A presentation by Gauteng premier David Makhura of Gauteng's vision and plans to members of Asisa, who are the custodians of the bulk of South Africa’s savings and investments.

2. INTRODUCTION
• It is now a year since the beginning of the term of this fifth
administration
• The distinct feature of the fifth administration is radical social and
economic transformation and the implementation of the National
Development Plan, Vision 2030
• In response to that, in Gauteng we have adopted the programme for
radical, transformation, modernisation and reindustrialisation of the
Gauteng City Region
• We are delighted to present our vision and plans to members of ASISA,
who are the custodians of the bulk of South Africa’s savings and
investments
• We regard you as our partners in moving the Gauteng City Region
forward and realising the NDP, Vision 2030

3. NATIONAL DEVELOPMENT PLAN VISION 2030

4. TRANSFORMATION, MODERNISATION AND
REINDUSTRIALISATION OF THE GAUTENG CITY-REGION:
VISION 2030
OUR VISION:
We strive towards being a seamlessly integrated, socially cohesive,
economically inclusive City Region; a leading economy on the African
continent underpinned by smart, innovation-driven, knowledge-based
and sustainable industries; an accountable, responsive, transparent and
clean government and an active citizenry.

5. TMR: GAUTENG’S ROADMAP TO VISION 2030, TEN PILLARS
• Radical economic transformation
• Decisive spatial transformation
• Accelerated social transformation
• Transformation of the State and governance
• Modernisation of the economy
• Modernisation of the public service and the state
• Modernisation of human settlements and urban
development
• Modernisation of public transport and other infrastructure
• Re-industrialising Gauteng as our country’s economic hub
• Taking a lead in Africa’s new industrial revolution

6. ECONOMIC OUTLOOK OF GAUTENG
• Gauteng has evolved into an industrial hub,
financial nerve centre and technological heartbeat
of our country, owing to the impact of the mining
revolution on SA’s path to industrialisation.
• Today our province contributes more than 34% to
our country’s GDP and contributes 42% of SA’s
industrial output. The size of the Gauteng economy
is 1.07 Trillion.
• We also contribute more than 10% to Africa’s GDP.
• The Gauteng Province by land is 1.4%, yet it
remains the economic engine of the country.

7. PROVINCIAL CONTRIBUTION TO THE GDP

8. PROVINCIAL ECONOMIC GROWTH RATES: 2013

9. KEY ECONOMIC SECTORS OF THE GCR

10. FIVE CORRIDORS OF THE GAUTENG CITY REGION

11. CENTRAL CORRIDOR: JOBURG
• It is the hub of finance and ICT industries
• It also has a strong retail, services and pharmaceutical
sectors
• Has experienced significant deindustrialisation owing to the
decline of the mining and related industries
• Our interventions in this Corridor include:
– Strengthening investment in ICT and roll out of broadband
– Working with the City of Joburg to revitalise the Joburg
inner-city. Over the next four years we will mobilise R 10
billion towards revitalising the Joburg inner City
– Supporting he city’s bid to be the host of the regional
headquarters of the BRICS Development Bank
– Reviving old townships such as Kliptown and Alexandra

12. EASTERN CORRIDOR: EKURHULENI
• It is the manufacturing, logistics and transport hub industries and the
main anchor of the Aerotropolis (Airport economy) of the GCR;
• Also experienced significant deindustrialisation following the decline of
the manufacturing sector
• Our interventions in this Corridor include;
– Building an Aerotropolis around O.R. Tambo International
Airport
– This will be supported by the O.R Tambo IDZ, the main
anchor being the jewellery manufacturing precinct
– Strengthening the Corridor as a logistics hub through the
Tambo-Springs logistics hub development (R 7, 5 billion
investment)
– Investment by PRASA in Nigel to build new locomotives
(R 123 billion investment)
– Roll out of BRT by 2016 ( R 500 million investment)

13. NORTHERN CORRIDOR: TSHWANE
• It is our nation’s administrative capital.
• Going forward, this will be the hub of the automotive sector, research,
development, innovation and the knowledge-based economy
• Our interventions in this corridor include
– Strengthening our support to the automotive industry
through the AIDC
– Working towards the launch of an Auto City (R 50 billion
investment)
– Supporting R&D and the knowledge based industries
through the Innovation Hub
– Inner City revitalisation and the development of a new
economic node in Centurion
– Investing in a R525 million Business Process Outsourcing
Park in Hammanskraal
– Roll out of free Wi-Fi

