gauteng Provincial
infrastructure development                 Government, meant to
programme. This is to be done in           develop land around
partnership with other spheres of          O.R. Tambo International Airport
government, state-owned companies,         to stimulate economic development
private business, and social partners.     on 7.5 hectares of land. The multisite
  The master plan is premised              development consists of several
on building an airport city with           industry-specific precincts and is
economically resilient regions             to be developed in phases over a
segmented into logistics corridors,        10-to-15-year period.
research and development regions,            The focus is on sectors such as
manufacturing regions and agricultural     food processing, jewellery, diamond
regions, among others.                     beneficiation, fuel cells, and aerospace.
  The implementation of the                To date, an investment of R1.5 billion      has successfully approved 11 bidders
30-year master plan hinges on the          has been realised and at the conclusion     from the 56 Council-owned farms that
establishment of the Ekurhuleni            of the programme, it is anticipated         are part of the release programme.
Economic Development Agency, for           that 7 000 new jobs would have been           Plans to advertise the remaining
which the by-law and Service Delivery      created. Around 3 300 jobs have been        45 Council-owned farms are
Agreement was approved by Council          created so far.                             underway, while financial modelling for
in 2017/18.                                                                            technical and non-technical support
  The City of Ekurhuleni, jointly with
its stakeholders, is progressing well in
implementing the Aerotropolis Master
                                           4   LAND AVAILABILITY FOR
                                               STRATEGIC DEVELOPMENT
                                           The City has developed the policies
                                                                                       programmes for emerging farmers is
                                                                                       also in place and will be provided
                                                                                       to the 11 approved bidders as part
Plan. Some key developments to date        and strategies to guide its agricultural    of the City’s comprehensive
include the Riverfields Development        development programmes,                     agricultural support.
Project, the Plumbago Industrial Park      which include a comprehensive                 In addition, the City has facilitated
Development Project, GreenReef             agricultural development policy, a          the systematic implementation of
Mega Projects, the O.R. Tambo Special      10-year strategic development plan, a       the identified Sustainable Urban
Economic Zone, Denel’s Kempton Park        feasibility study report, an agriculture    Developments through the rapid
Campus, the Ekurhuleni integrated          database and an inventory report.           release of 40 strategic land parcels
rapid public transit network, the Tambo      In order to support emerging and          and public-private partnerships to
Springs Logistics Gateway, and the         established farmers within the City,        unlock development.
Gibela Rail Manufacturing Plant.           work has been done to lease council-
  Other Sustainable Urban
Development investments
currently under way include the
                                           owned agricultural farms categorised
                                           as social farms 1 (≤5 ha), social farms
                                           2 (≥5 ha to ≤10 ha), small-scale (10 ha
                                                                                       5   SMME SUPPORT THROUGH
                                                                                           PUBLIC PROCUREMENT
                                                                                       The Enterprise Development
ACSA expansion and office park             to 30 ha), developmental commercial         Programme promotes and supports
development, developments along the        (30 ha to 100 ha), and established          programmes for various categories
R21 Corridor, and investments in the       commercial farms (≥100 ha). The City        and sectors of SMMEs. To date,

