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| 8. A Framework for Action This section builds on the reaffirmation of the GDS1 framework for action of the strategy of 5Rs + 2. To that it adds input and dimension on key strategic areas for long term growth and development in Sedibeng that were found to be lacking in GDS1. 8.1 The review of GDS1 pointed to some stark strategic gaps that need to be considered on Sedibeng's journey to becoming a leading “Metropolitan River City” by 2030. GDS2 pronounces on the importance of these areas and commits the Sedibeng region to developing detailed strategies and road maps to ensure the GDS2 vision is realized. 8.1.1 Township Renewal Sedibeng faces the same South African apartheid urban situation that many cities and districts do. Townships typically were geographically isolated and set away from the bustling and affluent centres. With the advent of democracy, the significant challenges of transforming townships into successful and sustainable communities began. Townships and disadvantaged communities have, by design, been historically excluded from commercial activity. Sedibeng will develop a comprehensive and coherent township strategy for its urban areas that excite and draw businesses and residents to them. The development of new economic sectors has to take spatial consideration of where new industries and businesses can be developed. 8.1.2 Urban Renewal Our township strategy will be one critical building block of a larger Sedibeng wide urban renewal plan. Our urban renewal strategy will breathe life into our decaying business districts. We will create places where people and businesses want to locate, with expanses and spaces to meet their needs. Sedibeng will become an area that delights the senses and takes care over its buildings and streets. Sedibeng will show that it takes pride in beautiful modern architecture while also making the most of the Region's built heritage, and which makes the most of, and extends its wealth of open and green spaces, natural environments and waterways, realising their potential for improving the health, welfare and development of the people of Sedibeng. Government will not be able to bring about this transformation alone. Private sector investment will be a necessary catalyst to the successful renewal of the urban form. A comprehensive township strategy that allows both the government and the private sector to understand its potential role and opportunities will be developed in this phase of GDS 2. 8.1.3 Rural Development Rural development is about generating the capacity of the people, especially the rural poor to be able to prosper and thrive. GDARD sites the pillars of rural development as bringing about:
There is a need to increase agricultural productivity so that people can firstly, live off the land sustainably, and secondly generate long term wealth and prosperity. To do this, assistance will need to be provided to improve markets, physical infrastructure, to build the correct skills, and to put in place incentives for micro and small businesses. Rural development requires a multipronged approach to ensuring “Vibrant, equitable and sustainable rural communities that contribute to food security for all, protected and enhanced environmental assets and natural resources.” Outcome 7 of government sets out the need to ensure 'vibrant, equitable and sustainable rural communities for all' and consists of five outputs:
Sedibeng will become a leader in rural development where co-operatives and other farmers are supported with on-farm and off-farm infrastructure and where small-holder farmers receive access to finance in order to grow. The Maize Triangle will continue to be revitalized and agricultural growth will be stimulated. The rural development strategy of Sedibeng will continue to enhance and protect environmental assets and natural resources. 8.1.4 Human Settlements “All people shall have the right to live where they choose, to be decently housed, and to bring up their families in comfort and security. Slums shall be demolished and new suburbs built where all shall have transport, roads, lighting, playing fields, creches and social centres”. This is the bold vision, crafted 55 years ago by the drafters of the Freedom Charter, which captures the essence of our mandate to create integrated and sustainable human settlements. Sedibeng has an excellent housing delivery track record over the past 15 years. However the pressure of building houses outstripped the imperative to ensure that these houses are built in areas with supporting infrastructure, community amenities, public spaces and security, leaving Sedibeng with a critical human settlements problem today. The Breaking New Ground (BNG) housing delivery strategy of National Government is a move away from the provision of RDP housing and calls for the broadening of the variety of housing typologies that should be delivered. This is absolutely critical for the Sedibeng region. The only alternative to concentrated poverty in marginalised housing settlements is to increase integrated, mixed income and well-connected residential developments on well-located land. Sedibeng commits to the development of a detailed, robust and implementable strategy to translate the goals of BNG into vibrant Sedibeng human settlements. By 2030 Sedibeng will be well on its way to becoming a city of diverse, strong, secure Mixed used developments where people work, play, live, eat sleep in one enjoyable environment and are in walking distance to all community amenities is the way of our future. 