Ugu District Municipality

UGU DISTRICT MUNICIPALITY

Masisukume Sakhe 0 0 Page

PROFILE: UGU DISTRICT 1

Contents 1. Executive Summary ...... 2 2. Introduction: Brief Overview ...... 3 2.1 Location ...... 3 3 Social Development Profile ...... 7 3.1 Key Social Demographics ...... 7 3.1.1 Population ...... 8 3.1.2 Race Gender and Age ...... 9 3.1.3 Households ...... 9 3.2 Health Profile ...... 10 3.3 COVID 19...... 10 3.4 Poverty Dimensions ...... 12 3.4.1 Distribution ...... 12 3.4.2 Inequality ...... 12 3.4.3 Employment/ Unemployment ...... 13 3.4.4 Crime ...... 14 3.5 Education and Skills Profile...... 14 4.Drivers of the Economy ...... 15 4.1 Structure of the Economy...... 15 4.2 Primary Sector ...... 16 4.3 Secondary Sector ...... 17 4.4 Tertiary Sector ...... 17 4.5 Informal Sector ...... Error! Bookmark not defined. 5.Service Delivery...... 17 5.1 Water ...... Error! Bookmark not defined. 5.2 Human Settlements ...... 18 5.3 Sanitation Management ...... 18 5.4 Roads and Transport ...... 19 5.5 Electricity...... 20 6 Governance and Management ...... 21 6.1 Municipal Performance ...... 21 6.2 Municipal Capacity ...... 23 6.3 Traditional Affairs Governance ...... 23 7 Projects to Diversify and Grow People and the Economy ...... 25 8 Key Recommendations ...... 31

2 PROFILE: UGU DISTRICT

1. Executive Summary

Ugu District Municipality is one of the ten districts (Category C municipalities) of the KwaZulu-Natal Province. It is located in the far south of the province and measures 4 908 km² in extent. The District has a coastline of 112 kilometres which forms its eastern border. The District is further bordered on the north by the eThekwini metro and in the west by Umgungundlovu and Harry Gwala District municipalities. On the southern side, the District shares its borders with the Eastern Cape Province. The Map below (Map 1) shows the location of the Ugu District Municipality in relation to other Districts in the Kwa-Zulu Natal province.

The total population of the Ugu District municipal area is 754 954 with a growth rate of 1.1% in 2019, up from 0.6% in 2009. The growth rate represents an average annual growth rate of 0.86%. The District has a relatively young population, with children and young people up to the age of 14 years making up 38% of the total population. The working age population (15 to 64 years) makes up 58% of the total population whilst the elderly (aged 65 and above) makes the remainder 4%. The District has a population density of 157,2 persons per square kilometer. Africans are the dominant population group in the District, constituting 90% of the total population. Indians, Coloureds and Whites make up the remaining 10% of the population in Ugu District. The sex ratio of the District is 92 males per 100 females. The Ugu District has a total number of 175 146 households with an average size of four (4) persons per household. PROFILE: UGU DISTRICT 3

As at 12 June 2020, the total number of COVID-19 infections in the province of Kwa- Zulu Natal stood at 3 573, with a total of 64 deaths (2.0%) since the first case was recorded in South Africa on 05 March 2020. The Ugu District had the 6th highest number of cases in the province with a total of 66 cases (1.8%) and 4 deaths.

There has been a decline in the poverty levels in the Ugu District area, moving from 32% in 2001 to 12% in 2016. This equates to a decrease of 20% over 15 years. However, the poverty intensity has remained at an average of 42% over the same period. The predominantly rural municipalities are plagued with the highest poverty rates as illustrated in the table above. The Umzumbe municipality has the highest poverty levels with Ray Nkonyeni municipality enduring the lowest at 19% and 11% respectively. Just like any other municipality, Ugu faces high rates of unemployment, poverty and inequality.

Community services sector is the largest economic sector within Ugu District, accounting for R 8.07 billion or 23.4% of the total GVA in the district municipality's economy. The sector that contributes the second most to the GVA of the Ugu District Municipality is the trade sector at 19.6%, followed by the finance and manufacturing sectors with 14.8%, each. The sector that contributes the least to the economy of Ugu District Municipality is the mining sector with a contribution of R 170 million or 0.49% of the total GVA. Almost three-quarters (71.5%) of the households have access to piped water.

2. Introduction: Brief Overview

2.1 Location

Ugu District Municipality is one of the ten (10) districts (Category C municipalities) of the KwaZulu-Natal Province. It is located in the far south of the province, and measures 4 908 km² in extent. The District has a coastline of 112 kilometres, which forms its eastern border. The District is further bordered on the north by the eThekwini metro and in the west by Umgungundlovu and Harry Gwala District municipalities.

4 PROFILE: UGU DISTRICT

On the southern side, the District shares its borders with the Eastern Cape Province. Map 1 above shows the location of the Ugu District Municipality in relation to other Districts in the Kwa-Zulu Natal province.

2.2 Historical perspective

Ugu District municipality consists of four (4) local municipalities, namely, Ray Nkonyeni LM, Umuziwabantu LM, Umzumbe LM and Umdoni LM as illustrated on Map 2 below. The district has a total of 85 municipal wards spread across four local municipalities. Relative to the rest of the Districts in the province, the Ugu District’s location on the southern part of the province provides it with a number of strategic opportunities and features such as the following:

. It is easily accessible by the N2 and R61 routes, which connect the area with a number of towns within the KwaZulu-Natal province as well as the Eastern Cape province and beyond; . It is situated within a highly admired coastal strip, affectionately referred to as the South Coast by the tourists, residents and general travellers; . It shares borders with eThekwini Municipality, which is the economic powerhouse of KwaZulu-Natal and a very notable economic nodal point within the country; and . It accommodates the first coastal commercial hubs from both the Eastern Cape to KwaZulu-Natal Provinces.

