REPORT ON PROGRESS AND CHALLENGES : INNER CITY REGENERATION/URBAN RENEWAL AND LOCAL ECONOMIC DEVELOPMENT IN BOJANALA PLATINUM DISTRICT MUNICIPALITY Presentation to Portfolio Committee on Provincial and Local Government 30 August 2005 Executive Mayor : Cllr. M G Tema and Municipal Manager : Mr T Makgalemele

STRUCTURE OF PRESENTATION Brief Municipal Profile. District allocations and support to local municipalities. Status Of Local Economic Development. Inner City Regeneration/Urban Renewal Soccer World Cup Preparations.

MUNICIPAL PROFILE Population Municipal Area square kilometers. Households Five local municipalities. Kgetleng Rivier; Madibeng; Moretele; Moses Kotane; Rustenburg.

MUNICIPAL PROFILE MunicipalitySize(km 2 )PopulationHouseholdsNo. of BPDM Wards 122 Kgetleng Rivier Madibeng Moretele Moses Kotane Rustenburg

MUNICIPAL PROFILE MunicipalityTypeNo of Councilors BPDMExecutive Mayor50 Kgetleng RivierPlenary10 MadibengExecutive Mayor60 MoreteleEXCO43 Moses KotaneEXCO60 RustenburgExecutive Mayor69

DISTRIBUTION OF OWN FUNDS TO LOCAL MUNICIPALITIES FOR THE PERIOD 2002 TO 2005

Increased collection of revenue by the district has resulted in a substantial increase in allocations to local municipalities for capital expenditure, far more than the benchmark of 60% of levy income.

DISTRIBUTION OF OWN FUNDS TO LOCAL MUNICIPALITIES FOR THE PERIOD 2002 TO 2005

DISTRICT IDP STRATEGIC FOCUS AREAS Provide Services to Communities in a Sustainable Manner Provide Democratic and Accountable Government Promote Social and Economic Development Promote Safe and Healthy Environment Involve Community in Local Government Matters

KEY ECONOMIC TRENDS Rapidly increasing mining sector dominating the economic landscape Mild decline in Agricultural and manufacturing output Improvement in the education prime of the population Increasing levels of poverty despite significant economic growth rates over the last 5 years Increasing impact of HIV and AIDS Increased emphasis on transformation in the mineral and energy sector Increasing competitive pressure from Gauteng Province (e.g. Blue IQ initiative) Increasing demand for Information and Communication Technology Services Limited diversification of local economy (dominated by mining sector) Increasing demand for tertiary education and skills development initiatives

CHALLENGES: AGRICULTURE AND RURAL DEVELOPMENT Develop and promote entrepreneurial skills in rural areas Determination and meeting needs of rural communities Assistance to small farmers and local contractors in rural areas Large proportion of population residing in rural areas Lack of basic infrastructure in rural area

CHALLENGES: TOURISM DEVELOPMENT The identification of opportunities for BEE orientated SMME’s to participate in the tourism sector The development of a marketing strategy that increases the exposure of tourism facilities in the district The development of tourism facilities, and long term development programmes that would allow rural communities to benefit from tourism facilities Competition for market share (Local and International) Optimal utilization of natural resources in District

CHALLENGES: SMME DEVELOPMENT Creation of an enabling environment in which SMME’s can develop on a basis if sound business principles Utilize existing governance structures to enable the effective implementation of programmes and policies aimed at the development of SMME’s Provide sustainable support and information to SMME’s Development of SMME helpdesk Identify existing business networks Develop and maintain SMME database

CHALLENGES: FINANCE AND INFRASTRUCTURE Mining resources a finite and nonrenewable resource Undiversified economy Promote the development of agro processing and export orientated manufacturing to position the area as a competitive regional and international producer of high quality and innovative products Develop incentives to encourage private investment –Property and tax breaks –Coordination with local financial intuitions –Capacity building programs for local workforce

KEY STRATEGIC PILLARS: ECONOMIC GROWTH Key strategic pillar 1: Secure economic development in Bojanala Platinum District Municipality that is sectoral and spatially diversified and benefits all its residents Key strategic pillar 2: Develop and acquire institutional capacity and technological skills that will facilitate rapid economic development Key strategic pillar 3: Compete effectively at a regional, national and international level for new investments and retention of existing investment base

DISTRICT ECONOMIC DEVELOPMENT TARGETS Achieving and average annual economic growth rate of 6.4% per annum Aiming to create new employment opportunities over a 10 year period Attracting total new investment into the District of R24 billion

INSTITUTIONAL ARRANGEMENTS/LOCAL ECONOMIC DELIVERY VEHICLES District Municipality has a dedicated LED Department Local Municipalities have LED units Moses Kotane has established LED agency as municipal entity Rustenburg LM in process of establishing Development Agency Coordination takes place at the level of LED forum consisting of LED MMC’s and managers

LED PROJECT IMPLEMENTATION ( ) MunicipalityNo. of projects Funding Moretele3R15m Moses Kotane3R16.5m Madibeng2R13.5m Kgetleng Rivier1R0.75m Rustenburg8R14.67m

Implementation plan to respond the Rustenburg / Anglo Platinum Conflict Stabilization Project Perform a thorough situation analysis to ensure feasibility of the models developed for each settlement area Perform a stakeholder analysis and liaise with existing coordination structures (e.g. Local Multi-Agency Coordinating Structures) as points of reference for the design of the model Take the Provincial cluster approach (i.e. Social Affairs Cluster; Governance and Administration Cluster; Economic Development and Infra-structure Cluster) into consideration in developing the models RUSTENBURG URBAN RENEWAL: OBJECTIVES

Locality Plan

Yizo-Yizo

Chachalaza & Squatter Camp

Popo Molefe

Zakhele

Mfidikoe