Gauteng Business 2022/23

GAUTENG
BUSINESS
2022/23 EDITION
THE GUIDE TO BUSINESS AND INVESTMENT
IN THE GAUTENG PROVINCE
JOIN US ONLINE
WWW.GLOBALAFRICANETWORK.COM | WWW.GAUTENGBUSINESSGUIDE.CO.ZA

CUTTING-EDGE
SKILLS FOR
REVOLUTIONARY
LEADERS!
Get ahead of the curve and
stand out from the crowd
through Executive Education
at Wits Business School.
For more information,
visit: courses.wbs.ac.za

DIGITAL
BUSINESS
EXECUTIVE
EDUCATION
MANAGEMENT
DEVELOPMENT
LEADERSHIP
&
COACHING
SPECIALISED
FEATURED
COURSES

Aim higher and connect more
with Telkom Naledi Packages.
Take your star-studded team or your home connectivity to new heights
with exclusive Telkom Naledi packages that offer a loyalty programme,
a convergence app, and more value.
Book a presentation appointment now.
Email us: RT15Enquiries@telkom.co.za

Next-level connectivity.
Groundbreaking mobile solutions.
Enjoy dedicated streaming bundles, uncapped data with no FUP and more.
RT15
Exclusive Offers
Advantages
Telkom Naledi Gold
Uncapped data
20GB streaming data
Unlimited closed user group minutes
(Telkom-to-Telkom calls including
Telkom landline)
200 Other-network minutes
Unlimited SMS
SIM-only R350
Mobile service with mobile device
Uncapped data with no FUP
applied to the package. Data
access will never be terminated
or stopped. Includes WhatsApp.
Naledi packages come with
a dedicated streaming bundle
for YouTube, TelkomONE app,
Facebook, Facebook Messenger,
Twitter, Instagram and LinkedIn.
Network-based CUG. Telkom is
the only company that can offer
this converged voice call solution
across fixed and mobile numbers,
which will result in significant
voice-calling savings.
Telkom Naledi Platinum
Uncapped data
20GB streaming data
Unlimited closed user group minutes
(Telkom-to-Telkom calls including
Telkom landline)
600 Other-network minutes
Unlimited SMS
SIM-only R500
Mobile service with mobile device
State users on top-up options
can top up their all-net minutes
at the discounted State OOB
rate of R0.45 (36% discount).
Full allocation of all package
bundles and benefits even if a
SIM is activated mid-month. No
proration applied as we would
do normally.
Event billing and premium-rated
events can be blocked at a SIM
level, backed by the setting
of a zero spend limit.
Book a presentation appointment now.
Email us: RT15Enquiries@telkom.co.za

CONTENTS
Gauteng Business 2022 Edition
Introduction
Regional overview 8
All of Gauteng’s metropolitan municipalities came under coalition
governments after the local elections held in 2021. Voters are indicating
they are fed up with corruption. It is at municipal level that citizens and
businesses feel the effects of inefficiency and corruption and it is that
sphere of government that needs the most work in the short term.
Going green 11
Dozens of Gauteng companies in multiple sectors are exploring
ways to make their buildings more efficient, their processes less
wasteful and their impact less harmful to the environment.
Economic sectors
Agriculture 20
Hydroponic farms on rooftops are growing.
Mining 21
Tailings are proving lucrative in Gauteng.
Energy 24
Hydrogen fuel cells are attracting interest.
Oil and gas 25
An international investor is supporting a new LPG cylinder plant.
Transport and logistics 28
Roads and infrastructure spending is set to increase across the province.
Manufacturing 32
Corobrik’s new factory started producing product in 2021.
Tourism 34
Airlink has teamed up with successful international carriers.
Construction and property 36
Logistics is a growth sector for property companies.
ICT 39
Data centres are expanding and new ones are being built.
Banking and financial services 40
One of Johannesburg’s stock exchanges has moved.
Education and training 41
Tshwane University of Technology now
offers asset maintenance.
Development finance and
SMME support 44
Workspaces are available for makers
in wood.
References
Key sector contents 18
Overviews of the main economic
sectors of Gauteng.
GAUTENG BUSINESS 2022
6

YOUR CAREER IS NOT
A COMFORT ZONE.
You’re not on a job search. You’re on a
mission. For some, a career is a comfort
zone. Not for you. You don’t want to stand
still. You want to stand out. You don’t want
to accept your future. You want to shape it.
And help ignite the future of others.
So talk to us about a career in financial
planning. And let us show you how to
ignite your progression.
Momentum, here for your journey to success.
Momentum is part of Momentum Metropolitan Life Limited,
an authorised financial services and registered credit provider.

FOREWORD
Gauteng Business
A unique guide to business and investment in Gauteng.
Credits
Publishing director:
Chris Whales
Editor: John Young
Business development
manager: Shiko Diala
Managing director: Clive During
Online editor: Christoff Scholtz
Designer: Tyra Martin
Production: Aneeqah Solomon
Ad sales:
Gavin van der Merwe
Sam Oliver
Jeremy Petersen
Gabriel Venter
Vanessa Wallace
Tahlia Wyngaard
Administration & accounts:
Charlene Steynberg
Kathy Wootton
Distribution and circulation
manager: Edward MacDonald
Printing: FA Print
The 2022 edition of Gauteng Business is the 13th issue of this highly
successful publication that has established itself as the premier
business and investment guide for the Gauteng Province.
In addition to the regular articles providing insight into each of
the key economic sectors of the province, a special feature on the growth
and significance of the green economy is included in this edition. Every sector
from agriculture to transport and logistics is referenced, with several Gauteng
companies taking the lead in the field of creating a more sustainable future for
themselves and for their clients.
The fact that mining companies and others are starting to build facilities to
generate power is significant for the country as a whole. Gold Fields’ 40MW solar
project at its South Deep mine is one of the first of its kind and it is certainly a
precursor of what we can expect to see a lot more of in the future.
The unexpected fall from power in the province’s three big metropolitan
municipalities in 2021 of the political party that is in charge at provincial and national
level, the African National Congress, is noted in the Regional Overview. Whether this
presages a change beyond the borders of Gauteng in elections to come remains
to be seen, but the huge budgets which now fall under the control of coalition
governments in Johannesburg, Tshwane and Ekurhuleni will certainly serve to
sharpen the focus of ANC election planners for national elections in 2024,
To complement the extensive local, national and international distribution
of the print edition, the full content can also be viewed online at www.
globalafricanetwork.com under e-books. Updated information on Gauteng is also
available through our monthly e-newsletter, which you can subscribe to online at
www.gan.co.za, in addition to our complementary business-to-business titles that
cover all nine provinces as well as our flagship South African Business title and the
new addition to our list of titles, African Business, which was launched in 2020. ■
Chris Whales
Publisher, Global Africa Network Media | Email: chris@gan.co.za
DISTRIBUTION
Gauteng Business is distributed internationally on outgoing
and incoming trade missions, through trade and investment
agencies; to foreign offices in South Africa’s main trading
partners around the world; at top national and international
events; through the offices of foreign representatives in
South Africa; as well as nationally and regionally via chambers
of commerce, tourism offices, airport lounges, provincial
government departments, municipalities and companies.
Member of the Audit Bureau
of Circulations
COPYRIGHT | Gauteng Business is an independent publication
published by Global Africa Network Media (Pty) Ltd. Full copyright to the
publication vests with Global Africa Network Media (Pty) Ltd. No part
of the publication may be reproduced in any form without the written
permission of Global Africa Network Media (Pty) Ltd.
PHOTO CREDITS | Airlink; BHIT; City of Tshwane; Corobrik; DHL Global
Forwarding; Ford Motor Company of Southern Africa; Fortress REIT;
Futurecon; Goldfields; Harmony; JSE; Minerals Council SA; Nissan Group of
PUBLISHED BY
Global Africa Network Media (Pty) Ltd
Company Registration No: 2004/004982/07
Directors: Clive During, Chris Whales
Physical address: 28 Main Road, Rondebosch 7700
Postal address: PO Box 292, Newlands 7701
Tel: +27 21 657 6200 | Fax: +27 21 674 6943
Email: info@gan.co.za | Website: www.gan.co.za
ISSN 1990-0621
Africa; PAMSA; Pernod Ricard; Petra Diamonds; Steyn City; Teraco; Tshwane
University of Technology; Waterfall City; Wouldn’t It Be Cool (WIBC).
DISCLAIMER | While the publisher, Global Africa Network Media (Pty)
Ltd, has used all reasonable efforts to ensure that the information
contained in Gauteng Business is accurate and up-to-date, the
publishers make no representations as to the accuracy, quality,
timeliness, or completeness of the information. Global Africa Network
will not accept responsibility for any loss or damage suffered as a result
of the use of or any reliance placed on such information.

UNIVERSAL LINK GROUP
Where service is paramount
Universal Link Group, established in 1999, is a market
leader in the logistics and distribution services
sector. We are fast becoming one of South Africa’s
leading e-commerce warehousing, order fulfillment
solutions driven companies with a BBBEE Level 1
accreditation. We offer access to a comprehensive
logistical supply chain service. Our extensive
knowledge assures our clients of a smooth process
flow and desired outcome.
MISSION
We provide strategic solutions for all your
procurement, courier, e-commerce fulfillment
and warehousing, import and export distribution
systems designed to meet your requirements. We
are an accomplished procurement office, taking the
pressure out of your business of finding the best
solutions, equipment and assistance to obtaining,
locating and implementing your requirements, giving
you a competitive advantage and leading edge.
PLEDGE
We are a team dedicated to service excellence
through the process of simplicity and transparency,
making your experience seamless and stress free. We
are committed to explore and adapt innovative ideas,
that achieve maximum supply chain efficiencies.
SERVICES
• Distribution and Warehousing
• Domestic and International Courier
• e-Commerce Order-Fulfillment
• Inventory Management System
• Pick and Pack Services
• Storage (long-term and short-term)
• Mailing and Distribution Services
• Packaging Solutions
• Pharmaceutical Distribution
• Wine Storage and Distribution
WAREHOUSES
• Cape Town: 1 170m²
• Johannesburg: 350m²
• Flexible storage options, including heavy-duty racking,
a high-value goods area and freeflow areas.
• Storage methodology eliminates errors by not shelving
like products together, making picking easier.
Contact details
Unit 22, 31 Junction Road, Tygerberg Junction, Parow Industria 7493
Tel: 021 951 4200 | Cell: 063 575 3447 | Email: info@ulgroup.co.za | Website: www.ulgroup.co.za

A REGIONAL OVERVIEW OF
GAUTENG
The diamond mine at Cullinan is renowned as a source of large, high-quality gem diamonds, including Type II stones, as
well as being the world’s most important source of very rare blue diamonds. Credit: Petra Diamonds
All of Gauteng’s metropolitan municipalities came under coalition
governments after the local elections held in 2021. Voters are
indicating they are fed up with corruption. It is at municipal level
that citizens and businesses feel the effects of inefficiency and
corruption and it is that sphere of government that needs the
most work in the short term.
By John Young
The municipal elections held in South
Africa in 2021 resulted in councillors in 66
municipalities having to form coalitions
to create majorities. Among these were
Gauteng’s three metropolitan municipalities,
Johannesburg, Tshwane and Ekurhuleni.
These three cities represent, respectively,
the economic centre of the national economy,
the seat of the executive government and the
manufacturing hub of the country. South Africa’s
governing party, the African National Congress
(ANC), the party of Nelson Mandela and the
struggle for freedom from apartheid, recorded
a vastly reduced vote count across the country.
In the three Gauteng metros, the opposition
Democratic Alliance was able to cobble together
coalitions with five other parties to take over the
mayoralties. These will not be stable coalitions –
some of the ideological differences are big – but
they have certainly put the ANC on notice that
it can’t take things for granted in the run-up to
national elections, which are due in 2024.
If this strengthens the hand of the group
within the ANC that wants to root out corruption,
surely a big reason for the party losing support,
then the country and the province will benefit.
The country’s biggest opposition party, the
Democratic Alliance, controls both the biggest
metropolitan municipality and the provincial
government in the Western Cape but the ANC
still has a solid majority in the Gauteng provincial
legislature. Various levels of government have
departments called “Cooperative Governance”: with
different parties in power at municipal and provincial
level, that concept will be brought into play and the
maturity of the political leaders will be tested.
GAUTENG BUSINESS 2022
8

