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Growth & Development Summit 2007

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GROWTH & DEVELOPMENT SUMMIT 2007 DISTRICT SOCIO-ECONOMIC PROFILE CONTENTS INTRODUCTION . 1 Social Services . 18 Aims of the Summit . 1 Healthcare . 20 Aims of this document . .2 HIV and AIDS . 21 Methodology . .2 Poverty . .22 Women . .23 DISTRICT SNAPSHOT . 3 Youth . 23 District Economy . 6 Disabled . .24 Economic Competitiveness . 7 Elderly . 24 Agriculture . .8 Moral Regeneration Forestry . 10 Movement Challenges . 24 Tourism . 10 Governance & Administration . 25 Trade . 11 Administration of Municipalities . .25 Construction . 11 Financial Resource Financial Services . 11 Challenges of Municipalities . 26 Basic Services . 12 PRIORITY ISSUES . 27 Water and Sanitation . 12 Electricity . .13 STRATEGY FOR DEVELOPMENT . .28 Housing . 14 Priority Programmes or “Anchor Projects” . 30 Waste . 14 Road Maintenance . 15 PROVINCIAL DEPARTMENT Transport . 15 INFRASTRUCTURE EXPENDITURE PLANS . 31 Telecommunications . 16 CONCLUSION . 34 Conservation areas . .17 ACRONYMS . .35 Education and Skills . 18 GDS AGREEMENT . 36 index 3 1 INTRODUCTION AIMS OF THE SUMMIT Building on the results of the National Growth and The aim of the GDS is to reach broad agreement on: Development Summit in June 2003, government ❖ A development path and programme for the district. proposed that all District and Metropolitan Municipalities ❖ What each social partner (government, business, labour, hold Growth and Development Summits (GDS) in their community sector) should contribute to the implementation area of jurisdiction. of the programme. ❖ Strengthening the strategic thrust of the district IDP to The summits should provide opportunities for building ensure planning and implementation alignment between partnerships with social partners by bringing together the spheres of government, as well as public entities. representatives from the broadest sections of society: labour, business, community sector and government In this regard the GDS should seek to address the (local, province and national). following specific questions and issues: ❖ The district’s economic potential and which sectors of the Government has identified district and metropolitan areas economy should be promoted (this would need, where as the pivotal sites on which to build an understanding applicable, to be informed by the IDP, LED and the RIDS). of the nature and distribution of regional economic ❖ Commitments by government, business, labour and potential across the country. community sector to ensure investment in each of the sectors. Collaborative action between government and ❖ Actions required by government and each partner to social partners across all the three spheres is vital in deal with constraints to such investments, including forging a common vision for promoting rising levels of dealing with bureaucratic delays, EIA processes and land growth, investment, job creation, and people-centred use management. development. AIMS OF THIS DOCUMENT ❖ Social and economic infrastructure programmes required ❖ To ensure that discussion on the above issues takes place to improve investments and provide basic services to on an informed basis. communities. ❖ To present a coherent picture of the social, demographic, ❖ Contribution by each partner to the construction of such and economic profile and service levels of the Ukhahlamba infrastructure, including possibility of PPP. area. ❖ Second Economy interventions (EPWP including roads, ❖ To present a picture of the challenges facing local home-based care and early childhood development, government in Ukhahlamba especially in relation to cooperatives, micro-credit, procurement, land reform, capacity. etc) and the role of each sector in such interventions. ❖ To suggest the mechanisms & processes for monitoring ❖ Promoting local procurement – what interventions are progress on the decisions reached and the governance required. framework for ongoing dialogue and feedback among ❖ Improving capacity of local government and social partners. contribution of each social partner: including role of ❖ The Ukhahlamba GDS presents a unique opportunity for public sector unions in ensuring efficiency, role of all in constructing partnerships and harnessing the collective fighting corruption, contribution by private sector and energies and contributions of a range of actors and role professionals to skills required by the district. players with a view to enhancing accelerated and shared ❖ Establishing a partnerships and/or regional growth growth. coalitions which will act as a mechanism for cooperative ❖ The Ukhahlamba GDS has the potential to unlock the action at all levels and a robust framework for monitoring potential of all localities, and ensure that all sectors of and evaluating progress. society identify