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District Profile Eastern Cape Ukhahlamba District Municipality (DC14)

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Annexure 4: District Profile Eastern Cape Ukhahlamba District Municipality (DC14) Programme of Support to Local Economic Development in the Eastern Cape Eastern Cape Competitive Advantage Assessment And Training Support Project Produced by Melinda McCann For European Consultants Organisation (ECO) EC FRAMEWORK CONTRACT AMS/451 – LOT N°9 MISSION N°2005/109496 Contents 1 District Profile: Ukhahlamba Municipality(DC14) ________________________ 3 2 The District Development Framework: Ukhahlamba District Municipality (DC44) ___ 9 2.1 Key Elements of Municipal Competitive Advantage ___________________ 9 3 The Local Development Framework: Elundini Local Municipality (EC141) ______ 12 3.1 Key Elements of Municipal Competitive Advantage __________________ 12 4 The Local Development Framework: Senqu Local Municipality (EC142) ________15 4.1 Key Elements of Municipal Competitive Advantage ___________________15 5 The Local Development Framework: Maletswai Local Municipality (EC143) _____ 18 5.1 Key Elements of Municipal Competitive Advantage __________________ 18 6 The Local Development Framework: Gariep Local Municipality (EC144) _______ 21 6.1 Key Elements of Municipal Competitive Advantage __________________ 21 District Profile: Ukhahlamba District Municipality (DC14) 1 District Profile: Ukhahlamba 1 Municipality(DC14) The Ukhahlamba District Municipality (UDM), one of the four Provincial ISRDP nodes, is a landlocked district occupying the north-eastern portion of the province, bordered by Lesotho and by the Northern Cape and Free State provinces, and by the Eastern Cape districts of Chris Hani, Alfred Nzo and OR Tambo (refer to 1.3). The District is principally constituted of the former Cape Provincial areas of the Karoo, with parts of the former Transkei in the north-east. UDM is predominantly mountainous and vegetated by grassland, with areas of semi-arid Karoo and highveld from the west to a central portion and areas of high rainfall to the east. Ukhahlamba extends over 25,401.16km2 and incorporates 11 former magisterial districts into four local municipalities and the Oviston Nature Reserve District Management Area (DMA). ECDMA14 incorporates the Gariep Dam and was established for the reason of being a provincial nature reserve; it extends over 77.31km2 and is home to approximately 12 people. ECDMA14 may be re-demarcated as its current boundaries do not accurately follow the extents of the Gariep Dam. Ukhahlamba is the least populated of all districts – it accounts for 15.16% of the provincial land area, but only 5.16% of the population. While urbanisation stands at only 22.87%, the highest rate of urbanisation after the Metro is reflected for Maletswai (86.66%) with Gariep also reflecting a significant level of urbanisation (71.70%). Senqu, home to the District’s administrative centre of Barkly East, accounts for the highest formal employment contribution (32.02%) and second highest GDP contribution (26.05%) in Ukhahlamba. Maletswai, including the town of Aliwal North sited on the N6 to Buffalo City, accounts for the greatest contribution (29.75%) to GDP, but the lowest share of formal employment (19.70%) in the District. Ukhahlamba is classified as a Category C2 municipality, indicating a largely rural character and low urbanisation rate, as well as limited municipal staff and budget capacity. Senqu and Elundini are classed as Category B4 (rural, mainly subsistence), and Maletswai and Gariep as B3 (small towns, agricultural) municipalities, similarly reflecting limited institutional capacity and areas characterised by small centres, limited SMMEs and market opportunities, greater dependence on public support and LED activities that are principally at the level of the small project. 