SPECIAL FEATURE
Premier David Makhura has outlined the plans
of the provincial government: “The development
of single multi-tier Special Economic Zones (SEZ)
is the primary anchor of our industrialisation
agenda. It is our goal to have to have at least
one zone in each district or metro, specialising in
distinct sectors and industries in each corridor.”
The National Department of Trade, Industry
and Competition (dtic) is the lead agent in the
creation of SEZs, which are part of the national
Industrial Policy Action Plan (IPAP). SEZs are
designed to attract investment, create jobs and
boost exports.
About R3-billion has been invested in bulk
infrastructure for the Tshwane Automotive SEZ
with another R300-million to come on top of
R4.3-billion from automotive suppliers and R15.8-
billion from Ford Motor Company.
The OR Tambo International Airport Industrial
Development Zone (IDZ) opened in 2019 is
focussed on jewellery manufacturing and agroprocessing.
The IDZ’s four zones have attracted
R1.5-billion in investments and the zone’s
development is ongoing with other schemes
such as the midfield cargo terminal and the
development of the western commercial precinct.
One of the plans to boost Gauteng, “Growing
Gauteng Together” (GGT 2030), prioritises the
economy, jobs and infrastructure, with the
manufacturing sector earmarked as a key driver.
Manufacturing strength
Gauteng accounts for 45% of South Africa’s
manufacturing capacity, so the province is wellplaced
to expand an already strong and diverse
sector. Manufacturing makes up 14.5% of formal
sector output in Gauteng, making it the fourth-largest
sector. One in nine jobs in the province are created
in the sector. According to the Gauteng Growth
Development Agency (GGDA), six out of 10 foreign
direct investment (FDI) projects in Gauteng have
flowed to the manufacturing sector and its subsectors.
In the five years to 2019, the Gauteng-City-Region
attracted 447 FDI projects valued at R264-billion,
which created more than 69 000 jobs (FDI Markets).
The GGDA is an implementing agency which
aims to facilitate business enablement, develop
small, medium and micro enterprises (SMMEs)
and to promote investment and job creation.
Focussed support for these specific subsectors is
intended to spur other investments: automotive
sector, mineral beneficiation, capital equipment,
agro-processing, pharmaceuticals and tertiary
services such as BPO, ITC services, tourism and the
knowledge economy.
GGDA subsidiaries include The Innovation
Hub (technology), the Automotive Industry
Development Centre (AIDC), which manages
the Automotive Supplier Park (ASP) and InvestSA
Gauteng (red tape remover for investors).
The Johannesburg Development Agency (JDA)
plays a similar role as the City of Johannesburg’s
development agency. JDA’s focus is on helping
create resilient, sustainable and liveable urban
areas in identified transit nodes and corridors. In
15 years, 387 projects have been implemented.
The Provincial Government of Gauteng has
identified 10 “high-growth” sectors where it intends
concentrating its efforts to build infrastructure and
attract public and private sector investment:
• Energy: new technologies and a diverse energy mix
• Transportation and logistics
• ICT, media and digital services
• Tourism and hospitality
• Agricultural value chain
• Construction and infrastructure
• Automotive, aerospace and defence
• Financial services
• Cultural and creative industries
• Industrialisation of cannabis
These priorities were announced before
the onset of the Covid-19 global pandemic, so
obviously there will be some major adjustments,
Tshwane House, the seat of municipal government and the
council chamber. Credit: City of Tshwane
9
GAUTENG BUSINESS 2022

SPECIAL FEATURE
especially with regard to tourism and hospitality
which has suffered major setbacks during the
local and international lockdowns.
Overview of the province
Gauteng is South Africa’s smallest province in terms of
landmass but in every other respect it is a giant. The
province is the nation’s key economic growth engine.
At 18 176km², the province makes up just 1.5%
of South Africa’s territory. The 14.3-million people
living in Gauteng in 2017 generated a gross
domestic product of R1.59-trillion, about a third of
South Africa’s GDP. Gauteng recorded the highest
provincial growth rate in 2019. The 0.6% rise was
mainly driven by finance, real estate and business
services, which is the dominant industry (StatsSA).
Gauteng shares borders with four provinces,
the Free State, North West, Limpopo and
Mpumalanga. The southern border of the province
is the Vaal River and most of the province is located
on the Highveld. The Witwatersrand, which runs
through Johannesburg, marks the continental
divide: rivers running to the north drain into the
Indian Ocean, rivers running south drain into the
Atlantic Ocean via the Vaal into the Orange River.
Gauteng draws its water from a series of interconnected
river transfer systems. A major source
of water is the Lesotho Water Highlands Project.
The Witwatersrand was the source of the gold
that drew so many thousands of people to the
area in the late 19th century and was the origin
of the word for South Africa’s currency, the “rand”.
Gauteng is a leader in a wide range of
economic sectors: finance, manufacturing,
commerce, IT and media among them. The
Bureau of Market Research (BMR) has shown that
Gauteng accounts for 35% of total household
consumption in South Africa.
The leading economic sectors are finance, real
estate and business, manufacturing, government
services and wholesale, retail, motor trade and
accommodation. The creative industries (including
advertising and the film sector) contribute
significantly to the provincial economy.
In Johannesburg, financial services and
commerce predominate. The JSE, Africa’s largest
stock exchange, is in Sandton and several new
stock exchanges have recently received licences.
Gauteng Premier David Makhura visited the Rosslyn plant of
the Nissan Group of Africa to inspect the protocols that had
been put in place to ensure the safety of works during the
Covid-19 epidemic. Credit: Nissan
Tshwane (which includes Pretoria) is home to
many government services and is the base of the
automotive industry and many research institutions.
The Ekurhuleni metropole has the largest
concentration of manufacturing concerns, ranging
from heavy to light industry, in the country. The
western part of the province is concerned mainly
with mining and agriculture, while the south has a
combination of maize farming, tobacco production
and the heavy industrial work associated with steel
and iron-ore workings.
Individually, the biggest Gauteng cities
contribute to the national GDP as follows:
Johannesburg (15%), Tshwane (9%) and
Ekurhuleni (7%).
Gauteng is not just an important centre
of economic activity, it is also an important
launching pad for local and international
businesses to enter the African market. The
country’s biggest airport, OR Tambo International
Airport, is at the core of the province’s logistical
network. Other airports include Rand Airport
(Germiston), Wonderboom (Pretoria), Lanseria
and Grand Central (Midrand).
The Gauteng Division of the High Court of
South Africa (which has seats in Pretoria and
Johannesburg) is a superior court with general
jurisdiction over the province. Johannesburg
is also home to the Constitutional Court, South
Africa’s highest court, and to a branch of the
Labour Court and the Labour Appeal Court.
The province has several outstanding
universities, and the majority of South Africa’s
research takes place at well-regarded institutions
such as the Council for Scientific and Industrial
Research (CSIR), the South African Bureau of
Standards (SABS), Mintek, the South African
Nuclear Energy Corporation (NECSA), the Human
Sciences Research Council (HSRC) and several
sites where the work of the Agricultural Research
Council is done. ■
GAUTENG BUSINESS 2022

Going green
Dozens of Gauteng companies in multiple sectors are exploring ways to
make their buildings more efficient, their processes less wasteful and their
impact less harmful to the environment.
A new source of power. Gold Fields is building a 40MW solar plant at its South Deep mine. Credit: Gold Fields
Every sector has potential for growth and
innovation towards a more sustainable
future and companies in Gauteng are
showing the way.
The announcement in 2021 by President Cyril
Ramaphosa that the threshold for companies to
produce their own electricity without a licence
would be increased from 1MW to 100MW was widely
welcomed. To protect the grid, generation projects
are still required to obtain a grid connection permit.
Large companies had been lobbying for this
change to the power landscape for a long time. Not
only will the policy relieve pressure on national utility
Eskom but it will serve as a catalyst for massive new
investment. Most of this new capacity will be in the
form of renewable energy.
One example in Gauteng is Gold Fields, which
is building a 40MW solar power station at its South
Deep mine at a cost of R660-million. Daily Maverick
reports that Roger Baxter, CEO of the Minerals
Council, has said that South Africa’s mining industry
is ready to build 2GW of renewable energy, valued at
more than R30-billion.
South African mining companies are also looking
at green hydrogen and taking advantage of the fact
that many of the minerals needed to fire the new, lowcarbon
economy are found in South Africa. Mines and
smelters are among the most obvious big consumers
of electricity, but modern technology means that data
centres and even shopping malls can now produce
their own energy.
One of the biggest examples of this is the Mall of
Africa in Waterfall City, where most of the huge roof is
covered by what is believed to be the world’s largest
integrated rooftop PV/diesel hybrid project. Attacq
Property Group has undertaken to build sustainably
across its portfolio. The installation will save 8 034
tons of CO2 annually and will result in 157 fewer coal
trucks on the road per year. The PV plant was installed
by Solareff, which owns a majority stake in GridCars.
Vukile Property Fund has decided to equip all of
the malls in its portfolio with rooftop solar panels.
Among its properties are malls in Boksburg and
Soweto. The company says that installations across
the group have the capacity to generate 2 089MWh
annually. Retrofitting of light fittings has also taken
place to improve energy efficiency.
Absa Bank has followed up on its decision
to take its central Johannesburg campus off the
national electricity grid. Investments in a 6 000-panel
rooftop solar system (which cost R10-million), the
synchronisation of gas and diesel generators and
GAUTENG BUSINESS 2022

SPECIAL FEATURE
sophisticated water and underfloor heating systems
have all contributed to massive energy savings. The
bank estimates that the power it generates is 70%
cleaner than that provided by the national grid.
The rooftop solar installation at Absa’s Pretoria
office provides 17% of its electricity needs and the
bank intends to continue rolling out solar solutions in
addition to investigating battery solutions in pursuit
of what it calls “net zero offices”.
Many energy-intensive companies and
institutions are generating their own power. In
Johannesburg, the Northern Wastewater Treatment
Works, the largest of six wastewater plants serving the
city, has its own electricity source in a 1.1MW biogas
plant. It produces electricity using cogeneration
(combined heat and power) and is helping the city
to reduce expenditure on its water treatment works,
which used to run to R100-million per year.
A landfill site at Robinson Deep in
Johannesburg has started generating 3MW of gas.
This is one of five renewable energy projects that
Energy Systems SA is running in Johannesburg
and is the first landfill gas generation project to fall
under the REIPPPP.
In agriculture, there is urban and hydroponic
farming, improved soil maintenance, better use
of water and recycling and organic methods. The
agricultural sector is also another source
of organic waste which is being used to
provide power. With thousands of cattle
farmed near big cities to provide beef
and dairy products, biogas is a useful
byproduct. The Bronkhorstspruit Biogas
Plant, run by Bio2Watt, has an installed
capacity of 4.6MW which it produces
from annual feedstock of about 120 000
tons of organic waste.
The plant is located in the Tshwane
Metropolitan area on the premises of
Beefcor, one of South Africa’s largest
feedlots. The company has plans to
roll out small plants for farmers or agriprocessors
who want to produce power
for themselves.
At the Cavalier abattoir in Cullinan,
biowaste conversion company ibert
provides about a quarter of the power
that the abattoir needs to function, at a competitive
rate. In the process, all of the facility’s biowaste is
disposed of.
In construction and property, the green
movement is growing apace. Apart from green
building certification (administered by the Green
Building Council of SA), there is now an even
higher standard which developers and architects
are striving for, Living Building Challenge, in which
a building goes beyond being net zero to being
regenerative (ie, producing more water and power
than it uses).
A recent headline, “Govt launches drive to green
state properties” indicates that the state is moving
in the green direction too. The Department of
Public Works and Infrastructure recently launched
an Integrated Renewable Energy and Resource
Efficiency Programme (iREREP).
Transport and logistics
Eskom has announced that all staff cars will be EV
in future. Companies in the transport and logistics
sectors are moving quickly to prepare for a greener
future. Another recent headline announced, “Sasol
and Imperial logistics partner to reduce carbon
footprint”. In this regard, gas is seen as important
in helping South Africa transition to renewables
The solar PV rooftop system at the Mall of Africa was the largest in the
southern hemisphere when it was installed. Credit: Waterfall City
GAUTENG BUSINESS 2022
12

