Mid Term Report - Gauteng Online

automotive components, beer and malt infrastructure.Considerable progress has been made in each of theidentified sectors, including through the developmentof subsidiary strategies and the promotion ofeconomic activity in areas such as the ICT,knowledge-based, automotive, competitive sport,creative industries, agriculture and film sectors.Integrated developmentA key challenge identified in the five year plan andreiterated in the GCR perspective is the need to aligneconomic and spatial development strategies so thatall sectors and areas of Gauteng can contribute togrowing a single economy.To give effect to this, the provincial governmenthas made significant progress in developing aGauteng Spatial Development Perspective. This willbe finalised in 2007 and will provide a coherentframework for municipal Integrated DevelopmentPlans (IDP). The IDP process in the province unfoldedfollowing the March 2006 municipal elections.Together these local and provincial plans haveprovided the foundation for the development of theLocal Growth and Development Strategies (LGDS).Premier Shilowa, in his February 2006 openingof the legislature address, made a commitment tosupport the development of growth and developmentstrategies in each metro and district in Gauteng,including through setting aside resources for LocalGrowth and Development Summits to involve localstakeholders. Important progress has been made inthis regard and, by the end of 2006, each metroand district had held a summit and developeda LGDS. This represents a major step forward inpromoting local economic development and jobcreation and growth in the province as a whole.Broad based black economicempowermentBroad based black economic (BBBEE) empowermentis one of the key mechanisms to address theexclusion of black people from the mainstreameconomy. It is central in making sure that the poorand marginalised, women, youth and peoplewith disabilities can contribute to and share in thecountry’s wealth.BBBEE is an integrated, coherent socio-economicstrategy that directly contributes to South Africa’seconomic transformation and brings about significantincreases in the number of black people thatmanage, own and control the country’s economyand significant decreases in income inequalities.In line with its commitments, the provincial governmentadopted a BBBEE strategy in September 2005,using its buying power to promote BBBEE and small,medium and micro enterprises (SMME). The strategysets the following targets for 2009:••••70% of GPG procurement will be from BBBEEcompanies30% of the total spend from SMME BBBEEenterprises30% on goods manufactured in South Africa5% on women-owned enterprises.By the end of 2006, GPG procurement spendingreflected a total of 2 703 black vendors with directownership. Of these, 1433 were women owned,73 were owned by people with disabilities and 17were owned by youth.Small businessIn addition to BBBEE, the promotion of SMMEs hasbeen a key pillar of provincial government efforts toboost shared economic growth.In April 2005, the provincial government launchedthe Gauteng Enterprise Propeller (GEP) with a missionto unleash SMME potential by giving them financialand non-financial support. GEP has already assistedover 400 SMME’s in key areas such as productivityenhancement, quality assurance, developing businessplans, marketing and human resource development.An additional 1000 aspiring and existingentrepreneurs have been trained. Of those assisted,88% are black owned and 52% are owned bywomen. An SMME portal has been set up to linkSMMEs to economic opportunities and more than2000 SMMEs are already registered on the portal.To take GEP closer to where people live, five operationalcentres are being established in Soweto,Themba, Tsakane, and Ekangala.Competitive sportThe GPG five year programme identified competitivesport as a key sector with the potential to promoteinvestment, jobs and other economic opportunities.In realising this potential, the provincial governmentheld a Sports Indaba with a wide range of stakeholdersin July 2005 and developed a competitivesport strategy to position Gauteng as the Home ofChampions and preferred choice for major internationalcompetitive sporting tournaments, both domesticand international.Part of the strategy entails encouraging professionalteams from across sporting codes based in Gautengto play their home games within the province. Workto upgrade HM Pitje, George Thabe, Sinaba,Orlando and Rand Stadiums is already underway,Midterm Report - 2004/06 • 15