The Ray Nkonyeni Municipality is the most concentrated economic hub within the Ugu District Municipality. The main features of the economy are tourism and agriculture. The main cities and towns in the District include Harding, Hibberdene, Margate, Pennington, Port Edward, Port Shepstone, Scottburgh/Umzinto North, Ramsgate, Marburg and Southbroom; most of which are in the Ray Nkonyeni LM.

PROFILE: UGU DISTRICT 5

2.3 Spatial Status

Ugu District is a rural District Municipality, the Department of Rural Development and Land Reform’s Comprehensive Rural Development Programme (CRDP) can be instrumental in the district. The CRDP aims to develop rural South Africa, particularly creating vibrant, sustainable, and equitable rural communities. The CRDP also integrates proactive participatory community-based planning rather than an interventionist approach to rural development. In classifying the settlement patterns in Ugu, the District’s Growth and Development Plan embraces a vision that “By 2030, the Ugu District will be a leading tourism destination and agricultural and manufacturing hub where jobs are created and everyone benefits equally from socio- economic opportunities and services.”

Map 2 below is a depiction of the Ugu District Municipality and shows the location of the different local municipalities constituting the District. The map further shows the location of the different towns and significant business centers across the different municipalities. The high concentration of these towns in the Ray Nkonyeni LM is demonstrated on the map.

Map 1: Ugu District Map Source: www.municipalities.co.za

6 PROFILE: UGU DISTRICT

The settlement density from a spatial perspective is provided in figure 1 below.

Figure 1: Settlement Densities

The Provincial Human Settlements Master Spatial Plan for KwaZulu-Natal provided estimates of the housing backlogs for Ugu District, based on a comparison of figures contained in the District IDP and figures provided by Stats SA. In order to eradicate the housing backlog the Provincial Human Settlements Master Spatial Plan for KwaZulu-Natal provides the following envisioned Spatial Interventions and Targets for the Ugu District.

Taking into consideration the recommendations made in the Regional Spatial Development Plan, Ugu should (essentially) comprise of a series of urban growth boundaries to manage growth over the projected time. In other words, there will be an Urban Growth Boundary for the Short-Term; an extended Urban Growth Boundary for the Medium – Term and a Long-Term Urban Growth Boundary. This could mitigate against ‘urban sprawl’ and can facilitate for planned growth and development.

PROFILE: UGU DISTRICT 7

2.4 Land ownership The towns and business centres in the Ugu District co-exist alongside a total of forty (40) traditional councils. The Ugu District also has an established House of Traditional Leadership which is constituted by the 40 Traditional Authorities spread across the four local municipalities.

Data on Traditional Councils/Ubukhosi

Total number Number of Number of of TC Traditional leaders Landless Traditional Leaders KwaZulu- Natal 307 289 28 Ugu 40 40 3

3 Social Development Profile

3.1 Key Social Demographics

The total population of the Ugu District municipal area is 754 954 with a growth rate of 1.1% in 2019, up from 0.6% in 2009. The District has a relatively young population, with children and young people up to the age of 14 years making up 38% of the total population. The working age population (15 to 64) makes up 58% of the total population whilst the elderly (aged 65 and above) makes the remainder 4%. The District has a population density of 157,2 persons per square kilometer.

Africans are the dominant population group in the District, constituting 90% of the total population. Indians, Coloureds and Whites make up the remaining 10% of the population in Ugu District. The sex ratio of the District is 92 males per 100 females.

8 PROFILE: UGU DISTRICT

The Ugu District has a total number of 175 146 households with an average size of four (4) persons per household. Almost three-quarters (71.5%) of the households have access to piped water; 85.2% have access to electricity and 71% have access to sanitation. Only 14.7% of the households are indigent households. The table below provides a snapshot of the Ugu District’s Demographic profile.

Population Profile Socio-Economic Profile Total Number of Total Population 754 954 175 146 Households Young (0-14) 286 823 Average Household Size 4 (Persons/HH) Area in KM2 4 908 125 305 Access to Piped Water (71.5%) 149 224 Population Density 153.49 Access to Electricity (85.2%) Population Growth 124 354 1.1% Access to Sanitation Rate (71.0%) Sex Ration (Male/100 92 Indigent Households 25 750 (14.7%) Females)

3.1.1 Population

The table below provides a snapshot of the Ugu District’s population profile.

Population Profile Total Population 754 954 Young (0-14) 286 823 Area in KM2 4 908 Population Density 153.49 Population Growth 1.1% Rate PROFILE: UGU DISTRICT 9

Sex Ration (Male/100 92 Females)

3.1.2 Race Gender and Age

The Africans are the dominant population group in the District, constituting 90% of the total population. Indians, Coloureds and Whites make up the remaining 10% of the population in Ugu District. The sex ratio of the District is 92 males per 100 females.

The District has a relatively young population, with children and young people up to the age of 14 years making up 38% of the total population. The working age population (15 to 64) makes up 58% of the total population whilst the elderly (aged 65 and above) makes the remainder 4%.

3.1.3 Households

The Ugu District has a total number of 175 147 households with an average size of four (4) persons per household. The above-mentioned figure is less than 10% of the figure in KwaZulu Natal (2 875 843) and also less than 10 percent of the figure in South Africa as a whole (16 923 307)

3.1.3.1 Child Headed

The district has a relatively young population with the children and youth making up 38.7% of the total population. 1 721 of these households are headed by children under the age of 18. 3.1.3.2 Women Headed

The District has a total percentage of 27.1 child headed households with women as their heads.

