Strategic Goal 5: Facilitate an Enabling Environment for a Diversified Economy and Growth to Allevi

According to the National Framework for Local Economic Development (2006) the Municipality’s primary role is to create an environment where the overall economic and social conditions of the Municipality are conducive to the creation of employment opportunities, which is being done through the provision of bulk and service infrastructure and the provision of good value for money services. The financial viability of the Municipality, good governance and a developmentally orientated accountable administration also play a key role. Local economic development is not the responsibility of any singular sphere of government or department within government or sector and success will only be achieved through the combined efforts of all role players.

CHALLENGE

The local economy of Bergrivier municipal area is in decline, and a dire need for local economic development was expressed. The dire need for local economic development was reiterated during the IDP Public Participation Process as job creation and poverty alleviation was expressed. The declining local economy impacts on local businesses, and many find it increasingly difficult to survive which in turn impacts negatively on the social conditions of our Community where unemployment and poverty are rife. The economic decline was exacerbated by the Covid-19 lockdown regulations leading to some businesses closing. This economic decline also affects the financial viability of our Municipality as the bulk of our service rendering is funded by the income received for property rates and service fees. Many of the Municipality’s consumers are unable to pay for their rates and services, while others are subsidised through indigent grants.

In May 2015 Council approved a Local Economic Strategy which led to the establishment of the Bergrivier Economic Development Forum. This forum is a collaborative platform between the private and public sector. In 2019 Council approved the establishment of an Economic Development Portfolio as to mainstream the work of the Department of Strategic Services. Considerable work was done by the Portfolio committee and an updated Economic Development Strategy was approved in 2019 as well as an Economic Recovery Plan in 2021. Both these strategies have been combined since as to ensure a single strategy. The major focus is on agriculture, tourism and the development of enterprises.

However, as local economic development needs to take place on a multi-dimensional level, the following strategic objectives and projects have been identified to ensure that the strategic goal is reached.

STRATEGIC OBJECTIVE 1: IMPROVE THE REGULATORY ENVIRONMENT FOR EASE OF DOING BUSINESS.

Preferential Procurement Policy and Strategy

The municipality will, whenever the procurement of goods and services arise, apply the constitutional imperatives governing supply chain management in terms of Section 127 of the Constitution in relation and alignment to Section 152 and 153 of the Constitution, as well as the National Development Plan. This will enable the municipality to give effect to Section 152 and 153 of the Constitution and in doing so, the municipality will explore all possible avenues of procurement strategies before any commitment for any procurement process will be authorized. The municipality will also ensure that all envisaged expenditure after the budget has been approved, will be populated in the various departments’ procurement plans. No procurement process will be allowed outside of the authorized signed off procurement plans of the municipality as this ensure that all procurement expenditure is aligned to a procurement strategy.

STRATEGIC OBJECTIVE 2: PROMOTE TOURISM.

INTRODUCTION

Bergrivier Tourism Organisation (BTO) and its affiliate local tourism offices manage the local tourism function on behalf of the Municipality. The Municipality makes an annual contribution to their operational costs and to enable them to implement their Tourism Strategy.

CHALLENGES

• Insufficient funding;

• Limited tourism skills and qualifications in the area;

• Lack of marketing support from the District Tourism office; and

• Language barrier for visitors.

DEVELOPMENT PRIORITIES

• Lack of interest in tourism from local communities;

• Staff development and training;

• Promote Bergrivier to domestic and international travel trade and media; and

• Increase number of events in our region.

STRATEGIC OBJECTIVE 3: ALLEVIATE POVERTY THROUGH JOB CREATION IN MUNICIPAL DRIVEN PROJECTS AND PROGRAMMES.

1. Bergrivier Economic Development Forum

The municipality focused on establishing and improving relationships with the business sector to maximise Corporate Social Investment (CSI) potential. This was done through establishment of the Bergrivier Economic Development Forum on 5 November 2015 and the Forum had two major sessions since 2015 focussing on the main pillars of the economy in Bergrivier Municipal Area and on tourism. No meetings took place due to the Covid-19 pandemic and future Forum meetings are envisaged.

1. SMME Support

The capacity of SMME’s must be stimulated to enable them to play a meaningful role in the economy. This can be achieved through the assistance of key role players such as the Department of Trade and Industry, SEDA, SEFA and other stakeholders who have programmes that the centre and municipality can tap into. SMME’s have also been organised into their own structure in Piketberg, Porterville and Velddrif and these structures will be duplicated in the smaller towns. A range of projects have already been identified in empowering SMME’s and will be rolled out on an annual basis, with specific reference to the programme in Velddrif. One of the outcomes of the SMME training programme is the need for informal trading space and the first phase of funding has been granted from RSEP to develop units.