                                                                                                           EKURHULENI 2021       13

 these programmes have included,         Innovation programme: The Vosloorus       township economic development,
 among others:                           Lab officially opened its doors to the    completed Phase 1 and 2 of the
                                         public in January 2018. As a pilot        Etwatwa Industrial Hub in FY 2018/19.
 Mentorship: The mentorship programme    programme, the lab offered a short        Both phases of the Kwa-Thema
 has worked with mentors who have        course to train youth on computer-        Industrial Hub were completed during
 shared their expertise and knowledge    aided drawing and manufacturing.          2018/19 and the installation of special
 in the following areas: furniture       Through two fab labs, about 40 young      equipment at the Khulisa Multipurpose
 manufacturing, protective clothing,     people have been trained. The             Centre in Vosloorus was completed by
 automotive services, contractor         Vosloorus Lab also offered training to    1 September 2018. Furthermore, the
 development, general coaching and       the electronics students of Ekurhuleni    design for Phase 1 of the Automotive
 business plan development.              East College, to expose them to the       Centre in Geluksdal was completed
                                         advanced technology available.            in 2017/18 and the construction
 Incubation: Since 2016, 262                                                       phase commenced in 2019/20,
 businesses have participated in an      Pitching booster programme: The City      with the construction permit issued
 incubation programme from which         of Ekurhuleni, in collaboration with      by the Department of Employment
 105 participants graduated in           the Gauteng Enterprise Propeller,         and Labour.
 contractor development, furniture       successfully hosted the Ekurhuleni
 manufacturing, protective clothing,
 business plan development and
 general coaching mentorship.
                                         Enterprise and Supplier Development
                                         Summit in April 2019. The summit was
                                         preceded by the regional pitching
                                                                                   7   ENABLING THE PUBLIC
                                                                                       TRANSPORT SYSTEM
                                                                                   In October 2017, Harambee BRT
                                         booster sessions. A total of 1 238        commenced operations with the roll-
 Tender advice centre: This programme    young people participated and the         out of eight buses on a route between
 mainly concentrates on training         15 winners, who were mostly women         Thembisa and Isando, which was
 suppliers who have failed to meet the   and youth, shared a sum of R600 000.      termed ‘Isando Industrial’. Two years
 technical specifications on tender                                                later, Harambee operationalised 10
 documents and includes those            Ekurhuleni Community Enterprise           additional buses on a route extension
 enterprises that are competitive on     Development Fund: On 1 November           between Tembisa and O.R. Tambo
 pricing and costing. In FY 2017/18,     2019, Council approved the Ekurhuleni     International Airport.
 162 participants were trained through   Community Enterprise Development            As from March 2021, Harambee will
 the programme.                          Funding Policy. An official launch of     be extending services on the route
                                         the fund was held on 6 December 2019      between Tembisa and O.R. Tambo
 Business incubation programme: Since    in Kwa-Thema; however, due to             International Airport through the
 2016, 121 SMMEs have participated in    the limitations presented by the          introduction of weekend and public
 the incubation programme on a three-    Covid-19 pandemic, the timelines for      holiday service.
 year cycle basis.                       finalising and awarding the funding         The process to hand over stations
                                         were affected.                            completed in December 2020 by
 Business licence and compliance:                                                  April 2021 is under way. Six pedestrian
 Since 2016, 935 informal enterprises
 have been registered or issued with
 trading licenses or permits.
                                         6   IMPLEMENTATION OF THE
                                             TOWNSHIP ECONOMY STRATEGY
                                         The City, in its endeavour to encourage
                                                                                   crossing bridges have been completed
                                                                                   in Tembisa, ensuring there are safe
                                                                                   areas of crossing and accommodating

people with special needs through lifts      open up development along the area        has been spent to develop the local
that form part of the bridge.                of the R21 Corridor.                      skills base.
  To date, two stream crossings have                                                     In FY 2017/18, the programme saw
been completed and construction
is ongoing on three more, which are
anticipated to be completed by
                                             9   PROMOTE LOCALISATION
                                                 & PRODUCTION
                                             Since the commencement of the
                                                                                       202 companies benefiting from ongoing
                                                                                       mentorship and training, mainly in
                                                                                       manufacturing, services, agriculture
end October.                                 current term of office, the fifth         and construction.
  Going forward, there are a number          administration has made significant         The City held the Youth Economic
of key projects relating to the IRPTN,       strides in the implementation of the      Summit in June 2019, which enabled
which include:                               Preferential Procurement Policy           access to information, exposure and
•	the operationalisation of trunk bus       Framework Act (No. 5 of 2000) and         programmes for 5 682 young people.
   stations on Phase 1A, which will          its regulations. The total procurement    Also, 83 young entrepreneurs from
   improve accessibility to the system       expenditure to date is almost             13 townships in Ekurhuleni participated
•	the operationalisation of the planned     R44 billion for open bids as well         in the Lion’s Den programme, through
   route extensions to Bartlett, Boksburg    as quotations.                            which they pitched their work after
   and Vosloorus, which will be rolled out     Of this amount, R10 billion of the      being taken through the business
   through an ‘operate first, build later’   procurement opportunities benefited       model canvas.
   approach to prioritise operations, thus   women and R331 million went to              The City has created more than
   increasing coverage and reach of          people living with disabilities. Awards   26 000 work opportunities through the
   the system                                made to historically disadvantaged        Expanded Public Works Programme
• the introduction of feeder routes          individuals amounted to R19.4 billion,    (EPWP). Short-term opportunities have
•	the introduction of two depots, at        while youth-owned companies               been created during the construction
   Leralla and Vosloorus                     accessed procurement opportunities        of infrastructure projects within
•	the implementation of distance-           worth R5.7 billion.                       communitiesm, including water and
   based fare collection                       The reported figures for procurement    sanitation, roads and stormwater,
•	the implementation of automated           opportunities awarded to exempted         and local housing programmes. One
   fare collection solution at the trunk     micro enterprises, qualifying             of the most successful programmes
   route stations.                           small business enterprises and            implemented through the EPWP is a
                                             other companies demonstrates              three-year plumbing apprenticeship