1 Sources: MDB 2003, Global Insight 2005, Ukhahlamba IDP 2005, ECSECC 2002-2005, ECDC 2003, Department of Social Development 2005 Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) Ukhahlamba’s share of total provincial GDP amounts to only 2.09%, while contribution to formal employment (3.22%) is slightly higher. The District’s principal sectoral employer (37.39%) and contributor to GVA (42.01%) is community services. This pattern of reliance on government and community services is reflected across all but Gariep municipality where agriculture is the dominant contributor to both GVA-R (45.51%) and employment (46.31%). The overwhelming majority (82.94%) of the District’s residents live in poverty, while the poverty gap of R594.58m accounts for 6.67% of the provincial total. The HDI is low for Ukhahlamba (0.45) and only Maletswai scores above the provincial average (0.52). More than half (50.37%) of the Ukhahlamba population is younger than 20 years, suggesting high youth dependency and economic underdevelopment, while further highlighting the need for sustainable employment creation. Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) 1.1. Baseline District and Local Municipal Statistics B4 B4 B3 B3 C2 Ukhahlamba Categories 2004 Elundini Senqu Maletswai Gariep DM Area (km2) (MDB)2 5,358.75 6,770.74 4,357.78 8,836.58 25,401.16 Population (No.) 145,174 144,094 32,142 32,823 354,234 Urbanisation Rate (%) 11.22 9.26 86.66 71.70 22.87 Density (people/km2) 27.00 21.27 16.20 3.71 15.41 Black 98.66 97.85 79.3174.00 94.29 White 0.69 1.03 10.2210.49 2.60 Demographics (%) Coloured 0.62 1.11 10.4315.47 3.09 Asian 0.03 0.01 0.030.03 0.02 Female 54.22 52.50 53.7251.58 53.23 Gender (%) Male 45.78 47.50 46.2848.42 46.77 0-4 12.83 10.88 8.999.55 11.39 5-19 40.38 39.99 33.7833.52 38.98 Age (%) 20-64 40.29 42.69 50.9050.05 43.13 65+ 6.50 6.44 6.346.88 6.50 HDI 0.45 0.44 0.530.48 0.45 HIV Prevalence (%, 2003) 3 24.90 Functional Literacy (%) 52.86 52.19 64.94 48.63 53.40 None 9.51 10.48 8.7016.51 10.53 Education Levels Grade 12 6.00 6.50 15.41 9.91 7.55 (% age 15+) Tertiary 2.76 3.52 6.31 7.50 3.91 R0-200 10.44 8.67 4.40 5.44 8.75 Household Monthly R201-1000 36.64 36.47 23.24 29.53 34.76 Income Levels (%) R1001-2500 27.04 29.51 29.44 25.37 28.08 GDP per capita (R'000)4 2.57 3.45 17.6414.29 5.38 Unemployment (%)5 66.52 66.49 41.4546.05 60.41 2 Municipal Demarcation Board – Global Insight geographic areas used for all other categories for internal integrity 3 EC Department of Health 4 GDP by Region (GDP-R) at Current Prices 5 Expanded definition Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) Dependency Ratio 4.38 3.91 2.26 2.13 3.62 Financial Grant Dependency6 81.67 16.826.61 112.21 Water 19.94 40.73 76.7590.15 41.26 Access to basic Sanitation 43.08 56.98 53.86 41.95 49.54 services Electricity 11.57 62.07 57.54 74.76 43.09 (% Households, Refuse 11.10 11.35 68.1170.11 23.51 2001) Housing 96.60 94.75 65.67 88.55 91.48 6 % of municipal 2002/03 budget constituted of grants/subsidies and transfers/allocations Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) 1.2. The District Space Economy Conceptual map providing overview of socio-economic context and of spatial linkages and surfaces across the district. Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) 1.3. Competitive Advantage Profiles The elements of municipal competitive advantage, as introduced in Section 3, are explored below for the District and Local Municipalities. Annexure 4: District Profile: Ukhahlamba District Municipality (DC14) 2 The District Development Framework: Ukhahlamba District Municipality 7 (DC44) Ukhahlamba envisions an “improved quality of life for all residents”. The District’s core goal is to fight against poverty through stimulating economic growth and increasing households’ ability to provide for themselves by meeting basic needs, improving service delivery quality and capacitating local government. Identified key development priorities are agriculture, tourism, labour- based activity and pro-poor activities. In addition, the emphasis of development programmes will be placed on strategic areas, such as Aliwal North. The area currently produces a marginal contribution to provincial GGP but it is hoped that, through LED initiatives, such as support of existing businesses and assistance with new community based enterprises, the area will be set to contribute more in the future. The District’s LED Strategy identifies a thriving and expanding market in the area, however it is believed that marginalized sectors are being left behind and that around 60% of input requirements are sourced beyond the District (significantly Bloemfontein), which could be reduced. The Municipality plans to implement its LED strategy and to establish two kinds of LED institutions in the District, namely: an LED planning unit, headed by an LED officer with six support staff, tasked with planning, mobilization and project implementation; and a section 21 agency, with a board of directors, with the function of securing project funding and investment and managing contracts. 2.1 Key Elements of Municipal Competitive Advantage 2.1.1 Infrastructure and Services Ukhahlamba includes two relatively high performing (Gariep, Malestwai) and two relatively low performing (Senqu, Elundini) local municipalities in respect of the Infrastructure and Services Index. Overall, the District fares better on Quality of Life than on Communications and Economic Infrastructure measures. With the exception of Maletswai, road surfacing is limited and the District’s remoteness from a major economic hub tends to lower the Communications score. Nonetheless, the area of cellular network coverage is considerable and telephone access is likely to increase, while investment in water, sanitation and roads, particularly in the Elundini area, will enhance the area’s performance.
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  • Municipalities Per Province on HSS on NHNR Only Total Eastern Cape

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    On Municipalities per Province On HSS NHNR Only Total Eastern Cape 64960 456947 521907 AMAHLATI LOCAL MUNICIPALITY 428 6624 7052 BLUE CRANE ROUTE LOCAL MUNICIPALITY 218 4364 4582 BUFFALO CITY LOCAL MUNICIPALITY 12129 67820 79949 DR BEYERS NAUDE LOCAL MUNICIPALITY 339 9524 9863 ELUNDINI LOCAL MUNICIPALITY 39 1433 1472 EMALAHLENI LOCAL MUNICIPALITY 2211 21419 23630 ENGCOBO LOCAL MUNICIPALITY 2492 26861 29353 ENOCH MGIJIMA LOCAL MUNICIPALITY 4376 17788 22164 GREAT KEI LOCAL MUNICIPALITY 257 5035 5292 INGQUZA HILL LOCAL MUNICIPALITY 46 1285 1331 INTSIKA YETHU LOCAL MUNICIPALITY 501 7790 8291 INXUBA YETHEMBA LOCAL MUNICIPALITY 1452 9108 10560 KING SABATA DALINDYEBO LOCAL MUNICIPALITY 265 9239 9504 KOUGA LOCAL MUNICIPALITY 838 3337 4175 KOU-KAMMA LOCAL MUNICIPALITY 2 253 255 MAKANA LOCAL MUNICIPALITY 106 2531 2637 MATATIELE LOCAL MUNICIPALITY 5289 40098 45387 MBHASHE LOCAL MUNICIPALITY 613 20668 21281 MBIZANA LOCAL MUNICIPALITY 12 859 871 MHLONTLO LOCAL MUNICIPALITY 7 126 133 MNQUMA LOCAL MUNICIPALITY 642 15886 16528 NDLAMBE LOCAL MUNICIPALITY 402 6990 7392 NELSON MANDELA BAY METROPOLITAN 19555 66589 86144 NGQUSHWA LOCAL MUNICIPALITY 107 1686 1793 NTABANKULU LOCAL MUNICIPALITY 385 18024 18409 NYANDENI LOCAL MUNICIPALITY 3253 34387 37640 PORT ST JOHNS LOCAL MUNICIPALITY 18 480 498 RAYMOND MHLABA LOCAL MUNICIPALITY 3 92 95 SAKHISIZWE LOCAL MUNICIPALITY 2400 7215 9615 SENQU LOCAL MUNICIPALITY 128 522 650 SUNDAY'S RIVER VALLEY LOCAL MUNICIPALITY 57 741 798 UMZIMVUBU LOCAL MUNICIPALITY 5960 37810 43770 WALTER SISULU LOCAL MUNICIPALITY 430 10363