1. Strategic LED Partnerships

Local economic development is dependent on the combined vision and actions of all stakeholders, and it is essential that partnerships are established, and that the municipality participate in all available forums to capitalise on available opportunities such as the Saldanha IDZ.

1. Laaiplek Harbour

For the development of the Laaiplek Harbour, the Department of Agriculture, Forestry and Fisheries commissioned a Harbours Study which identified Laaiplek Harbour as a harbour with economic potential. Optimal use needs to be made of potential opportunities arising from this. (On-going)

1. Velddrif Precinct Plan

The Department of Rural Development and Land Reform assisted the Municipality with the development of a Precinct Plan for Velddrif which has been finalised and which will require implementation. Funding will have to be sourced for the implementation. There is an alignment between the Precinct Plan and the proposed Harbour Development referred to above.

1. Porterville CBD Precinct Plan

The Municipality has developed a Precinct Plan for Porterville CBD, which will also require implementation. Funding will have to be sourced for the implementation, especially for the regeneration of the main road and the upgrading of the market square as the catalysts for investment.

1. Piketberg Precinct Plan

The Department of Rural Development and Land Reform assisted the Municipality with the development of a Gateway and Central Integration Zone Precinct Plan for Piketberg which has been finalised and which will require implementation. As already outlined, Piketberg was chosen as one of the 3 national pilot projects in the Small-Town Regeneration Programme and the intention is to source funding through this programme for the Piketberg Precinct Plan.

1. Strategic partnerships with investors

One of the key programmes is the development of strategic partnerships with investors to ensure that investors employ local people and offer business opportunities to local people, especially SMME’s. Investors can also include investing in the skills development of the local youth and unemployed.

STRATEGIC OBJECTIVE 4: ENSURE ALL POLICIES AND SYSTEMS IN BERGRIVIER MUNICIPALITY SUPPORT POVERTY ALLEVIATION.

1. Job Creation

The municipality create jobs firstly through optimal use of the EPWP Programme. The Municipality will receive R 1 601 000 for the EPWP Programme for 2022/23. There are sub programmes to the EPWP Programme, and the Municipality is using the infrastructure and environment and culture sub programme. The Social subsector will also be utilised in the financial year to assist with law enforcement.

PROJECT	BENEFICIARIES	DAYS WORKED	AMOUNT	WOMEN	YOUTH
Roads Pavements and Walkways	52	2 637	547 860	14	31
Storm water Drainage	3	170	31 535	-	1
Water Conservation	4	604	112 042	1	-
Sewer Renewals	9	481	93 928	1	2
Facilities Maintenance	4	409	93 928	-	3
Community Safety	49	4 078	1 088 250	20	42
Parks Gardens and Open spaces	62	3 848	732 858	26	35
Waste Management	36	2 022	377 412	16	18
Data Capturing	6	456	85 257	6	4
Library Literacy	6	351	106 210	6	5
Metering	11	724	205 802	-	8
Network Renewals (Elect)	10	471	90 015	-	5
Tourism (Mosaic)	11	1 134	179 086	5	8

1. Community Workers Programme

The second programme for job creation will be through the Community Workers Programme. Bergrivier Municipality has been selected to employ 500 people from the poor communities to work 3 days per week for R 86/day. The ward committees will be used to assist in the identification of potential opportunities for temporary employment and to recruit from the poorest of the poor. Training will also be provided as per sector.

1. Food security

Although food security is not per se the mandate of local government, the municipality is seeking investors to drive a programme ensuring that all residents have access to food security, necessarily amongst the poorest of the poor. The Department of Agriculture also plays a pivotal role in assisting communities with growing their own food.

STRATEGIC OBJECTIVE 5: ATTRACT INVESTMENT THROUGH CATALYTIC INFRASTRUCTURE.

Small Town Regeneration Programme

INTRODUCTION

See discussion on the Small-Town Regeneration Programme: Par 8.2.1.5

Smart City Framework

INTRODUCTION

The “smart city “concept necessitates smart infrastructure. A comprehensive 4IR ecosystem containing essential elements such as people, governance, environment, economy, mobility and living conditions within a certain geographical sphere requires sustainable development. The development and implementation of a “smart city” requires substantial financial investment. Co-operation between public, private sectors and civil society is therefore inevitable.

CHALLENGES

• Governance – flexibility;

• Economy – unemployment, economic decline, loadshedding;

• Environment – energy saving holistic approach to environmental and energy issues should be followed, climate change;

• People – unemployment, social cohesion, poverty, ageing population, cyber security; and

• Living – affordable housing, social cohesion, health problems, emergency management, safety and security, cyber security.

DEVELOPMENT PRIORITIES

• Develop a Master Plan for “Smart Cities” in Bergrivier Municipal Area;

• Attract investment opportunities for purposes of creating a 4IR “bubble of life”; and

• Development and installation of smart infrastructure.