8.1.5 Clean Energy The Gauteng Provincial Government (GPG) puts forward a Gauteng Province Vision for Energy: “A Gauteng province that is powered by a low carbon economy with a significant share of national 'green jobs', and accessible and affordable energy services that do not impact on the health of people or the environment. By 2055 Gauteng as a province wants to see 50% of energy, in the energy mix being clean energy. Sedibeng is committed to becoming a world leader in improving the environment locally and globally, taking the lead in tackling climate change, reducing pollution, developing a low carbon economy, consuming fewer resources and using them more effectively. Sedibeng will set out implementable plans to stimulate the use of green energy within the region. Such plans could include measures to: retrofit buildings to improve energy efficiency, expand mass transit and freight rail, and support the development of renewable energy through wind power, solar power, next generation biofuels, and other bio-based energy. 8.1.6 ICT Connectivity Urban performance currently depends not only on the city having hard infrastructure ('physical capital') in place, but also, and increasingly so, on the availability and quality of knowledge communication and social infrastructure ('intellectual and social capital'). This is where the notion of a "smart city" has come from. It highlights the ever increasing significance of Information and Communication Technologies (ICTs), social and environmental capital in profiling the competitiveness of cities. Sedibeng's vision of a vibrant, prosperous metropolitan city requires the implementation of key strategic ICT decisions now. A clear understanding of how key economic sectors in Sedibeng such as manufacturing agriculture and services can be better served by ICT networks and service extension, both for current business requirements, and future growth, is essential. The Sedibeng District Wide Lekgotla of September 2011 and the Sedibeng Stakeholder Summit of December 2011 unequivocally reaffirmed the framework of the 5Rs + 2 as the GDS 2 framework for action. In summary these seven areas are encapsulated as follows:
8.2.1 Reinventing our economy Reinventing the economy of Sedibeng, under the banner of GDS 2 means:
The details of this are explained in this section. In her Budget speech, the Gauteng MEC for Local Development, Ms Qedani Mahlangu, highlighted the following key areas of development:
To reinvent the economy we propose concretely aligning with other National and Provincial policies and plans, and placing a firm emphasis on diversifying the economy, in particular the sectors and clusters as set out in the Industrial Policy Action Plan 2010/11-2012/13 will be further studied and considered for economic growth. Creating and growing a 'green economy' will be central to our agenda. Reinventing the economy means we have to diversify the economy. A robust, growing, sustainable economy is the aim of every country in the world. A sustainable economy enhances a country's living standards by creating wealth and employment, encouraging the development of new knowledge and technology, and assisting to guarantee a stable political climate. A diverse economy—that is, an economy based on a variety of profitable sectors, not just a few—has long been considered to play an important role in sustainability, due to the fact that diversification can reduce a country's economic volatility and increase its real activity performance. The same goes for a district or local municipality. Sedibeng should diversify to make the economy more resilient against exogenous impacts, such as the world-wide economic crisis in 2009 mentioned above. The productivity and competitive levels of the Sedibeng's economic base should be enhanced through resources and strategic investments, of which would include the enhancement of human and financial capital, technology, knowledge and innovation. Focus Sectors for Sedibeng in which to Reinvent the Economy Although the 2007/8 IPAP has largely been implemented, there has still been a growing recognition that industrial policy needs to be scaled up from 'easy-to-do' actions to interventions that we 'need-to-do' to generate a structurally new path of industrialisation. This mandate has been strengthened under the new administration and was formalised in the President's State of the Nation Address of 3 June 2009, indicating that a scaled-up Industrial Policy Action Plan will be implemented. A process of intensive consultation and analysis – led by the Minister of Trade and Industry – has culminated in a revised IPAP for the 2010/11 – 2012/13 Financial Years. It was recognised that a one-year IPAP is too short a period and that future IPAPs will be for a three-year rolling period, updated annually and with a 10-year outlook on desired economic outcomes. The 2010/11 – 2012/13 IPAP represents a significant step forward in our industrial policy efforts. As it is reviewed and updated annually, it will be continuously strengthened and up scaled. The key sectors that the IPAP 2010/11-2012/13 will focus on, are clustered into the following three groups: Cluster 1 - Qualitatively new areas of focus