10 PROFILE: UGU DISTRICT

3.2 Health Profile

The district has 79 health facilities, which range from a Mobile Clinics to a regional hospital. These health facilities consists of 2 Community Health Centres, 3 District Hospitals, 53 Fixed Clinics, 17 mobile clinics, 3 Private and 1 Regional hospitals. The greatest number of these facilities are concentrated in Ray Nkonyeni Local Municipality, with 4 of the facilities in the Ray Nkonyeni LM functioning on a 24-hour clinics, namely Gamalakhe, Izingolweni, Gcilima and Ntabeni.

According to IHS Markit Regional eXplorer, in 2019, 146 000 people in the Ugu District Municipality were infected with HIV. This reflects an increase at an average annual rate of 1.58% since 2009 and in 2019 represented 18.46% of the district municipality's total population. In comparison with the provincial rate, the Ugu District had a lesser infection rate when compared to the KwaZulu-Natal Province’s average annual growth rate of 1.72% from 2009 to 2019 in the number of people infected with HIV. The country-wide growth rate increased from 2009 to 2019 with an average annual growth rate of 2.32%.

3.3 COVID 19

As at 07 July 2020, the total number of COVID-19 positive cases identified is in the province of Kwa-Zulu Natal stood at 15 819, with a total of 205 deaths since the first case was recorded in South Africa on 05 March 2020. The Ugu District had a total of 589 cases and 6 deaths, as per below image. PROFILE: UGU DISTRICT 11

As of June 2020, KwaZulu-Natal has managed to identify 15 473 contacts. The province managed to monitor more than 99.9% of the identified contacts (n=15 457), and out of those, 98.8% (n=15 146/15 457) had their specimens collected. The positivity rate among contacts was 4.4% (n=660/15 146).

The KZN province currently has public mortuaries in all the Districts, including the Ugu District. Out of the total 30 public mortuaries, 3 are located in the Ugu District in the towns of Port Shepstone, Harding and Park Rynie. These mortuaries are said to be at various levels of capacity and operation; and therefore, require further formal confirmation from the Department of Health (DoH) on their readiness for use for the COVID-19 pandemic mortal remains.

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3.4 Poverty Dimensions

3.4.1 Distribution

There has been a decline in the poverty levels in the Ugu District area, moving from 32% in 2001 to 12% in 2016. This equates to a decrease of 20% over 15 years. However, the poverty intensity has remained at an average of 42% over the same period. The predominantly rural municipalities are plagued with the highest poverty rates. The Umzumbe municipality has the highest poverty levels with Ray Nkonyeni municipality enduring the lowest at 19% and 11% respectively.

Just like any other municipality, Ugu faces high rates of unemployment, poverty and inequality. The spatial profile of the district is evidence of this as it reflects a dual space economy, with a coastal zone that is largely urbanised that is performing well and an impoverished rural hinterland under the ownership of the Ingonyama Trust Board. Some of the subsistence farms in the area are struggling as well. Poverty levels within Ugu District Municipality are high due to various reasons.

Amongst other reasons, unemployment is at a high level due to the bulk of the population lacking skills which would allow them to be employed. Although there are people employed in the informal sector, they earn very low wages and have to support many members in the family. An important indicator of poverty is the number of households with an income below the Minimum Living Level (MML). Other households depend on grants and can be classified as indigents who are most probably falling on the poverty datum line because it is not enough to sustain the levels of living.

3.4.2 Inequality

The district is committed to dealing with the triple threat challenge, which is poverty, inequality and unemployment. A total of 3 450 job opportunities will be created and 450 SMMEs, Cooperatives and Informal Business Sector will be trained during the current IDP period. Furthermore, the district will ensure the development of the main economic sectors such as agriculture and explore green economic initiatives. In terms of community development, the municipality will ensure implementation of seven PROFILE: UGU DISTRICT 13

programmes per annum for vulnerable groups and consistent promotion of youth development.

3.4.3 Employment/ Unemployment

Employment is considered as one of the ‘big three’ economic indicators along with inflation and GDP/GVA when analysing the economic situation for a specific area or region. The table below contains the employment share per economic sector for South Africa, KwaZulu-Natal and Ugu District Municipality. From the table it is noted that on a national level, the business services sector held the greatest share in 2015 (18%), while the government services sector holds the greatest share of employment for both the KwaZulu-Natal Province (19%) and Ugu District Municipality (19%). The utilities sector holds the smallest share of employment on National (1%), Provincial (0.4%) and District level (0.4%).

Sectoral share of employment, 2005 and 2015

The table below reveals the employment share per economic sector for each local municipality within Ugu District Municipality. From the table it is shows that except for Umdoni, the government services sector holds the greatest share of employment for the local municipalities in Ugu. The agriculture sector in Umdoni (19%) holds the greatest share of employment and in UMuziwabantu the agricultural sector holds the second largest share of employment (20%). The mining sector holds the smallest

14 PROFILE: UGU DISTRICT share of employment in all four local municipalities, and the utilities sector holds the second smallest share.

Sectoral share of employment per LM within Ugu DM, 2015

When considering the contribution of sectors within the local municipalities within Ugu, towards the sector share in Ugu, it is clear that Ray Nkonyeni holds the greatest share of employment for all economic sectors (approximately 59%).

3.4.4 Crime

No information available

3.5 Education and Skills Profile

The District has a total number of 519 registered public and independent ordinary schools. There are 492 public schools and 16 independent schools and 1 is a special needs school. Among those aged 20 years and older, a quarter (25%) have completed only primary school or lower. A third (33%) have completed some secondary school (without matric). Only 39.6% (151 428) of those aged 20 years and older in the District have completed matric or higher which is lower than the provincial rate of 45.85%. The PROFILE: UGU DISTRICT 15

figure below (Figure 1) is a graphical presentation of the level of education among the 20-year olds and older in the Ugu District.