14. WESTERN CORRIDOR: WEST RAND
•Was primarily a mining economy which has experienced serious decline.
•A new diverse economy will be created around tourism anchored around
the Maropeng Cradle of Humankind World heritage Site , agriculture and agro-
processing the Lanseria Airport City and renewable energy industries;
•Specific interventions include
– Enhancing the region’s horticulture potential
– Supporting especially black farmer in the agro-processing industry
– Building of a solar farm and plant working together with the
University of Johannesburg
– Unlocking further tourism potential of the Cradle of Humankind
– Launch of the Lanseria Airport City as a new economic node and
an extension of our Aerotropolis. This is an injection of R 10 billion
over the next 10 years

15. SOUTHERN CORRIDOR: SEDIBENG
• Encompasses the Sedibeng District whose economy was
largely based on the steel industry which has been in
decline with major negative effects on the region’s
economy
• Going forward we are diversifying the economy of the
region to focus on tourism, agro-processing and agriculture
• Earlier today we did sod turning for the Vaal River City
Development (worth between R7 and R 11 billion). It will
bring a much needed boost to the economy of the region
• We want to position Sedibeng as the food basket of the
Gauteng City Region
• Increased tourism potential from the Vaal River, Vaal
Marina and the Suikerbosrand Game Reserve.

16. TOWNSHIP ECONOMY REVITILISATION
• Why are we intervening to revive the township economy?
– Part of radical economic transformation
– Transform townships from their historic role of being reservoirs of
cheap labour into new and viable economic nodes
– Ensure that money circulates in the township, establish townships
as centres of production
– Address some of the structural problems of our economy; the
exclusion of the majority of black people (80% live in townships),
women, the youth and people with disabilities
– Increase access to markets, promoting productive activities,
entrepreneurship and skills development, indigenous knowledge
systems, financing and investing in the township economy, ensuring
appropriate legal and regulatory framework and clustered
development and infrastructure support

17. INFRASTRUCTURE INVESTMENT
• In order to address the triple challenge of unemployment, poverty and
inequality we are making three macro interventions – spatial reconfiguration,
township economy revitalisation and massive infrastructure investments -
jointly with municipalities and the private sector partners.
• The five development corridors are key drivers of radical economic
transformation, decisive spatial transformation and re-industrialisation, the
second major lever to change the economy and space of the Gauteng City
Region will be through a massive and well coordinated infrastructure
investment programme, focusing on the following key areas:
– Public Transport
– Energy Mix
– ICT and Broadband
– Water and Sanitation
– Kopanong Precinct
– Aerotropolis
• Over the next four years, the Gauteng Provincial Government’s total investment
in infrastructure development will be more than R32 billion (USD 3,2 billion),
while Gauteng municipalities will spend R94 billion (USD 9,4 billion) over the

18. 25 YEAR INTEGRATED TRANSPORT MASTER PLAN

19. PUBLIC TRANSPORT
• We have adopted a 25-year integrated
transport master plan, focusing on
developing a city region wide transport
system and an efficient transport network to
underpin spatial transformation and
inclusive growth.
• We have functional rapid train that connects
the three metropolitans, (The Gautrain). We
are making progress in the expansion of the
existing Gautrain Rapid Rail System.

20. PUBLIC TRANSPORT
• We are implementing the BRT systems in the
Metropolitan areas;
– Joburg: Rea Vaya operational;
– Tshwane: A Re Yeng operational late in 2014; and
– Ekurhuleni: BRT in 2016
• We are investing in Freight and Logistics in the
following areas;
– Automotive Sector, Rosslyn in Tshwane;
– Ekurhuleni, Tambo Springs in land port consisting of a
real estate venture and a sprinter venture;
– Vaal Logistic Hub
– West Rand Logistic Hub