In advancing the goal of massive
                                             the City’s political mandate to
                                             address historical imbalances in the
                                             awarding of economic opportunities
                                                                                       programme, which is now nearing
                                                                                       completion. Ninety-four trainees are
                                                                                       set to receive a fully accredited
infrastructure investment, the City has      and contributed to the growth of          plumber’s certificate at the end of
implemented the following programmes         Ekurhuleni-based companies.               the programme.
since 2016:                                                                              A total of 454 graduates were given
•	facilitating the implementation of
   Strategic Urban Developments to
   unlock a R300 billion investment
                                             10    SKILLS, CAPACITY
                                                   DEVELOPMENT &
                                             INSTITUTIONAL DEVELOPMENT
                                                                                       job opportunities via a work readiness
                                                                                       placement programme. Greater
                                                                                       numbers were planned but the
   pipeline – so far, an estimated           In terms of skills development, the       impact of Covid-19 was acutely felt in
   R80 billion has been unlocked             City has improved the employment          this endeavour.
•	facilitating the implementation of        prospects of the youth. Its                 Forty-nine learners completed a full
   the SEZ programme in Ekurhuleni,          programmes are being implemented          qualification NQF Level 3 learnership
   unlocking about R7 billion                in collaboration with the private         programme, while 1 150 learners
•	approval and implementation               sector. Using 14 local youth offices,     attended short skills courses. For the
   of the Ekurhuleni Investment and          the City provides business training,      extension programme, 240 farmers’
   Development Facilitation Framework        funding applications and referrals to     cooperatives were assessed and profiled,
   and Matrix as a mechanism to fast-        other support programmes. It has also     and the 26 that were selected will be
   track strategic investments               appointed over 6 332 young people         earmarked for mentorship.
•	PRASA-Gibela, Teraco Data Centre,         in its work readiness programme             The other environmental and social
   ACSA expansion programme,                 and internships.                          sector programmes such as Siyakhokha,
   S&J Industrial Investment, Riverfields      In advancing skills development,        which entailed the cleaning of formal
   investment along the R21, industrial/     since 2016, the City increased            and informal trading areas, made a huge
   manufacturing investments, such as        bursary allocations from R10 million      impact on employing the community
   GZI can manufacturing and Komatsu.        to R100 million per year. So far, the     and resulted in cleaner informal trading
Since 2016, the City has invested            scheme has benefited almost 9 000         areas and an improvement in the City’s
R800 million in bulk infrastructure to       young people and over R470 million        rates collection.

                                                                                                           EKURHULENI 2021    15
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  Gibela is fast becoming known as the engine room that’s replacing
  South Africa’s ageing fleet of commuter trains and the bedrock for
  re-establishing the country’s rail manufacturing industry.

    1 Gibela is creating a competitive base of infrastructure and human resources. Our world-class train
          manufacturing plant in Dunnottar, Ekurhuleni, is the first of its kind in Africa.

                                    Gibela aims to elevate commuter rail as the transport mode of choice in the country by        2
                          contributing to safe and affordable public transport, in line with the transport sector’s objectives.

    3     Gibela aims to increase employment and per capita income by ensuring that our staff complement is
          diverse and reflective of demographics. Gibela’s large investment in our local manufacturing capability
          has, to date, had a positive impact on local communities and entities.

                                                                                          COMMUNITY UPLIFTMENT
                          Gibela is committed to increasing access to quality education and healthcare in the areas in which      4
                          we operate, and reducing carbon emissions. Part of our ongoing support includes donating school
                                                                                shoes, hygiene packs, laptops and groceries.

    5     Gibela continues to play a pivotal role in South Africa’s economic growth, contributing to our gross
          domestic product (GDP) and job creation, and adding to the government’s revenue base.

                                                                        REDUCING ENVIRONMENTAL IMPACTS
                               Gibela has adopted high international environmental performance standards to mitigate any          6
                               negative impacts on the local environment. We employ global best practices and aim to be a
                                                           positive role model in the South African manufacturing industry.

It is rare for manufacturing
contracts to change the entire
face of a sector, yet this is
precisely the plan for Gibela
in the passenger rail space.
Hector Danisa, CEO of Gibela,
delivers some personal insights
and discusses the multifaceted
development imperatives
associated with Gibela’s rolling
stock contract with PRASA.

         ibela (Pty) Ltd was established in
         July 2014 to meet the needs of
         a PRASA rolling stock contract
that sought the local manufacture of
600 world-class passenger trains, which
would transform the face of passenger rail
in South Africa.
  The company was purposely created
to drive the development and growth
of BBBEE companies, and to expand
industrial engineering expertise within the
country. Gibela Rail Transport Consortium
comprises French rail company Alstom as
the main shareholder, and South Africa’s
Ubumbano Rail. These companies work
hand in hand, drawing on each other’s
expertise to ensure that local socio-
economic development is at the forefront
of Gibela’s operations.
  Such a huge undertaking requires
effective leadership, which is precisely
what the company has in the form of CEO
Hector Danisa, who has worked in the rail
sector for most of his professional career.
Holding a BSc Honours and a Master’s in
Business Administration, he joined Gibela
within its first year of operation. In May
2019, Danisa took up the position of
CEO, having grown into the role as the
company itself has matured.
  “I joined Gibela in March 2015, so I’m
very fortunate to have grown in my
career alongside Gibela. When I joined,