Recycling is a big part of the circular economy. Credit: PAMSA
and away from carbon fuels. Petroleum Agency
South Africa (PASA) and Sasol and organisations
like the Council for Geoscience are working in these
areas and logistics fleets are looking to use gas as
well. Gauteng fleet entities such as Bulk Hauliers
International Transport (BHIT) and SAB (which
runs a massive national fleet of trucks) have signed
agreements for gas suppliers from Renergen, the
company running a big gas project in the Free
State. Glass manufacturer Consol has also signed
with them and TotalEnergies will establish a national
distribution network.
Energy efficiency is a growing interest for
government and the private sector. The Department
of Energy has an Energy Efficiency Directorate and
there are other organisations such as Southern
African Energy Efficiency Confederation (SAEEC);
South African National Energy Development Institute
(SANEDI); Productivity SA and the National Cleaner
Production Centre (NCPC).
Water is one of the key sectors where saving,
reuse, recycling, filtration, storage, efficiency (nonleaking
pipes) and new solutions are vital to progress
towards a greener future. Rand Water’s environmental
brand, “Water Wise”, attempts to make users aware of
the need to value water and to use it wisely.
In terms of recycling and reuse, the packaging
sector and many companies and industry
associations connected to plastics, rubber and paper
are trying to mitigate harmful side-effects arising
from the manufacture and use of their products. One
of the supporters of CleanCitySA, an organisation
aiming to clean up Johannesburg, is Plastics SA.
Fibre Circle (the producer responsibility
organisation for the South African paper and
paper packaging sector) is working on compliance
with national government’s Extended Producer
Responsibility (EPR). Fibre Circle aims to improve
the recovery and recycling of paper and paper
packaging and to develop products from recycled
paper fibre that are commercially viable in their
own right. It wants to get packaging products off
the streets and away from landfills. The organisation
reports that 46% of locally-produced paper
products contain sustainably-sourced virgin fibre
and that 54% of local paper products contain
recycled fibre.
The Paper Manufacturers Association of South
Africa (PAMSA) reports that many paper and pulp
mills are using byproducts from the chemical pulping
process as a biomass fuel to drive the mills. Examples
include tree residue and “black liquor”. ■
13 GAUTENG BUSINESS 2022

INTERVIEW
Controlled Marketing model encourages
close relationships with customers
Old Mutual Provincial General Manager: Sales and Distribution, Mathapelo
Sipamla, discusses some of the challenges facing business in Gauteng.
How many branches does Old Mutual have in Gauteng?
There are 31 branches, of which 29 are field branches and two
are in-house. We have a staff complement of 494, which includes
advisers, junior and senior management and admin staff.
How can customers stay in touch or transact remotely?
Our Controlled Marketing model encourages close relationships
with customers. Advisers need to ensure they are their customers’
go-to person. Our advisers own cellphones and laptops that
assist them. During lockdown, we rolled out remote selling that
allows the customer to accept a sale remotely though USSD.
Mathapelo Sipamla
BIOGRAPHY
Mathapelo Sipamla has been with
Old Mutual for the past 18 years,
advancing through the ranks from
being a financial adviser when she
first joined in March 2004. She is a
driven and results-orientated sales
leader who has a proven record of
accomplishment in all the roles she has
held within the organisation. She has
an MBA from Henley Business School.
In April 2021 she was appointed as the
Provincial General Manager: Sales and
Distribution for Gauteng.
How has your business been affected by the Covid-19
pandemic and what have you noticed about the businesses
that you serve?
We have been affected immensely as we could not make
our targets, but also our staff’s earning potential was
affected because they could not get to enough customers
in order to make their targets.
Two things are noticeable about businesses in the area: many
businesses could not cope with the strain imposed by the various
lockdowns and had either to close shop or retrench employees.
Some businesses lost employees who died from Covid-19.
All of this ultimately means the market potential has
decreased significantly. It remains a problem, as most
companies are not willing to hire and replace the staff they
lost to Covid-19.
What are your main offerings to customers?
We are in the long-term insurance space so we offer life cover,
funeral plans, investments and retirement annuities.
What processes are followed in supporting CSI projects?
We encourage our advisers to adopt community projects
and submit an application for which we can provide finance
of up to R20 000. They must also submit proof that they
take the time to be there physically to assist with whatever
project they are driving. We are engaged in a large number
of projects across the province. ■
GAUTENG BUSINESS 2022
14

GET REWARDED INSTANTLY FOR
IMPROVING YOUR FINANCIAL WELLNESS
LEARN
Earn Old Mutual Rewards points while
learning how to take control of your finances.
EARN
Old Mutual Rewards customers can earn a
percentage of their premiums on qualifying
products in rewards points monthly.
GET
REWARDED
Redeem your points at our over 30 amazing
partners, save toward your dreams or donate
to causes close to your heart.
Sign-up now for free. Visit oldmutualrewards.co.za or
speak to your financial adviser.
DO GREAT THINGS EVERY DAY
Old Mutual Rewards (Pty) Ltd. is a company in the Old Mutual Group. Terms, Conditions and Programme Rules apply.
ombds 02.2022 c5193

INTERVIEW
Promoting small business
Colin Francis, Operations Manager for Seda Gauteng, outlines some of the
programmes available to entrepreneurs, from business diagnostics to training.
What is the mandate of Seda Gauteng?
The Small Enterprise Development Agency (Seda) is an agency of
the Department of Small Business Development. It is mandated to
implement government’s small business strategy; design and implement
a standard and delivery network for small enterprise development and
integrate government-funded small enterprise support agencies.
Seda’s mission is to develop, support and promote small enterprises,
ensuring their growth and sustainability in coordination and partnership
with various role-players, including global partners, who make
international best practices available to local entrepreneurs.
Where are your regional branches located?
Ekurhuleni, Kempton Park; Tshwane-Pretoria CBD; Johannesburg,
Braamfontein.
Colin Francis,
Operations Manager
What are the major challenges faced by small businesses?
Access to finance and to business development services. Lack of market
opportunities, poor infrastructure, overbearing legislation and lack of
information.
What impact has Covid-19 had on small business?
Small businesses have been severely affected by Covid in that restrictions
have hampered the potential for sales. Expensive data and digital
platforms also stopped entrepreneurs from taking their businesses online.
Many small businesses did not survive the hard lockdowns.
BIOGRAPHY
After gaining a National Diploma
in Extraction Metallurgy and
Mining Technology from Technikon
Witwatersrand, Colin graduated with
a BTech from Unisa. After a spell as a
learner metallurgist at Vaal Reefs, he
worked for Columbus Stainless. He
then branched out as a small business
owner of a food company before
becoming a Senior Industrial Advisor to
the National Advisory Manufacturing
Centre. He joined Seda in 2006 and was
appointed in 2011 to his present position
as Operations Manager, Gauteng.
Has Seda run programmes to help SMMEs recover?
Seda assisted the Department of Small Business Development and
Sefa to roll out the Business Recovery Programme and the Covid
Relief Programme.
Where are the best opportunities in Gauteng?
Gauteng is the economic powerhouse of the country and the sectors
that flourish include the manufacturing, wholesale and retail, banking,
services and ICT sectors. Due to the populous nature of the province,
there are opportunities everywhere, from the numerous business parks
to the business districts and the townships
Does Seda encourage competitiveness and viability?
Seda offers a wide range of services including business diagnostics,
information dissemination and training.
Does Seda assist women and youth?
Seda assists all client on a needs basis. Seda partners with various
stakeholders to ensure that these designated groups have access to
tailormade programmes.

“We are agripreneurs,
supplying equitably
sourced and
sustainably grown
African Indigenous
ingredients, including
ancient grain and
superfoods, connecting
ethical producers with
conscious consumers”
Local Village (Gauteng)
“Together Advancing Small Enterprise Development”
Info Centre: 0860 103 703
www.seda.org.za
@Seda_dsbd
Seda.dsbd

Expansion at Ford Motor Company’s Silverton assembly plant will add 1 200 jobs to Ford’s workforce and increase
annual installed production of the Ford Ranger to 200 000 units (up from 168 000). The plant also will manufacture
Volkswagen pickup trucks as part of the Ford-VW strategic alliance. An overall country investment of R15.8-billion
includes R10.3- billion to be spent on upgrades at Silverton to increase production volumes and drive improvements in
production efficiency and vehicle quality. Credit: Ford Motor Company

KEY SECTORS
Overviews of the main economic
sectors of Gauteng
Agriculture 20
Mining 21
Energy 24
Oil and gas 25
Transport and logistics 28
Manufacturing 32
Tourism 34
Construction and property 36
ICT 39
Banking and financial services 40
Education and training 41
Development finance and SMME support 44

OVERVIEW
Agriculture
Hydroponic farms on rooftops are growing.
The Urban Agriculture Initiative is a project of Wouldn’t It Be
Cool (WIBC) and the Johannesburg Inner City Partnership.
The project aims to establish an urban agricultural
value chain in the inner-city with hydroponic farms on
rooftops as the key element. WIBC piloted the concept with
a young entrepreneur from Kagiso and implemented the first
commercial farm in the project in 2017. Grant funding from Seda
saw another 100 farms established. In Melville, Zakir Kathrada is
growing rocket, baby spinach, gem lettuce and tomatoes on the
roof of The Whippet Coffee, to whom he sells the produce. Urban
farmer Puseletso Mamogale is shown in the picture on this page.
The Fresh Produce Market in Johannesburg is South Africa’s
biggest market. The region’s other metropolitan areas, Tshwane
and Ekurhuleni, also have busy markets. The Springs Fresh Produce
Market accounts for 3% of South African market share.
Gauteng’s agricultural sector is focussed on producing
vegetables. There is commercial farming in the southern sector
of the province (part of South Africa’s maize triangle) and the
farming of cotton, groundnuts and sorghum is undertaken in
areas near Bronkhorstspruit (east) and Heidelberg (in the south).
The province is home to some of South Africa’s biggest
agricultural companies, including AFGRI. Africa’s largest feedlot
for cattle is located in Heidelberg: Karan Beef’s facility can
accommodate 120 000 cattle. The feedmill processes 1 400 tons
per day and the associated abattoir in Balfour in neighbouring
Mpumalanga sometimes deals with 1 800 head of cattle per day.
The Kanhym Agrimill in Vereeniging is one of three in the
company’s portfolio, which collectively processes 250 000 tons of
animal feed annually. Kanhym Estates is the largest producer of
pigs in the country. There are many poultry farm and production
facilities in Gauteng. Companies include Astral Foods, RCL Foods
and Daybreak Farms.
The Gauteng Industrial Development Zone (GIDZ) located
at OR Tambo International Airport has an agro-processing plant
which is intended to encourage the export of high-value goods.
The Provincial Government of Gauteng has set up Action Labs to
focus on agriculture and agro-processing with a focus on land tenure
issues and improving food security. If food producers can be linked to
ONLINE RESOURCES
Agricultural Research Council: www.arc.agric.za
South African Poultry Association: www.sapoultry.co.za
WIBC: http://wibc-w-live.azurewebsites.net/
SECTOR INSIGHT
KLL Group has bought
Tongaat Hulett’s
starch assets.
the value chain then township
economies can benefit.
In almost every aspect of the
spatial planning being carried
out by the Gauteng Provincial
Government, agriculture
and agro-processing are
key components, either of
Special Economic Zones (SEZ),
industrial parks or agri-parks.
Tongaat Hulett, best known
as a sugar producer, has sold
its starch business (with three
milling plants in southern
Gauteng) for R5.3-billion to the
KLL Group, a wholly-owned
subsidiary of Barloworld
Logistics Africa. ■
GAUTENG BUSINESS 2022
20