21. ENERGY
• Transformation, modernisation and re-
industrialisation will not be possible
without paying serious attention to the
critical issue of energy security, the GCR has
adopted a plan with six interventions
seeking to broaden the energy mix.
• We are bringing in additional 1200
megawatts of electricity by increasing
generation capacity of the current coal-
fired power stations in Tshwane (Rooiwal
and Pretoria West Power) and Joburg
(Kelvin Station).
• We are installing roof top solar panels for
all our government buildings. Our estimate
is that we have available 8 million square
metres of roof top space suitable for this
and will be able to generate 300-500
megawatts of electricity.
• We are implementing a programme to
retrofit our coal fired boilers with natural
gas.
• We are implementing the Tri-generation
programme in six hospitals. Tri-generation is a
technology that is able to produce electricity for
heating and cooling using gas.
• We are initiating the waste to energy programme.
This programme is aimed at converting waste
from our facilities into bio-gas.
• We will continue our energy efficiency
programme through which we aim to replace
existing lights in all our facilities and government
buildings with LED lights. We have thus far
replaced 45 000 lights in our health facilities.
• In partnership with the private sector, we will also
invest in local solar technologies. In this regard,
we are supporting an initiative by the University
of Johannesburg and the private sector to build a
manufacturing plant and a solar plant in Gauteng.
• This R7 billion project will supply 500 mega-watts
of solar energy and will create more than 15 000
direct and indirect jobs.

22. ICT AND BROADBAND INFRASTRUCTURE
• ICT is a key contributor in the growth of the Gauteng City
Region’s economy.
• We are investing in e-governance models
• ICT infrastructure investment R300 million over the next
three years.
• Private Public Partnership in achieving 100% connectivity
over the next five years.
• Support and building the local ICT industry. (Revitilising the
Township Economy)
• Rolling out ICT connectivity to public schools to facilitate e-
learning.

23. AEROTROPOLIS
• Includes the Expansion of ORTIA;
– Establishment of a Gauteng IDZ (SEZ)
– A Jewellery Park; A Science Park
– Upgrading of road, rail, electricity & water and
– Manufacturing and beneficiation
• The Airport City (Aerotropolis) in Ekurhuleni will serve as a
facility for export and imports to and from our Continent
and the world; will also provide value added services .
• It will also serve as a transhipment and distribution facility
• The development around Lanseria Airport is the anchor of a
new economic node we are building in the Western
Development Corridor

24. FIGTHING CRIME AND CORRUPTION
• Crime and corruption is a deterrent
to higher levels of investment.
• We have a adopted a
comprehensive anti-corruption
strategy.
• We are implementing an open E-
tender process.

25. HEALTH
• Primary Health Care is the backbone of our health
system.
• NDP, Vision 2030-rolling out the National Health
Insurance system.
• Modernise our public health services; e-health
system implemented.
• As a percentage of GDP, health expenditure
amounts to 8%
• Opportunity in downstream segment within the
pharmaceutical industry (logistics, warehousing,
distribution & sales) is an opportunity to invest

26. SKILLS DEVELOPMENT
• We continue invest in skills development and training, in partnership with
institutions of higer.
• Through the Gauteng City Region Academy we are investing more 180million to
provide bursaries for students towards tertiary education.
• We are also investing in the training and development of public servants in
order to become globally competitive and deliver on our mandate as
government.
• In 2014 Gauteng was the number 1 province in terms of the performance of our
Grade 12s with a total pass rate of 84,7%.
• The gap between fee paying and no-fee paying schools, has been reduced from
18% in 2010 to 12,4% in 2014.
• Our township schools also continue to improve their performance
• The launch of paperless, technologically enabled “smart schools” and “schools
and classrooms of the future will enhance our education outcomes
• The number of learners in Grade R was close to 113 000 in 2014.
• By 2019, we aim to have achieved full access to Grade R with over 200,000
learners in public and private schools

27. COMPETITIVE ADVANTAGE OF THE GCR
•World-Class Infrastructure
•World Class Financial Services
•Cost Effective and quality of utilities
•Development of Special Economic Zones (SEZ)
•Prospective IDZ operator companies must apply for
permits to develop and operate an IDZ
•One stop shop for business: The Gauteng Investment
Centre, to improve the easy of doing business.
•We are now working towards one land use plan and
have improved EIA approvals witjin three months.