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2001, 2002). This framework document rejects 'orthodox' LED approaches, such as the
attraction of external investment or property-led growth, which it views as both reflecting
'corporate-dominated power relations, but in part also reflects the failure of some municipal
officials to give more attention to sustainable development' (Bond, 2002: 6). Rather, the
document projects a 'bottom-up' approach to LED which is viewed as both challenging 'the
Washington Consensus' and offers instead a community-based approach associated 'with a
new, more sustainable paradigm'. At the core ofthis new sustainable paradigm is stressed the
importance of local government working with low-income communities and their
organisations. The approach 'explicitly aims to link profitable growth and redistributive
development' (Bond, 2002: 5). It is stated that there are at least six 'developmental' LED
strategies which should be supported, namely community-based economic development;
linkage; human capital development; infrastructure and municipal services; leak plugging in
the local economy; and retaining and expanding local economic activity. This study seeks to
explore local economic development approaches that could possibly ensure market
competitiveness, job creation and poverty alleviation within the Ulundi and surrounding
environments.
Although this listing represents a selection of certain elements of so-termed second wave
LED (example, business retention and local business development) as well as endorsing
several aspects ofthird wave LED (such as human capital), the document is distinctive for its
argument that LED should be 'refocused on the poor'. It is estimated that one new smaa
business can be created for every ten electricity connections that are made (Bond, 2002: 16).
To achieve local economic benefits from municipal service provision and infrastructure
investment require, however, 'close attention to the ongoing subsidies that will permit the
systems to operate' effectively (Bond, 2002: 16). It is argued that 'the best administrative
system for this would be a free lifeline amount provided through metered taps and metered
electricity hook-ups, with technical systems to reduce the amount to be consumed to the
lifeline minimum in the event of non-payment on amounts higher than that minimum' (Bond.
2002: 16). Overall, this pro-poor focused LED policy document substantially challenges
conventional LED programming. Instead, it asserts a commitment to embrace a 'Stiglitz­
style' Post-Washington development (Bond, 2002: 17). As part of this research on Ulundi,
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