Cluster 2 - Scale up and broaden interventions in existing IPAP sectors
Cluster 3 - Sectors with potential for long-term advanced capabilities
The Sedibeng District Municipality should align itself with IPAP 2010/11 – 2012/13, as many of these sectors mentioned above hold large potential for job creation, diversification and other economic development opportunities. Sedibeng can benefit greatly by also focusing on these sectors in order to strengthen its own economy in terms of job creation, local economic development, skills development and tourism. It is imperative that we expand the tourism sector. Not only will this lure local spending by tourists from other provinces, but foreign inflow of income could stimulate the local economy of Sedibeng, should the marketing and branding of the municipality attract visitors from across the borders. Rural Development must play an important role in the economic development of our municipality. Sedibeng has formulated a Rural Development Strategy, focusing on Agro-processing, infrastructure development and high level of services, aimed at enhancing the image of the rural and urban areas of Sedibeng. The enrichment and renewal of these areas will not only attract tourists and visitors, but also create a better living standard for the people living in these areas. As part of national rural development, the national government and Gauteng Province are launching the National Rural Development Strategy in the Sedibeng region. This aligns perfectly with the development of the corridors, hubs, and the launch of the Maize Triangle Scheme within the Sedibeng District Municipality. According to The Treasury's Estimates of National Expenditure document, a green economy is “one in which growth in income and employment is driven by public and private investments that reduce carbon emissions and pollution, enhance energy and resource efficiency, and prevent the loss of biodiversity and “ecosystem services” like the provision of clean air and water, and soil formation.” With the world aware of the dangers and environmental impacts caused by the harmful greenhouse gas emissions and the pressures arising from first-world countries, the more important conservation of our beautiful and untouched natural environment becomes. The Sedibeng Municipality can be a part of this movement by encouraging the public to participate in its initiatives as discussed at the Sedibeng Growth and Development Strategy (GDS) Summit in 2011:
The Sedibeng District Municipality can also benefit from the Green Fund, of which the objectives are “to promote environmental protection through a programme comprising technical assistance, grant assistance, loan assistance and/or own funding for projects that have a substantial public interest”. An investment in the “Green” and energy saving industries (see section 5.2) might also be a great attribute to the economy, providing in the areas of job creation and support local procurement depending on the type of manufacturing required. A GDS 2 approach recognizes the importance of enabling factors for economic development. A safe and secure environment that is conducive to investment is needed. Appropriate skills are required and a targeted skills development approach is critical. To do this fostering closer alignment with local institutions of higher learning will be beneficial. Local business should be supported particularly with the global trend to non-equity modes of foreign direct investment. Global investors require strong entrepreneurs on the ground. In this light Sedibeng needs to ensure the development of the Sedibeng Economic Development Agency. In addition, the Vaal 21 initiatives and Hydropol projects should be expanded. We also need to consider the implementation of an International Conference Centre- partnership with North West University. As we continue to reinvent the economy, GDS 2 hopes to see the following future successes:
Risks that we will constantly have to work against include: a lack of skills and available employment if investment in new industries should occur, and deterioration of the natural environment due to unsustainable growth. These negative impacts could be curbed and limited with the proper precautions and policies in place. The GDS2 goals for economic growth are:
8.2.2 Renewing our Communities To focus on renewing our communities GDS 2 reaffirms the commitment for Sedibeng to strive to transform all urban areas into vibrant economic centres that will contribute to socio-economic development through the creation of viable, stable neighbourhoods. Townships must become exciting human settlements with adequate infrastructure, delivery of basic services, safety and security, and transport networks. Focused economic stimulation in these spaces will build strong and prospering centres of retail, manufacturing, industrial or any other business. The Evaton Renewal Project that is aimed at "renewing" or regenerating Evaton, to improve the quality of life of the Evaton community through infrastructure and economic development is an example of this renewal commitment. A focus on renewing our communities can be categorised into the following three areas: Changing the nature of housing delivery through