There are 29 libraries in the Ugu District area of jurisdiction, most of which are located in the Ray Nkonyeni Local Municipality. There is, however, at least one library in each local municipality according to the Ugu DM’s IDP 2019/20. There are only two museums in the District and all located in the Ray Nkonyeni Local Municipality.

A skills audit for the rest of the district is still being conducted. The skills audit (Water Services) has been conducted and its results are what determine the priority training interventions required. The summary of training interventions targeted is:  Multi-skilling of other general workers to improve morale is required.  A Special type ABET programme will be rolled out to address illiteracy.

4. Drivers of the Economy

4.1 Structure of the Economy With a GDP of R 38.6 billion in 2019 (up from R 20.1 billion in 2009), the Ugu District Municipality contributed 4.80% to the KwaZulu-Natal Province GDP of R 805 billion in 2019, which has increased in the share of the KwaZulu-Natal from 2009. In 2019, the Ugu District Municipality achieved an annual growth rate of 1.31% which is a significantly higher GDP growth than the KwaZulu-Natal Province's -0.07%.

The District ranked fourth relative to all the regional economies to total KwaZulu-Natal Province GDP. This ranking in terms of size compared to other regions of Ugu remained the same since 2009. In terms of its share, it was in 2019 (4.8%) slightly smaller compared to what it was in 2009 (4.9%). For the period 2009 to 2019, the average annual growth rate of 1.8% of Ugu was the seventh relative to its peers in terms of growth in constant 2010 prices. Community services sector is the largest within Ugu District, accounting for R 8.07 billion or 23.4% of the total GVA in the district municipality's economy.

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4.2 Primary Sector

According to the 2018 Ugu District Growth and Development Strategy, the economic profile of the district is defined by the diversity in economic sectors with the key sectors being tourism, agriculture, manufacturing, community services, construction, trade, the informal sector and transportation. It is worth noting that the district’s climate is well suited for agriculture and is thus seen as an opportunity for supporting growth. The district has large tracts of fertile land, a subtropical climate with high temperatures and a good water supply. The main agricultural activities within the district consists of crop farming, with sugar cane and bananas being the main crops in addition to others.

The LED strategy of the District further calls for the consideration of agricultural opportunities throughout all the agriculture sectors of the four local municipalities. By adding value through developing upstream agricultural activities. It is worth noting that the agricultural sector is faced with a number of challenges, such as the lack of tenure security both for commercial and emerging farmers. The lack of title deeds restricts access of emerging farmers to loan finance.

According to the 2018 Ugu District Growth and Development Strategy, production could be dramatically increased within the district in the large tracts of fertile, undeveloped land within Ingonyama Trust areas offers a major opportunity. In particular, opportunities exist for expansion in industries such as poultry, tunnel farming, sugar, macadamia, essential oils and bananas. However, the emerging agricultural sector face major challenges such as a lack of access to sufficient capital and operational funds, experience and equipment’s. The small-scale farmers also battle to access formal markets and compete with established commercial farmers The district also has an opportunity to explore the tourism sector to support and enhance linkages of coastal tourism to rural tourism through the Southern Explorer route. Having noted the above challenges. The SDF expresses broad inter alia developmental challenges that affect the district in attracting investment such as:  Lack of infrastructure  Ageing infrastructure  Water supply interruptions PROFILE: UGU DISTRICT 17

 The unavailability of water leads to severe and critical health, food insecurity, holds back LED implementation, food production costs and reliance on irrigation;

4.2 Secondary Sector The sector that contributes the second most to the GVA of the Ugu District Municipality is the trade sector at 19.6 %, followed by the finance and manufacturing sector with 14,8 % respectively.

4.3 Tertiary Sector The sector that contributes the least to the economy of Ugu District Municipality is the mining sector with a contribution of R 170 million or 0.49% of the total GVA.

5. Service Delivery

The 2020/21 IDP of the Ugu District Municipality approved on 28 May 2020 reports that the major basic service challenge faced by the district is the slow pace of backlog eradication and high levels of aged infrastructure. The ageing infrastructure results in high maintenance costs which have an adverse effect on the eradication of backlog programme due to limited funding. The IDP further indicates that there is also a challenge of high levels of illegal connections which further strain the available resources.

5.1 Water According to the 2020/21 IDP of the Ugu Districts, which drew data from the Community Survey (2016) more than two-thirds (71.5%) of the households have access to piped water. This is equivalent to 125 305 households of the total 175 146 households in the district having access to piped water. This figure is, however, in dissonance with a figure reported by the IHS Markit Regional eXplorer version 1946, which reported significantly lower figures of 21.93% of households having piped water inside the dwelling, 9.39% of the households having piped water inside the yard, and a total of 16.51% of the households having no formal piped water.

The report of the Department of Water and Sanitation (DWS) as per Table 4 below shows that a total of 3 970 water tanks and 532 water tankers were allocated to the

18 PROFILE: UGU DISTRICT

Kwa-Zulu Natal Province since the COVID-19 lockdown period on 26 March 2020. Of these, 342 water tanks and 54 water tankers were allocated to the Ugu District. All the tanks and tankers allocated to the District are in use currently.

