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Gauteng Business 2023-24

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The 2023/24 edition of Gauteng Business is the 14th 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 Special Economic Zones is included in this edition. SEZs are a major plank of industrial policy at national level and Gauteng is enthusiastically rolling out sector-specific zones in every district. The Vaal SEZ, which is preparing the way for ratification by national authorities, is the newest zone intended to boost development. All of the main economic sectors of the provincial economy are reviewed, ranging from agriculture, transport and logistics, energy and manufacturing through to education and training. Like the rest of the world, Gauteng is adapting to and innovating in the field of energy. 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 and Sibanye-Stillwater making land available on the West Rand for solar farms are indicators for the future. 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.southafricanbusiness.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, The Journal of African Business, which was launched in 2020.

OVERVIEW Transport and

OVERVIEW Transport and logistics Cellphone masts are solving traffic problems. SECTOR INSIGHT OR Tambo International Airport handles more than 80% of South Africa’s cargo. New tenants are having custom-built warehousing facilities constructed for them at Riverfields Precinct, the logistics hub near OR Tambo International Airport in Ekurhuleni. Busy intersections in Soweto are getting power from an unusual source to prevent dangerous traffic overload. MTN and the Johannesburg Roads Agency (JRA) have signed a Service Level Agreement whereby MTN base stations will provide power to traffic lights at key points during loadshedding. “We’re excited about the future of this project and aim to expand further afield to partner with municipalities across the country to create corridors of free-flowing traffic in loadshedding, by using existing base stations to power traffic lights where we can,” says MTN South Africa’s Chief Executive Officer, Charles Molapisi. MTN is also creating a “traffic corridor” from the Flora Clinic, along 14th Avenue, towards the N1 highway, leading to outside the MTN head office, to ensure smooth movement onto and off the N1 highway at the 14th Avenue intersection. Those traffic lights will be backed up by power supplied by electricity generated from the MTN campus. 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 privatesector 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. 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. Riverfields Precinct in Ekurhuleni is a logistics hub serving OR Tambo International Airport and the major highways that link Gauteng with other provinces. Several established brands such as DSV, John Deere, DB Schenker, Sanvick Mining and DHL are tenants and new facilities for Shoprite and The Foschini Group are being built. A new section, Equites Park 3, covering 16 hectares, is currently in the planning phase. The existing facilities include Equites Park Riverfields 1 (also 16ha) and Equites Park Riverfields 2, which hosts two major retailers on 43ha. A total of 82% of South Africa’s air cargo is transported through OR Tambo International Airport and Gauteng has several GAUTENG BUSINESS 2023/24 26 PHOTO: Riverfields Precinct

cargo and freight handling facilities well-equipped to deal with rail and road deliveries and despatches. 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. 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 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. 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 was put on hold because of Covid-19. The long-term plans to expand the Gautrain network are still on course. 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 agriprocessing 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. ONLINE RESOURCES Airports Company South Africa: www.acsa.co.za CAMASA: www.camasa.co.za MTN Traffic Light Project: TrafficLightsMTN@mtn.com South African Association of Freight Forwarders: saaff.org.za South African National Roads Agency: www.sanral.co.za MTN base stations are providing power for traffic lights. Lanseria Airport to the north of Johannesburg has grown in importance as a secondary airport for the country’s busiest business and commercial hub. It is a convenient landing point for travellers bound for regional centres like Rustenburg in the North West. 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. ■ PHOTO: MTN 27 GAUTENG BUSINESS 2023/24

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