Making Sedibeng look attractive through
Investing in Precinct and Nodes through the
GDS 2 continues to build on the following proposals form GDS 1: a | Changing the nature of housing delivery Mixed income housing in the right areas has an important function in opening housing stock to more people, generating choice for communities and fostering social integration. Large parcels of land in Sedibeng lend itself to release for mixed income and social housing solutions. To implement a new approach to housing delivery, local government would need to co-operate extensively with the provincial Department of Housing to: Learning the lessons and indeed partnering with agencies active in places like Cosmo City and the inner city of Johannesburg could be very useful. A review of GDS1 reveals poor progress in this area and GDS 2 must focus on gaining traction around this very important goal. b | Making Sedibeng attractive Many parts of Sedibeng are run down with ageing infrastructure, some of it older than 100 years. While there is generally good provision of basic services we have not yet attained universal access to basic services and older areas often experience sewer leakages, poor road conditions and power outages. The second component of renewal is thus a focus on making the various parts of Sedibeng attractive and ensuring basic infrastructure is in good working order and is maintained. A large number of small interventions throughout Sedibeng that assists in building confidence and community pride of residents will have a ripple effect of communities getting involved to keep their areas beautiful. A successful urban renewal strategy depends on this. Examples of such small targeted interventions can include:
It is not suggested that these become GDS 2 projects, but rather they are projects that should be delivered through municipal IDPs, or community or private sector partnerships. While local government must take the lead, potential partnerships with other spheres of government will be beneficial. c | Investing in precincts at nodes Central Business Districts (CBDs) in Sedibeng are run down and in urgent need of reinvestment, upgrade and renewal. These and other key nodes such as the Sharpeville Monument Precinct can offer significant social and economic returns. Public transport interchanges (such as taxi ranks and train stations) and other areas where large numbers of people congregate to offer significant social and economic returns. The key is to synergise and crowd in public sector investment to leverage private sector investment. For example, if the public sector can fund within a given precinct facilities such as taxi rank, MPCCs, schools and clinics, it should be possible to attract private sector to follow with high density social housing or retail facilities. Several plans already exist that can be fast tracked to encourage CBDs in the area to fulfil their potential as tertiary service centres. Renewal of CBDs should also be extended to townships and not be limited to the traditional town centres only. Candidates for focused investment include:
An additional but key benefit of investing in public places is, that better opportunities are created for informal traders and the building of wealth through enhanced property value in areas formerly excluded from this benefit. The opportunity provided by 2010 can also be used to develop precincts in the vicinity of sport stadiums or in areas which could be public viewing sites. National Treasury has an Urban Development Zone tax incentive which takes the form of a tax allowance covering an accelerated depreciation of investment made in either refurbishment of existing property or the creation of new developments within the inner city. This could be utilised for regeneration purposes together with its Neighbourhood Partnership Fund. Other potential partners to develop key nodes would include the GDPTRW who have a transport precinct initiative, private sector developers and businesses including the informal businesses in these nodes. 8.2.3 Reviving the environment Reviving the environment is about providing a healthy living and working environment for our people and future generations. High levels of water, air and land pollution in Sedibeng represent not only a major environmental and health challenge, but present key obstacles to attracting further economic development. Unless chemical processing and heavy industry in the region become cleaner, they may destroy the future viability of the region's tourism and agricultural sectors. Additionally, the challenge is not only to address the environmental challenge but to set the goal of becoming a 'green' or 'eco-city' which focuses on being environmental, energy and conservation friendly. Green cities can on their own become magnets, attracting people and investors. This will involve forging strong partnerships to manage the environment. Initiatives to clean air water and land must be at the centre. A focus on waste and recycling and the successful conclusion of the Regional Sewer Scheme is necessary. Sedibeng will have to build a strong partnership with all affected stakeholders, to be able to accelerate