Mining
Tailings are proving lucrative in Gauteng.
OVERVIEW
SECTOR INSIGHT
Harmony’s purchase of
Mine Waste Solutions is
paying off.
Gauteng is home to many old mines which means that
the province has to guard against many of the aftereffects
of deep mining such as acid mine water and
subsidence. The Council for Geoscience is actively
engaged in research projects into such issues but the high prices
that gold is attracting globally means that another byproduct of
mining, tailings, has become more lucrative.
Mine Waste Solutions, a tailings retreatment operation bought
by Harmony from AngloGold Ashanti in 2020 and operated by
subsidiary Chemwes, has performed well for the group. Production of
2 057kg (66 133oz) of gold in the nine months to June 2021 reflected
high productivity at a healthy average gold price of R729 882/kg.
Harmony Gold’s acquisition strategy, including the purchase from
AngloGold of Moab Khotsong, will result in it being the country’s
biggest gold producer. With 350 000 new ounces coming from
Mponeng, it could produce an annual total of 1.7-million ounces.
A new company, Shallow Reefs Gold, has been created to pursue
projects in the shallow reefs of the Witwatersrand Gold Basin. The
company believes that the grade of the deposits makes for a good
economic proposition, especially as the infrastructure required for
shallow mining is much cheaper than for the deep mining that has
characterised the sector in the past.
Cullinan diamond mine is engaged in an expansion programme called
the C-Cut Phase 1 project. Cullinan is famous for its rare blue diamonds.
The University of Witwatersrand started life as the South African School
of Mines. The School of Mining Engineering at Wits is the highest-ranked
school at the university in terms of the QS World University Rankings.
ONLINE RESOURCES
Council for Geoscience: www.geoscience.org.za
Minerals Council South Africa: www.mineralscouncil.org.za
National Department of Mineral Resources: www.dmr.gov.za
Credit: Harmony
Gauteng is home to most of
the research and training bodies
associated with mining. Sibanye-
Stillwater supports the Wits
Mining Institute’s Digital Mining
Laboratory (Digimine). AECI,
the explosives and chemicals
company, sponsors the Virtual
Reality Mine Design Centre at
the University of Pretoria.
The Mandela Mining Precinct
is a joint venture between three
government departments and
the Minerals Council South Africa
which aims to develop research
into mining and showcase the
country’s manufacturing abilities.
Mintek is an autonomous
body based in Randburg which
receives about 30% of its budget
from the Department of Mineral
Resources. The balance comes
from joint ventures with private
sector partners, or is earned
in research and development
income, the sale of services or
products and from technology
licensing agreements.
Pretoria University has a
Department of Mining Engineering,
the University of South Africa offers
three national diplomas in minerelated
fields, the University of
Johannesburg has mine-surveying
courses and the Vaal and Tshwane
Universities of Technology have
engineering faculties. ■
21
GAUTENG BUSINESS 2022

INTERVIEW
Cullinan Diamond Mine
produces rare and
exceptional “specials”
The General Manager of the Cullinan Diamond Mine, Jaison Rajan, explains how
infrastructure investment is extending the life of one of the world’s great mines.
Why is Cullinan Diamond Mine often referred to as an
“iconic” diamond mine?
Cullinan Diamond Mine has earned its status as a result of
it being probably the world’s most consistent supplier of
exceptional stones. One of the first, and arguably the bestknown,
was the Cullinan Diamond found at the mine in 1905.
This stone, at 3 106ct, is still the largest diamond ever found,
and jewels cut from it adorn the Royal Crown and Sceptre of
the United Kingdom.
Jaison Rajan, General Manager
BIOGRAPHY
Jaison Rajan is a mining engineer with
post-graduate Master’s qualifications
in both mineral economics and
business administration. He has
over 20 years industry experience,
having worked in various mineral
commodities including heavy
minerals, manganese, coal and
diamonds. He is an accredited
Professional Engineer with a Mine
Manager’s certificate of competency
(South Africa).
Are there are other stones from the mine that could lay
similar claims?
Indeed! Cullinan Diamond Mine is also the source of most of the
gem-quality Type II blue diamonds recovered and put to market.
These diamonds are extremely rare, which is vouched for by the
high prices per carat achieved when they are presented to the
market. A recently recovered 39.34ct Type IIb blue stone sold for
more than $40-million, which was the highest price that Petra
has achieved for a single stone. Apart from this stone, there have
been quite a number of other “specials”, both blue and white
stones of exceptional quality with regards to both colour and
clarity, many of which had been recovered by Petra since it took
ownership of the mine in 2008. This includes the Blue Moon of
Josephine, the Cullinan Dream and the Letlapa Tala Collection.
It was already an old mine when Petra took over; how much
life is left in it, and what is Petra doing to ensure its future?
The mine is still an exceptional resource with prospects of a
long life into the future. From what we currently know, the
resource still has a potential life upwards of 50 years, subject
to market and economic conditions. Realising the value and
potential, Petra embarked on an intensive capital investment
programme soon after acquiring it, including the further
development of underground resources (the so-called
“C-Cut”) and replacement of the old processing plant with a
new, cutting-edge treatment facility that will serve the mine
well into the future.
GAUTENG BUSINESS 2022
22

How does the mine’s location within a
metropole affect your planning?
It is a rather unique situation and does impact
on our approach. We accept and believe that the
operations of any mine, including ours, should
first and foremost benefit its most immediate
stakeholders, which are the communities in
which we operate. Giving effect to this has
many facets, which includes ensuring that we
recruit locally, providing local households with
a stable income, focussing on procurement of
local supply to boost local business, especially
SMMEs, while contributing to their development,
social investment programmes that are aimed
at effectively addressing the needs of our
communities and more. Our core operations
also have impacts on the community, such as
environmental impacts (the potential of dust,
noise and vibration) as well as the naturally
occurring scaling of the pit. All of these are
closely monitored, mitigating actions are taken
and we maintain open communication with the
community around these issues.
Apart from the mine, the town of Cullinan is also
somewhat of a tourism destination. What is the
mine’s involvement in that?
Cullinan is indeed a little town with a colourful
history, much of which relates to the mine, and
it is rightly a tourist favourite. From Cullinan
Diamond Mine’s side, we believe that tourism will
become an increasingly important contributor
to the local economy and we are therefore
supporting the private tourism industry in
various ways, not least of which is by being the
only underground mine allowing underground
tours as part of its tourism offering. This support
further extends to financial and promotional
contributions, and we are excited to see the
effect that these initiatives are having on the
growth of tourism in the town.
The Covid-19 pandemic has had a profound
impact on everything we do. How did it impact
Cullinan Diamond Mine?
When the news broke, Petra proactively put
controls in place to implement a Mandatory
Code of Practice for the prevention, mitigation
and management of Covid-19. This included
various controls for screening, social distancing,
sanitising and wearing of masks, which allowed
us to continue our operations at sustainable
levels soon after the initial lockdown. Realising
the impact of the pandemic on our communities,
much of our focus also went into distress relief
within our communities, in conjunction with
partners such as the City of Tshwane, through
the employee-funded Petra Hardship Fund
that contributed foodstuffs and other relief
materials. This included the distribution of
more than 700 food hampers and 500 cloth
masks to the community, assistance to health
workers, schools and the Tshwane Metro Police
with supplies such as surgical masks, sanitiser,
disinfectant and sterile gloves, all to the value of
more than R500 000. ■
23
GAUTENG BUSINESS 2022

OVERVIEW
Energy
Hydrogen fuel cells are attracting interest.
A
locally-developed stationary hydrogen fuel cell is the
subject of a test at the refinery of Impala Platinum
in Springs, east of Johannesburg. Engineering News
reported in 2021 that the first signs are positive.
Implats has donated 16ha for the project and is invested in
AP Ventures, a London-based company that invests
in companies that use platinum group metals to
promote the fight against climate change.
Gold Fields is on course to build a 40MW solar power
plant at its South Deep mine west of Johannesburg.
Harmony, which has several mines in Gauteng, is already
operating a 30MW solar plant in the neighbouring Free
State province.
Areas in the Gauteng province that can no longer
rely on the mining industry to drive their economies may
become focus zones for solar PV projects. Renewable
Energy Development Zones (REDZs) have been allocated
in other provinces but the potential for REDZs in Gauteng
is huge, because vast amounts of energy needed to drive
the country’s biggest economy.
These zones would be developed in line with the national
Integrated Resource Plan (IRP 2019) which the Gauteng Provincial
Government is hoping will enable it to unlock several renewable
energy projects. Other projects include promoting gas usage,
the development of hydrogen fuel-cell technology and the
recommissioning of power stations.
In Johannesburg, the Northern Wastewater Treatment Works
has its own electricity source in a 1.1MW biogas plant. It produces
electricity using cogeneration, which is combined heat and power.
A landfill site at Robinson Deep in Johannesburg has started
generating 3MW of gas. This is the first of five renewable energy
projects that Energy Systems SA has in Johannesburg. At the
Cavalier abattoir in Cullinan, biowaste conversion company
ibert provides about a quarter of the power that the abattoir
needs to function.
Absa Bank has followed up on its decision to take its central
Johannesburg campus off the national grid. Investments in
a 6 000-panel rooftop solar system (which cost R10-million),
ONLINE RESOURCES
National Energy Regulator of South Africa: www.nersa.org.za
South African National Energy Development Institute: www.sanedi.org.za
South African Photovoltaic Industry Association: www.sapvia.co.za
SECTOR INSIGHT
Ford Motor Company has a
plan to go off grid.
A 100kw natural gas baseload fuel cell powers the offices
of Minerals Council SA in Johannesburg.
Credit: MineralsCouncil SA
the synchronisation of gas
and diesel generators and
sophisticated water and
underfloor heating systems
have all contributed to massive
energy savings.
The rooftop solar installation
at Absa’s Pretoria office provides
17% of its electricity needs
and the bank intends rolling
out solar solutions for another
five offices soon in addition to
investigating battery solutions
in pursuit of what it calls “net
zero offices”.
Ford is spending R135-million
on building a solar carport at its
Silverton plant that will produce
13.5MW. The project is part of a
bigger project to take the whole
plant off the grid, Project Blue Oval.
Ford is working with Uhuru Africa,
a joint venture between Uhuru
Energy and SolarAfrica Energy. ■
GAUTENG BUSINESS 2022
24

OVERVIEW
Oil and gas
An international investor is supporting a new LPG cylinder plant.
SECTOR INSIGHT
Glass manufacturer
Consol has signed a
new gas contract.
Credit: BHIT
A
new liquefied petroleum gas cylinder manufacturing
plant has attracted funding from J Sassoon
Group. Bluedrop Energy will build its LGP plant in
Johannesburg with technical assistance from an Israeli
company and Fluor. Bluedrop will also be an LPG wholesalerand
composite LPG cylinder manufacturer in Africa. The R300-million
committed by Sassoon to the Gauteng project is part of a much
bigger commitment the investment firm is making to invest
in South Africa more generally: a figure of $50-billion over five
years has been mooted.
Glass manufacturer Consol, which has three plants in Gauteng,
has signed a contract to buy liquid natural gas (LNG) from Renergen,
the company that is developing a significant field in the neighbouring
province of the Free State. Bespoke depots will be developed to cater
to industrial clients such as Consol.
Renergen is taking orders for its product from logistics companies
such as Bulk Hauliers International Transport (BHIT) for 50 of its trucks
(pictured), which should lead to lower operating and maintenance
costs. South African Breweries is another client.
Delta Natural Gas (DNG) Energy announced in 2019 the rollout of
400 natural gas refuelling sites across South Africa with a focus on the taxi
and logistics sectors. The first sites will be Johannesburg and Tshwane.
The Provincial Government of Gauteng has announced that it
wants to take “decisive steps” to increase the availability and use of gas.
NGV Gas, a subsidiary of CNG Holdings, is promoting compressed
natural gas (CNG) as a versatile alternative across all sectors. Another
subsidiary, CNG Technology, supplies equipment for filling stations
and distributors, converts petrol and diesel-powered vehicles
ONLINE RESOURCES
National Energy Regulator of South Africa: www.nersa.org.za
South African Oil & Gas Alliance: www.saoga.org.za
South African Petroleum Industry Association: www.sapia.co.za
and advises companies on
conversions.
The major economic sectors
using gas are the metals sector
and the chemical, pulp and
paper sector. Brick and glass
manufacturers are also big
consumers. National policy is
driving a switch to the use of gas.
A national Gas Utilisation Master
Plan (GUMP) is being developed.
The country’s biggest
supplier of industrial heating
fluids, FFS Refiners, supplies
this product out of a plant
at Chloorkop while the
company’s Evander site is
responsible for heavy fuel oils.
Evander also has a tank with
installed capacity of 8 500m³.
Egoli Gas has a pipeline
network that extends over
1 200km in and around
Johannesburg and the company
has 7 500 domestic, industrial
and commercial customers. The
company that owns Egoli Gas,
Reatile, has a 30% stake in Vopak
and a stake in CNG Holdings.
The regulator and promoter
of oil and gas exploration
in South Africa, Petroleum
Agency South Africa, has
awarded coalbed methane gas
and natural gas rights in the
provinces on Gauteng’s border,
Free State and KwaZulu-Natal. ■
25
GAUTENG BUSINESS 2022

