Tshwane’s Silverton automotive special economic zone to receive R153 million in support
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Pretoria - The Silverton automotive special economic zone will receive R153 million to support its vision of reigniting the regional economy and creating employment.
Finance MEC Nomantu Nkomo-Ralehoko said the budget would be allocated to the Department of Economic Development and used to cover the operational costs for the special economic zone.
She said the City of Tshwane’s initiative was a prime example of the provincial vision of spatial and economic transformation and integration of township enterprises, black-owned, women-owned, and youth-owned businesses into supply chains of big corporates.
"With special economic zones identified as the linchpin for the re-igniting of the Gauteng economy, a once-off allocation has also been made to the OR Tambo Industrial Development Zone, a key component of the Ekurhuleni special economic zone, towards funding of the design for bulk services. This will add further impetus to the realisation of the vision so eloquently articulated by the premier," said Nkomo-Ralehoko.
She said in addition to the new budget, there was "already R14.4 billion allocated in 2021/22 towards economic services, and R44.2bn over the medium-term expenditure framework allocated to the departments of Roads and Transport, Economic Development and Agriculture and Rural Development".
The announcement was made weeks after Premier David Makhura hailed the special economic zones as potential vehicles for creating thousands of jobs to benefit the local small businesses and the community of Mamelodi.
The Tshwane zone forms part of the industrialisation agenda, and progress was being in its implementation taking place in Silverton.
Three spheres of government were investing R3.3bn in the project's infrastructure.
The project has unlocked a R4.3bn investment by suppliers and a further R15.8bn investment announced by Ford Motor Company on February 8.
The City's special economic zone is expected to manufacture more than 200 000 vehicles by 2022.
Local small businesses would benefit from more than R1.7bn, which was 47% of infrastructure spend already allocated.
At least R531 million of work would be allocated to township small businesses in the coming months to construct the first set of factories.