NUMBER OF NUMBER TANKS TANKS TANKS TANKERS TANKERS MUNICIPALITIES TANKS TANKERS DELIVERED INSTALLED IN USE DELIVERED IN USE ALLOCATED ALLOCATED KZN 4211 4200 3235 3250 532 532 532 Ugu District 342 192 342 342 54 54 54 Table 1: Delivery and Installation of Water Tanks and Tankers by DWS as 02 June 2020 Source: Department of Water and Sanitation (02 June 2020)

5.2 Human Settlements The total estimated demand for housing within Ugu District Municipal area of jurisdiction is 59 868 units. These include UMdoni (17 711), UMzumbe (18 107), Ray Nkonyeni (10 793) and UMuziwabantu (13 257). This total number has subsequently increased by another 4 885 according to the Kwa-Zulu Natal provincial Department of Human Settlements’ Strategic Plan for the period 2015/16 - 2019/20, which reported that housing backlog in the Ugu District now stands at 64 753 units. This accounts for 8.73% of the total housing backlog of 742 019 in the province.

The largest proportion of this backlog in the District is made of households living in traditional dwelling/hut/structure made of traditional materials, amounting to 53 132. On the other hand, shacks in back yard account for the smallest proportion at 2 107. Umdoni LM is the municipality with the highest housing need in the Ugu District according to the housing needs assessment conducted by the Provincial Department of Human Settlements.

5.3 Sanitation

Due to its mixed urban and rural nature, the sanitation service provision in the Ugu District area of jurisdiction is broken down into two main categories, i.e., urban and PROFILE: UGU DISTRICT 19

rural sanitation. The urban sanitation simply refers waterborne sewer and the rural sanitation category refers the pit toilets with ventilation (VIPs).

Table below shows that across the different categories of waterborne (flush) toilets, ecological and the VIP-type toilets, 71% (124 044) of the households have access to adequate sanitation in the Ugu District municipal area.

Table 2: Access to Sanitation Services per Municipality in the Ugu District Source: Ugu District Municipal IDP 2020/2021

The Integrated Waste Management Plan (IWMP) has been drafted in all Local Municipalities which intends to provide the extension of waste management services to areas which are not currently serviced by municipalities, notably in rural areas. It is necessary to implement the recommendation as included in the implementation plan of the IWMP.

5.4 Roads and Transport

The road hierarchy in the district starts with national roads, then provincial roads down to local municipal roads. The N2 runs parallel to the coast with plans to extend this

20 PROFILE: UGU DISTRICT coastal route into the Eastern Cape. The provincial road network provides a high proportion of the road network in Ugu and covers a vast range of types of roads from main regional links (class 2) through to local roads (class 7). In terms of road usage, up to date traffic volume data is only available for the N2 and R103.

The largest traffic volumes pass along the N2 towards Port Shepstone, and further towards Kokstad, as well as along the R61 from Port Shepstone towards Port Edward. Large volumes of traffic also pass along the R612 from Park Rynie to Ixopo and the road from Umtentweni to St Faiths. Access to road infrastructure varies across the district, especially between rural and urban areas. Access to transport is measured in terms of the percentage of households that have access to Level 1 and Level 3 roads (i.e. national, main and district roads).

Access to public transport is a major development challenge within the Ugu District and a potential factor in increasing access of communities to economic opportunities. 87% of public transport users within the district are dependent on mini bus transport, compared to 9% dependent on bus transport. In instances, where bus services are available, they transport more commuters than the mini bus taxi service.

Access to rail transport is limited within the region. The metropolitan rail system serving eThekwini only reaches the northern extremity of the Ugu area with three stages in the Umdoni municipality, namely Kelso, Park Rynie and Scottburgh. Although the south coast railway line is electrified and in use by Transnet Freight Rail as south as Port Shepstone, no commuter services are offered beyond these three stations.

5.5 Electricity

In total, 85% of the households have access to electricity in the Ugu District, 3% of which is from other sources such as solar and others. This means that the total number of households that do not have access to electricity in the Ugu District area of jurisdiction is only 26 271 (15%). The 2020/21 IDP reports that major backlogs are in the Umzumbe and Umdoni Local Municipality areas, amounting to 28% and 19%, PROFILE: UGU DISTRICT 21

respectively. This access to electricity increased by 12% from 70% in 2011 to 82% in 2016.

The IHS Markit Regional eXplorer version 1946 reports a marginal increase of access to electricity in the Ugu District. According to the 2019 IHS Markit report, the District had a total percentage of 9.94% of households with electricity for lighting only, a total percentage of 76.14% of households with electricity for lighting and other purposes, making it a combined total percentage of 86.08%, up by 1.08% from the 85% reported in the IDP 2019/20 of the municipality. Consequently, only a total percentage 13.91% of households did not have electricity.

6 Governance and Management

6.1 Municipal Performance

The Local Government Municipal Structures Act, 117 of 1998 (MSA) as amended prescribed that the Municipal Council meets at least quarterly. The MSA provides for the establishment Committees of Council. In the case of KwaZulu/Natal this includes the Executive Committee which is the principal committee of Council. Other committees include Portfolio Committees, the Municipal Public Accounts Committee (MPAC) and the Audit Committee. These structures collectively form what is commonly referred as the oversight structures of Council.

The Executive Committee reports directly to the Municipal Council in terms of section 44 of the MSA. Both the MPAC and the Audit Committee report directly to Council. Where the Municipal Council has established other standing committees, these report directly to the municipal council, for instance, the Rules Committee. Portfolio Committees on the other hand report to the Executive Committee and section 80 of the MSA prescribes that these Committees must be chaired by members of the Executive Committee. The number of Portfolio Committees established by the Municipal Council may not exceed the number of Executive Committee members prescribed for that municipality.

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The report considers the functionality of the Troika (a group of three people working together) even though this structure is not legislated as yet. It is thus anticipated that there will be variances in the extent to which this structure is effective in various municipality.

Table below considers the functionality of Council Governance Structures.