                                                         EKURHULENI 2021   21

     the company was busy finalising the            Covid-19 pandemic, which gutted            that we can keep producing trains,”
     transfer of the land between the City          companies and ravaged livelihoods          he explains.
     of Ekurhuleni and PRASA, and they              both locally and globally. While the         Other than intermittent workplace
     needed an executive trainee. This              SMME sector was particularly hard          closures through positive Covid-19
     role was heavily involved in these             hit, even organisations on the scale       cases among staff, the company only
     handover steps, ensuring that all the          of Gibela found themselves facing          shut down for a single month when
     correct processes and regulations were         adverse conditions.                        the initial national lockdown was
     followed, and the appropriate suppliers          Internally, the company has had          announced. “For us, Covid-19 simply
     were appointed to carry out the                around 60 positive cases of Covid-19,      cannot equal no work,” Danisa adds.
     construction work,” he notes.                  which has brought about operational
       Danisa believes that working as a            stoppages at the plant in order to         A LASTING COMMITMENT
     project director responsible for the           ensure the safety of other workers         All of the challenges presented by the
     commercial viability of the entire             through deep cleaning and following        pandemic aside, Gibela’s commitment
     project from end to end gave him               due diligence protocols.                   to producing 600 trains by 2028 is
     holistic insights into the company’s             Beyond the human health                  as strong as ever. Within two years,
     operations, which prepared him well            component, while 90 of Gibela’s            Danisa asserts that the manufacturer
     for the future. He also established a          current suppliers are locally based,       will be producing 62 trains a year and
     very good relationship with Gibela’s           around 40 operate outside Africa – in      working hard towards increasing the
     customer, PRASA, in this role, which has       Europe, Asia and South America. “The       localisation of content in the trains.
     proven to be a distinct advantage after        global impact of Covid-19 becomes          “We aim to establish the Gibela facility
     taking up the reins as CEO.                    even more apparent when working with       as an epicentre of development,
                                                    an international supply chain. There       where suppliers mushroom around us to
     REVIVING INDUSTRY                              have been strict limitations placed on     create an industrial hub that will supply
     On his proudest professional                   shipping goods internationally, on both    both us and other manufacturers. We
     achievement, Danisa defers the                 the import and export destinations.
     accolades to Gibela, “Who would’ve             Non-Covid-related goods are obviously
     thought that, in Ekurhuleni, a South           placed at the back of the queue,
     African OEM would be building world-           behind PPE, vaccines and related
     class trains. This is the first time that      goods. The impact has been quite
     an OEM is producing whole trains in            massive on Gibela. In fact, we’ve lost
     sub-Saharan Africa. Despite the many           around 10 trains through the resultant
     challenges we face in South Africa, we         production delays. And, of course,
     have proved that we South Africans             Covid-19 is not over yet. Fortunately,
     can do so much in our own country.”            PRASA is very understanding of the
       The rail manufacturing industry has          situation, considering the force majeure
     been dormant in South Africa for some          nature of these events,” Danisa says.
     40 years, so the resuscitation of it is a        “Like many businesses, Gibela
     real feather in the cap for the Gibela         has had to adapt its operational
     Consortium and Danisa personally.              activities. Most of us outside
     “To oversee this has been a once-              direct manufacturing work
     in-a-lifetime opportunity and a real           roles are still working remotely
     honour. But much hard work still lies          and we’ve implemented
     ahead,” he adds. This hard work will           shift work for many staff
     be made significantly easier through           members. We’ve learned
     Gibela’s approach to investing in              some valuable lessons
     human capital.                                 along the way, particularly
       The consortium is a youth-driven             how to coordinate more
     organisation, with more than 80%               effectively during times
     of staff members being 35 years                of crisis. I believe we’ve
     and under. Further, some 50% of the            adapted quite well and
     employees are women. “I don’t think            will weather this storm
     you’ll easily find a better success story in   better than most. In
     South Africa in terms of transformational      fact, we are the best
     development than Gibela – not to               performing site in the
     mention the sustainability of our              Alstom Southern Africa
     approach,” Danisa asserts.                     family at the moment.
                                                    The pandemic has
     ENTER COVID-19                                 forced at to look at
     Business sustainability and resilience         problems from many
     have in recent times been brought              angles to come up
     squarely into the spotlight through the        with solutions, so

22     EKURHULENI 2021
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