FOCUS
Gas can boost the national
economy and start the country
on the path to zero emissions
Dr Phindile Masangane, the CEO of Petroleum Agency
South Africa, notes that recent gas discoveries could
support the country’s economic recovery and its
transition to a clean energy future.
Today the biggest threat to humanity is
climate change, and the biggest threat to
SA’s social stability is the high unemployment
rate.
As the global economy recovers from the
devastating effects of Covid-19, demand for oil and
gas has gone up significantly. If there was ever a
need for proof that oil and gas still drive the global
economy, recent statistics demonstrate the trend.
The world’s developed economies industrialised on
the back of oil and gas production and use. Now, just as
Africa is on the cusp of being a significant gas producer
and is making plans to use such gas for power
generation, industrialisation and economic growth,
the negative effects of greenhouse gas emissions on
the environment have become undeniable.
The urgency for action to mitigate the risk of
climate change is no longer debatable. Between
1990 and 2018 the top five emitters have
produced more than 50% of greenhouse gas
emissions. During the same period SA contributed
1% to global emissions. This is by no measure
insignificant, and as a responsible global citizen SA
must take steps to reduce its carbon footprint.
The UN Framework Convention on Climate
Change was established in 1992 to coordinate the
global response to mitigate the threat of climate
change, and specifically to get countries to commit
to policies and plans that will ensure that the
average global temperature rise is kept less than
1.5°C above pre-industrial levels.
The International Energy Agency (IEA) proposes
that to achieve this goal the world’s energy sector must
reach net zero emissions by 2050. In its global energy
net zero 2050 pathway the IEA acknowledges that
there is no single pathway to this goal, as developed
and developing countries face different socioeconomic
challenges and have contributed disproportionately to
greenhouse gas emissions to date.
What a number of environmental interest
groups seem to be ignoring in the IEA “Net Zero
by 2050” report is the acknowledgment that there
will be a differentiated approach to a clean energy
future, taking into consideration the cost of the
new clean energy technologies and the economic
consequences of transitioning for each country. The
IEA emphasises that each country must develop its
own pathway to a net zero emission future.
South Africa’s economy has been
predominantly powered by coal, which is also a
significant contributor to the country’s economy in
terms of GDP as well as employment.
In addition to coal, SA imports oil, gas and
petroleum products for its energy needs as the
upstream petroleum industry is still at a nascent
stage. The two recent world-class offshore gas
GAUTENG BUSINESS 2022
26

"
"
Mafikeng
"
"
"
"
"
"
Molteno
"
Klerksdorp
"
"
Welkom
"
Virginia
"
"
Aliwal North
"
"
Queenstown
"
"
"
Kroonstad
"
"
Indwe
"
" Maseru
"
"
"
" Lephalale
"
"
"
Elliot
"
"
"
Maclear "
Modimolle
"
Bela-Bela
"
"
Bethlehem
"
Frankfort
"
"
"
Evander
Umtata
"
Mokopane
"
"
"
"
Witbank
"
"
Secunda
Standerton
"
Harrismith
"
Polokwane
"
"
"
Tshipise
"
"
Makhado
"
"
Ermelo
Volksrust "
"
" Newcastle
Estcourt
"
"
Musina
"
Dannhauser
"
Utrecht
"
Pietermaritzburg
"
"
Vryheid
"
Port Shepstone
"
"
"
Phalaborwa
"
Mbabane
"
Pafuri
Nongoma
"
"
"
Richards Bay
St. Lucia
"
FOCUS
Renergen is currently the only onshore petroleum production
rights holder in South Africa. The company’s Virginia Gas
Project in the Free State is ramping up to phase two, based on
one of the richest helium concentrations in the world.
discoveries in the Outeniqua basin are the biggest
petroleum discoveries made in South Africa.
The development of these discoveries has the
potential to replace more than 2 300MW of dieselfired
electricity generation, thereby reducing the
carbon emissions by more than 50% while eliminating
sulphur oxide and nitrogen oxide emissions. Gas is
therefore an obvious bridge to a lower carbon future.
The Petroleum Agency SA awaits the licensee
of these gas discoveries submitting its production
right and environmental authorisation applications
when the exploration right expires, or earlier. The
agency expects the licensee to use world-class
technologies and standards to minimise the effects
of the gas and gas condensate production on the
environment, while maximising the in-country
benefit or local content from this development to
support SA’s economic recovery.
These discoveries could indeed support both
the country’s economic recovery and its transition
to a clean energy future.
Shale and biogenic gas prospects
Onshore exploration opportunities are represented
by unconventional resources such as shale gas in
the south-central Karoo, coalbed methane in the
coalfields of the east and northern sectors of the
country and biogenic gas in the Virginia and Evander
regions. However, geological analysis is showing
that there may well be significant potential for
conventional oil and gas resources onshore.
South Africa has a history of political stability
and the new UPRD bill [Upstream Petroleum
Resources Development Bill] will assist the
Agency in expediting exploration through close
management of acreage allocation and work
programmes. These positive factors create a
conducive environment for PASA to pursue
its mandate of attracting investment into the
upstream petroleum industry.
The draft bill provides greater policy certainty
and a stable environment for investment in
the South African oil and gas sector. It provides
security of tenure by combining the rights for the
exploration, development and production phase
under one permit.
As far as the issuing of exploration rights over
the last 18 months is concerned, a total of 21
exploration rights for both onshore and offshore
were issued during this period, including renewals
and new exploration rights.
As of December 2020, there is no longer a
moratorium on applications for rights onshore,
other than those for shale gas in a specified
area covering the central Karoo. Other onshore
applications continue to be received and processed
in terms of the MPRDA. The moratorium for shale
gas rights and new offshore applications remains
in place and is expected to be lifted with the
enactment of the hydraulic fracturing regulations
(for environmental management and water use)
for the shale gas extraction technologies. ■
Locality
Coal Field
SOUTH
Gas discovery
Provincial boundary
Karoo Basins
AFRICA
North West
Free State
Bloemfontein
LEPHALALE
BASIN
Waterberg
Free State
MAIN KAROO BASIN
Pretoria
Johannesburg
Gauteng
Lesotho
TULI BASIN
Mopane
Limpopo
SPRINGBOK FLATS BASIN
Witbank
Highveld
Tuli
Tshipise
TSHIPISE BASIN
Springbok Flats
Ermelo
Utrecht
Klip Rivier
Pafuri
KwaZulu-Natal
Mpumalanga
Kangwane
Swaziland
Vryheid
Nongoma
Somkele
Durban
Northern Cape
Eastern Cape
Molteno
Figure 32. Distribution of coal fields in the Karoo-aged basins in South Africa (digital geological data sourced from Council for Geoscience)
34

OVERVIEW
Transport and logistics
Roads and infrastructure spending is set to increase
across the province.
SECTOR INSIGHT
DHL Forwarding has invested
in new capacity.
The infrastructure associated with large housing estates such as Steyn City
is substantial, as are the roads that surround and serve the developments.
Credit: Steyn City
The Gauteng Department of Roads and Transport has a
pipeline of 67 projects with a combined value of R23-billion.
Of these projects, 13 – valued at R6.6-billion – are private
sector initiatives and the various road, construction and design
projects are expected to be implemented over the decade to 2031.
Among the private companies that will be involved in projects
are property companies Attacq Waterfall Investment, Steyn City and
Century Properties and mining company Cullinan.
A feasibility study is underway to examine extending the
Gauteng Rapid Rail Integrated Network. The current network has
10 stations spread over 80km and the extension would add 146km
and 19 new stations.
The estimated R2-billion that was due to be spent on adding to the
Gautrain’s rolling stock has been put on hold because of Covid-19. The
long-term plans to expand the Gautrain network are still on course.
Transnet Rail Engineering (TRE) has a major presence in
Gauteng and the metropolitan lines that ferry commuters are run
by the Passenger Rail Agency (PRASA). The Wits Metrorail system
serves Johannesburg and its surrounds. Park Station, in the north of
the central business district, is the largest station in Africa and acts
as the metropolitan hub.
DHL Global Forwarding has spent R126.5-million on a new
facility in the Skyparks Business Estate, located next to OR Tambo
International Airport. The
new floorspace of 13 000m²
(most of which is warehouse
space) doubles the company’s
current footprint.
A total of 82% of South
Africa’s air cargo is transported
through OR Tambo International
Airport and Gauteng has several
cargo and freight handling
facilities well-equipped to deal
with rail and road deliveries and
despatches.
A specific goal of the
Provincial Government of
Gauteng is to make the Transnet
Tambo-Springs Logistics
Gateway the biggest inland
logistics hub and dry port in
Africa by 2030.
The Tambo-Springs Gateway
near Katlehong is an intermodal
facility which can transfer
containers from rail or road to
storage facilities and ultimately
to the customer. Existing freight
rail lines run through the site
and link it to the seaports of
Durban, Cape Town and Ngqura
(Port Elizabeth). The aim with
this new facility is to improve
efficiency. It is run by the
Tambo Springs Development
Company. The intention is to
add to the port:
GAUTENG BUSINESS 2022
28

OVERVIEW
• a logistics park (transportation, processing, manufacture,
warehousing and distribution)
• a business park with a retail element
• a residential component
• an agro-industrial section.
The Provincial Government of Gauteng is stressing the
importance of digital competence (“smart mobility”) in the
transport sector as ever-more complex transactions take place
across international borders. This will only grow as the effect of the
African Continental Free Trade Area (AfCTA), signed in 2019, comes
into effect, allowing for greater and freer trade across the continent.
The health of the transport and logistics networks of the province
is key to any economic growth plans. The provincial government
has identified logistics hubs, the road network, intermodal facilities,
rolling stock, and buses and taxis as key components of the drive to
transform, modernise and reindustrialise the regional economy.
Road infrastructure projects are intended to bring in other major
investments and connect new economic nodes such as the Tambo
Springs Logistics Gateway, the planned new megacities (Vaal River
City and Lanseria) and the new Special Economic Zones with
current economic nodes and existing townships. In the short term,
18 major roads will be rehabilitated, upgraded and constructed,
especially in Sedibeng and the West Rand.
The OR Tambo International Airport Special Economic
Zone (ORTIA SEZ) has diversified beyond the existing Jewellery
Manufacturing Precinct in the shape of a R400-million agroprocessing
plant.
The concept of an aerotropolis is for the airport to become a
hub of economic activity in the same way that cities anchor various
economic sectors that grow up around the centre.
Airports
OR Tambo International Airport caters for more than 20-million
passengers every year.
Lanseria Airport has grown in importance with kulula, FlySafair
and Mango using the airport located to the north of Johannesburg.
ONLINE RESOURCES
Airports Company South Africa: www.acsa.co.za
Road Freight Association of South Africa: www.rfa.co.za
South African Association of Freight Forwarders: saaff.org.za
South African National Roads Agency: www.sanral.co.za
Credit: DHL Global Forwarding
It is a convenient landing point
for travellers bound for regional
centres like Rustenburg in the
North West.
Four airlines continued to
offer flights during the Covid-19
lockdown: FlySafair, Airlink,
Cemair and Mango. Three
airlines went into business
rescue: SAA, SA Express and
Comair (which is a British
Airways franchisee and runs the
low-cost kulula brand).
Gauteng has several smaller
airports that host mostly
commercial aircraft:
• Rand Airport in Germiston
• Grand Central Airport in
Midrand
• Wonderboom Airport in
Pretoria North
• Waterkloof Air Force base,
south of Pretoria.
The Commercial Aviation
Manufacturing Association
South Africa (CAMASA) reports
that 50 companies are active in
the sector, employing more than
3 000 people in highly skilled
jobs. Almost all the activity is
around Johannesburg and Cape
Town and the sector (which
encompasses aero-structures
and systems, manufacturing,
design and engineering) is
responsible for R3-billion in
exports every year. ■
29 GAUTENG BUSINESS 2022