Issue Baseline Target Municipality Actual Actual Corrective Measures Achievement as Achievement at 30 September as at 30 2019 December 2019

Functionality Ugu Functional Functional Monitor and ensure of Council Council considers Meeting held Ray Nkonyeni Functional Functional reports from Exco (Sec once per 44) and adopts Annual June 2019 – No quarter, Umdoni Functional Functional Report, Oversight Councils were consider and Report, Adjustment classified as adopt Umzumbe Functional Functional Budget, Draft Budget poorly functional legislated and for 20/21, IDP Review, key reports Audit Strategy and Umuziwabantu Functional Functional Action Plan, Procurement Plan 20/21

Generally, the Council is playing its oversight role in Ugu, however, Council may need to improve its oversight to positively impact the audit outcomes. Council’s must ensure that consequence management is implemented where necessary for non-compliance and misconduct The Ugu District Municipality has met the requirements of the Municipal Systems Act and the Municipal Finance Management Act in respect of the adoption of the IDP, Budget, SDBIP and the Annual Report. The Ugu District Municipality has advised that the SDBIP for the 2019/20 financial year has been adopted by the Mayor. The Standing Rules and Orders, Delegations Register and By-Laws have been adopted by the Municipality.

The Ugu District Municipal Executive Committee is monitoring the implementation of the IDP and the Budget as well as the functionality of their respective Portfolio Committees. PROFILE: UGU DISTRICT 23

Municipal Public Accounts committee (MPAC) are functional except at Umzumbe Local Municipality where it was reported that report to MPAC are getting intercepted by some councillors. In the Ugu District Municipality all MPAC committee members have been trained and the MPAC Committee has adopted an annual work plan/programme.

6.2 Municipal Capacity

At the time of the assessment, three vacancies existed in the Ugu District Municipality, that of the Mayor and two PR Councillors. The table below does have enough information. The below table shows the filling of vacant posts.

6.3 Traditional Affairs Governance

The Khoi-San consists of five main groupings namely the Cape-Khoi, Griqua, Koranna, Nama and San. Many of these main groupings have various subgroupings. While legislation has over many decades made provision for the statutory recognition of traditional communities and leaders, there has never before been provision for similar recognition of the Khoi-San communities and leaders.

24 PROFILE: UGU DISTRICT

The Traditional and Khoi-San Leadership Act, 2019 (Act No. 3 of 2019), which was published in the Government Gazette on 28 November 2019, is of historic value as it is the first legislation that provides for the statutory recognition of the Khoi-San communities and leaders, provided they meet the criteria contained in the Act. However, the Act has not yet commenced, because its commencement date has not yet been proclaimed. Once the Act commences, a Commission on Khoi-San Matters will be established to receive and investigate applications for recognition of Khoi-San communities and leaders. The Commission will make recommendations to the Minister in this regard and the Minister will have the power to recognize such communities and leaders. There is thus currently no legally recognized Khoi-San communities or leaders in South Africa. The Act makes provision for two Khoi-San leadership positions namely senior Khoi-San leaders and branch heads. The recognized senior Khoi-San leaders will have personal jurisdiction over their communities.

In the case of traditional leaders, they are legally recognized at all levels (kingship, queenship, principal traditional leadership, senior traditional leadership and headmen/headwomen). However, although the existing Traditional Leadership and Governance Framework Act, 2003 (Act No. 41 of 2003)(Framework Act), makes provision for the establishment of traditional leadership structures such as kingship or queenship councils, principal traditional councils and traditional councils, the timeframes within which these structures had to be legally constituted or reconstituted have lapsed. Until such time that the relevant traditional leadership structures have been legally constituted or reconstituted, their legal status and standing will remain uncertain and could be challenged. This may also impact negatively on the statutory duties and responsibilities of such structures. Currently, there is no enabling legislation to legally reconstitute them. The Traditional Leadership and Khoi-San Leadership Act will provide enabling legislation for their legal constitution. However, the Act has not yet commenced due to the reasons alluded above and therefore the enabling provisions in the Act cannot be used at this stage to reconstitute these structures

PROFILE: UGU DISTRICT 25

6.3.1 Participation of traditional leaders in municipal council processes

In KwaZulu Natal traditional leaders have been identified for the purposes of participation as contemplated in the Act and it was done through a Provincial Gazette as required by section 81(2) of the Act. Traditional leaders identified participate in the proceedings of the municipal councils. There is a system of rotation of participating traditional leaders on a five-year cycle. All municipal council does not allow traditional leaders to address the council, however they participate and sit in council committees. The municipalities pay the participating traditional leaders an allowance. They are paid an out of pocket expenses (subsistence and travelling expenses). The table below depicts the number of participating traditional leaders per District and Local Municipality.

DISTRICT/LOCAL MUNICIPALITY IDENTIFIED TRADITIONAL LEADERS Ugu District Municipality 7 uMdoni Local Municipality 7 uMzumbe Local Municipality 7 uMuziwabantu Local Municipality 4 Ray Nkonyeni Local Municipality 7 TOTAL 32

The Ugu District has a Local House of Traditional leaders consisting of forty two (42) traditional councils. All the local houses of traditional leadership have met once a quarter as have the EXCOs.

7 Projects to Diversify and Grow People and the Economy

7.1 Social Development Projects The social development projects consists of the building of schools and ECDs, and the upgrading of health centres. The tables below highlight each project and budget.

