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Construction & Engineering News South Africa

Revamp of 10 state-owned industrial parks begins

The first phase of upgrading 10 state-owned industrial parks is under way, with R180m allocated for the project this year, Department of Trade and Industry director-general Lionel October said on Wednesday, 21 September.
Revamp of 10 state-owned industrial parks begins
© freeteo – 123RF.com

The upgrades of Seshego in Limpopo and Botshabelo in the Free State have already been launched, and that of Isithebe in KwaZulu-Natal is imminent.

There are more than 50 industrial parks scattered across the country, some owned by the state nationally and others by provinces and municipalities.

They were set up under the apartheid government to draw industry to the "homelands" in a bid to minimise migration to the cities.

The department wants to resuscitate them to provide employment in rural areas.

Deputy director-general Sipho Zikode said in a briefing to Parliament's trade and industry committee that the first phase of the upgrades, which is being overseen by the Development Bank of Southern Africa, involved the upgrade of security infrastructure such as perimeter fencing, fencing between erven, access control, street lighting, electricity requirements and top structures.

This will be followed in the next three years by further upgrades of roads, bulk water supply, sewage treatment plants and electricity infrastructure.

The revitalisation programme was initiated in September last year with the aim of catalysing economic development and job creation in their regions. Many of the parks have existing tenants but the aim is to attract more.

A major problem in Seshego, Zikode told MPs, was illegal occupation and dumping in those areas that were not in use. Since the upgrade tenants in the park have shown an interest in renewing their lease agreements.

Addressing the objections that these areas were not economically viable, October said apartheid SA did not allow the free movement of people and capital. This abnormality persists and the department believed that it had to "swim against the tide" and assume the responsibility to make these areas economically viable. Jobs had to be provided in the areas where people lived.

Source: BDpro

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