Automotive Aftermarket Business
Support Scheme
Overview
The automotive aftermarket business support scheme supports and develops small and independent
automotive aftermarket enterprises, including informal businesses located in townships and villages.
The scheme was developed in response to the increased demand for services from the motor industry,
insurance companies and uninsured vehicle owners, and has a bias towards businesses located in
townships and rural areas.
Objectives
The objectives of the scheme are to:
• Support motor body repairers (panel beaters) to operate accredited small or independent panel beating
(motor body repairs) businesses
• Support motor and other mechanics to operate authorised service centres
• Support small and independent auto-spares shops to operate profitable spare parts centres
• Support the formalisation of informal automotive entrepreneurs into formal fitment centres.
Support Support
Financial Financial support support
• Maximum • Maximum of R500 of R500 000 000 (R400 (R400 000 000 equipment equipment and and R100 R100 000 000 working working capital) capital) for motor for motor body body
repairers, repairers, mechanics, mechanics, and and auto auto spares spares shops shops and and auto auto fitment fitment centres centres
• The • The R500 R500 000 000 will will be provided be provided by the by commercial the commercial banks banks with with a guarantee a guarantee from from sefa. sefa. Non-financial Non-financial
support support
• Diagnostic • Diagnostic assessment assessment of the of business the business (this (this will will inform inform the interventions the interventions to be to completed) be completed)
Among Among others others these these may may include: include:
• Automotive • Automotive workshop workshop service service management management training training and and support. support.
• Business • Business management management support support and and mentorship mentorship through through the Unemployed the Unemployed Graduate Graduate Scheme, Scheme, or or
SEDA SEDA Business Business Advisors Advisors and/ and/ or services or services of business of business professionals professionals
• Facilitate • Facilitate access access to market to market in both in both the private the private and and public public sectors, sectors, for vehicles for vehicles to be to serviced be serviced at at
participating participating service/ service/ motor motor body body repair/ repair/ fitment fitment centres centres

Qualifying criteria
Every application will be assessed in terms of the following criteria:
• Must register on the National SMME database at https://smmesa.gov.za/
• Must be an informal or micro-business or cooperative
• Registered as a legal entity with the Companies and Intellectual Property Commission and South
African Revenue Service
• 100% South African ownership
• 70% of employees must be South African
• Valid South African identity documents
• Minimum trading period (six months)
• Must have a valid business bank account (including newly opened)
• Willing to participate in the revolving credit facility as organised by the Department of Small Business
Development or any of its agencies through a participating bank
• Must be operating in a township or village
• The business operating premise (including the home premise) must hold or be willing to be assisted to
acquire an Occupational Health and Safety Act compliance certificate
Who can apply?
All auto mechanics, such as motor mechanics, heavy equipment mechanics, tractor, and forklift
mechanics, as well as diesel fitters, panel beaters, glaziers, tyre and glass fitment centres, auto spares
shops.
Application process
How to apply:
1. Complete the Automotive Aftermarkets Support online application form
2. Complete all the mandatory fields
3. Upload the required supporting documents
4. Submit your application online to trep@sefa.org.za
To find out more about the scheme and contact details to Seda Branches visit www.sefa.org.za \
www.seda.org.za
You can also contact Seda Information Centre at: Tel: 0860 103 703 or Email: info@seda.org.za

OVERVIEW
Manufacturing
Corobrik’s new factory started producing product in 2021.
SECTOR INSIGHT
Several Metair subsidiaries will
benefit from Ford’s expansion.
Ford’s expansion project at Silverton will create jobs along the value
chain. Credit: Ford Motor Company
A
new factory in Carltonville produced its first bricks in
2021. The R800-million Corobrik Kwastina factory has
reduced costs in the manufacturing process by 50%
and consumes 70% less gas than previous methods.
At full capacity, Kwastina will be able to produce 100-million
bricks per year.
Manufacturing contributes 14% to Gauteng’s real economy
output and provides 40% of South Africa’s manufacturing overall.
Manufacturing related to the mining industry, historically the
lynchpin of the Gauteng economy, is still important.
Employer organisations like the Manufacturing Circle and
government at national and provincial levels are engaging in
initiatives to grow the sector, including incentives such as the
Manufacturing and Competitiveness Enhancement Programme
(MCEP) of the Department of Trade, Industry and Competition (dtic).
Sectors that have received support include plastics,
pharmaceuticals, chemicals, metal fabrication, transport equipment
and agri-processing. The Support Programme for Industrial
Innovation (SPII), run by the Industrial Development Corporation
(IDC) on behalf of the dtic, promotes technology development.
Original equipment manufacturer Ford announced a $1-billion
investment in South Africa in 2021. Expanded production (to
installed capacity of 200 000 units) at the company’s Gauteng plant
will create 1 200 direct jobs and
a further 10 000 jobs along the
supply chain.
In response to Ford’s
investment, auto component
and battery manufacturer
Metair will establish a new
logistics facility at Silverton.
Several Metair subsidiaries,
including Hesto Harnesses,
Unitrade, Automould and
Lumotech, have signed
agreements to supply Ford with
a wide range of products.
All of Gauteng’s large
automobile manufacturers are
investing in new model production.
Nissan is spending R3-billion on
production of the Navara pick-up
vehicle. Other major investments
include R6.1-billion by BMW at
Rosslyn and R260-million by
BMW on an expanded campus at
Midrand. UD Trucks, a part of the
Volvo group, will assemble the
Croner heavy commercial vehicle
at Rosslyn.
Gauteng is also home
to a strong automotive
components industry, together
with several bus and truck
assembly plants. These include
Scania, TFM Industries and
MAN Truck and Bus South
Africa, as well as the Chinese
GAUTENG BUSINESS 2022
32

OVERVIEW
truck manufacturer FAW, which owns an assembly plant in Isando.
Beijing Automotive Works (BAW) assembles taxis at Springs.
Armoured cars are produced by the Paramount Group. DCD
Protected Mobility manufactures armoured cars in Boksburg, which
are branded as Vehicle Mounted Mine Detectors. In nearby Benoni,
BAE Systems OMC designs and manufactures protected vehicles.
The Eastern Corridor of Gauteng, centred on the metropole
of Ekurhuleni, is consolidating its position in manufacturing by
leveraging the advantages of hosting the OR Tambo International
Airport and related Special Economic Zones and industrial parks.
Ekurhuleni Metropolitan Municipality has the greatest
concentration of manufacturing enterprises, especially between
Wadeville and Alrode, south-west of Alberton. Germiston is the
country’s biggest rail junction and Transnet Engineering has invested
hundreds of millions of rands in new equipment at its facility there.
Aeroton is the site of SEW-EURODRIVE’s new head office and
factory which will bring under one roof several of the company’s
activities which were previously in different parts of the country.
The R200-million development is about three times larger than the
existing head office premises, located in the same suburb.
The Provincial Government of Gauteng plans to bolster
manufacturing capacity in the province’s western areas. The
priorities are mining and mineral beneficiation, capital equipment
and machinery, agriculture and agro-processing, tourism, retail and
economic development in townships.
Packaging company Nampak has metals, plastic, paper and
glass operations at various locations. It is the market leader in
beverage cans. The country’s biggest glass producer, Consol Glass,
has facilities in Clayville, Wadeville and Nigel.
Household products manufacturer Unilever represents
an example of the lighter industrial capacity of the East Rand.
Kellogg’s, Kimberly-Clark South Africa and Procter & Gamble all have
significant manufacturing capacity in the area. Corrugated paper
manufacturer Corruseal has purchased the Enstra Mill in Springs
from Sappi, giving it greater control of production.
The southern portion of Gauteng around Vanderbijlpark and
Vereeniging is synonymous with steel production. Flat iron is made at the
ArcelorMittal plant. Scaw Metals has a chain-making factory in Vereeniging.
There are 35 aluminium processing firms in Gauteng, involved in
both secondary processing to produce foils, cans, bars, rods and sheets,
with final fabrication in the form of die-casting and sheet metal work.
Within Gauteng, the automotive and packaging industries are the chief
consumers of these products.
ONLINE RESOURCES
Centre for Advanced Manufacturing: www.cfam.co.za
Chemical and Allied Industries’ Association: www.caia.co.za
Gauteng Department of Economic Development: www.ecodev.gpg.gov.za
Manufacturing Circle: www.manufacturingcircle.co.za
Credit: Corobrik
AECI is a large manufacturing
company with its roots in the
mining industry. It comprises two
principal divisions: AEL Mining
Services (with a large factory
site at Modderfontein south of
Johannesburg) and Chemical
Services, which presides over 20
separate companies (including
Senmin, the group’s mining
chemicals company).
More than half of the
companies operating in
the food and beverage
sector in South Africa are in
Gauteng, including Nestlé,
Tiger Brands, Pioneer Foods,
RCL, AVI and Astral. There are
approximately 4 000 food
processing companies in the
province, employing more
than 100 000 people.
Although there are more
than 200 pharmaceutical
firms in the country, large
companies dominate the field,
with Aspen Pharmacare (34%)
and Adcock Ingram (25%)
the two key players, followed
by Sanofi, Pharmaplan and
Cipla Medpro. Among the
other big international brands
active in Gauteng are Merck,
which has a 55 000m² plant
at Modderfontein, and Pfizer
SA, which runs a laboratory in
Sandton among its facilities in
South Africa. ■
33 GAUTENG BUSINESS 2022

OVERVIEW
Tourism
Airlink has teamed up with successful international carriers.
SECTOR INSIGHT
Growing Gauteng Together
(GGT2030) plans to boost
the tourism sector.
Airlink, which ended its franchise agreement after SAA went
into business rescue, has signed deals with Qatar Airways,
Emirates and United Airlines, giving travellers on those successful
international carriers easy access to a wide range of
Southern African destinations and St Helena.
Single-ticket arrangements and one-stop baggage check-ins
will facilitate easier travel in a difficult time. Airlink also has a service
that connects travellers with certain game lodges. Airlink boasts an
on-time performance consistently better than 95%.
When the Marriott International hotel group closed three of
its South African hotels during the Covid-19 lockdown, Tsogo Sun
Hotels, which owns a controlling stake in all three hotels, stepped
up its commitment by agreeing to bring them into its portfolio,
keep them open and run them.
One of these hotels is the The Mount Grace in the Magaliesberg
which was developed by the Brand family and was the sister
hotel to The Grace in Rosebank. Tsogo bought and restored The
Grace and it currently operates as 54 on Bath. The Tsogo group
believes that demand for conferencing, weddings and shorter
family getaways will grow and that The Mount Grace, with its close
proximity to Johannesburg, is in a good position to respond to
those markets.
Tsogo Sun Holdings has split its casino and hotel operations to
unlock value in the two sectors. With a market cap of R25-billion,
Tsogo is the country’s biggest hotel group. It has 36 hotels and
three casinos in Gauteng. The hotel brands cover four market
segments, and they include a handful of stand-alone hotels such as
the Palazzo (at Montecasino) and the boutique hotel in Rosebank.
ONLINE RESOURCES
Cradle of Humankind: www.maropeng.co.za
Gauteng Tourism Authority: www.gauteng.net
Johannesburg Tourism Company: www.joburgtourism.com
SunSquare, Southern Sun
Hotels, Southern Sun Resorts,
Garden Court and StayEasy are
among the group’s brands.
Marriott International has
retained most of its properties.
In partnership with the Amdec
Group, Marriott spent about
R1-billion on the Marriott
Hotel Melrose Arch and
Marriott Executive Apartments
Johannesburg Melrose Arch.
Buying into Protea Hotels has
also given Marriott access to
other African countries.
Although all projections
about the tourism sector and its
potential for growth and for job
creation were short-circuited
by the Covid-19 pandemic, the
fact remains that the sector can
grow quickly and it is a good
job creator.
Growing Gauteng Together
(GGT2030) is a plan of action
formulated by the Gauteng
Provincial Government
which intends to transform,
modernise and industrialise
the provincial economy. The
expansion of the tourism
sector is seen as one of the key
methods of achieving those
goals. This was emphasised
when the 2020 State of the
Province Address included
Tourism and Hospitality as one
of 10 “high-growth” sectors. ■
GAUTENG BUSINESS 2022
34