26 PROFILE: UGU DISTRICT

NO KZN Nature of project Budget DEPARTMENTS 2019/20

1 Education MABUTHELA HIGH SCHOOL 1432000 INKANYEZI YAMACHI PRIMARY SCHOOL 15782865 CONISTON PRIMARY SCHOOL 2075000 AMANDLALANATHI PRIMARY SCHOOL 900000 KHABA JUNIOR SECONDARY SCHOOL 66000 UGU CIVIL/STRUCTURAL 2804000 FUMANA SECONDARY SCHOOL 250000 IMBIZANE PRIMARY SCHOOL 1500000 GALENI HIGH SCHOOL 767000 ROSEVILLE SECONDARY SCHOOL 608000 UMTAMTENGWAYO PRIMARY SCHOOL 15654000 (MAKHANYA) 206000 ZEMBENI SENIOR PRIMARY SCHOOL 332000 INHLASANA PRIMARY SCHOOL 429000 NONGWINYA PRIMARY SCHOOL 230000 ST FRANCIS PRIMARY SCHOOL 1588000 ST THERESA PRIMARY SCHOOL 1854000 VUKAPHI PRIMARY SCHOOL 612000 SEZELA PRIMARY SCHOOL 27512353 MERLEWOOD INTERMEDIATE SCHOOL 21000 MZUKELA PRIMARY SCHOOL 182000 SIDUMILE PRIMARY SCHOOL IMPUMELELO SENIOR PRIMARY SCHOOL SIKANISWENI SECONDARY SCHOOL ITHONGASI PRIMARY SCHOOL 881000 21000 182000

Education 271000 ISIKHUTHALI PRIMARY SCHOOL 52000 ENTABENI PRIMARY SCHOOL 307000 INDUNDUMA PRIMARY SCHOOL KWAHLONGWA PRIMARY SCHOOL (RETENDER) PROFILE: UGU DISTRICT 27

UGU PRIMARY SCHOOL SIYEPHU PRIMARY SCHOOL NOMAGEJE PRIMARY SCHOOL MHLANGAMKHULU PRIMARY SCHOOL INQANULA PRIMARY SCHOOL (RETENDER) 556000 MGAI PRIMARY SCHOOL 363000 BEAULAH PRIMARY SCHOOL 271000 EMJALISWENI PRIMARY SCHOOL 2349000 UMVOLOZI PRIMARY SCHOOL 836000 MCELENI PRIMARY SCHOOL 386000 IFAFA JUNIOR PRIMARY SCHOOL 380000 ISUBALASHA PRIMARY SCHOOL 21000 DUNYWA PRIMARY SCHOOL 271000 BUHLEBEZWE PRIMARY SCHOOL 539000 UGU ELECTRIFICATION 520000 305000 867000

Education 271000 ISIKHUTHALI PRIMARY SCHOOL 52000 ENTABENI PRIMARY SCHOOL 307000 INDUNDUMA PRIMARY SCHOOL

KWAHLONGWA PRIMARY SCHOOL

(RETENDER)

UGU PRIMARY SCHOOL

SIYEPHU PRIMARY SCHOOL

NOMAGEJE PRIMARY SCHOOL

MHLANGAMKHULU PRIMARY SCHOOL 556000 INQANULA PRIMARY SCHOOL 363000 (RETENDER) 271000 MGAI PRIMARY SCHOOL 2349000 BEAULAH PRIMARY SCHOOL 836000 EMJALISWENI PRIMARY SCHOOL 386000 UMVOLOZI PRIMARY SCHOOL 380000 MCELENI PRIMARY SCHOOL 21000 IFAFA JUNIOR PRIMARY SCHOOL 271000 ISUBALASHA PRIMARY SCHOOL 539000 DUNYWA PRIMARY SCHOOL 520000 BUHLEBEZWE PRIMARY SCHOOL 305000 UGU ELECTRIFICATION 867000

28 PROFILE: UGU DISTRICT

2 Social Masimbambisane Creche 180000 Development Siyathuthuka Creche 180000

3 Sports & Mgamule C School Combo Court R490 626,80 Recreation Gamalakhe Hub Centre R364 835,00 Khakhamela P School ECD's R60 000,00 Thandokuhle Creche ECD's R60 000,00 Isisekelo Creche ECD's R60 000,00

4 Health Murchison Hospital - Upgrade Neonatal Nursery and Waste Centre 500000 Mthimude Clinic - Upgrade and Extend Existing Clinic 300000 Gamalakhe CHC- Scheduled Maintanance 100000 Murchison Hospital - Scheduled Maintenance 800000 Turton CHC: Day-to-Day/ Corrective Maintenance 996000 Murchison Hospital: Installation of booster pump and auxillaries to 887575 an existing waters 9000000 MUgu District Office - Day to day Maintenanceurchison Hospital- 5000 Alterations and Renovations to Staff Accommodation 70000 Ugu EMS (4): Day-to-Day/ Corrective Maintenance 1000000 Port Shepstone Hospital - Scheduled Maintenance 2900000 Murchison Hospital - Replace Theatre A/C Plant 450000 Gamalakhe CHC-Day-to-Day/ Corrective Maintenance 2400000 Murchison Hospital - Day-to-Day/ Corrective Maintenance 4000000 Port Shepstone Hospital-New 28 bedded Psychiatric Unit 600000 St Andrew Hospital - Day-to-Day/ Corrective Maintenance 2500000 GJ Crookes Hospital -Day-to-Day/ Corrective Maintenance 2900000 St Andrews Hospital - Institutional Based Minor Maintenance 7405000 Projects 20000 Murchison Hospital Institutional based Maintenance Projects 100000 Ugu District Office - Scheduled Maintenance 8500000 Dunstan Farrel TB Hospital- Day to Day/ Corrective Maintenance Port Shepstone Hospital: Urgent repairs to fire damage

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7.2 Spatial Development The Provincial Human Settlements Master Spatial Plan for KwaZulu-Natal estimated the housing backlogs for Ugu District, based on a comparison of figures contained in the District IDP and figures provided by Stats SA. In order to eradicate the housing backlog the Provincial Human Settlements Master Spatial Plan for KwaZulu-Natal provides the following envisioned Spatial Interventions and Targets for the Ugu District.