the momentum to rejuvenate the environment. Without an intra- and inter-governmental partnership, it will be near impossible to overcome the environmental degradation which threatens our lives and those of future generations. Secondly, we should work closely with stakeholders to maximise on the recycling opportunities that arise from the significant amount of waste that is produced or received. In Sedibeng slag heaps can be recycled and/or used as inputs into the construction sector. Methane gas can be recycled from land fill sites. Solid waste can be used for compost. If we can look at some of these areas on scale, it can make a big difference to our environmental profile and can assist to position ourselves as a 'green city'. The following components are thus proposed as part of this focus area:
a | Partnership to manage the environment A Sedibeng wide environmental action plan should be agreed upon between all key government, private and non-governmental partners to focus on:
This environmental action plan should promote local or sector partnerships including:
Critical to successful environmental management is improving municipal capacity and increasing resources. Key areas where improvements are required are in respect of:
b | Initiatives to clean air, water and land The Regional Sewer Scheme, will serve to feed clean waste water into the Vaal River system. This facility which is budgeted at R400 million will reduce operating expenditure by doing away with most current pump stations, increasing treatment efficiency and reducing spillages. It can contribute significantly to the objectives of the GDS by:
Again, these ideas are not GDS 2 projects, but concepts to be picked up by various stakeholders as partners in support of the long-term achievement of the Sedibeng GDS. c | Waste and recycling Sedibeng is a producer and receiver of many forms of waste including:
There is still vast room for improvement around waste management. Landfill sites are unregulated and are inadequate. Industry complains that there are no adequate measures to deal with industrial waste. Lack of adequate sewer systems leads to many community complaints about bad smells which is also a disincentive for investors in tourism and property development. Current waste management should be improved and new ideas of managing waste should be introduced. Such ideas could include:
Although waste management projects have been taking place in municipalities, large scale district-wide cross-cutting initiatives should be identified, which can recycle on a large scale, be economically viable and provide job and income generating opportunities for SMMEs. It could also be possible to link with the Expanded Public Works Programme. Possible partners could include large industry, industry associations, community organisations, private waste management companies and NGO's such as the Environmental Justice Forum and Groundwater and Save the Vaal Environment. It would be also important to involve agencies such as Sedichem, CSIR, National Energy Regulator and Mintek in research and development. Since recycling and revival is intertwined with other geographical areas, neighbouring municipalities would also need to be involved. , 8.2.4 Reintegration of the region The emphasis of reintegrating the region is about on the one hand reintegrating the different parts of Sedibeng with each other and on the other, reintegrating Sedibeng into rest of Gauteng, Northern Free State and the Southern African economy. Reintegrating the region focuses on replacing the apartheid geography and long commuting distances with better quality of houses close to economic opportunities. It requires a bold and dedicated emphasis on road and rail corridor development and the need to establish east-west transport links and logistics support to industry. A key advantage of Sedibeng is its proximity and linkages into to the Gauteng urban complex as well as strong links with Sasolburg in the Northern Free State. One of its weaknesses is poor intra-Sedibeng links due in part to poor East-West transport routes. Key to reintegration is creating high levels of transport and other forms of connectivity. The components of this focus area relate to:
Initiatives that will assist in facilitating reintegration are:
a | Transport connectivity There are strong links between Sedibeng and the Gauteng core. People live in Sedibeng and work in Johannesburg and Ekurhuleni. Factories in Sedibeng produce parts or require parts from factories in other parts of Gauteng. Daily, large volumes of bricks, tiles, pipes, cables and steel, are transported to support the infrastructural boom in the rest of Gauteng including the Gautrain. Spoornet brings in coal, manganese and iron ore from the northern and western corners of our country and transports for export much of the products produced at Mittal Steel, Samancor and other smaller plants in Sedibeng. A good transport network is required to make this happen. In addition, the Gauteng Better Roads Development Plan, as well as the draft Gauteng Spatial Development Framework, emphasises the need for the identification of corridors especially public transport corridors around which to attract and concentrate development. b | Improved logistics to support industry Efficient logistics