Local Economic Development Analysis for Steve Tshwete Local Municipality CONFIDENTIALITY 2 All| P information a g e contained in this document is proprietary to Letsema and use of this material without the prior written conse n t o f Letsema is strictly prohibited. Contents List of Acronyms ...................................................................................................................................................................................................................... 2 List of Figures and Tables ..................................................................................................................................................................................................... 3 Figures .................................................................................................................................................................................................................................. 3 Tables .................................................................................................................................................................................................................................... 3 Preface ........................................................................................................................................................................................................................................ 2 Executive Summary ................................................................................................................................................................................................................. 3 Context of Local Economic Development ................................................................................................................................................................. 3 Overview of Steve Tshwete Local Municipality ....................................................................................................................................................... 3 Gap Analysis........................................................................................................................................................................................................................ 6 Way Forward ....................................................................................................................................................................................................................... 8 Introduction ............................................................................................................................................................................................................................ 10 Context of Local Economic Development ..................................................................................................................................................................... 12 National Operating Environment ............................................................................................................................................................................... 12 Overview of LED .............................................................................................................................................................................................................. 18 Provincial Policy Context for LED in Mpumalanga ............................................................................................................................................... 20 LED Implementation....................................................................................................................................................................................................... 21 Outcomes of LED ............................................................................................................................................................................................................ 23 Analysis of Steve Tshwete Local Municipality .............................................................................................................................................................. 25 Overview of STLM ........................................................................................................................................................................................................... 25 Sectoral Analysis .............................................................................................................................................................................................................. 44 Labour and Skills Analysis ............................................................................................................................................................................................ 70 Organisational Analysis of STLM .............................................................................................................................................................................. 101 Local Economic Development within STLM ......................................................................................................................................................... 109 Stakeholder Engagement Findings................................................................................................................................................................................ 118 Approach ......................................................................................................................................................................................................................... 118 Overall Findings ............................................................................................................................................................................................................. 122 Detailed Findings: SMME Survey ............................................................................................................................................................................. 123 Detailed Findings: Stakeholder Engagement Workshop.................................................................................................................................. 127 LED Gap Analysis for STLM .............................................................................................................................................................................................. 132 Market Gaps.................................................................................................................................................................................................................... 133 Local Economic Development Gaps........................................................................................................................................................................ 136 Local Economic Development: Way Forward for STLM .......................................................................................................................................... 140 Opportunities for SMMEs ........................................................................................................................................................................................... 140 Proposed Local Economic Development Initiatives ........................................................................................................................................... 145 Implementation Plan and Monitoring Framework ............................................................................................................................................. 154 Conclusion ............................................................................................................................................................................................................................. 166 1 | P a g e List of Acronyms ACRONYM DESCRIPTION ACRONYM DESCRIPTION COE Centre of Excellence NCV National Certificate (Vocational) CSI Corporate Social Investment NDM Nkangala District Municipality DFIs Development Finance Institutions NDP National Development Plan DMR Department of Mineral Resources NPOs Non-Profit Organisations ED Executive Directors NSC National Senior Certificate EGS Economic Growth Strategy NQF National Qualifications Framework ESD Enterprise and Supplier PPE Personal Protective Equipment Development FET Further Education and Training QLFS Quarterly Labour Force Statistics GDP Gross Domestic Product R&D Research and Development IDP Integrated Development Plan SEZ Special Economic Zone IMF International Monetary Fund SLP Social Labour Plans KPIs Key Performance Indicators SME Small and Micro Enterprises LED Local Economic Development SMME Small Medium and Micro Enterprises MCCI Middelburg Chamber of Commerce SPLUMA Spatial Planning and Land Use and Industry Management Act MEGP Mpumalanga’s Economic Growth STEM Science, Technology, Engineering Plan and Mathematics MSI Mpumalanga Stainless Initiative STLM Steve Tshwete Local Municipality MTI Mpumalanga Tooling Initiative TVET Technical and Vocational Education and Training 2 | P a g e List of Figures and Tables Figures Figure 27: Map of township SMMES in Manufacturing ......... 40 Figure 1: Demand and Supply Gaps per Sector within STLM . 7 Figure 28: Map of township SMMES in Transport ................... 41 Figure