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Vision to improve Western Cape govt

Chris Whelan, CEO of Accelerate Cape Town, a local think tank, said it is encouraging to see the budget's focus on economic growth.

"The speed of execution in infrastructure investment in key economic enablers, specifically road, rail, energy and broadband connectivity, remain concerns," said Whelan.

He regards the pilot projects for wifi and other data services Winde mentioned as steps in the right direction.

"However, expediting the broadband rollout to SMEs will unlock this economy," he said.

"The MEC’s comments on the Saldanha Industrial Zone are also welcome, both in terms of regional economic growth and meeting energy security needs, as is his commitment to growing the region’s base of artisanal skills."

Although rail is a national competence, Whelan would like to see the MEC advocating more strongly for the extension of the rail network between Cape Town and Saldanha to close the 45km gap, building on a commercial and economic corridor up the West Coast. 

Similarly, he would have liked to see more made of the need to drive a gas-based economy regionally.

"The future possibility of shale and off-shore gas presents game-changing opportunities, which we need to prepare for now," said Whelan.
Cape Town - The overarching priority of the Western Cape budget - announced on Wednesday - is to make government work better, according to the province's MEC for finance, economic development and tourism, Alan Winde.

"Just like the roof holds the four walls together and completes our home, we believe that improved governance will add strength to all of our plans," said Winde.

In total the Western Cape government will spend more than R150bn over the next three years.

"Today, despite the global economic downturn, which began at the start of our term in government, 270 000 more people in our province have jobs," said Winde.

"Our manufacturing and clothing and textile sectors are once again showing positive growth with strong investment from both the public and private sector."

In the past five years, 49 wind turbines have been erected in the province and are contributing to our energy security.

Since last November when the Saldanha Bay Industrial Development Zone was launched in partnership with local and national government, 14 companies have indicated that they are eager to invest in the area.

Since 2011, the number of active companies in the Western Cape has increased by 14 598 to 203 112.

"Life expectancy, which is an indicator typically used to measure the performance of health systems internationally, is far higher in our province than anywhere else in South Africa," said Winde.

"Here, men live on average until they are 64 years old and women until they are 70."

In South Africa as a whole, men have a life expectancy of 58 years and women typically live until the age of 61.

According to the results of the latest Census, 99.1% of Western Cape residents have access to piped water, 91.1% have refuse removal, 93.4% have access to electricity and 89.6% have access to flush toilets.

"Since 2009, we have delivered 119 647 housing opportunities, using the services of around 147 broad-based BEE contractors," said Winde.

Crime

In 2012/13 there were, on average, seven murders a day in the Western Province.

"These figures are in part driven by substance addiction, as well as by gangsters, who have little or no value for human life. Our residents deserve better," said Winde.

Housing

The demand for government housing is a challenge, said Winde.

"While we welcome new residents from all parts of the country, our budget cannot cater for the creation of free homes for all of those in need. We are intent on exploring innovative methods to help meet this demand," he said.

ICT

In total R1.3bn has been set aside over the next three years to achieve various broadband goals in the province.

Going green

The Western Cape is well positioned to capitalise on green growth, said Winde.

Amongst other projects, in this medium term budget funding has been set aside to develop an electricity master plan for each municipality in the province to ensure cost effective delivery.

"Because one company’s waste might be a resource for another, we have invested in a symbiosis project which is creating links between companies wishing to buy one another’s by-products for use in their own production processes," said Winde.

Other initiatives to bolster the green economy include investigations into reducing the province's reliance on coal in favour of Liquefied Natural Gas, the 110% Green flagship project through which businesses commit to reducing their energy consumption and a mapping project, which will provide data on investment, job creation, skills development and red tape issues in the renewable energy, agro-processing and eco-tourism sectors.

Agriculture

At present, Western Cape farms account for one-third of what is produced on an annual basis in South Africa.

"While this is a significant achievement, our agricultural sector has only been growing at around 1.5% per year," said Winde.

"This is an area in which we have massive opportunity for growth and job creation, especially for rural communities, and we must do more."

Over the next three years R32.837m has been allocated to support the development of farmworkers, subsistence agriculture and small holder farming, and to contribute to the success of land reform projects in the province.

Winde has also allocated R228.022m to vet services over the 2014 medium term to ensure that products do not suffer from further exclusions to international markets as a result of sicknesses.

Competitiveness

"A further step in growing our economy involves boosting our competitiveness at home and overseas," said Winde.
 
The red tape to red carpet initiative, which removes unnecessary barriers hindering the private sector, receives R7.54m to help entrepreneurs and businesses across the province tackle red tape.

Tourism

Cape Town and the Western Cape has had its best December season yet, said Winde.

"In addition to an increase in numbers at the majority of our tourist attractions, our airport recorded the highest number of international arrivals since the recession began," said Winde.

FDI

The official destination marketing, investment and trade promotion agency for the Western Cape (Wesgro) estimates that in the 2012/13 financial year, 1 783 new jobs were created through investment projects.

Over the next three years, R225.271m is allocated to Wesgro for tourism, trade and investment promotion.

Entrepreneurship

"We know that the Western Cape’s entrepreneurs play an important role in creating jobs in our economy," said Winde.

"Through my engagements with them at their places of work, we also know that many of them are frustrated by the stumbling blocks they face in getting off the ground."

That is why in the years ahead, he wants to boost the support offered to entrepreneurs.

Artisan development

Through the artisan development programme, Winde plans to offer a further 1 000 young, unemployed residents the in-service training they need to obtain their official qualifications.

Youth

"In the near future, we plan to open nine Youth Cafés in Athlone, Mitchells Plain, Khayelitsha, Atlantis and Bredasdorp as part of a pilot project," said Winde.

"These centres will provide our youths with safe spaces in which they can access opportunities, unleash their potential, channel their energy and receive mentoring."

In addition, the Youth Work Programme will provide jobs for 1 400 unemployed youth.

Accelerate Cape Town

Chris Whelan, CEO of Accelerate Cape Town, a local think tank, said it is encouraging to see the budget's focus on economic growth.

"The speed of execution in infrastructure investment in key economic enablers, specifically road, rail, energy and broadband connectivity, remain concerns," said Whelan.

He regards the pilot projects for wifi and other data services Winde mentioned as steps in the right direction.

"However, expediting the broadband rollout to SMEs will unlock this economy," he said.

"The MEC’s comments on the Saldanha Industrial Zone are also welcome, both in terms of regional economic growth and meeting energy security needs, as is his commitment to growing the region’s base of artisanal skills."

Although rail is a national competence, Whelan would like to see the MEC advocating more strongly for the extension of the rail network between Cape Town and Saldanha to close the 45km gap, building on a commercial and economic corridor up the West Coast. 

Similarly, he would have liked to see more made of the need to drive a gas-based economy regionally.

"The future possibility of shale and off-shore gas presents game-changing opportunities, which we need to prepare for now," said Whelan.

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