Cullinan South Africa
Cullinan is a small town in the Gauteng province of South Africa. It is
located 30 km (19 mi) east of the city of Pretoria along the diamond
route.
Cullinan earned its place in history with the discovery of the Cullinan
diamond in 1905, the largest rough gem diamond ever found at 3,106
carats. The Cullinan Diamond Mine is also renowned as a source of large,
high­quality gem diamonds, including Type II stones, as well as being the
world’s most important source of very rare blue diamonds.
Visit Cullinan by booking a tour through the following touring
operators:
Premier Diamond Tours: pdtours@iafrica.com
Cullinan Tours: www.cullinan­tours.co.za
Fundani Tourism: peterson@fundanitours.co.za
Cullinan Tourism & History CC: info@cullinantourismandhistory.co.za
Coordinates: 25°40ʹ22ʺS 28°31ʹ15ʺE
Visit Cullinan
www.petradiamonds.com
35 GAUTENG BUSINESS 2022

OVERVIEW
Construction and property
Logistics is a growth sector for property companies.
SECTOR INSIGHT
A light-frame steel hospital
has been constructed.
Fortress REIT took a big step in 2021 towards establishing its
Eastport Logistics Park as a significant logistics hub with the
signing of an agreement with Pick n Pay to jointly develop the
park which is located near to OR Tambo International Airport
on the busy R21 highway.
Once subdivisions and land transfers have been completed, the
supermarket chain will own 60% of the 36ha site while Fortress will
fund the expansion of facilities that will take place on the site over
time. This partnership with Pick n Pay is another step in Fortress
Logistics’ strategy of developing and owning two-thirds of its
portfolio in logistics. The park is due to be completed in 2023.
Logistics, often taken for granted in normal times, became an
even more important component of the supply chain during the
global lockdown and in the months that followed, with the second
half of 2021 characterised by blockages and delays.
Hammanskraal is the site of the construction of South Africa’s
first light-frame steel hospital. The need for speed in construction
of health facilities in the face of the Covid-19 outbreak made
the method adopted perfect for the purpose. Two companies
cooperated on the project (pictured), Concor Construction and
Futurecon. The thermal efficiency of the walls will help to reduce
the cost of maintaining the building.
An innovative scheme to build a new township in Gauteng
is backed by a retirement fund. The Transport Sector Retirement
Fund is building an integrated settlement in the Sedibeng District
Municipality south of Johannesburg. The R2.7-billion development
includes a shopping centre and will include a mix of housing types.
A large housing project south-east of Tshwane has been
designated a Strategic Integrated Project (SIP) which means that all of
the external bulk services will be
supplied by the Department of
Public Works and Infrastructure.
Balwin Properties will develop
the residential component of
Mooikloof Mega City and the
educational, commercial and
filling station erven will be sold
to a third party. The intention
is to build about 16 000
apartments, with the potential
to increase to 50 000. The
property is on Garsfontein Drive.
Another SIP is Malibongwe
Ridge, a mixed-use development
that is a joint venture between
the City of Johannesburg and
the Gauteng Department of
Human Settlements. Located
next to Cosmos City, housing for
5 500 families is expected to cost
R2.55-billion to develop.
By 2030 Gauteng will have
two huge new cities, socially
diverse, digitally connected
and ecologically responsible
and sustainable. That’s if the
Provincial Government of
Gauteng brings to fruition its
plans for the west (Lanseria to
Hartbeespoort Dam) and in
the south, where Vaal River City
will stretch from Vereeniging to
Sasolburg in the Free State.
In the 25 years since South
Africa has been a democracy,
GAUTENG BUSINESS 2022
36
Continued on p38

Providing skills and
expertise in consulting
engineering.
MPAMOT (formerly known as Malani Padayachee
& Associates, or MPA) is a 100% black womenowned
and managed consulting engineering
and development company, with more than 24
years of experience in the infrastructure and built
environment.
Mrs Malani Padayachee-Saman (right) is the chief
executive officer, and Mrs Ipeleng Mkhari (left) is
MPAMOT’s chair of the board of directors.
MPAMOT Group and our subsidiaries, MPAMOT
Africa and MPAMOT Lesotho, have nearly 200 staff
members, with offices in Gauteng, the Western
Cape, KwaZulu Natal, Lesotho and various site
offices. We offer a vast range of services to our
clients across Africa, bringing comprehensive
capability and proficiency while supplying a great
depth of knowledge and service in this rapidlydeveloping
sector.
As a consultancy with multinational links, we have
the ability to draw on a range of international skills
and insights from our global network. MPAMOT’s
ability to apply broad-ranging expertise and
experience gives us a decisive edge in analysing
problems and coming up with creative, sustainable
solutions with added value on projects.
Our dedicated energy, infrastructure, transport and
advisory teams provide a wide resource pool of
expertise covering many aspects of engineering,
technology and project management.
MPAMOT’s highly skilled, experienced and
professional team provides the following expertise
to local, regional and global clients:
INFRASTRUCTURE
• Building structures
• Industrial buildings
• Civil/structural building services
• Water and wastewater
• PPCM
TRANSPORTATION
• Highways
• Bridges
• Pavements
• Transport planning
ENERGY
• Transmission and distribution
• System studies
• Thermal
• Renewable energy
• Wind and photo-voltaic
• Environmental and social
ADVISORY
• Infrastructure finance
• Technical advisory
• Water advisory
• Digital advisory
• Development impact
• Employment creation
For more information, kindly visit our website
www.mpamot.com or email info@mpamot.com

OVERVIEW
Pick n Pay and Fortress REIT are developing the Eastport Logistics Park.
Credit: Fortress
more than 1.2-million subsidised houses have been built by
government entities in Gauteng. Provincial government has
pledged to release 10 000 serviced stands as part of its Rapid Land
Release programme and it intends finishing incomplete housing
projects in Alexandra, Evaton, Kliptown, Bekkersdal and Winterveldt.
Bodies such as the National Housing Finance Corporation,
Indlu and Umastandi (social capital entrepreneurs) are working
together with provincial authorities to find ways to formalise and
monetise the township market so that sustainable incomes can
be generated and affordable housing and rental stock becomes
more readily available.
An important concept for developers in Johannesburg is the
tax incentive that accompanies the Urban Development Zone
(UDZ). The City of Johannesburg and the South African Property
Owners Association (SAPOA) have developed a database for all UDZ
properties. Information about the owner of the plot, the valuation
and zoning rights is available for every stand.
Various “improvement districts” have also been created, for
example the RID (Retail Improvement District) where businesses in a
designated area pay levies to secure improved cleaning and security
ONLINE RESOURCES
Construction Industry Development Board: www.cidb.org.za
Gauteng Partnership Fund: www.gpf.co.za
Johannesburg Development Agency: www.jda.org.za
Johannesburg Social Housing Company: www.joshco.co.za
SA Reit Association: www.sareit.co.za
services. The Johannesburg City
Improvement District Forum
shares information among
the CIDs. Expenditure by CIDs
collectively on supplementary
public space safety, cleaning and
maintenance is estimated to be
about R61-million annually.
The Gauteng Partnership
Fund (GPF) has attracted more
than R3.5-billion in private
sector funding for affordable
housing in the province since
2012. The Brickfields housing
and rental development in
Newton was funded by the
GPF and implemented by
the Johannesburg Housing
Company (JHC) as one of the
first inner-city rejuvenation
projects. JHC is a leader in
converting bad buildings to
usable rental space.
The Johannesburg
Development Agency (JDA)
projects range from the
upgrading of Constitution Hill,
the Faraday Station precinct,
work on the Fashion District
and pavements of the inner city,
renovation of the Drill Hall and
the Newtown upgrade.
Private developer Indluplace
Properties has purchased nine
large apartment blocks, taking
its total buildings in central
Johannesburg CBD, Berea and
Hillbrow to 23: 33% of the units
are bachelor pads, 22% are twobedroomed
flats. The listed
company (its major shareholder
is Arrowhead) intends to
“aggressively grow its portfolio”
of high-yielding properties as it
believes the rental market has
huge potential. ■
GAUTENG BUSINESS 2022
38

Information and
communications technology
Data centres are expanding and new ones are being built.
OVERVIEW
The biggest data centre on African soil is under construction
in Ekurhuleni. Teraco Data Environments secured a R2.5-billion
loan in 2021 to build the 50 000m² JB4 data centre on 6ha. The
centre will have 38MW of critical power load. The company
has five other centres, two of which are in Gauteng. Johannesburg is
also one of two South African cities to host a Microsoft
Azure data centre.
With several global companies choosing to station
their South African headquarters in Gauteng, the
province is well connected. More than 1 500km of
network fibre has been connected throughout the
province, with 1 066 sites such as schools, health
facilities, libraries and community centres giving
community members and entrepreneurs the chance to
be connect with the digital world. A Gauteng Growth
and Development Agency (GGDA) subsidiary, The Innovation Hub,
has a programme called eKasiLabs which supports entrepreneurs
and young people with good business ideas.
The biggest investors in new technology are banks and
other players in the financial sector, where technology is rapidly
lowering the barriers to entry for new businesses. This trend is
illustrated by the rapid development of new exchanges which are
based on sophisticated ICT hardware and software.
One of the provincial government’s stated goals is to get
several ICT initiatives to work together. If the work of The
Innovation Hub, several eKasi laboratories, the Tshimologong
precinct, universities and research institutes could be integrated,
a more powerful ecosystem would be the result.
A High-Tech Special Economic Zone (SEZ) is another idea that
is being pursued. Making broadband connectivity and free Wi-
Fi available to poor households in the province is another task.
Gauteng’s Premier will appoint a Digital Transformation Advisory
Panel to assist in driving these initiatives.
Various large spatial plans for the province include an element
whereby these new cities or settlements will be built as “smart cities”.
The Council for Scientific and Industrial Research (CSIR) in
Pretoria hosts a new body aimed at preparing South Africa
ONLINE RESOURCES
eKasiLabs: www.theinnovationhub.com
Independent Communications Authority: www.icasa.org.za
Technology Innovation Agency: www.tia.org.za
SECTOR INSIGHT
The CSIR has launched a
4IR body.
Teraco’s Isando campus, JB3. Credit: Teraco
for the Fourth Industrial
Revolution (4IR), the South
African Affiliate Centre of the
World Economic Forum.
The “Tshepo 1 Million”
campaign links the provincial
government with the
successful Harambee Youth
Employment Accelerator and
more than 40 large companies.
Both Johannesburg and
Tshwane have free Wifi
networks with Tshwane’s
covering 780 zones in places
such as libraries, educational
institutions and clinics.
The Small Enterprise
Development Agency (Seda) runs
the SoftstartBTI ICT incubator in
Midrand and Tuksnovation, a
high-tech incubator, at Pretoria
University. Several incentives
relevant to companies and
educational bodies in the ICT
sector are available from the
Department of Trade, Industry
and Competition (dtic). ■
39 GAUTENG BUSINESS 2022

OVERVIEW
Banking and financial services
One of Johannesburg’s stock exchanges has moved.
SECTOR INSIGHT
Nedbank has listed a
green bond.
The flurry of new activity in the financial sector has slowed.
Several new banks and exchanges have been launched in
South Africa since 2017, most of them in Johannesburg.
One of the stock exchanges, 4AX, has rebranded as the Cape
Town Stock Exchange and moved to that city while ZAR X had its licence
suspended in August 2021 by the Financial Sector Conduct Authority
(FSCA) because of concerns related to liquidity and capital adequacy.
Of the other new exchanges, Equity Express Securities Exchange (EESE)
trades in Black Economic Empowerment (BEE) and A2X had 56 listings and
a market cap of close to R4-trillion in October 2021, when Tiger Brands
announced that it would do a secondary listing on the exchange.
The decision by pharmaceutical giant Aspen Pharmacare
to conduct a secondary listing on one of South Africa’s newest
exchanges, A2X, suggests good timing by the people behind the
latest trend in the country’s financial services sector.
A2X has attracted nearly 20 companies in a wide range of sectors
in less than two years, with a primary focus on secondary listings.
Patrice Motsepe’s African Rainbow Capital is an investor in A2X.
The JSE is the world’s 19th-biggest exchange and about 344
companies are listed on the JSE or AltX, the JSE-owned exchange for
smaller companies.
In December 2021 Nedbank listed a R1.09-billion green bond
on the JSE, whose proceeds will be used to fund green residential
developments. The bond is floated in the JSE’s Sustainability Segment,
which serves as a platform for raising capital for green, social and
sustainable investment projects. The bond brings the number of
ONLINE RESOURCES
Credit: Unsplash
Association for Savings and Investment South Africa: www.asisa.org.za
Chartered Institute of Government Finance, Audit and Risk Officers:
www.cigfaro.co.za
Financial Sector Conduct Authority: www.fsca.co.za
sustainability instruments listed
to 35, with a total issued amount
of over R17-billion.
The launch by Sanlam
Investments of a Sustainable
Infrastructure Fund is a sign of the
times. The South African state has
promised a huge infrastructure
drive but in the context of climate
change caused by the use of fossil
fuels, the investment community
is increasingly putting emphasis
on sustainability. Sanlam Group
will invest R6-billion in the fund
and aims to attract a further R5-
billion from institutional investors.
Investments will be made in
housing, transport, health,
water, waste, communication,
conventional energy and
renewable energy, a fast-growing
sector with enormous potential.
Sanlam has entered two
partnerships in the insurance
market. African Rainbow Life has
launched life-cover policies in the
low and middle-income market, in
association with Sanlam and African
Rainbow Capital. Sanlam is also in
a venture with Capitec. Naspers
Foundry is one of several investment
funds looking for opportunities
in the financial sector. Insurance
technology is of particular interest,
together with credit services and
payment systems. ■
GAUTENG BUSINESS 2022 40