The settlement density from a spatial perspective is provided in the figure below. Figure 2: Settlement Densities

Table 3: Human Settlement Interventions UGU DM SPATIAL INTERVENTIONS Upgrade Dense-Informal Settlements Provide sustainable service delivery mechanisms to scattered settlements e.g. rain water harvesting & solar energy Development of Affordable and Social Housing in areas of demand Investigate establishment of an Old Age Home in Ugu Maintenance & upgrade of towns in terms of SDF nodal plans (including Margate Urban renewal project & Harding CBD redevelopment)

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Upgrade Dense-Informal Settlements Provide sustainable service delivery mechanisms to scattered settlements e.g. rain water harvesting & solar energy Development of Affordable and Social Housing in areas of demand Source: KZN Human Settlements Master Plan 2016

The Informal Settlement Eradication Strategy for KwaZulu-Natal (2011) identifies Ray Nkonyeni Municipality as one of the 15 strategic priority areas for strategies and plans to address informal settlements. It identifies four informal settlements and suggests that approximately 4 483 households reside in these areas. The areas being: Bhobhoyi Phase 2 with 1100 households; Louisiana with 1000 households; Masinenge with 1542 households and Mkholombe with 1600 households.

7.3 Infrastructure Projects

NO KZN Nature of project Budget DEPARTMENTS 2019/20

1 Human KwaMadlala Rural Housing Rural In-Situ Upgrade R126 954 730.00 Settlements KwaXolo Rural Housing Rural In-Situ Upgrade Gamalakhe In-situ Upgrade Rural In-Situ Upgrade R144 195 388.00 Umzumbe Cluster “D” Rural Housing Project Rural Housing R63 427 145.0 Malengeni Rural Housing Project Rural Housing Amandawe Rural Housing Project Rural Housing 67 533 190.00 64 015 015.00 52 772 800.00

7.4 Economic Projects

The district is committed to dealing with the triple threat challenge which is poverty, inequality, and unemployment. A total of 3 450 job opportunities will be created, and 450 SMMEs, Cooperatives, and Informal 17

Business Sector will be trained during the current IDP period. Furthermore, the district will ensure the development of the main economic sectors such as agriculture and explore green economic initiatives. In terms of community development, the PROFILE: UGU DISTRICT 31

municipality will ensure implementation of seven programmes per annum for vulnerable groups and consistent promotion of youth development.

7.5 Environmental forecasts No information here

8 Key Recommendations

8.1 Prioritise Integrated Development Plan

 Supply of 92 static tanks.  Operation Khawuleza Water & Sanitation 2 x Water tanker  Short Term Interventions (ex WSA):

SHORT TERM INTERVENTIONS (ex WSA) WSA LM SCHEME/AREA PROJECT/INTERVENTION REQUIRED IMPACT IMMEDIATE COST UGU Vari Spring Protection - assessment R4 300 000 R50 670 people ous in 7 989 households Umd KwaLembe RBWSS Extention of Kwalembe water supply R21 011 oni scheme, comprises Bhudubhudu 910 Ntabesikopo, Ntshaseni, Ntshingwana, KwaLembe, Izimpethu-Zendlovu, mKhuya, Emandleni, KwaQiko, Dududu and the “R1” reservoir zone at the boundary of Ugu and eThekwini.

Scope: Weir cross Mkomass river, upgrade abstraction works, new 6 ml/day WTW, 2 new pumpstations, 5 new reservoirs, new 355 mm and 400mm pipelines.

32 PROFILE: UGU DISTRICT

Umthavuna Raw Water abstraction pump station and water treatment works (WTW) R25 311 910 State of Water Report  Medium / Long Term Interventions – Ugu District (ex WSA):

MEDIUM / LONG TERM INTERVENTIONS – UGU DISTRICT (ex WSA) WSA LM SCHEME/AR PROJECT/INTERVENTION IMPACT EA REQUIRED IMMEDIATE COST UGU Umdoni Vulamehlo Phased R382 000 Will also supply Cross Boder 000 part of Harry Gwala BRWSS District Umuziwab Harding Weza Dam and transfer system, R115 000 This will include the antu RBWSS upgrading of Weza 000 Weza Dam funded treatment works from by MIG 6ml/day to 14 ml/day, bulk supply scheme – resevrvoirs, pumps station and pipelines, reticulation networks.

R497 000 000 State of Water Report

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Ugu District Municipality has identified 16 more catalytic projects that will be a driver for change in the Ugu District area of jurisdiction: o Margate airport to cater for larger carriers o Port Shepstone beachfront redevelopment o Port Shepstone Government Precinct / Mixed Use More: Development of a Government Complex o Port Shepstone Government Precinct / Mixed Use More: A 74-km walking, hiking, cycling and horse riding trail linking RNM and Umzumbe. o Umzumbe River Trail - R35m o KwaXolo Adventure Centre o Fallow fields cultivation - Tea Tree, Moringa, Macadamia o Murchisson Mixed Use Node o Renewable energy – KwaMachi bioethanol o Forestry Industrialization o Scottburgh Beachfront redevelopment o Ifafa Industrial Park o Amandawe Precinct Plant o Rural Events and Wedding Centre o Fish farm o Turton Beachfront development

8.2 Investor and Sponsorship opportunities

Ugu Traditional leaders have partnership with the private organization which directly deals with Agricultural projects. Umnotho Business Development Agent (UBDA). There was an agreement between Amakhosi and UBDA, memorandum of understanding was signed. The agreement clearly state how the projects will improve economy in all the targeted traditional council.

34 PROFILE: UGU DISTRICT