is essential for the growth of our export sector. Consideration should be given as to how we can improve logistics including exploring the establishment of a regional freight and logistics hub within Sedibeng. Sedibeng needs to be part of the Gauteng Province's vision for freight and logistics. c | ICT connectivity A competitive region must be a well-connected region that is able to provide a high level and infrastructure and ICT services at reasonable prices. It is important for Sedibeng to explore how to improve ICT connectivity including making the region or at least the key hubs in the region “wireless”. This could include free connectivity for municipalities, public facilities such as schools and libraries and improved connectivity at reduced prices for local business. There is a growing amount of research and development in this sector and it could be possible to enter into innovative partnerships to harness ICT for the development of the region. 8.2.5 Release human potential Releasing human potential is about realizing a vision of education and skills, and economic and social development. It is about creating a Sedibeng with improved literacy, numeracy and skills levels. Sedibeng will be a place where life-long learning is promoted and learning is done in partnership with communities, educational institutions, and the private sector. The region needs to build social capital through key socio-economic interventions. Endeavours towards economic growth should concern themselves with making use of the human potential of Sedibeng. The region should become a skill centre of beneficiation for example in a new growing sector. As skills improve, so does productivity and the quality of jobs that can be offered. The focus on releasing human potential extends beyond accelerating skills development. It involves increasing the 'social capital' of Sedibeng. This involves building the capacity of individuals and communities to:
a | Bringing together industry, education providers and government together in a local partnership Attention needs to be given to ensuring that tertiary education is relevant to the needs of the regional economy, and that poor and previously disadvantaged people, have access to funds for education. b | Building social capital Government needs to work in partnership with civil society to enable social interventions that can contribute to nation building, reduction of inequalities, strong communities and self-empowered individuals. c | Broad based black economic empowerment (BBBEE) Broad based black economic empowerment (BBBEE) is needed to ensure the more equitable ownership of productive assets at well as access to skills and infrastructure in order to empower Africans in particular, black people in general, women, youth and the poor. In Sedibeng as in every other area and sector of our country, there is a responsibility to implement BBBEE as part of the growth and development of the region. This can occur through:
d | Network of leaders Reference is often made to the large of number of national leaders who were born, grew up or developed politically in Sedibeng. GDS1 proposed the establishment a ''Friends of the South/Sedibeng” association consisting of people who are or have been residents of Sedibeng and/or who have a strong association with the area who could be called upon to:
8.2.6 Ensuring Good Governance The Constitution of the South Africa sets out the necessary codes of good governance as being: the rule of law; accountability, accessibility, transparency, predictability, inclusivity, equity, participation and responsiveness to people's needs GDS 2 reaffirms the need for high levels of quality and sustainable service delivery, the pursuit of efficient, accountable, co-operative and financially viable governance, and the deepening of participatory democracy. It requires meaningful intergovernmental partnerships and citizenship; and the promotion of external government relations. A review of Sedibeng demonstrates that from government's viewpoint, financial management is fair in the region, and some of the municipalities still have to get a clean audit. Capital expenditure requires much more efficiency and co-ordination. IGR is taking place but gaining traction from IGR interventions is not at an acceptable level of success as yet. 8.2.7 Deepening Democracy Sedibeng is nothing without its people. The GDS is a strategy of the people of Sedibeng. If it is treated as a municipal document it will fail to realize its vision of inclusivity. GDS 2 believes it there should be an intensifying of democratic participation and action, unified behind a commonly understood and agreed goal of what Sedibeng should be in 2030. This will require meaningful engagement with all stakeholders around the vision and ideas for implementing the vision. Ongoing, interactive communication will be an essential component of growing a participative and engaged city. Cities that are alive to their potential, who enjoy positive engagement from stakeholders and citizenry have been proven to do better from an economic development perspective. Such towns and cities generally have very good and positive images. To improve from GDS1, GDS 2 calls for improvements in the following areas:
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