their role and contribute to the common national objective to build a better life for all. METHODOLOGY This profile of the Ukhahlamba District is based on a number of documents and information from a range of sources. These broadly include the following: ❖ ECSECC data, publications and reports ❖ Monitor Group – Economic Profiling of the Poverty Nodes – Ukhahlamba ❖ District and local municipal IDPs ❖ Data from the Rapid Assessment of services in the Eastern Cape conducted in 2006 by Fort Hare Institute for Socio- Economic Research for the Office of the Premier ❖ Various research reports 2 3 DISTRICT SNAPSHOT POPULATION: About 350 000 people and with a low LOCATION: to the north, the district borders the growth rate. The District is generally sparsely populated, Free State Province and the country of Lesotho. The district except for the former homeland areas of Mount Fletcher, municipalities of Alfred Nzo, OR Tambo and Chris Hani to rural parts of Tsolo and Qumbu (in Elundini) and the east and south and the Northern Cape Province to Sterkspruit (in Senqu). These two areas account for about the west. The boundary of the district is an administrative three quarters of the District population. These are also boundary and not necessarily an economic boundary. the areas where poverty is most entrenched and basic services backlogs most acute. AREA: 26518km2 NODAL STATUS: The District has a high development CULTURE: over 90% Xhosa profile in terms of its Integrated Sustainable Rural Development Programme (ISRDP) nodal status. LANGUAGE: Xhosa, Sesotho, Afrikaans and English. MUNICIPALITIES: Ukhahlamba District and Gariep, Maletswai, Senqu and Elundini local municipalities TOPOGRAPHY: The west of the District (Gariep and Maletswai) is dry Karoo flatland and areas of the dry NamaKaroo Biome. The East (Senqu and Elundini) is mountainous and wetter with elements of the Maloti Biome. Most of the District falls within the Orange River catchment basin, except for Elundini, which falls in the Mzimvubu River Basin. 4 5 SETTLEMENT STRUCTURE: There are 13 towns SOCIAL STRUCTURING: The levels of out migration in the area with the largest being Aliwal North with a from Ukhahlamba are higher than the provincial average. population of about 40,000, Sterkspruit, Maclear and The proportion of households reporting at least one Mount Fletcher are secondary service and retail centres. migrant household member amounts to 18% of district Ugie is an aspiring secondary town. Three rural nodes (in households against 15.2% of provincial households. the communal land area) have been defi ned in Elundini While 7% of the district population overall is reported as and four in Senqu. The Spatial development framework for migrating from their household this is so for 5.6% of the the District defi ne special interventions for these diff erent provincial population. categories of towns, as well as corridors and special development areas. Diff erent interventions are proposed The combination of the limited local economy and in each of these areas – areas of severe backlogs (old significant challenges in local services infrastructure and Transkei), areas of high economic potential (agriculture, delivery understandably result in the District recording tourism), nodes with ability to support the economy among the highest levels of out migration in the (especially primary and secondary towns). province. The vast majority of migrants from Ukhahlamba leave their households in order to take up employment or to go in search of employment. The historically underdeveloped areas of Senqu and Elundini also see significant numbers of household members migrating in order to access schools or tertiary education. DISTRICT ECONOMY The District area contributes about 3% of the provincial There is also a perception among residents in the area Gross Geographic Product (GGP). that hawking, hairdressing, clothes washing, etc are not “real” jobs and they do not consider that this is a The Ukhahlamba area is one of the 13 poorest and most contribution to the economy. Many people still aspire for poverty stricken districts of South Africa. a government job as it is seen as secure. The 2001 Census indicated that over 86% of the residents It can be seen that in the manufacturing sector, growth of the area live in poverty. This is based on that the annual has occurred in the food-processing sub sector. In the household income is below the basic annual substance Trade, Catering and Accommodation sector there has level of R19200 per year. been very little growth in the catering side with the largest growth occurring in the retail sub-sector. On the Of those of working age, only 18% are employed, 21% are Transport and Communication sector, the bulk of the unemployed and 60.3% are not economically active (that is growth has
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