1 BA-PHALABORWA LOCAL ECONOMIC DEVELOPMENT STRATEGY Ba-Phalaborwa Municipality BA-PHALABORWA SUSTAINABLE COMMUNITIES PROGRAM 2014-2019 2 TABLE OF CONTENTS o Acronyms o Foreword : Mayor o Preface : Municipal Manager o Executive Summary CHAPTER 1 Why the need for the review of the Ba-Phalaborwa LED Strategy and what informs the review? 1. Introduction ------------------------------------------------------------------------------------------------ 1 2. Purpose of the LED Strategy review ------------------------------------------------------------------ 1 3. Aims and objectives for the review of the current LED Strategy ------------------------------ 2 4. Expected outcomes of the reviewed LED Strategy ------------------------------------------------ 3 5. Key LED indicators to be achieved --------------------------------------------------------------------- 3 6. The 2007 LED Status quo report ----------------------------------------------------------------------- 3 7. The 2012-2017 LED Review process plan ------------------------------------------------------------ 10 8. Conclusion --------------------------------------------------------------------------------------------------- 17 CHAPTER 2 The legislative framework on Local Economic Development in South Africa 1. Introduction --------------------------------------------------------------------------------------------------- 18 2. Key Legislative framework for Local Economic development ------------------------------------- 18 3. Conclusion ----------------------------------------------------------------------------------------------------- 26 CHAPTER 3 Situational Analysis 3.1.Introduction ---------------------------------------------------------------------------------------------------- 27 3.2.The study area -------------------------------------------------------------------------------------------------- 27 3.3.Methodology ---------------------------------------------------------------------------------------------------- 27 3.4.Analyzing the socio-economic situation in Ba-Phalaborwa ------------------------------------------ 29 3.5.Economic Profile ----------------------------------------------------------------------------------------------- 53 3.6.Land claims ------------------------------------------------------------------------------------------------------ 63 3.7.Infrastructure development analysis ---------------------------------------------------------------------- 71 3.8.Waste Management, refuse reduction and recycling ------------------------------------------------- 102 3.15.3.9.TelecommunicationAnticipated Spatial and Trends general----------------- linkages ---------------------------------------------------------------------------------------------------------------------------- 116104 3.16.3.10. ProjectedSocial infrastructure future state ------------------------------------------------------ of the environment---------------------------------------------------------------------------------------- 117105 3.17.3.11. DevelopmentInstitutional capacity policy in ------------------------------------------------------------------------------------ the Ba-Phalaborwa Municipality --------------------------------------- 119108 3.18. Issues for integration from the LEGDP -------------------------------------------------------------- 121 3.12. State of the environment ------------------------------------------------------------------------------- 109 3.19.3.13. ConclusionScenario projections ------------------------------------------------------------------------------------------------- for Ba-Phalaborwa ------------------------------------------------------------ 122114 3.14. Projected future state of infrastructure ------------------------------------------------------------- 115 3 CHAPTER 4 LED Strategic Plan 4.1.Introduction --------------------------------------------------------------------------------------------------- 123 4.2.SWOT analysis ------------------------------------------------------------------------------------------------ 123 4.3.Development Vision and Mission ------------------------------------------------------------------------ 127 4.4.Alternative economic strategies ------------------------------------------------------------------------- 130 4.5.Conclusion ----------------------------------------------------------------------------------------------------- 131 CHAPTER 5 Programs and Projects 5.1.Introduction -------------------------------------------------------------------------------------------------- 132 5.2.Key programs and projects for Ba-Phalaborwa ------------------------------------------------------ 132 5.3.Investment Attraction Plan ------------------------------------------------------------------------------- 166 5.4.Conclusion ---------------------------------------------------------------------------------------------------- 168 CHAPTER 6 Implementation Plan 6.1.Introduction -------------------------------------------------------------------------------------------------- 169 6.2.Implementation plan--------------------------------------------------------------------------------------- 169 6.3.Sources of funding------------------------------------------------------------------------------------------ 176 6.4.Summary and implementation schedule-------------------------------------------------------------- 176 6.5.Conclusion----------------------------------------------------------------------------------------------------- 180 CHAPTER 7 Risk Assessment 7.1.Introduction-------------------------------------------------------------------------------------------------- 181 7.2.Risk analysis and Profiling--------------------------------------------------------------------------------- 181 7.3.Risk Mitigating Plan----------------------------------------------------------------------------------------- 183 7.4.Conclusion---------------------------------------------------------------------------------------------------- 187 CHAPTER 8 Monitoring, Evaluation and Review 8.1.Introduction -------------------------------------------------------------------------------------------------- 188 8.2.Monitoring and evaluation Plan ------------------------------------------------------------------------- 188 8.3.LED Strategy review Plan----------------------------------------------------------------------------------- 195 8.4.Conclusion ----------------------------------------------------------------------------------------------------- 195 4 Acronyms COGHSTA : Cooperative Governance, Human Settlements and Traditional Affairs DM : District Municipality EDHSSP : Economic Development, Human Settlements and Spatial Planning EXCO : Executive Committee FET : Further Education and Training HAZMAT : Hazardous Materials IDP : Integrated Development Plan KNP : Kruger National Park LED : Local Economic Development LEDA : Limpopo Enterprise Development Agency LEDET : Limpopo Economic Development, Environment and Tourism LEGDP : Limpopo Economic Growth and Development Plan LM : Local Municipality LTA : Local Tourism Authority NDP : National Development Plan NSDP : National Spatial Development Perspective NSSD : National Strategy for Sustainable Development PMC : Palabora Mining Company SDI : Spatial Development Initiative SEDA : Small Enterprise Development Agency SMME : Small, Medium and Micro Enterprises 5 Foreword: Mayor The municipality has successfully reviewed its LED Strategy internally. This is a milestone and a highly appreciated attempt to save the municipality in costly consultative fees. Improved service delivery remains one of the biggest challenges facing the Ba-Phalaborwa Municipality, and thus remains a major priority. The LED strategy is aligned to the prescripts of the National Development Plan and other Provincial, District and Local Municipal Plans to achieve the long-term National Vision of creating sustainable job opportunities, empower local businesses and improve the livelihood of the local communities. The LED Strategy represents the refined municipal vision to provide improved services and enhance tourism development and reflects on the planned actions in responding to the current challenges as the situation dictates. The provision of sustainable services such as excellent roads, sustainable electricity, clean water, adequate waste management remains the municipal top priority as part of promoting the local economic and tourism development. The strategy recommends for the rehabilitation of the existing infrastructure, empower SMMEs and the informal sector as part of job creation through expanded public works and community works programs. The Strategy highlights on the sensitivity of the environment within the Ba-Phalaborwa precinct. The recent pollution of the Letaba and the Oliphants Rivers is a wake-up call for all stakeholders to work together in mitigating potential risks posed by all economic activities within the Municipal area. The risk posed by the advent of malaria should be kept in check in order not to affect the development and promotion of the tourism sector. The 2014 reported malaria is a point of concern and needs to be mitigated through integrated programs. The LED Strategy therefore highlights on the need to provide solutions in the: o Refurbishment of electricity infrastructure; o Provision of clean water o Rehabilitation and maintenance of roads; and o Construction of roads and storm water. o Creation of job opportunities to increase employment. 6 Preface: Municipal Manager This LED Strategy and its suggested