OVERVIEW
Education and training
Tshwane University of Technology now offers asset maintenance.
The Tshwane Institute for Continuing Education (TICE),
a subsidiary of Tshwane University of Technology
Enterprise Holdings (TUTEH), has signed a partnership
with Optimal Assets Maintenance Solutions, a physical
asset management engineering and consultancy company.
The partnership will create short learning programmes in
asset maintenance and research projects will be undertaken
together. TICE offers skills development, continuing education
and professional development through research.
TUTEH, a wholly-owned company of the Tshwane University of
Technology (TUT), exists to generate and grow additional streams
of income for the university, separate from government subsidies,
student fees, donations and bequests.
In response to demand for a more skilled workforce, the
Provincial Government of Gauteng has promised by 2025 to
establish in every district at least two schools of specialisation
linked to the 10 high-growth sectors that have been identified.
Public libraries and community centres will become places where
online courses in artisan and digital skills will be readily available.
A focus on water and energy underpins the newly-established
Knowledge Pele Academy in Kramerville, Johannesburg.
Independent power producer Pele Green Energy aims to develop
skills and entrepreneurship in rural, peri-urban and township
communities. The KP Academy has formulated energy and water
SETA-approved courses and runs artisan training programmes,
learnerships, short courses and workshops.
Technical and Vocational Education and Training (TVET)
colleges are concentrating on 13 trade areas, including
bricklayers, millwrights, boilermakers and riggers. Gauteng has
eight TVET colleges.
The National Skills Authority (NSA) works with Sector
Education Training Authorities (SETAs) in carrying out the National
Skills Development Strategy (NSDS). The Human Resource
Development Council of South Africa (HRDCSA) is an overarching
body working on skills development and training.
ONLINE RESOURCES
Gauteng Department of Education: www.education.gpg.gov.za
National Research Foundation: www.nrf.ac.za
TUT Enterprise Holdings: www.tutenterprise.co.za
SECTOR INSIGHT
TVET colleges are
concentrating on 13
trade areas.
Tertiary
Three of South Africa’s top
five business schools are in
Gauteng: the Wits Business
School, the University of
South Africa’s (Unisa’s)
Graduate School of Business
Leadership and the Gordon
Institute of Business Science,
on the Sandton campus of the
University of Pretoria.
Eighty percent of the 1 230
lecturers and researchers at the
University of the Witwatersrand
(Wits) have post-graduate
degrees, and 27 A-rated scientists
work there. The university offers
studies in more than 40 schools
in five faculties.
Pretoria hosts the head office
of distance university Unisa.
The University of Pretoria (UP)
is renowned for research. One
of the most famous faculties
is veterinary science, which is
located at Onderstepoort. The
University of Johannesburg (UJ)
is a comprehensive institution
offering diplomas and degrees
through a mix of vocational
and academic programmes.
The Tshwane University of
Technology (TUT) and the Vaal
University of Technology (VUT)
have several campuses. ■
41
GAUTENG BUSINESS 2022

Commerce and Industry
Promoting and representing businesses in the economic powerhouse.
Promoting and representing businesses What is the geographic in the economic footprint powerhouse.
of the Chamber?
The areas we cover are: Randburg, Sandton, Fourways, Midrand
What and is Lanseria. the geographic footprint of the Chamber?
The areas we cover are: Randburg, Sandton, Fourways, Midrand
and What Lanseria. are the key functions of the Chamber?
Primarily to promote business, to facilitate introductions, to be the
What voice are of the business key functions at municipal, of the provincial Chamber? and government levels, in
Primarily defending to promote business business, areas to of facilitate poor decision-making introductions, to or be unintended the
voice consequences of business at of municipal, various acts provincial that and are government passed. We levels, also facilitate in
defending
opportunities
business
into
in
the
areas
SADC
of poor
regions
decision-making
and work very
or
closely
unintended
with many
consequences of various acts that are passed. We also facilitate
embassies regarding trade and tourism.
opportunities into the SADC regions and work very closely with many
embassies regarding trade and tourism.
What does the Chamber do to support SMMEs?
What One does of the the Chamber’s do primary to support focus SMMEs? areas is the development of
One SMMEs, of the finding Chamber’s opportunities primary focus for areas them, is business the development enhancement of in
SMMEs, training, finding helping opportunities with business for them, plans, business company enhancement registrations, in giving
Linda Blackbeard
training, direction helping to ideas with that business entrepreneurs plans, company might registrations, have. Teaching giving them
Linda Blackbeard
direction to form to joint ideas ventures that entrepreneurs with other might small have. businesses Teaching and them have an
to opportunity form joint ventures then to tender with other for work. small We businesses promote our and local have businesses an
opportunity being awarded then to work tender in our for work. areas. We promote our local businesses
being awarded work in our areas.
Does the RCCI interact with government?
Does the RCCI interact with government?
RCCI is affiliated to the only national chamber body, South African
RCCI is affiliated to the only national chamber body, South African
Chamber of Commerce & Industry (SACCI). Through SACCI important
Chamber of Commerce & Industry (SACCI). Through SACCI important
issues
issues
are
are
dealt
dealt
with
with
directly
directly
at government
at government
level.
level.
We are
We
also
are
heard
also
at
heard at
provincial provincial level level and and the the Chamber Chamber works works with with the City the of City Johannesburg, of Johannesburg,
Trade Trade and and Investment Investment SA SA as well as well as various as various national national government government
departments responsible for economic for economic development. development.
Are Are there particular challenges?
BIOGRAPHY
Randburg Chamber would would love love to embrace to embrace more more businesses. businesses. There is There is
so so much much opportunity around around and and we could we could facilitate facilitate more if more businesses if businesses
Linda Blackbeard ran her own own joined. joined. The The more more businesses businesses stand stand together together with their with local their chamber local chamber of of
interior design and hospitality
commerce, commerce, the the stronger stronger our our voice voice will be will at be municipal, at municipal, provincial provincial and and
company before taking up the government level.
company before taking up the government level.
reigns as CEO of the RCCI. She
reigns as CEO of the RCCI. She
is the SACCI Chamber Forum What does the future hold?
is
Chairlady
the SACCI
and
Chamber
a member
Forum
of Our
What
Electronic
does the
Certificate
future
of
hold?
Origin programme for export saves time
Chairlady the South African and Chamber member of of and Our is designed Electronic for Certificate South African of markets. Origin programme Businesses and for members export saves can time
the Commerce South African and Industry Chamber board of look and forward is designed to renewed for South focus, African positive markets. opportunities, Businesses and facilitation and members in can
Commerce of directors. and She Industry was awarded board the look SADC forward region to for renewed business focus, growth positive and opportunity. opportunities, and facilitation in
of the directors. Pan African She Award was in awarded 2018 in the SADC region for business growth and opportunity.
the recognition Pan African of her Award achievements in 2018 in Contact details
recognition in the Continental of her achievements
Lifetime Physical Contact address: details Unit G8 Atrium Terraces, 272 Oak Avenue,
in Achiever the Continental sector, CEO Global Lifetime Most Randburg, Physical Gauteng address: 2194. Unit Tel: G8 086 Atrium 101 9218 Terraces, | Fax: 086 212 2724407
Oak Avenue,
Achiever Influential sector, Women CEO in Global Business Most & Email: Randburg, admin@rcci.co.za Gauteng
49
2194. | Website: Tel: 086 www.rcci.co.za 101 9218 | Fax: 086 212 4407
Influential Government Women 2018 Awards. in Business & Email: admin@rcci.co.za | Website: www.rcci.co.za
Government 2018 Awards.
49
GAUTENG BUSINESS 2022 42

Randburg Chamber, which was founded in 1959,

OVERVIEW
Development finance
and SMME support
Workspaces are available for makers in wood.
Five workshops are to be established in Gauteng to assist 100
artisans with space to work with wood and to give them
connections to established businesses who might contract them.
Wine and spirits seller Pernod Ricard is teaming up
with the Gauteng Department of Economic Development to try
to create 1 000 new jobs through access to machinery and to a
virtual showroom where makers can display their creations to
prospective online clients. The City of Ekurhuleni Municipality has
also donated a warehouse in Thokoza. One of the beneficiaries is
Hosea Matlou (pictured), a self-taught carpenter and woodwork
instructor who designs and makes furniture, picture frames and
mirrors out of Hosea Studios.
Pernod Ricard ran a campaign (Phakamisa ispirit) over
the festive season to raise money for artisans to attend
SETA-accredited courses covering business management,
manufacturing, technology and accounting.
Equipment manufacturer Smith Capital Equipment has
received a grant from Isuzu Motors SA to help it make a cherry
picker. The company, which makes a range of aerial platforms, is
receiving the money as part of the motor company’s enterprise
development programme.
In a drive to spur economic development in Gauteng’s
townships, a Township Economic Development Bill will do away
with restrictive bylaws. At the same time, taxi ranks are going to
be rezoned and developed to allow for the growth of retail outlets
and services such as mechanics and panel-beaters.
Gauteng has 14 registered co-operative banking institutions
serving over 16 000 member-owners, with over R100-million in savings
and R150-million in assets. The township market of about 250 000
township households holds enormous potential for collective buying.
The Gauteng Growth and Development Agency (GGDA) is
linking large companies with small businesses at Special Economic
Zones (SEZs). The aim is to create a pipeline for SMMEs and to
entrench localisation in sectors such as the automotive industry.
The Incubation Centre at Nissan’s assembly plant in Rosslyn
north of Pretoria hosts eight new businesses at a time. They receive
ONLINE RESOURCES
Gauteng Growth and Development Agency: www.ggda.co.za
National Empowerment Fund: www.nefcorp.co.za
Small Enterprise Development Agency: www.seda.co.za
SECTOR INSIGHT
Isuzu Motors SA is
supporting a local
equipment manufacturer.
support through subsidised
rental and mentorship and
training. The Automotive
Industry Development
Centre (AIDC), a subsidiary
of the Gauteng Growth and
Development Agency (GGDA),
manages the centre.
About half of South
Africa’s formal SMMEs operate
in Gauteng and more than
half are in the wholesale
and retail sector and the
accommodation sector. The
next most popular sectors
are community, social and
personal services.
The Small Enterprise
Development Agency (Seda)
is a subsidiary of the DSBD
and gives non-financial
support to entrepreneurs
through training, assistance
with filling in forms, marketing
and creating business plans. It
helps small businesses draft
applications for loan finance.
Several of Seda’s technology
incubators are in Gauteng. ■
GAUTENG BUSINESS 2022
44

Protect your
family two ways.
When it comes to my family, I like to be twice as sure, so I have Funeral
Insurance AND Life Insurance. Funeral Insurance to pay for immediate
costs and Life Insurance to make sure my family’s lifestyle is protected
whatever happens.
Speak to your Old Mutual Adviser or visit your nearest branch
or SMS “COVER” to 43182
OMBDS 02.2022 C5268
DO GREAT THINGS EVERY DAY
Old Mutual Life Assurance Company (SA) Limited is a licensed FSP and Life Insurer. Ts & Cs apply.